Bermuda Container Line Ltd. (BCL), which owns and operates the Oleander , is exploring new strategies to make the company stronger in future, according to its recent annual report.

But BCL's moves to improve its container ship service to Bermuda could mean a loss in 1995, the company cautioned.

"If some of these plans do come to fruition they will require some large up-front costs which will have to be charged on the next annual statement and thus it is possible that the company may report a loss for 1995,'' BCL said.

But this will place the company in an even stronger position for the future,'' BCL said.

"We have, for years, been looking at ways to reduce cost structure, and methods to reduce cost structure often mean initial investments,'' said Mr.

Geoffrey Frith, president of Container Ship Management, BCL manager. "In 1994 BCL had a great year.'' But part of the benefits of a good year must be set aside to the future, he added.

Mr. Frith declined to go into details about the moves BCL is currently reviewing.

But he did say rates will not increase this year.

The company also must set aside money to replace the Oleander which came into service in November, 1990.

In April, the last loan payment on the Oleander was made, three years ahead of schedule.

The company said it paid a bank loan early and was building up shareholders' equity to allow the company to have the resources to continue paying dividends on a regular basis even when earnings were poor.

The directors intend to pay dividends on a regular basis and not to revert to some years without dividend payments as occurred in the early 1990s.

"Owning the ship has proved valuable in the past,'' BCL said.

The Oleander will not be replaced for about a decade but the company must begin to set money aside now, said Mr. Frith.

And the lack of smaller container ships available means BCL will likely need to buy a new vessel.

Smaller ships, like the Oleander which is rated at about 350 TEUs (20-foot equivalent units), are not readily available in the open market and in ten years that availability will likely be even less, he said.

Another part of the company's long term view is providing a berth for Bermudians attending maritime colleges to go to sea to log time and experience on ocean voyages.

"Directors have also approved a scheme and budgeted funds to allow BCL to provide sea time and training to young Bermudians wishing to pursue a career at sea. One berth on the Oleander at a time will be available to persons who are enrolled in a recognised sea going education programme,'' the company said.

"It is vital for us to do our part to ensure that there is an adequate supply of qualified professional seamen in the future,' the company said.

The move to train Bermudians comes after two people approached BCL to help with logging sea time, said Mr. Frith.

Bermudian Mr. Dale Brangman is currently a member of the Oleander's crew fulfilling a requirement of the Canadian maritime college he is attending.

It is anticipated another young Bermudian, studying in the UK and requiring sea time toward his third mate's licence, will temporarily join the crew later this year.

"We point out that it is important to get sea time aboard different ships and trades, not to get all their sea time on one run,'' he said.

Attracting individuals for careers at sea is considered one of the biggest issues facing the industry, said Mr. Frith.

He said the lack of Bermudian seamen stems from the Island's many opportunities ashore.

The Oleander , with 12 aboard, currently has no Bermudian crew members nor does Mr. Frith recall a Bermudian having been a crew member.

When asked about the new Bermuda Islander , the Bermuda International Shipping Ltd. container ship due for launch August 26, Mr. Frith said: "competition is strong but healthy'' in the Bermuda market.