News Briefs - April 10
The Latest Headlines:
- FedEx Ground Opens New Facility in St. Louis
- Universal Express Gets Funding for Purchase
- Crude Oil Prices Fall on Oversupply Suggestions
- Commercial Airlines Have Received $1 Billion in Airlift Contracts for War
- Choice Logistics Announces Restructuring of Courier Unit
- Universal Express Gets Funding for Purchase
FedEx Ground Opens New Facility in St. Louis
FedEx Corp. said Thursday that its FedEx Ground subsidiary opened a new, fully automated local terminal in St. Louis.The 163,000-square-foot facility will support more than 160 delivery vehicles and serve the 13-county metropolitan area of St. Louis.
The new facility will increase the range of FedEx Ground’s overnight service to 400 miles to include southwest Indiana, western Kentucky, most of Missouri and to such cities as Indianapolis; Memphis, Tenn.; Kansas City and Chicago.
(Click here for the full press release.)
Universal Express Gets Funding for Purchase
Universal Express Inc. said Wednesday it had received $300 million in funding and signed a letter of intent to acquire a national transportation company.However, Universal said it cannot name the company because of a condifentiality agreement in effect until the closing date, or by joint agreement of both parties.
"The formal closing should be concluded in 75 days or less, and a specific announcement will be made by both parties at the appropriate time or prior to that closing date", said Richard A. Altomare, chief executive of Universal Express.
In December, Universal Express formed a new subsidiary unit, Universal Express Transportation Inc. Altomare said this new purchase would add to Universal's domestic delivery capability.
Universal Express, Boca Raton, Fla., also owns and operates several other subsidiaries including Universal Express Capital and Universal Express Logistics and the Private Postal Network. Transport Topics
(Click here for the full press release.)
Crude Oil Prices Fall on Oversupply Suggestions
The price of crude oil fell in early trading Thursday after officials from the world’s major oil producers said that the world oil market is oversupplied, Bloomberg reported.Currently, according to officials at the Organization of Petroleum Exporting Countries, global oil supplies are outstripping demand by about 2 million barrels a day, Bloomberg said. Last month, the oil production rose to a record 80.3 million barrels a day, the International Energy Agency said.
On the New York Mercantile Exchange, the price of crude oil for May delivery fell 47 cents a barrel to $28.38 in electronic trading, Bloomberg said.
Concerned about oversupply, OPEC has been discussing possibly trimming its production quotas at its meeting later this month, Bloomberg said. Transport Topics
Commercial Airlines Have Received $1 Billion in Airlift Contracts for War
U.S. commercial airlines have been awarded $1.06 billion in military airlift contracts between Oct. 1, 2002 and March 3, 2003, the Associated Press reported Wednesday.The contracts were for the transportation of troops, goods and supplies by airlines, AP said. U.S. airlines regularly carry goods and personnel for the military.
Passenger airlines often supplement their revenues by hauling airfreight in their cargo holds. Transport Topics
Choice Logistics Announces Restructuring of Courier Unit
Choice Logistics said Wednesday that it planned to restructure its Choice Courier Systems, and bring it under the Choice Logistics name to share infrastructures.The two companies had operated as separate units, but with the restructuring, the privately held company will be headquartered in New York and share financial, management and systems, the company said.
Choice Logistics is a logistics and inventory management provider and Choice Courier is a courier and messenger service operating primarily in the Northeast. Transport Topics
(Click here for the full press release.)
