News Briefs - Dec. 8
The Latest Headlines:
- Snow to Remain as Treasury Secretary
- Steelmakers Raise Prices for 2005
- Paccar to Repurchase Shares; Announces Special Dividend
- Manufacturers Face Higher Shipping Costs
- Court Hears Arguments in Interstate Wine Shipping Case
- U.S. Postal Service Earns $3.1 Billion in Fiscal Year
- Washington State Receives $35 Million for Bridge Repairs
- Steelmakers Raise Prices for 2005
Snow to Remain as Treasury Secretary
The White House said Wednesday that Treasury Secretary John Snow had accepted President Bush asked to stay in his job, and Snow agreed to do so, news services reported.Snow's future had seemed been in doubt for weeks as the administration was said to be looking for a new head of the Treasury. (Click here for previous coverage.)
Snow joined the administration in February 2003 after Paul O'Neill's ouster. Snow was previously the chief executive of rail company CSX Corp. Transport Topics
Steelmakers Raise Prices for 2005
Although domestic steel prices have fallen in the fourth quarter, but the world's steel producers are raising prices for the start of 2005, the Wall Street Journal reported Wednesday.Steel companies in the United States and Asia have announced spot-price increases in the range of 2% to 7% for the first quarter of 2005, the Journal said. The anticipation of continued strong demand from Asia and rising raw-materials costs are behind the increase in steel prices.
As the price of steel rose during 2004, manufacturers of trucks, trailers and components were forced to increase their prices to consumers. Transport Topics
Paccar to Repurchase Shares; Announces Special Dividend
Truck maker Paccar Inc. said late Tuesday its board of directors approved a plan to repurchase up to five million shares of its outstanding common stock.The company also said the board declared an extra cash dividend of $2 per share. It is payable Jan. 5, to stockholders of record on Dec. 20.
Paccar also declared its regular quarterly cash dividend of 20 cents per share. Transport Topics
Manufacturers Face Higher Shipping Costs
Manufacturers are facing higher transport costs due to the shift of more production overseas and an increase global trade, the Wall Street Journal reported.ohn Ficker, president of the National Industrial Transportation League, said shipping costs for U.S. manufacturers have climbed 5% to 15% over the last year.
The U.S. exported $627.1 billion worth of manufactured goods last year and imported $1.03 trillion, the Journal reported. Transport Topics
Court Hears Arguments in Interstate Wine Shipping Case
The Supreme Court heard arguments on Tuesday in case a that could strike down a law that allows states to bar people from buying wine directly from out-of-state suppliers, news services reported.The law has survived since the end of Prohibition in 1933, but opponents say it's become outdated as the number of wineries nationwide has grown, and the Internet has expanded the reach of winemakers, the Associated Press reported.
The dispute pits states and a network of alcohol wholesalers against wineries that want to sell their products over the Internet and by phone. Package-delivery companies are often used to ship the wines ordered by phone or Internet.
Currently, 24 states ban interstate wine shipments. The court is expected to rule by next summer, Reuters reported. Transport Topics
U.S. Postal Service Earns $3.1 Billion in Fiscal Year
The U.S. Postal Service on Tuesday said its net income for the fiscal year ended Sept. 30 was $3.1 billion on revenues of $69 billion. It had a profit $900 million in fiscal 2003.Excluding a gain from a change to retirement funding, profit for fiscal 2004 was $400 million, Bloomberg reported.
Chief Financial Officer Richard Strasser Jr. said first-class mail brought in revenue of $36.4 billion, standard mail $18.1 billion and other products and services $14.5 billion. Total mail volume rose nearly 4 billion pieces to 206 billion, although first-class mail declined for a third straight year.
Strasser also said that in 2005, first-class mail was projected to fall below standard as the largest volume product for the first time, and that standard Mail was more susceptible to volatility of business cycles. Transport Topics
Washington State Receives $35 Million for Bridge Repairs
The Washington State Department of Transportation said it had received nearly $35 million in federal funding for work on 33 city and county bridges.Kathleen Davis, highways and local programs director, said the bridge repair work was vital to preserving Washington’s transportation infrastructure.
Grant Griffin, a bridge engineer with the department, said the funds would help “replace bridges that are at the end of their service life, and [provide for] repairs that can add years to the life of a bridge at a fraction of the cost of replacement.” Transport Topics
This story appeared in the Dec. 6 print edition of Transport Topics.
