News Briefs - Jan. 2
- Schneider, Caterpillar Agree on Logistics Alliance
- USPS To Use Consolidated Freightways for LTL
- Roadway Begins Arranging Air Cargo Services
- SDC Int'l. Closes Purchase of Czech Truck Maker
- Vehicle Production Hits 5-Year Low
- Mexico Reaffirms Oil Production Cut
- Bankruptcy Court OKs Transit Group's Plan
- USPS To Use Consolidated Freightways for LTL
Schneider, Caterpillar Agree on Logistics Alliance
Schneider Logistics Inc. has signed an agreement with Caterpillar Logistics Services Inc. aimed at improving Caterpillar’s North American Transportation network.Under the agreement, Schneider Logistics will serve as the application services provider for transportation management technology that will be used by Cat Logistics to provide transportation management as well as shipment information throughout the supply chain.
Schneider's technology provides the software tools for Cat Logistics to optimize multiple transportation methods for inbound and outbound shipments while providing the ability to track and trace material that is in transit.
Caterpillar Inc., with headquarters in Peoria, Ill., manufactures construction and mining equipment, diesel and natural gas engines, and industrial gas turbines.
(Click here for the press release.)
USPS To Use Consolidated Freightways for LTL
The U.S. Postal Service announced Wednesday that it has contracted with Consolidated Freightways to manage all of its non-mail, less-than-truckload delivery services in the United States.Under the contract, CF will haul everything from mail sorting equipment to the ubiquitous blue mailboxes seen on street corners around the country, the postal service said.
The deal has options for the USPS to run through 2012 and is valued at nearly $9 million per year. The contract replaces the postal service's current LTL freight network, which used 20 national, regional and local carriers. Transport Topics
(Click here for the full press release.)
A NAME="story5">
Roadway Begins Arranging Air Cargo Services
Roadway Corp. has begun arranging air cargo shipments with a new service, Roadway Air and using aircraft from other companies, the company announced Wednesday.Roadway will have access to 3,000 planes and 12,000 daily flights. The freight forwarding service will be managed by the company's Roadway Express trucking subsidiary.
Roadway, based in Akron, Ohio, is ranked No. 7 on the 2000-2001 Transport Topics 100 list.
Roadway Express will pick up and deliver some air shipments but will also contract out some ground transportation. Transport Topics
(Click here for the full press release.)
SDC Int'l. Closes Purchase of Czech Truck Maker
SDC International announced late last week that it had completed its purchase of the Czech truck maker Tatra a.s.SDC International was formed in 1994 to market, sell and finance industrial and transportation products produced in Eastern Europe.
SBC said it purchased more than 91% of Tatra, which makes specialty on- and off-road heavy duty vehicles for commercial and military applications, for $32 million from the Czech government.
From its new stake in the company, SBC has agreed to sell 40.61% of Tatra to its strategic shareholder, Terex Corp. The outstanding shares of Tatra are publicly held.
SDC and Tatra plan to utilize Terex's extensive global network for Tatra's distribution, according to a company release. Terex has dealers in more than 60 countries. Also the companies plan to introduce Terex products into areas where Tatra had previously been the top supplier, including Russia, India and China. Transport Topics
(Click here for the full press release.)
Vehicle Production Hits 5-Year Low
Despite high vehicle sales, the production of cars and trucks in North America slipped to its lowest point in five years, an industry report said.Ward's Automotive Reports said that, including estimates of the final week of 2001, just more than 15.8 million cars and trucks were built in the U.S., Canada and Mexico last year, the Associated Press reported.
Low vehicle production is indicative of the year's overall manufacturing slump. Poor production figures are bad news for the trucking industry, which relies on factory orders and shipments for much of its business.
The 15.8 million vehicles produced in 2001 is down 10.8% from 2000 and the lowest number since 1996, when only 15.4 million cars and trucks were made, the AP said. Transport Topics
Mexico Reaffirms Oil Production Cut
Mexico reaffirmed Tuesday that it would join the Organization of the Petroleum Exporting Countries' efforts to bolster lackluster oil prices by reducing its own exports by 100,000 barrels per day in the first half of 2002, news services reported.The country's energy ministry said he was confident the cuts would achieve a balance between supply and demand, which will halt falling prices.
The price of crude oil impacts the price of diesel fuel and gasoline, and is therefore of crucial importance to the trucking industry.
Mexico's government relies on oil for more than a third of its income, and lower oil prices can force painful budget cuts, Reuters said. Transport Topics
Bankruptcy Court OKs Transit Group's Plan
Transit Group Inc. has received approved First Day Orders from the U.S. Bankruptcy Court for the Middle District of Florida, which ensures that the company will be able to conduct normal business operations.Transit Group announced Monday that it had filed voluntary petitions for restructuring under Chapter 11 of the Bankruptcy Act.
In a press release issued Wednesday, the Atlanta-based truckload carrier said its Land Transportation subsidiary, which governs relationships with trucking agents and brokers, is excluded from the bankruptcy filing.
By approving First Day Orders, the court is, in effect, authorizing the company to continue to manage its affairs on a normal course basis as it restructures. Transport Topics
(Click here for the full press release.)
