A.M. Executive Briefing - April 12
This Morning's Headlines:
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Intermodal Firms See Future in Consolidation
The fragmented intermodal industry is poised for consolidation, industry figures said Tuesday at the International Intermodal Expo. Larger intermodal marketing companies can better serve the consolidated railroad industry, and combined drayage firms can provide service in several locations and increase efficiency with computerized load-matching systems.Companies like WorldPoint Logistics, GST, Hub Group, and Pacer International have been snapping up smaller IMCs and third-party logistics providers, and experts say consolidation is happening throughout the business world. The trend is driven both by carrier consolidation and the increasingly complicated requirements of shippers.
Police Bust Heavy Equipment Theft Ring
Following an investigation into heavy-equipment thefts across South Carolina, four people have been arrested on various charges related to 12 North Charleston thefts. The stolen heavy equipment was allegedly sold in several states including South Carolina, according to Detective Candy Johnson of North Charleston Police.Arrested were Summerville residents William Kesl, 55; Christopher Allen Crosby, 27; and Shawn Avery Newell, 21; as well as North Charleston resident Shawn Clifford, 19.
The investigation by North Charleston police started in November and included several law enforcement agencies, including the State Law Enforcement Division and the FBI, which is continuing its probe. Associated Press (04/12/00)
Mack-Volvo Merger Talks Are Reported; But Analysts Doubt the Rumors
Analysts were doubtful Monday about a proposed alliance between Volvo and Mack Trucks parent company Renault Vehicules Industriels.According to analysts, different corporate cultures were a factor in the 1993 breakdown in talks on a planned merger of Renault and Volvo car and truck operations. But Volvo has sold its car operations to Ford Motor since then and reportedly has targeted an RVI takeover in its plans for growth following the failure of its planned Scania merger.
S&P Equity Group analyst Robert Friedman said that due to global overcapacity the truckmakers "have little pricing power and are vulnerable to changes in interest rates." Thus, it would be inadvisable to invest in either based on merger potential alone, he said. Morning Call (Allentown, Pa.) (04/11/00) P. A1; Shope, Dan
Cleanup of Spill to Cost in 6 Figures
Cox Petroleum Transportation faces a six-figure cleanup bill and possible further fines following a Sunday tanker wreck in Southern California that closed the Ventura Freeway for close to 15 hours.The accident spilled thousands of gallons of gasoline into the Pacific, killing fish and worms and changing the color of the blue-green algae, but it was contained before too many birds ate contaminated prey.
The California Highway Patrol will not likely recommend criminal charges in the accident, which the CHP believes occurred when trucker Mark Hurtado fell asleep while driving. The 43-year-old Bakersfield resident had been requested to move along by a highway patrol officer after stopping on the roadside to rest roughly four miles from the crash location. Los Angeles Times (04/11/00) P. 7B; Surman, Matt
New Health Research 'Vindicates' EPA
The American Lung Association said a review and new research by the nonprofit Health Effects Institute supports studies that found higher morbidity and mortality rates caused by fine particulate soot.The Environmental Protection Agency used the studies in its 1997 clean-air standards that would have clamped down on diesel engines and other fine particulate sources; the standards have been overturned in appeals court for unrelated reasons.
The HEI reviewed the studies in a compromise after industries questioned their results and said the studies were valid.
Meanwhile, new research from Johns Hopkins University researchers studied the effects of pollution in U.S. cities and found that increased particulate matter correlates with increased hospitalizations and premature fatalities. U.S. Newswire (04/11/00)
Spring Weight Restrictions Lifted on State Highways Earlier than Normal
The Wisconsin Department of Transportation is ending spring weight restrictions about three weeks early due to mild weather this year. Class II Road Restrictions were lifted Monday morning south of Wisconsin 64, while the limits for roads north of Wisconsin 64 will be lifted April 17. M2 Presswire (04/11/00)Chirac Keen on Trucks Link
French President Jacques Chirac, visiting Stockholm on official business Monday, endorsed a wide-ranging truck alliance between Renault and Volvo, saying he believes "it is desirable that links be created between big Swedish and French companies." A deal could come prior to the annual Volvo general meeting two weeks from now, sources say. Financial Times (04/11/00) P. 22; Owen, David© copyright 2000 INFORMATION, INC. Terms of Service
