A.M. Executive Briefing - Mar. 21
This Morning's Headlines:
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Carriers Appeal STB's Decision
The Surface Transportation Board's Friday decision to impose a 15-month moratorium on rail mergers has been appealed in federal court by Burlington Northern Santa Fe and Canadian National Railway, which want a prompt review as well as a stay that would compel STB acceptance of the two railroads' merger application.CN President and CEO Paul M. Tellier said the board is "protecting competitors, not rail competition" by using other railroads' service problems as a reason to block a merger by "the two most efficient railroads in North America."
The Western Coal Traffic League will appeal the ruling, raising the issue of whether STB has the authority to prohibit mergers, and the appeal may be joined by other shipper organizations. Journal of Commerce (03/21/00) P. 1; Kaufman, Lawrence H.
Small Stock Focus: Celadon Group
TruckersCo-op.com, a unit of Celadon Group, inked deals with Qualcomm and Pennzoil-Quaker State, sending Celadon's stock up almost 30% to 26.875. TruckersCo-op.com will offer OmniTracs and TruckMail to e-commerce members of Qualcomm and will exclusively offer oils and lubricants from Pennzoil, which will not sell products through any other online co-op venture serving heavy and medium trucking. Wall Street Journal (03/21/00) P. C11; Bauman, LarryLTL Carrier Silver Eagle Closes its Doors
Silver Eagle, a Portland, Ore., LTL carrier that has been in operation since 1930, is shutting down due to increased labor and fuel costs, computer problems, and other factors. The shutdown will not affect trailer manufacturer Silver Eagle Manufacturing. The carrier's more than $1 million in debt will be paid through asset sales in the coming months. TruckingInfo.com (03/21/00)PennDOT Denies DAC Access to Driving Records
DAC Services this week will attempt to convince the Pennsylvania Transportation Department to allow the company to access driving records, which have been closed off to DAC after two carriers that purchased records from the company sold them online in violation of Pennsylvania law.ChoicePoint Services also had its contract with the department terminated recently because it was allowing insurers to get driving records online, which could affect the records' security. TruckingInfo.com (03/21/00)
Western Star Trucks - Shutdown at Kelowna Facility
Western Star Trucks is closing its Kelowna, British Columbia, truck plant for two weeks at the beginning of next month due to a weaker North American market for Class 8 trucks and high inventory at dealerships. Canada NewsWire (03/20/00)Idaho Legislative Log
A bill to create yearly registration fees to take the place of the weight-distance tax has been introduced in the Idaho Senate. SB1577 would also fund a settlement with interstate truck drivers who have filed a damage claim. Associated Press (03/20/00)© copyright 2000 INFORMATION, INC. Terms of Service
