A.M. Executive Briefing - Oct. 10
ul>
DaimlerChrysler Makes Progress on Acquiring Detroit Diesel
DaimlerChrysler's (DCX) continued to move forward in its acquisition of heavy-truck engine maker Detroit Diesel Corp. (DDC), completing its cash tender offer for that company and also earning European Union approval for the purchase. Daimler of course is the parent of Freightliner, a major manufacturer of commercial trucks.The cash tender offer, for $23 per share, expired Monday at 1 p.m. EDT, the company said. Approximately 17,508,629 shares of Detroit Diesel common stock were validly tendered, giving DaimlerChrysler 97.1% of the company's stock.
Bloomberg reported early Tuesday that the European Union had given its approval to DaimlerChrysler for the Detroit Diesel purchase. Transport Topics
Bridgestone/Firestone Said to Replace Ono With Lampe
In the wake of the 6.5 million tire recall that has rocked Bridgestone/Firestone, the tire maker is expected to name American John Lampe as its chief executive officer and chairman Tuesday, replacing Masatoshi Ono, the Wall Street Journal reports.In addition, one of the company's three Japanese executives - Isao Togashi, senior vice president for tire production and production technology; Shigeo Watanabe, senior vice president for research and development; or Hiroshi Kanai, senior vice president for administration, also serving as chief financial officer - will be moved into the No. 2 executive spot as president and chief operating officer, the article said.
The selection of Lampe, who has a strong marketing and sales background, likely means Bridgestone/Firestone executives are more concerned with the company's image after the major recall than the potential language barriers they had previously expressed concern over, the Journal suggested. Transport Topics
Wabash Issues 3Q, 4Q Warnings
Wabash National Corp. (WNC), makers of Wabash and Fruehauf trailers, said Monday that third- and fourth-quarter earnings will likely fall below what the company believes analysts' estimates are.While the company did not specify what it expects earnings per share will be for those quarters, it said those figures will fall below analysts' estimates of 32 cents per share for each quarter.
Wabash Chairman, President and Chief Executive Officer Jerry Ehrlich attributed the anticipated lower earnings to a general slowing in freight tonnage, higher interest rates and high fuel prices, factors that are all impacting the overall transportation industry. Transport Topics
Korean Air Cargo Opens JFK Terminal
Korean Air Cargo, the world's second-largest commercial cargo carrier in terms of scheduled freight ton-kilometers, opens a major new terminal at John F. Kennedy International Airport in New York on Tuesday, the Journal of Commerce Online reported.The $102 million, 20-acre terminal will double Korean Air Cargo's capacity there to more than 200,000 tons per year, and later will also be used by Air France and Aeromexpress, Korean Air Cargo's partners in the SkyTeam Alliance, the article said.
Korean Air Cargo in 1999 carried 5.86 billion FTKs (an industry term that denotes each ton of cargo flown one kilometer), second only to Lufthansa Cargo's 6.6 billion FTKs, the Journal noted. Transport Topics
N.C. Carrier W&L Motor Lines Closes
W&L Motor Lines of Conover, N.C. will close its doors Oct. 20, leaving 340 people unemployed, the Associated Press reports.The company did not give a reason for the closing, and said KTL Truck Lines of Largo, Fla. will take over its facility, AP added.
&L is a truckload carrier using mainly vans and refrigerated trailers and hauling furniture and meat products.
hile losing a job is not good news, AP noted that W&L's employees may be luckier than most in that Catawba County has several other transportation companies and businesses running their own trucks, a strong economy and 2.2% unemployment rate, all of which should help them find jobs quickly. Transport Topics
TRW Recalls Seat Belts in Ford, GM Vehicles
Concerned with the parts' ability to restrain passengers in a crash, auto parts maker TRW Inc. (TRW) has recalled seat belt latches in more than 300,000 Ford (F) and General Motors (GM) vehicles, the Associated Press reports.Among the affected vehicles are several of the companies' sport-utility vehicles, minivans and pickups, including:
ul>
A TRW spokesman said the buckle assemblies were improperly heat-treated, which makes them weaker than federal rules allow. However, both Ford and GM said in the article that no injuries have been directly linked to these seat belts. Transport Topics
UPS Logistics Purchases Livingston
UPS Logistics Group has purchased Livingston Inc. and Livingston Healthcare Services, the Journal of Commerce Online reported. This will give UPS Logistics an additional six distribution centers in the United States and 18 more in Canada, the JOC said. The Livingston centers focus on supply chain management in the high-tech, consumer products and health-care sectors, while the healthcare facilities specialize in biotechnology, medical device-related logistics and health-care supplies, the Journal said. Transport Topics
Aussie Truckers Protest Outside Parliament
Calling for higher freight rates, an investigation into fuel pricing and fuel price cuts, about 20 Australian truckers parked trucks outside of the parliament in Canberra Monday, the Associated Press reported.The drivers say they are on the road to financial ruin and have to run more freight to meet rising fuel costs. Australian Prime Minister John Howard said, however, that prices are controlled by also-rising oil prices and therefore are out of his control, AP said.
Worldwide, few reports of trucker protests over fuel prices are coming in this week, after protests raged in Europe, Latin America and Asia during September. Transport Topics
Gordon Named Interpool CFO
Mitchell Gordon has been appointed executive vice president and chief financial officer of Interpool Inc., (IPX) the company announced Tuesday.Interpool is a supplier of equipment and services to the transportation industry. The company also leases intermodal container chassis and cargo containers to customers in the United States and worldwide.
Interpool Chairman and Chief Executive Officer Martin Tuchman said Gordon had already been "very actively involved in the growth of Interpool's business," and that he has "extensive experience in corporate finance and mergers and acquisitions within the transportation industry." Transport Topics
TNT Launches Wireless Tracking
TNT will launch its new Wireless Application Protocol (WAP) facility Tuesday, the company announced. TNT, a subsidiary of TNT Post Group (TP), provides express distribution, logistics and international mail services to customers in more than 200 countries. The company said the WAP service will allow its customers to track their international consignments using wireless devices or WAP-enabled mobile phones. It provides data on shipment status, location and pickup schedule. Transport Topics
Headlines From Yesterday's P.M. Briefing
- Three State Trucking Groups Join Cleaner Diesel Push
- U.S. Average Gasoline Prices Fall
- New Diesel Engine, Power Generator Offered
- G.I. Trucking Expands Idaho Operations
- L.A. Strikes Extend Beyond Transit Workers
- As Temperatures Drop, Oil Prices Rise
- Maquiladoras Re-Invest $800 Million Outside of Mexico
- DaimlerChrysler Creates E-Commerce Subsidiary
| ||||
