News Briefs - Aug. 5
The Latest Headlines:
- Allied Holdings Posts Loss in 2Q
- Jobless Claims Fall by 11,000 in Latest Week
- Goodyear Earns $25 Million on Record Revenues
- OPEC Says It's Ready With Spare Oil Capacity
- Net Income Rises at Stonepath
- New CEO Named at Ritchie Bros. Auctioneers
- Jobless Claims Fall by 11,000 in Latest Week
Allied Holdings Posts Loss in 2Q
Allied Holdings Inc. said Thursday its net loss for the second quarter was $3.8 million or 43 cents per share, compared with a net income of $3.4 million or 39 cents a year earlier.Revenues for the quarter were $236.6 million, up from $230.1 million in the second quarter of 2003. However, expenses increased as well from higher fuel costs, higher benefits costs for union employees and higher repair costs associated with some terminal operations, Allied said.
The company said the net loss was due mainly to reduced investment income earned on collateral held by Allied's captive insurance company, currency exchange losses and an increase in self-insurance reserves.
Allied Holdings is ranked No. 22 on the Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
Jobless Claims Fall by 11,000 in Latest Week
The number of Americans filing new claims for unemployment benefits declined by 11,000 to 336,000 in the week ended July 31, the lowest level in a month, the Labor Department reported Thursday.The level of claims last week was the lowest since 309,000 in the week ended July 3. Filings have averaged 345,387 this year, down from 402,000 in 2003.
The four-week moving average of claims, which irons out weekly volatility, rose to 343,500 from 336,750 in the previous week.
A Labor Department spokesman said the drop in new claims was not due to special factors and likely reflected an end to the volatility normally experienced in July, Reuters reported.
The number of people continuing to collect state jobless benefits declined by 35,000 to 2.911 million in the week that ended July 24. The statistics are reported with a one-week lag to initial claims. Transport Topics
Goodyear Earns $25 Million on Record Revenues
Tire maker Goodyear Tire & Rubber Co. said its second-quarter net income was $25.1 million or 14 cents per share, compared with a net loss of $53 million or 30 cents a year earlier.Revenue rose 20% to $4.5 billion, a record for any quarter, Goodyear said. The company said it sold a total of 55 million tires, up from 52.8 million a year earlier, as sales in North America increased 1.6%.
Goodyear said all of its business segments had improved second-quarter results, including sales of its commercial truck tires. Transport Topics
OPEC Says It's Ready With Spare Oil Capacity
OPEC President Purnomo Yusgiantoro said the oil cartel is concerned about high prices and is ready to use its spare output capacity to ensure adequate supply, Bloomberg reported.He said the cartel holds spare production capacity of 1 million to 1.5 million barrels a day, which would allow for an immediate additional increase in production, Bloomberg reported.
OPEC members plan to increase production capacity by 1 million barrels a day near the end of the year and in 2005, Yusgiantoro said. Transport Topics
Net Income Rises at Stonepath
Logistics provider Stonepath Group said late Wednesday its net income for the second quarter was $219,000 or 1 cent per share, compared $129,000 or less than 1 cent per share a year earlier.Revenues rose to $87.2 million from $46.3 million in the second quarter in 2003, the company said in a statement. Transport Topics
New CEO Named at Ritchie Bros. Auctioneers
Ritchie Bros. Auctioneers Inc. said that Peter Blake would become the company's new chief executive officer on Nov. 1.Blake, who is currently chief financial officer, would replace David Ritchie, who planned to retire Oct. 31, but would remain as chairman, the company said.
The Vancouver, British Columbia-based company conducts auctions of transportation, construction and other industrial equipment.
The company also said its net income for the second quarter was $15.2 million or 44 cents per share, compared with $12.9 million or 38 cents a year earlier. Transport Topics
