News Briefs - Dec. 9
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The Latest Headlines:
- Shareholders Approve Yellow's Purchase of Roadway
- October Wholesale Inventories Rise 0.5%
- House Passes $373 Billion Spending Bill
- Overnite Cuts Transit Times From Laredo, Texas
- Report: Daimler to Raise Mitsubishi Fuso Stake
- White House Urges Overhaul of Postal Service
- ATRI, ATA Publish Idling Rules Guide
- October Wholesale Inventories Rise 0.5%
Shareholders Approve Yellow's Purchase of Roadway
Shareholders of less-than-truckload firms Yellow Corp. and Roadway Corp. approved Yellow's cash-and-stock acquisition of its rival that had been valued at $966 million, the companies said Tuesday.he transaction was expected to close on Thursday and would result in creation of Yellow Roadway Corp., the Associated Press reported. Yellow stockholders voted 21.7 million to 252,323 in favor of the merger.
Bill Zollars, Yellow's chairman, said the deal would give 38% of Yellow stock to Roadway shareholders, who would receive 1.752 shares of Yellow for each share they own of Roadway. Transport Topics
October Wholesale Inventories Rise 0.5%
The Commerce Department said Tuesday wholesale inventories rose 0.5% to $291.2 billion in October, the biggest increase this year, while sales increased 2%, the most since May 1999.When inventories increase, it usually means trucking companies received additional demand to deliver goods to stores.
Commerce said this was the first back-to-back increase in inventories since February-March. Stockpiles had increased 0.3% in September.
Wholesalers have a record-low 1.18 months' supply of goods in stock at the current sales pace, reinforcing expectations companies will have to keep building inventories to meet increased purchases, Bloomberg reported.
Wholesalers account for about one-fourth of all business inventories. Retailers and factories account for the rest. Transport Topics
House Passes $373 Billion Spending Bill
The House on Monday voted 242-176 to approve a $373 billion year-end spending bill, but the Senate may delay its vote until January, the Associated Press reported.The bill includes $45 billion for highway, aviation and mass transit projects that comes from transportation taxes, such as the federal levy on gasoline, AP said.
The package combines seven spending bills due when the government's budget year began Oct. 1. Transport Topics
Overnite Cuts Transit Times From Laredo, Texas
Less-than-truckload firm Overnite Transportation Co. said late Monday it had cut as much as two days off its transit times from Laredo, Texas.The company said in a release it added 55 lanes to its three-day Laredo umbrella including Pittsburgh, Detroit, Cleveland and Richmond, Va.
Overnite is ranked No. 18 on the 2003 Transport Topics 100 list of the largest U.S. and Canadian trucking companies. Transport Topics
Report: Daimler to Raise Mitsubishi Fuso Stake
DaimlerChrysler AG plans buy more shares of Mitsubishi Fuso Truck & Bus Corp., Bloomberg reported, citing a Japanese newspaper.Nihon Keizai reported that Daimler would raise its stake in Fuso to 65% from 43% while other Mitsubishi Motors units buy 20%.
DaimlerChrysler's investment would help Mitsubishi raise capital to develop new models, while it struggles to repay debt, Bloomberg said. Transport Topics
White House Urges Overhaul of Postal Service
The Bush administration urged Congress Monday to approve wide-ranging changes in the operations of the U.S. Postal Service, the Associated Press reported.The administration wants the Postal Service's governing body and management have the authority to reduce costs, set rates and adjust key aspects of its business in order to meet its obligations to customers in a dynamic marketplace, AP said.
Bush set forth other general principles for congressional action, including postal self-sufficiency and continued operation of universal service. Transport Topics
ATRI, ATA Publish Idling Rules Guide
The American Transportation Research Institute announced last week it had produced a guide for truckers to various state idling limits, in conjunction with the environmental affairs department of American Trucking Associations.“The summary identifies 23 state, district, county and city regulations that establish idle limits for commercial vehicles,” ATRI said in a Dec. 1 statement. “Maximum idling limits and fines are listed, as well as specific exemptions.”
ATRI said that it had identified idling regulations in Arizona, Colorado, Connecticut, Georgia, Hawaii, Illinois, Massachusetts, Maryland, Minnesota, Missouri, Nevada, New Hampshire, New Jersey, New York, Pennsylvania, Texas, Utah, Virginia and the District of Columbia.
“This can be an excellent resource for motor carriers and truck drivers operating in these states,” said Rebecca Brewster, ATRI’s president.
The free guide is available at www.atri-online.org. Transport Topics
This story appeared in the Dec. 8 print edition of Transport Topics.
