P.M. Executive Briefing - Aug. 9

Oil Prices Break $30 Mark Amid Conflicting Inventory Reports

U.S. inventories dropped 2.1 million barrels to 282.6 million, API said, and distillate fuel inventories fell to levels below those of last year as the heating season nears.

The U.S. Department of Energy released its own crude oil inventory estimates Wednesday, putting the level slightly higher at 285.4 million. A St. Louis researcher told Bloomberg the DOE report was probably more realistic, but still called the decline in distillate inventories "very scary." Transport Topics

Western Wildfires Hamper Freight Moves

Interstate 15 in Montana was shut down briefly on Tuesday, but the main problems were on regional roads such as U.S. 93 and U.S. 12 near the stateline of Montana and Idaho, which were closed or subject to delays this week.

The fires caused other problems than simple road closures, however, including interrupted deliveries to customers, disruption of the region's important wood shipments, and low visibility for drivers plowing through heavy smoke.

Robert Olsen, president of Fortman Truck Line in Hamilton, Mont., said he had to hold on to some freight for more than a week because it was bound for customers in rural areas where there had been evacuations.

Paul W. Sudmeier, president of the Idaho Motor Transport Association, said roads near the flames are mostly rural but carry trucks hauling forest products and grain.

And at Jim Palmer Trucking in Missoula, Mont., safety director David Zohner said, "the visibility here is terrible because of the smoke. We've got fires burning on two sides of us now." Zohner said his company's trucks stay on large highways, so drivers have not run into any problems on the road other than the smoke. Jeff Johnson, Transport Topics

Truck Accidents Kill Three This Week In Tennessee

Clifford Engum of Idaho pleaded innocent Tuesday to second degree murder and other felony charges in the death of Tennessee State Trooper Lynn Ross. On July 26 Ross' patrol car was struck from behind by Engum's tractor-trailer while driving on Interstate 40. Police reports said Engum was speeding in a construction zone and may have fallen asleep at the wheel, according to the article.

Ross' sister, Vernell Thomas, filed a wrongful death lawsuit against Engum and his employer, Eck Miller Transportation Corp. of Rockport, Ind., The Jackson Sun reported Wednesday. The suit seeks $20 million in damages.

The other fatal accident was on Sunday in Pulaski, Tenn. Two people were killed when a tractor-trailer veered slightly out of the driving lane and struck two people refueling a vehicle on the side of the road, the AP reported. A state trooper had pulled in behind and turned on his lights, but was not injured, according to the article. Transport Topics

Daylight Transport Will Raise Rates Next Month

American Freightways, another LTL carrier, announced a rate increase Tuesday of 5.5%, effective next month.

Many major carriers, including Overnite, Yellow, CF and Con-Way (LTL divisions) have raised rates or will put increases into effect in upcoming weeks. The rate increases have ranged between 5 and 6% for these carriers. Transport Topics

Jevic Joins Rate Hike Trend

Floor minimum charges will be increased by a flat amount of $2, according to a letter sent to customers Aug 1. Partial truckload rates will be increased 2% on flat charges or .02 cents per mile on mileage based rates.

The Delanco, N.J.-based carrier offers partial truckload service and LTL service without using the traditional breakbulk model. Jevic joins a number of LTL carriers to announce rate increases recently, including Yellow, Consolidated Freightways, American Freightways and Overnite. Transport Topics

CD&L Returns to Profitability In Second Quarter

Operating income for the quarter was $1 million and net income was $128,000, or 2 cents per share. Revenues also increased slightly, from $55.8 million last year to $58.8 million in 2000.

CD&L, Inc., is a same-day ground and air delivery service serving 24 states and the District of Columbia. Transport Topics

Houston Port Registers 10 Percent Container Volume Increase

Houston handles approximately one-third of the container traffic through United States Gulf ports each year and continues to increase in volume and market share, the article said.

Maersk Sealand recently moved into a new site at the port and accounts for almost a third of Houston's volume, according to the article. Transport Topics

Yellow Will Use XcelleNet's Remote Ware To Exchange Data With Sales Force

Using Remote Ware, Yellow can upgrade software and information and update virus checks for its sales force, as well as receive data and figures in return. Transport Topics

Bearing Distributors, Inc., Will Use Kewill For Multi-Modal Management

Using Kewill's Ship Saver, BDI will be able to automate operations such as tracking, rating and billing for small package and less-than-truckload shipping.

BDI is a bearings and power transmission distribution company serving North America, Europe and Asia. Transport Topics