P.M. Executive Briefing - Dec. 5
ul>
Greenspan Sees Economy Slowing
Federal Reserve Chairman Alan Greenspan acknowledged Tuesday that the U.S. economy is slowing a lot, in remarks that were the strongest indication so far that the central bank would cut interest rates if needed to head off a downturn, the Associated Press reported.As a signal that the Fed was moving off its long bias toward tightening credit to fight inflation, and was now starting to lean toward eventual rate cuts, his remarks spurred a huge jump in stock prices on Wall Street.
Greenspan's speech would be a welcome sign for the trucking industry, which has seen Fed rate hikes boost the cost of debt payments on freight-hauling equipment while slowing the economy enough to weaken truck shipments of a broad range of goods.
Separately, a further indication that the economy is weakening came from a Tuesday Commerce Department report that overall orders for goods from U.S. factories fell 3.3% in October. It was the first decline in three months, and was larger than the 3.1% predicted by analysts. Transport Topics
U.S. Xpress Resuming Delivery of DTSI's Freight
Forward Air Corp. (FWRD) announced Tuesday that it has received assurances from U.S. Xpress Enterprises, Inc. (XPRSA) it is resuming movement of customer freight from Dedicated Transportation Services Inc.
Until this morning, U.S. Xpress had halted the delivery of approximately 40 truckloads of freight belonging to former DTSI customers, Forward said in a statement.
Forward Air purchased the assets of DTSI, and the companies have been openly battling over DTSI's debts. Transport Topics
Firestone Nixes Bankruptcy Speculation
Firestone, which makes tires for heavy as well as light trucks, said it would not go bankrupt, the Associated Press reported Tuesday.That statement came from the president of parent company Bridgestone Corp. during a news conference. The company has recalled more than 6.5 million tires, mainly on sport utility vehicles, due to tread separation problems.
The news conference was held in response to statements by attorneys suing that company, expressing fears that it might seek bankruptcy protection due to the damage claims, AP said. Transport Topics
NEXIQ Names New President/COO
NEXIQ Technologies, Inc., which provides wireless technology for trucks, named Jack Schang as president and chief operating officer, the company said Tuesday.Schang will manage technology development for commercial vehicles.
The Manchester, N.H.-based company implements remote tracking services for trucking companies with its wireless technology. Transport Topics
GATX Logistics Hires New President/CEO
GATX Logistics has hired Frank DiMaria as president and chief executive officer, the company announced Tuesday. He will manage the technology unit eLogistics that coordinates store merchandise returns.The company, based in Jacksonville, Fla., provides logistics for receiving, storing and delivery of merchandise returns. Transport Topics
Hungarian Supplier to Dana, Deere, Cuts Axle Workforce
The downturn in the U.S. truck market is being felt overseas as Raba, a Hungarian parts maker that supplies U.S. component manufacturers such as Dana Corp. (DCN), is cutting two-thirds of the jobs at its axle division, Bloomberg News reported Tuesday.U.S. customers that buy most of its parts, such as Dana and tractor maker Deere & Co. (DE), have been granted price cuts, according to the news service.
Raba alone accounts for roughly 20% of Hungary's exports to the United States, where sales were roughly flat in the first three quarters compared with the same period last year, Bloomberg said. The downturn is due in large part to a slumping North American truck market.
A computer modernization may lead to further staff cuts, Bloomberg reported. Transport Topics
Arnold Logistics Gets Distribution Contract in Columbus
Arnold Logistics has been awarded a three-year contract to manage warehousing and distributing services for a client in Columbus, Ohio.Arnold will provide distribution center management and custom packaging services, including development of promotional displays. The operation is housed in a 130,000 square-foot leased facility, and employs about 20 people.
Arnold Logistics is a unit of Arnold Industries Inc. (AIND), which also owns New Penn Motor Express, a next-day, less-than-truckload carrier, and Arnold Transportation Services, an irregular route and dedicated truckload carrier. Transport Topics
Ethyl To Raise Motor Oil Additive Prices
Ethyl Corp. will increase prices on motor oil additives by 15% this week, Reuters reported. The additives help enhance motor oil used for both diesel and gasoline engines.The story said the company has increased prices to offset low supplies Transport Topics
Headlines From Today's A.M. Briefing
- National Diesel Price Average Drops
- U.S. Expected to Appeal Nafta Truck Ruling
- Navistar Reports Decreased 4Q Earnings
- U.S. Xpress Claims Forward Air Trying to Avoid Payment
- Postal Governors OK 4.6% Rate Hike
- Yellow Freight Expands Delivery Service in Northeast, Canada
- Canada's Central Bank Sees Inflation Risk
- Chrysler to Reduce Production at Ontario Minivan Plant
- I-5 Bridge in Oregon Undergoes Repairs
form method="post" action="http://lists.truckline.com/scripts/submany.pl">
| ||||
