P.M. Executive Briefing - Feb. 15
This Afternoon's Headlines:
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Agency Plans to Tune up Rate System for Trucking
The Surface Transportation Board plans to curtail the one of the two antitrust immunities that the trucking industry has left – pricing based on classification of commodities. According to the agency, trucking companies need to cooperate with shippers more when shipping categories are assigned.National Industrial Transportation League director of policy Ed Rastatter called it "a big win for shippers," but National Classification Committee director Gene Foley said shippers have plenty of opportunity to participate in the appeal process and that they need to help more rather than fighting changes. Comments are due April 11 and will reviewed prior to a final decision.
Study Says Natural Gas Buses Have No Edge in Cleanliness
A recent study by a federal contractor that analyzes vehicle pollution found that certain hybrid diesel and electric buses emit as little particulate matter as buses fueled by compressed natural gas.While the diesel hybrids do give off more nitrogen oxide than natural-gas buses, natural-gas buses emit higher levels of the greenhouse gas carbon dioxide. The diesel-hybrid buses tested used pollution exhaust traps and a special low-sulfur fuel to bring emissions down. However, natural-gas vehicle advocates and environmentalists have criticized the study by arguing that the particulate matter that is emitted from the diesel hybrid is probably more toxic than that given off by NGVs.
Some studies, over which there is contention, also suggest that diesel particles could be carcinogenic. In addition, these groups point out that since the special low-sulfur fuel used in the test is not widely available, it would likely not be used by fleets, reducing the ability of diesel hybrids to achieve the low emissions seen in the test.
While 30 of the country's municipal bus agencies have implemented programs to buy only natural-gas fleets, New York City has been extremely reluctant to do so. It is embracing the new study by testing its own six hybrid buses and has ordered an additional 125.
The city's main sticking point is that while a natural-gas bus cost less than hybrid buses converting a city bus depot so that it can refuel a natural-gas fleet can run anywhere from $25 million to $40 million. What New York City eventually chooses to go with could have a big impact on the future of other cities' fleets, since New York's huge bus purchases greatly influence the bus market. New York Times (02/15/00) P. A29; Kennedy, Randy
Roadway Faces Second Discrimination Suit
Roadway Express has been sued by dockworker C.E. "Juice" Fleming Jr., who testified against Roadway in the 1996 racial discrimination trial that resulted in a $185,000 award for driver Roy Roberts, according to the Denver Rocky Mountain News.The lawsuit alleges the carrier "systematically retaliated" against him and other witnesses against Roadway in the trial, giving him menial tasks. It claims that when he was fired for violating a rule it was after managers "baited" him to do so – with the help of the union he was rehired and given a 10-day suspension – and that racist graffiti and nooses are often found at the terminal in Aurora, Colo. TruckingInfo.com (02/15/00)
International Reduces Order Backlog
Navistar's Chatham, Ontario, plant cut its International heavy-truck order backlog to 8,999 units Monday, down 22.3% in the previous month and down from 12,500 to 1,300 Jan. 4. Production of Class 8 units remains the same as October, at 130 a day, which is 9.2% higher than rated capacity. By the end of March, Navistar will respond to weak demand by reducing truck manufacturing and furloughing up to 500 of the plant's 2,200 hourly employees. Stark's News Service (02/15/00)Truckers' Work at OIA Project Might Resume
At least some independent truckers working for an Orlando International Airport construction site were to begin working again Tuesday following a three-day work stoppage focusing on the Miami brokerage C and A Trucking. The drivers said C and A did not respond to soaring diesel prices by changing the fees it charges truckers.Jose Casas of C and A went to Orlando Monday to meet with the truckers, but it was not known whether C and A made concessions or, if so, what concessions were made. Orlando Sentinel (02/15/00) P. B1; Smyth, Julie Carr
Navistar Profits Up 14.7%
Navistar International said it saw $70 million net income for the fiscal first-quarter, up 14.7%, on revenues of $2.2 billion, up 13%. Earnings per diluted share rose 19 cents from the year-earlier quarter to match a First Call/Thomson Financial consensus estimate of $1.10.The first-quarter earnings record was attributed by Chairman and CEO John Horne to steady material costs, higher productivity, and a further increase in OEM engine volume. He said supplying diesel engines to other manufacturers and a joint venture will make up for the decreased heavy-truck demand. The company shipped 32,600 heavy and medium trucks in the first quarter, up 2,700, with 71,600 diesel engines shipped to other manufacturers, up 23%. Reuters (02/15/00)
Shaheen Meets With Trucking and Fuel Representatives
In preparation for a Wednesday summit with Energy Secretary Bill Richardson regarding the high prices and shortages of diesel and heating fuel, New Hampshire Gov. Jeanne Shaheen discussed the issue with the trucking and fuel industry representatives Monday.Separately, Sen. Judd Gregg (R-N.H.) urged that Attorney General Janet Reno investigate the price spikes. Foster's Daily Democrat (Dover, N.H.) Online (02/15/00)
Ex-Chief of Trucking Firm Put on Home Detention
Willis E. Hoerler, who was president of the Footville, Wis., trucking firm A&H Inc., was given six months of electronically-monitored home detention, a $10,000 fine, and two years' probation for conspiring to falsify driving records to enable drivers to violate federal hours-of-service rules.On Thursday, former A&H employees Robert J. Hoerler, James M. Allen, and Roger R. Snider were given two years' probation for falsely indicating on driver logs that they were co-drivers. Milwaukee Journal Sentinel Online (02/14/00)
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