P.M. Executive Briefing - Oct. 11
This Afternoons's Headlines:
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Bob Gernon Named VP Logistics Operations For Pacer's Intermodal Division
The transportation and logistics firm Pacer International has appointed Bob Gernon as the intermodal division's vice president for logistics operations. Gernon has spent three decades in the railroad business and has been an intermodal consultant to such clients as CSX Transportation, Ferrocarriles Nacionales de Mexico, and the Chinese Ministry of Railroads. He has also been director of international operations for Atchison, Topeka and Santa Fe Railway Co.'s Intermodal Business unit. Business Wire (10/11/99)
Truck License Scam Detected in 1996
When Illinois Gov. George Ryan was secretary of state, his staffers heard allegations of bribery in exchange for drivers licenses at the site in Elk Grove Village in 1996 at the earliest but could not find adequate proof for punishment or prosecution, Ryan's office says.However, Elk Grove Village's truck-driver licensing employees were shifted to other licensing sites that did not license truckers.
Ryan spokesman Dennis Culloton says the federal prosecutors were able to uncover enough evidence because their ability to investigate is greater.
Onetime inspector general's office investigator Russell Sonneveld has alleged that in 1994 his supervisor did not allow a probe into whether Ricardo Guzman, the trucker in a crash near Milwaukee that led to the deaths of six children, used unlawful means to obtain his CDL.
Ryan has said Sonneveld's story is untrue. Chicago Sun-Times Online (10/11/99) ; Simpson, Cam
New Book Documents 70-Year History of CNF Transportation
The new book "Never Stand Still" by historians Dr. Kenneth D. Durr and Dr. Philip L. Cantelon chronicles the rise of CNF Transportation over the past seven decades. Durr and Cantelon found CNF's history interesting because the company started out in the western United States, with tough terrain and sparse population centers.The book describes how the company has changed over time to allow expansion. Readers of the book can also learn a great deal about the evolution of the transportation industry over time, as CNF's story parallels that of the industry at large. Business Wire (10/11/99)
Distribution Industry Benefits from Consolidations
Many companies that are combining their distribution operations into central hubs are doing so around Memphis, which has good multimodal transportation infrastructure and is centrally located.Logistics consultant Robert Milner says the drive toward consolidation in distribution was due to cost-cutting during the early 1990s recession, during which company officials changed setups that had been in place before trucking deregulation, when truckload rates were still a great deal lower than LTL rates.
Fulfillment outfits have been attracted to Memphis by FedEx's presence there. Many companies have begun to put offices and distribution operations in the same location.
Memphis has roughly 150 trucking terminals, since the city is a night's drive from many destinations, as well as access to the five big railroads and the number-two Mississippi River inland port. Memphis Business Journal Online (10/11/99) ; Bechard, Theresa
Leuliette Quits Detroit Diesel
Timothy Leuliette is leaving his positions as vice chairman of Detroit Diesel Corp. and chief operating officer of Penske Corp. and is moving to Heartland Industrial Partners, a firm being started by onetime Office of Management and Budget director David Stockman.In other Detroit Diesel news, Chip McClure is Detroit Diesel's new CEO and will remain the corporation's president. Automotive News (10/11/99) No. 5842; P. 2
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