LTL

Effective September 6, ODFL will implement a GRI of roughly 4.9 percent.

In early 2009, the United States Postal Service (USPS) stated its intent in a filing with the Postal Regulatory Commission (PRC) to launch a market test to provide service akin to a less-than-truckload (LTL) network. But in a filing submitted to the PRC on August 19, the USPS said it intends to shutter this initiative—it entitled “Collaborative Logistics”—on September 19.

Earlier this week, less-than-truckload (LTL) transportation services provider Old Dominion Freight Line (ODFL) broke ground on a service center expansion at its Indianapolis-based regional hub.

The much-beleaguered less-than-truckload (LTL) sector, which has been the slowest part of the trucking industry to recover from the Great Recession, is showing signs of life. Because of that, LTL shippers should be bracing themselves for higher rates and tighter capacity as LTL operators are showing greater pricing discipline amid the toughest government oversight since trucking was economically deregulated in 1980.

Second quarter earnings for Echo Global Logistics, a non-asset based freight brokerage company and a provider of technology-enabled transportation and supply chain management services, were strong, with total revenue up 37.9 percent at $151.5 million.

With the recent news of rate increases being implemented by large less-than-truckload companies come various reasons behind these increases. At the top of the list for many carriers are equipment expenses and the costs related to hiring and training drivers. LM Group News Editor Jeff Berman recently had the opportunity to chat with A. Duie Pyle President of Steve O’Kane about these factors.

There is new optimism, fresh capital and a familiar face at the wheel of financially ailing LTL giant YRC Worldwide as it hopes to end a five-year slump in which it has lost in excess of $2.6 billion, and tries to shed its infamous title of biggest money-loser in the history of trucking.

The company yesterday rolled out an average GRI of 6.9 percent which will cover non-contractual shipments in the United States, Canada, and Mexico, with increases varying by lane and shipment type, according to company officials.

菲dEx subsidiary FedEx Trade Networks, the company’s global trade arm, is taking steps to augment its ocean freight forwarding services in the form of a new Ocean Choices portfolio the company introduced today.

It appears to be the season for less-than-truckload rate hikes, with Con-way Freight, the LTL subsidiary of freight transportation and logistics services provider Con-way Inc., announcing it is raising its rates by 6.9 percent, effective August 1.

YRC Worldwide has obtained commitments for a three-year, $400 million asset-based loan (ABL) facility that will replace its current asset-backed securitization (ABS) facility.

ABF received a dose of good news earlier today, when the United States Court of Appeals for the Eighth District changed course on a previous dismissal made by a lower court regarding ABF’s lawsuit against the International Brotherhood of Teamsters, YRC, Inc., Trucking Management, Inc. and other related entities.

Following the lead of UPS Freight, ABF Freight System announced today it will raise its rates by roughly 6.9 percent, effective July 25.

Crowley Maritime Corporation, a provider of ocean cargo transportation services, recently announced it has acquired the business and assets of Puerto Rico Freight Systems (PRFS), a provider of freight consolidation and less-than-container load (LCL) transportation services in the Caribbean.

The cost of the U.S. business logistics system jumped up 10.4 percent in 2010, making up more than half of the preceding year’s decline. But don’t expect gains like this to continue as the economy begins to slow and all four transportation modes scramble to make adjustments during this period of unprecedented volatility.