Friday, December 23, 2011


A Message from Jim Hoffa, General President

General Secretary-Treasurer Tom Keegel and I would like to wish a happy holiday season to our Teamster brothers and sisters throughout North America.

During these difficult economic times, Teamsters continued to work hard, negotiate great contracts and organize thousands of new Teamsters. I’m confident 2012 has great things in store for us, but it’s not going to be an easy year. There are still plenty of lawmakers at the state and national level that want to eliminate unions—some of them are even running for president.

This year started with a bang. As a new wave of conservative lawmakers took office, they wasted no time attempting to gut the hard-earned benefits and rights of union members.

At every turn, Teamsters stood strong. We stood up to Gov. Scott Walker in Wisconsin and Ohio’s Senate Bill 5, we stood up for Occupy Wall Street and we kept pressure on Congress to curb the excesses of Wall Street.

In 2012, we may have to work even harder.

I know the Teamsters Union and you, our members, are ready for the fight. We are proud to stand with you as we fight for fair wages, solid benefits, a safe work environment, a secure retirement and social justice. At this time of year, when many of us spend the holidays with loved ones, we realize just how important our struggle is.

On behalf of the General Executive Board, we wish Teamsters, their families and workers everywhere a warm holiday season and a 2012 filled with health, success and justice.

In solidarity,

Jim Hoffa, General President

New Rule Bans Use Of Hand-Held Mobile Phones While Driving

The Federal Motor Carrier Safety Administration has issued a final rule that essentially bans the use of hand-held mobile telephones while operating a commercial motor vehicle beginning December 23.

Read the fact sheet here.


Official Statement From General President James Hoffa

The following is the official statement from Teamsters General President James P. Hoffa about the Federal Motor Carrier Safety Administration’s final hours of service rule for commercial motor vehicle drivers:

“We said all along that an hours of service rule has to protect highway safety and our truck drivers’ health. We are reviewing the new rule, and in the coming weeks we will meet and discuss it with our allies and, if necessary, determine our next course of action.”

Thursday, December 22, 2011

U.S. Department of Transportation Takes Action to Ensure Truck Driver Rest Time and Improve Safety Behind the Wheel

U.S. Transportation Secretary Ray LaHood today announced a final rule that employs the latest research in driver fatigue to make sure truck drivers can get the rest they need to operate safely when on the road. The new rule by the U.S. Department of Transportation's Federal Motor Carrier Safety Administration (FMCSA) revises the hours-of-service (HOS) safety requirements for commercial truck drivers.

"Trucking is a difficult job, and a big rig can be deadly when a driver is tired and overworked," said Transportation Secretary Ray LaHood. "This final rule will help prevent fatigue-related truck crashes and save lives. Truck drivers deserve a work environment that allows them to perform their jobs safely."

As part of the HOS rulemaking process, FMCSA held six public listening sessions across the country and encouraged safety advocates, drivers, truck company owners, law enforcement and the public to share their input on HOS requirements. The listening sessions were live webcast on the FMCSA Web site, allowing a broad cross-section of individuals to participate in the development of this safety-critical rule.

"This final rule is the culmination of the most extensive and transparent public outreach effort in our agency's history," said FMCSA Administrator Anne S. Ferro. "With robust input from all areas of the trucking community, coupled with the latest scientific research, we carefully crafted a rule acknowledging that when truckers are rested, alert and focused on safety, it makes our roadways safer."

FMCSA's new HOS final rule reduces by 12 hours the maximum number of hours a truck driver can work within a week. Under the old rule, truck drivers could work on average up to 82 hours within a seven-day period. The new HOS final rule limits a driver's work week to 70 hours.

In addition, truck drivers cannot drive after working eight hours without first taking a break of at least 30 minutes. Drivers can take the 30-minute break whenever they need rest during the eight-hour window.

The final rule retains the current 11-hour daily driving limit. FMCSA will continue to conduct data analysis and research to further examine any risks associated with the 11 hours of driving time.

The rule requires truck drivers who maximize their weekly work hours to take at least two nights' rest when their 24-hour body clock demands sleep the most - from 1:00 a.m. to 5:00 a.m. This rest requirement is part of the rule's "34-hour restart" provision that allows drivers to restart the clock on their work week by taking at least 34 consecutive hours off-duty. The final rule allows drivers to use the restart provision only once during a seven-day period.

Companies and drivers that commit egregious violations of the rule could face the maximum penalties for each offense. Trucking companies that allow drivers to exceed the 11-hour driving limit by 3 or more hours could be fined $11,000 per offense, and the drivers themselves could face civil penalties of up to $2,750 for each offense.

Commercial truck drivers and companies must comply with the HOS final rule by July 1, 2013. The rule is being sent to the Federal Register today and is currently available on FMCSA's Web site at

Wednesday, December 21, 2011

U.S. trucking recovery slows to a crawl in November, index shows

U.S. freight levels continued to climb in November but at an ever-slowing pace, according to the latest data from the American Trucking Associations
The trade group’s truck tonnage index increased 0.3 percentage points last month after increasing a revised 0.4 percentage points in October. ATA’s advance, seasonally adjusted index of for-hire truck tonnage initially showed a 0.5 percentage point increase for that month.

The index now stands at 116.6, up from 116.3 in October. The year 2000 equals 100 on the index.

Despite the slow growth, the index was up 6 percentage points from November 2010, the highest year-to-year increase since June, when volumes were 6.5 percentage points higher than a year prior. For the year so far, tonnage is 5.4 percentage points ahead of the same point in 2010.  Full Story.....

Saturday, December 17, 2011

YRC CEO: Glen Moore may not be last of property sales

The property sale at YRC Worldwide Inc. may not be over

A day after the Overland Park-based trucking company announced it was unloading subsidiary Glen Moore, CEO James Welch said in an interview that company officials still are looking for ways to shrink their portfolio.

“There are other things that don’t necessarily complement what we do that we’ll be looking at,” he said. “There’s still excess property that has been on the market for three and a half years that’s empty, that we’re not using, and we’ll look at different ways and different avenues to shed it. We’ll be looking at ways to consolidate administrative cost and things like that. There are still things on our drawing board to accomplish.” Full Story.....

Thursday, December 15, 2011

YRC Worldwide Sells Assets of Its Glen Moore Truckload Subsidiary

YRC Worldwide Inc. today announced it sold a significant portion of the assets of its Glen Moore truckload operating subsidiary to Celadon Trucking Services, Inc., a subsidiary of Celadon Group Inc., one of North America's largest truckload carriers. Specific terms of the agreement were not disclosed.

"Less-than-truckload shipping is what we do best. Our efforts are precisely focused on regaining the North American market leader position in that segment," said James Welch, chief executive officer for YRC Worldwide, referring to the 220 years of combined big-shipment experience among YRC legacy brands. Welch went on to add, "To be the best LTL carrier, we must concentrate on operational excellence that delivers flexible, efficient transportation solutions with timeliness and predictability. This transaction helps us do that by simplifying our portfolio and streamlining our operations while still offering truckload services to interested customers through our provider relationships."

"This is an exciting opportunity for Celadon," said Paul Will, vice chairman, president and chief operations officer, Celadon Group. "Glen Moore is recognized as an award-winning truckload service provider with leading edge technologies. Its national, regional and dedicated fleet services augment our existing expertise, adding to our scale and accelerating our growth."

FMCSA to release new HOS rule December 22

The Department of Transportation and the Federal Motor Carrier Safety Administration have set Thursday, Dec. 22 as the date the FMCSA will release the final rule on Hours of Service, a source has told The Trucker.

The agency had promised to release the rule no later than Dec. 28 as part of the court settlement between the FMCSA and safety advocacy groups who have successfully challenged HOS rules on three different occasions.

If released as scheduled, the final rule would be published one day short of a year from when the proposed rulemaking was announced Dec. 23, 2010. Full Story....

YRC hauling more loads as businesses stock up

The national trucking industry, like a lot of businesses, got beaten up by the recession.

On the positive side, trucking companies are among the businesses that tend to be on the leading edge of recoveries as well as downturns, and there are some encouraging signs.

Rick Hoogendoorn, director of the YRC customer support center , sees an uptick in companies stocking up on inventory. Full Story.......

Thursday, December 08, 2011


Thanks to Teamsters, Vice President Joe Biden’s residence in Washington, D.C. is decorated nicely for the holidays.

Teamsters delivered one big Fraser fir tree and two smaller (just over 11 feet) trees from western Michigan to Washington, D.C. on trucks with Teamsters at the helm. The trees are from Wahmhoff Farms Nursery in Gobles, Mich., and they also supply Michigan Gov. Rick Snyder’s Christmas tree.

According to Ron Holzgen, Secretary-Treasurer of Local 406 in Grand Rapids, Mich., a Local 406 freight member loaded the trees onto a USF Holland truck and the driver transported the trees to a YRC terminal in Akron, Ohio. The trees were then taken to a freight terminal in Maryland before heading to Biden’s residence. They arrived at the vice president’s residence on November 22.

New Rule Bans Use of Hand-Held Mobile Phones While Driving

The Federal Motor Carrier Safety Administration has issued a final rule that essentially bans the use of hand-held mobile telephones while operating a commercial motor vehicle beginning December 23, 2011. Fact Sheet.......

Wednesday, November 30, 2011

YRC Worldwide Announces Preliminary Voting Results from Annual Stockholder Meeting; Board of Directors Approves Reverse Stock Split

YRC Worldwide Inc. announced the preliminary results of its Annual Meeting of Stockholders held today, November 30, 2011, in Overland Park, Kan. During the meeting, security holders authorized the company's board of directors to effect a reverse stock split of YRC Worldwide's common stock and to proportionately reduce the number of authorized shares of common stock with the ratio and timing of implementation of the reverse stock split at the discretion of the company's board of directors.

The company plans to amend its certificate of incorporation on December 1, 2011 to implement a reverse stock split with a ratio of 1:300. The reverse stock split will be effective on the NASDAQ exchange on December 2, 2011, at which time the company's ticker symbol will temporarily change from "YRCW" to "YRCWD" in accordance with NASDAQ rules. The ticker symbol will revert back to "YRCW" on January 3, 2012. The reverse stock split will reduce the number of authorized common shares to approximately 33.3 million from the current 10 billion and reduce the number of outstanding common shares to approximately 6.8 million from the current approximately 2 billion.

"The reverse stock split is an important step in bringing the company into compliance with NASDAQ listing rules and enhances our position as a publicly held company," said James Welch, chief executive officer of YRC Worldwide. "Now we can focus our attention on serving our customers and providing them with exceptional service."

At the meeting, security holders also approved the election of seven members of the company's board of directors; the company's 2011 Incentive and Equity Award Plan; (by non-binding vote) the compensation paid to the company's named executive officers, as described in the company's proxy statement, and a proposal to provide security holders with an advisory vote on named executives' compensation every year; and the ratification of the appointment of KPMG LLP as the company's independent registered public accounting firm for 2011.

The final voting results will be disclosed in a current report on Form 8-K to be filed with the Securities and Exchange Commission after the voting results are certified by an independent inspector of elections.


Hoffa: Federal Regulators Must Protect Workers' Health And Safety

Teamsters General President Jim Hoffa today said federal regulators should put the health and welfare of American truck drivers above the greed of the trucking industry.

Hoffa’s comment came before a hearing on the truck driver hours-of-service rule before the House Subcommittee on Regulatory Affairs, Stimulus Oversight and Government Spending.

In 2008, the Federal Motor Carrier Safety Administration (FMCSA) signed an agreement with safety advocates and the Teamsters Union to revise the rule. The rule, a “midnight regulation” made final in the waning days of the Bush administration, extended the hours truckers can drive from 10 hours to 11 hours.

According to FMCSA’s own regulatory analysis, reducing driving time to 10 hours would produce a gain of almost 40,000 jobs in the trucking industry.

“We need an hours-of-service rule that creates jobs, protects American workers and saves money and lives,” Hoffa said. “This is a no-brainer. Longer hours behind the wheel may satisfy the greed of the trucking industry, but they’re dangerous for our members and the driving public.”

Fred McLuckie, Teamsters legislative director, said the physical and mental challenges of driving a large truck are even greater now than they were five years ago.

“Our drivers are more stressed than ever because of increased traffic volume, tighter delivery times and deteriorating road conditions,” McLuckie said at a Capitol Hill news conference before the hearing. “Highway congestion requires them to make decisions about braking, accelerating, changing lanes, merging onto and getting off highways more quickly.”

McLuckie said Congress should not get involved in what has been a protracted legal battle to force the FMCSA to issue an hours-of-service rule that’s based on sound scientific data and takes into account the health of the driver.

The percentage of fatal crashes that result from driver fatigue rose 20 percent in 2005 from 2004 – the first year in which the longer hours of driving were allowed.

The Bush rule raised the number of hours truckers can drive from 10 to 11 consecutive hours each shift, and from 60 to 77 hours of driving each week. The rule cut off-duty rest and recovery time at the workweek’s end from 50 or more hours off duty to as little as 34 hours off-duty.


The Federal Motor Carrier Safety Administration (FMCSA) first promulgated the 11-hour rule in 2003, increasing the number of hours truckers can drive. The Court of Appeals for the D.C. Circuit struck down the rule in 2004, but Congress reinstated it as part of the Surface Transportation Extension Act of 2004.

FMCSA issued a new Notice of Proposed Rulemaking in January 2005, proposing a rule that was little changed from the 2003 rule that had been struck down.

On July 24, 2007, the U.S. District Court of Appeals for the D.C. Circuit for the second time threw out the rule that increased driving time to 11 hours from 10 hours and allowed drivers to go back to work after being off duty for only 34 hours.

In the 39-page opinion, Judge Merrick Garland called the rule “arbitrary and capricious.”

The International Brotherhood of Teamsters was a party in the case, joining Public Citizen and the Owner-Operator Independent Driver’s Association.

FMCSA issued the interim final rule on Dec. 11, 2007. The court declined on Jan. 23 to enforce its order to strike the rule, and the Bush administration issued it as a final rule on Nov. 19.

The Teamsters – along with Public Citizen, Advocates for Highway and Auto Safety and the Truck Safety Coalition – challenged the rule in the U.S. Court of Appeals for the District of Columbia.

Friday, November 25, 2011

Strengthening Trucking Sector Begins to Shine Its Light on YRC Worldwide

While headlines keep pushing the panic button regarding the US economic recovery, the trucking industry continues to paint a far brighter picture.

The American Trucking Associations' (ATA) Chief Economist Bob Costello recently reported that "tonnage readings continue to show that the economy is growing and not sliding back into recession."

The Bedford Report examines the outlook for companies in the trucking industry and provides equity research on YRC Worldwide, Inc. and Arkansas Best Corporation. Full Story....

Wednesday, November 23, 2011

Teamsters Sue To Close Border To Unsafe, Polluting Mexican Trucks

Hoffa: Pilot Program Is An Attack on American Truckers and Warehouse Workers

The Teamsters on Wednesday sued to block the U.S. Department of Transportation from opening the U.S. border to dangerous Mexican trucks through an illegal pilot program.

"Opening the border to these dangerous, dirty trucks is an attack on highway safety, an attack on American truckers and warehouse workers, an attack on border security and an attack on our environment," said Teamsters General President Jim Hoffa. "It's outrageous enough that we've outsourced millions of jobs to foreign countries, but now we're bringing foreign workers across the border into the United States to take our jobs. This is another pressure the American middle class doesn't need."

The International Brotherhood of Teamsters, Public Citizen and the Sierra Club challenged the program in the U.S. Court of Appeals for the D.C. Circuit.

The suit claims the Federal Motor Carrier Safety Administration breaks the following laws:

It waives a law that trucks must display certain proof that they meet federal safety standards.

It breaks the law requiring the pilot program to achieve an equivalent level of safety because Mexican drivers don't have to meet the same physical requirements as U.S. drivers.

It breaks the law that Mexico must provide simultaneous and comparable access to U.S. trucks. Mexico cannot do so because of the limited availability of ultra-low sulfur diesel fuel in Mexico.

It breaks the law that the pilot program must include enough participants to be statistically valid. The FMCSA's proposal ensures that only the best Mexican trucks participate, which would allow it to justify letting any Mexican truck over the border in the future.

It doesn't comply with the environment requirement of the National Environmental Policy Act.

"Congress has repeatedly and overwhelmingly set tough safety conditions for any cross-border trucking program, and this one clearly doesn't meet those conditions," Hoffa said.

The pilot program got off to a rocky start when the Federal Motor Carrier Safety Administration approved trucking operator Grupo Behr from Tijuana, Mexico. The carrier owned one 20-year-old semi-tractor trailer with numerous safety issues. FMCSA had to disqualify it from the program after the Teamsters Union and others brought Grupo Behr's safety record to light. A second carrier, Transportes Olympic, of Monterrey, Mexico, started operating in the U.S. last month. Safety concerns have also been raised about Transportes Olympic.

Tuesday, November 22, 2011

UPS Sets 2012 Rates

New Pricing Takes Effect Jan. 2, 2012

UPS released new published rates for 2012, including a net increase of 4.9 percent for UPS Ground packages and a net increase of 4.9 percent on all UPS Air services and U.S.-origin international shipments.

The rate increase for UPS Ground shipments is based on a 5.9 percent increase in the base rate, less a 1 percentage point reduction to the index-based ground fuel surcharge. The rate increase for UPS Air and international services shipments is based on a 6.9 percent increase in the base rate, less a 2 percentage point reduction to the index-based air and international fuel surcharge.

Additionally, UPS Next Day Air Freight and UPS 2nd Day Air Freight rates for shipments within and between the U.S., Canada and Puerto Rico will increase 5.9 percent. UPS 3 Day Freight rates will remain unchanged.

Updated rate and service information will be posted on beginning today. On Jan. 2, 2012, when the new rates take effect, customers can download the 2012 Rate and Service Guide.

Friday, November 18, 2011

YRC is Recognized by Security Magazine in its Annual List of the Security 500

YRC security ranks in the elite Top 5 for the comprehensive transportation industry

YRC, a subsidiary of YRC Worldwide Inc. ranks among the elite Top 5 in the comprehensive transportation category in Security magazine's 2011 "Security 500" list.

The transportation rankings, released in the November 2011 edition of the magazine, cover transportation, logistics, supply chain, distribution, and warehousing. YRC is ranked third among all companies in that category.

"We're very honored to be in the Top 5 for the fifth year in a row," says Wayne "Butch" Day, vice president of corporate security for YRC Worldwide. "Our CEO and company presidents understand the significance of security to our customers and our company – they really support our team and that makes a difference."

The Security 500 tracks companies and institutions in 19 vertical markets for the purpose of creating a reliable benchmarking program among security organizations. Rankings are based on a number of factors, including security spending, the number of security officers, innovative security strategies and peer/customer feedback.

"Trends identified in the 2011 Security 500 include connecting security directly to organizational goals, managing risk rather than events, and business resilience – all areas where our YRC security team excel," says James Welch, CEO of YRC Worldwide.

"Everyone on our security team has a law enforcement background and that's a real benefit when it comes to protecting everything from shipments to facilities. We're proud of their continued accomplishments and honored by this recognition."


Teamsters General Executive Board Passes Resolution Following Eviction In New York

The General Executive Board of the International Brotherhood of Teamsters unanimously passed a resolution today supporting the right of protesters at Occupy Wall Street to assemble at Liberty Park. The Teamsters further commended New York Supreme Court Judge Lucy Billings for issuing a restraining order this morning restoring protesters’ constitutional rights.

“You can draw a direct line from the Wisconsin protests in the winter to Occupy Wall Street to the overwhelming rejection of an anti-union ballot question in Ohio,” said Teamsters General President Jim Hoffa. “Occupy Wall Street is bringing new energy to a fight that labor has been engaged in from the beginning: The fight for an economy that works for everybody, not just the 1 percent.”

Today’s vote by the Teamsters’ 24-member General Executive Board came at an already-scheduled meeting at the union’s headquarters in Washington. The board, after learning of the evictions, which included a New York City councilman and a district leader, immediately ordered a resolution of support be drafted.

Hoffa said rank-and-file Teamsters have participated in Occupy Wall Street actions throughout the country. Teamsters protected encampments in San Francisco and New York, fed Occupy Oakland, led rallies in Cleveland and Chicago, marched in Occupy Chattanooga and supported the movement from Maine to California. Occupy Wall Street protesters have taken direct action against Sotheby’s for locking out 43 Teamsters art handlers in New York, while Occupy Chicago protesters rallied against private-equity firm Madison Dearborn in Chicago.

The resolution states, in part, “just as ‘Occupy Wall Street’ demands that the nation respond to the unrelenting pressure on the middle class, on workers and on the unemployed, the Teamsters have exposed the ‘War on Workers’ being waged by billionaires and CEOs who seek to blame working people for the state of the economy and to ‘fix’ the economy by giving to the rich and taking from the middle class.”

To view the entire resolution click here.

Wednesday, November 09, 2011


Say Ohioans Won’t Get Fooled Again

Ohio Teamsters’ leadership tonight said the defeat of Senate Bill 5 showed that Ohio voters support collective bargaining. SB5 would have stripped more than 350,000 public workers of nearly all their collective bargaining rights.

“On behalf of all Ohio Teamsters and organized labor, the citizens of Ohio sent a message to Gov. Kasich and the Koch brothers, ‘Keep your hands off our rights to collectively bargain’,” said William Lichtenwald, President of Teamsters Local 20 in Cincinnati and the Ohio Conference of Teamsters.

“I hope the politicians in Columbus wake up and start listening to the middle class and looking out for our interests as opposed to corporate interests,” said Randy Verst, president of Teamsters Joint Council 26 in Cincinnati.

“Extreme politicians tried to shift the burden of the economic crisis to the middle class,” said Al Mixon, Secretary-Treasurer of Teamsters Local 507 in Cleveland and a Teamsters International Vice President. “They tried to destroy our basic right to freedom of speech, the freedom to negotiate, the freedom to have a voice in the workplace. SB5 doesn’t just affect labor, it affects everybody. If they take away our basic rights, then they’ll take away everybody’s. Fortunately, Ohioans have come together to defeat this bad legislation. We won’t get fooled again.”

“This isn’t just a big victory for the Teamster snowplow drivers, corrections officers and nurses who work for the State of Ohio. It’s a big victory for Ohio’s middle-class workers,” said Gary Tiboni, President of Teamsters Local 436 in Valley View; Mr. Tiboni is also, President of Joint Council 41.

Teamsters represent 55,000 workers in Ohio, including about 7,000 police officers, snowplow drivers, nurses and corrections officers.

ABF Launches Global Expedited LCL/LTL Featuring Service up to 40% Faster than Traditional Models

ABF has expanded its portfolio of global solutions to include Ocean LTL: a single-contact, expedited less-than-container-load/less-than-truckload (LCL/LTL) supply chain solution for customers who import from manufacturing centers in China, Hong Kong and Taiwan.

“By combining ABF’s innovative Dual-System® Network with top-tier NVOCC shipping, ABF is able to provide reliable global shipping solutions that offer importers unparalleled control and visibility,” said Roy Slagle, ABF senior vice president of sales and marketing, referring to ABF’s status as a non vessel operating common carrier (NVOCC). “Our new Ocean LTL service is a great compliment to our already successful FCL (full-container-load) business, which has been around since 2006.”

A service offered through ABF Global Supply Chain Services division, Ocean LTL features guaranteed weekly departures on a fixed day and schedule, which enables ABF to expedite shipments up to 40% faster than traditional LCL sources. Long-term planning is enhanced by advanced scheduling for consolidation and departures. In transit, virtual warehousing and dynamic rerouting enable on-the-water inventory allocation and order fulfillment directly from the container to the end-user or multiple delivery locations.

Customers experience truly seamless service from end-to-end. While Ocean LTL shipments may originate as LCL shipments overseas and deliver as LTL shipments in the US, customers benefit from one customer service contact trained to assist with end-to-end documentation services, seamless visibility via, and single-source pricing and invoicing.

“ABF handles everything,” Slagle continued. “We’re a synchronized local, regional and transcontinental motor carrier, a non-vessel operating common carrier, and a global logistics service provider—linked together by a state-of-the-art technology platform that is the envy of the industry.”

Saturday, November 05, 2011

YRC on the road back to basics

With its finances under control again, YRC Worldwide Inc. has returned to “Freight 101” to win back customers, CEO James Welch said Friday.

Welch, who this week completed 100 days on the job, outlined several changes the Overland Park-based trucking company embraced to repair the poor service and inefficient operations he found upon returning to the company. Welch had been head of the company’s national freight operation when he left in 2007.

“We kind of lost our focus on Freight 101,” Welch said during a conference call with analysts after the trucker reported a $120 million loss in the third quarter, or nearly twice as much as it had a year earlier. Full Story....

YRC Worldwide Reports Third Quarter 2011 Results

- YRC National tons per day up 4.2%, revenue per hundredweight up 7.5%, operating revenue up 11.5%

- Regional tons per day up 5.6%, revenue per hundredweight up 8.2%, operating revenue up 14.3%

- New leadership at YRC National; organization changes at parent company and shared services

YRC Worldwide Inc. today reported financial results for the third quarter of 2011.

Consolidated operating revenue for the third quarter of 2011 was $1.276 billion, up 12.3% over 2010, and consolidated operating loss was $24 million, which included $12 million of restructuring professional fees and a $15 million non-cash charge for union employee equity awards. As a comparison, the company reported consolidated operating revenue of $1.137 billion for the third quarter of 2010 and a consolidated operating loss of $19 million, which included $7 million of restructuring professional fees.

The company also reported positive operating cash flow for the third quarter of 2011 of $9 million and gross capital expenditures of $14 million resulting in free cash flow usage of $5 million, which included $12 million of restructuring professional fees. As a comparison, the company generated free cash flow for the third quarter of 2010 of $3 million which included $7 million of restructuring professional fees.

As previously announced, Jeff Rogers, formerly president of Holland, was named president of YRC, Mike Naatz, formerly chief customer officer of YRC Worldwide, has been named president of Holland, and Jamie Pierson has been named executive vice president and chief financial officer of YRC Worldwide. The enterprise-wide shared services functions, largely supporting YRC, now report directly to Jeff Rogers as we have redeployed the specific shared services resources supporting the regional companies back to each operating company. This change in organization structure is designed to dramatically improve the alignment of critical sales and marketing, human resources, customer service and operational support functions with each operating company's delivery of services to customers and provide greater autonomy for each operating company. The streamlined parent company will consist primarily of the traditional corporate financial and legal functions. Full Report....

Friday, November 04, 2011

YRC Worldwide Appoints Jamie G. Pierson as Chief Financial Officer

YRC Worldwide Inc. today announced that Jamie G. Pierson, 42, has been appointed the company's executive vice president and chief financial officer effective immediately. Pierson recently served as the company's interim chief financial officer since August 2011.

"We are extremely pleased and very fortunate that Jamie has agreed to come on board," said James Welch, chief executive officer - YRC Worldwide. "Jamie knows our business thoroughly bringing exceptional technical knowledge and financial acumen to this role. His outside perspective will be instrumental as we shape the future of our company."

"I am truly excited to be a member of YRC Worldwide and James' leadership team," said Pierson. "Over the past three years, I have been involved in all aspects of our financial restructuring working closely with our lenders, shareholders, other stakeholders and the company's finance team. We have made great strides over the past several months and fully expect that we will continue to do so into the foreseeable future. I am privileged to be given this opportunity and corresponding responsibility, appreciate James' and the board's confidence in me and look forward to supporting the company's future strategy and its 32,000 union and non-unionized employees."

Previously, Pierson was a Managing Director with Alvarez & Marsal North America LLC where he focused on out-of-court restructurings and senior management advisory. Prior to joining A&M, he was Vice President of Corporate Development and Integration with Greatwide Logistics Services and immediately preceding that was a Managing Director with FTI Capital Advisors, the wholly-owned investment banking unit of FTI Consulting, Inc., where he provided in- and out-of-court restructuring services to the nation's largest syndication agent including capital structure analysis, asset disposition plan review, evaluation, development and negotiation of financial covenants and reporting requirements and subsequent compliance. Previously, he was with Houlihan Lokey Howard & Zukin where he worked in the firm's financial advisory group.

Pierson earned a Bachelor's degree in Business Administration, with a concentration in Finance and Accounting, and a Master's degree in Business Administration, with a concentration in Finance and Entrepreneurship, both from the University of Texas.

"As we position the company for future growth and return YRC Worldwide to a more traditional, leaner holding company, Jamie will be invaluable and exceptionally qualified to oversee our financial strategy," added Welch.

Tuesday, November 01, 2011

ABF No. 30 Chevrolet Ready For Texas

Home sweet home in the Lone Star state… James Buescher won’t have to travel far to race this weekend; the Plano, Texas-native currently resides in Katy, Texas, just outside Houston. The 21-year-old has a long and storied history at Texas Motor Speedway, winning his first championship in a Bandolero car at the track when he was 14-years-old. In 2010, he claimed Turner Motorsports first NASCAR pole in the November NASCAR Nationwide Series event and also grabbed the pole in the NASCAR Camping World Truck Series June stop at the track.

Where it all began… Like Buescher, Turner Motorsports calls TMS their home track, winning their first championship at the track with Steve Turner’s youngest daughter, Kris, driving a Bandolero in 2004. The organization was headquartered in Hallettsville, Texas until making the move into NASCAR and to Mooresville, N.C. in 2009.Testing the NASCAR waters in 2009, the organization made their NCWTS debut at their home track. In 2010, the team went full time NCWTS racing, fielding entries for Ricky Carmichael and Buescher. In late 2010, the organization made the announcement from the TMS media center that they had acquired Braun Racing and would run three NCWTS and four NNS entries in 2011. That same weekend, Buescher grabbed Turner Motorsports’ first-ever pole award. Full Story....

UPS Freight Takes the Guesswork Out of LTL Pickups

Company Is First To Provide Full Visibility For Freight Pickups

UPS today announced the launch of UPS Freight Pickup Notifications for LTL, providing an unprecedented level of pickup control for the less-than-truckload industry.

The new feature for LTL shipments provides customers visibility of the pickup process by confirming when a pickup is scheduled, informing them when the UPS Freight driver is en-route to the pickup location and notifying them when the pickup is made.

UPS Freight is the first major LTL carrier to provide this level of visibility and control for the LTL pickup process. With this enhancement, customers arranging their LTL freight pickup online can opt to receive near-real time notifications to up to five different email addresses, keeping all parties associated with the shipment fully informed.

"The pickup process is a key part of shipping LTL freight," said Jack Holmes, president of UPS Freight. "Whether you are a shipper, receiver or third party, insight into the pickup process is powerful information that allows businesses to stay informed and run more efficiently. This capability is another example of how UPS Freight is continuously investing in industry-leading technology that allows our customers to manage their logistics more effectively."

The Pickup Notifications for LTL feature is free and available today to customers who log onto to schedule their LTL pickups. Beginning in January 2012, this new capability also will be available for customers scheduling LTL freight pickups in UPS WorldShip and My LTL Freight. The feature is available for online pickups that are scheduled in the 48 contiguous states where UPS Freight provides direct service.

Arkansas Best Corporation Names James A. Ingram Senior Vice President - Strategic Development

Arkansas Best Corporation announces the appointment of James A. Ingram to the position of Senior Vice President – Strategic Development, effective today. Mr. Ingram, who is 44 years old, has been with the corporation for 21 years and currently serves as Arkansas Best's Vice President – Strategic Development.

In this role, Mr. Ingram has responsibility for the strategic growth initiatives of Arkansas Best Corporation, leading the continued development and diversification of the company's logistics service offerings. Additionally, Mr. Ingram will retain his current line management responsibilities for the transportation brokerage and logistics subsidiaries of Arkansas Best.

"Throughout much of his career at our company, Jim Ingram has been directly involved in the development and growth of new initiatives that broaden the scope of services we offer our customers," said Judy R. McReynolds, Arkansas Best President and Chief Executive Officer. "Going forward, he will direct our corporate efforts to enhance and expand existing offerings and to review potential transportation-related acquisition opportunities. Jim's leadership in these areas will be critical in leveraging dedicated resources to grow our company in order to best serve the supply chain needs of our customers."

Since April 2010 Mr. Ingram has served Arkansas Best as Vice President of Strategic Development. Prior to that, beginning in February 2006, he was Vice President of Market Development overseeing specialized services and development of new products. He began his career with the corporation in 1990 as an analyst in ABF®'s pricing department. He held various positions within that department before being named ABF's Director of Quotation Services in 2000.

Saturday, October 29, 2011

ABF Announces Third Quarter 2011 Results

Arkansas Best Corporation today announced third quarter 2011 net income of $12.3 million, or $0.46 per share, compared to a net loss of $0.7 million, or $0.03 per share in the third quarter of 2010.

Arkansas Best’s third quarter 2011 performance reflects strong improvement from its largest subsidiary, ABF Freight System, Inc. ABF produced healthy revenue and profit growth that resulted from improved account pricing in the midst of moderating tonnage levels. ABF improved its third quarter operating ratio by four and a half operating points versus the same period last year and by over two operating points versus this year’s second quarter.

“We are pleased to report another quarter of profitability resulting from the value and superior service that ABF offers in the marketplace. The ABF team is to be congratulated for producing better results in the face of an uncertain economic environment,” said Judy R. McReynolds, Arkansas Best President and Chief Executive Officer. “In looking ahead, we are prepared to appropriately adjust resources to business levels while maintaining a high level of service for our customers. Our blend of investments in people and technology as well as the unique logistics services provided to our customers put us in a good position as we cultivate opportunities for future growth and new offerings.”

Arkansas Best Corporation

Third Quarter 2011

Revenue of $510.9 million, a per day increase of 14.7% from the prior year third quarter revenue of $445.5 million

Net income of $0.46 per share compared to a net loss of $0.03 per share in the prior year third quarter

Includes market losses on the cash surrender value of life insurance of $0.05 per share compared to gains of $0.06 per share in the prior year period

ABF Freight System, Inc.

Third Quarter 2011

Revenue of $466.3 million compared to $409.9 million in third quarter 2010, a per-day increase of 13.8%

Tonnage per day decrease of 2.0% versus third quarter 2010

Total billed revenue per hundredweight of $27.10 compared to $23.38 in third quarter 2010, an increase of 15.9%, including increases in fuel surcharge

Operating income of $18.3 million compared to an operating loss of $2.6 million in third quarter 2010

Operating ratio of 96.1% compared to 100.6% in third quarter 2010

“Since March of this year, ABF’s year-over-year change in monthly tonnage has moderated, and beginning in August, tonnage has been below that of the same period last year. So far in October, ABF’s tonnage is lower than last October by between six and seven percent, but because of greatly improved yields, ABF revenues continue to be ahead of the same period last year by approximately 5%. We attribute the tonnage decline to weakening economic conditions, our efforts to improve account pricing and more difficult comparisons from last year,” said Ms. McReynolds. “Despite the softening in ABF’s freight, our pricing levels have improved significantly from recent recessionary levels. We constantly strive to grow ABF’s business with accounts that value our wide range of services. As a result, ABF’s overall group of accounts offers a better mix of business with yields that have contributed to the improved profitability we’ve experienced during the last two quarters.”

“ABF continues to focus on making investments in resources and personnel that strengthen the positive experience of our customers while improving our operational efficiencies,” said Ms. McReynolds. “In the third quarter, ABF and its exceptional employees were recognized and honored by three national publications, twice for excellence in information technology and once for ABF’s commitment to sustainability. Two ABF drivers achieved recognition for superior driving achievements, one as a national driving champion. Earlier this month, ABF earned the American Trucking Associations’ Excellence in Security Award for the sixth time of the 11 times it has been awarded,” said Ms. McReynolds. “As we move forward, we will continue to build on the strong foundation provided by ABF’s nationwide network and the relationship-forming skills of its well-trained sales force to offer additional services and to take advantage of new growth opportunities.”

NASDAQ Panel Grants YRC Worldwide's Request for Continued Listing

YRC Worldwide Inc. today announced that the company received a positive determination from the NASDAQ Hearings Panel (the "Panel") indicating that the Panel had granted the company's request to remain listed on The NASDAQ Stock Market.

In its decision, the Panel indicated that it had determined to exercise its discretionary authority to apply NASDAQ's financial viability exception retroactively to the company based upon the particular facts and circumstances and to continue the company's listing on NASDAQ, subject to certain conditions. In accordance with the terms of the Panel's decision, on or before December 31, 2011, the company must implement a reverse stock split and demonstrate a closing bid price for its common stock above $1.00 per share for a minimum of ten consecutive trading days.

The company must also be able to demonstrate compliance with all requirements for continued listing on NASDAQ. The company is seeking stockholder approval of a reverse stock split at its annual meeting of stockholders scheduled to be held November 30, 2011, with the ratio and timing of implementation of the reverse stock split at the discretion of the company's board of directors if the reverse stock split is approved by stockholders.

"We are very pleased with the NASDAQ Hearings Panel's decision and the positive news it means for YRC Worldwide," said James Welch, chief executive officer - YRC Worldwide. "As we continue to move our company forward, we remain focused on our number one priority — providing our customers with reliable transportation solutions."

"We truly value our long-term relationship with NASDAQ and we look forward to continuing to be a part of this important Exchange," said Jamie Pierson, interim chief financial officer - YRC Worldwide.

As previously disclosed, the company appealed the NASDAQ Listing Qualifications Staff's determinations that the company's common stock should be delisted from NASDAQ because the company had issued certain securities in connection with the restructuring consummated on July 22, 2011 in violation of the NASDAQ Listing Rules, such issuance had raised public interest concerns, and the company's common stock had traded below the minimum bid price threshold of $1.00 per share for 30 consecutive business days.

Teamsters Call on Obama To Move Forward on HOS

The Teamsters union and highway safety advocates have asked President Obama to "expeditiously more forward" on the new hours of service rule proposed by the Federal Motor Carrier Safety Administration.

Citing statistics on truck crashes that they said cost the nation $20 billion in 2009, the labor and safety advocates said in an Oct. 7 letter to Obama that the proposed reduction in driver hours "addresses a serious and deadly public health and safety problem" in trucking.

Studies by the National Transportation Safety Board, the Insurance Institute for Highway Safety and other research groups show that "truck driver fatigue is a major factor in truck crashes," the letter said. Full Story....

Wednesday, October 26, 2011

YRC revamps sales, operations structure

Move marks first major organizational change under new president

Less-than-truckload carrier YRC Worldwide Inc. has reorganized its top sales, marketing, and operational workforces in the first major realignment under new president Jeff Rogers.

Under the reorganization, YRC is consolidating its divisions from four regions to two, according to an internal memo issued Monday by Rogers. The West division will cover the Western half of the United States, up to and including Dallas, Kansas City, and Chicago. The East division will cover the remainder. Full Story.....

Tuesday, October 25, 2011

UPS Earnings Per Share Rise 14 Percent on 8 Percent Revenue Growth in 3Q

U.S. Domestic and Supply Chain & Freight Lead the Way; Free Cash Flow Exceeds $3.7 Billion

UPS today announced diluted earnings per share of $1.06 for the third quarter of 2011, a 14% improvement over the adjusted $0.93 for the prior-year period. Total revenue increased 8% to $13.2 billion.

The results were driven by the U.S. Domestic and Supply Chain & Freight segments. U.S. Domestic operating margin improved to 13.1% compared to last year's adjusted results and Supply Chain and Freight operating profit increased more than 10%. Free cash flow for the first nine months of the year was strong, exceeding $3.7 billion. Full Story...

Nearly 20 Years After NAFTA, First Mexican Truck Arrives In U.S. Interior

Nearly two decades after the passage of the North American Free Trade Agreement, the first Mexican truck ventured into the U.S. under provisions of the controversial treaty.

With little fanfare, a white tractor-trailer with Mexican license plates entered the courtyard of the Atlas Copco facility in Garland, Texas on Saturday afternoon to unload a Mexico-manufactured metal structure for drilling oil wells.

The delivery marked the first time that a truck from Mexico reached the U.S. interior under the 17-year-old trade agreement, which was supposed to give trucks from the neighboring countries access to highways on both sides of the border. Full Story...

Wednesday, October 19, 2011

Hoffa: Mexican Truck Pilot Program Will Be a Repeat Fiasco

Press Conference with U.S. Reps Hunter (R-CA), Filner (D-CA) Shines Light on Safety Issues

Teamsters General President Jim Hoffa said today that the U.S. Department of Transportation's (DOT) cross-border truck pilot program will fail. His remarks came at a news conference at California's busiest border crossing, with U.S. Rep. Bob Filner (D-CA), U.S. Rep. Duncan Hunter (R-CA) and Todd Spencer, executive vice president of the Owner-Operator Independent Drivers Association (OOIDA).

The pilot program got off to a rocky start when the Federal Motor Carrier Safety Administration approved trucking operator Grupo Behr from Tijuana, Mexico. The carrier owned one 20-year-old semi-tractor trailer with numerous safety issues. FMCSA had to disqualify it from the program after the Teamsters Union and others brought Grupo Behr's safety record to light. A second carrier, Transportes Olympic, of Monterrey, Mexico, has been approved to start operating in the U.S. as early as this Friday. Safety concerns have also been raised about Transportes Olympic.

"This pilot program will be a fiasco, just like the last one was," Hoffa said. "You know it's in trouble when the very first carrier that DOT approves is axed because of safety concerns. DOT has never been able to verify the safety of Mexican trucks. That's why the Teamsters for 17 years kept the border closed to a permanent program that would let any Mexican truck travel anywhere in the United States.

"Opening the border to unsafe Mexican trucks isn't in America's interest. Multinational corporations are the only ones that will benefit from this program.

"Not only are Mexican trucks unable to meet U.S. safety standards, but there's a drug war going on in Mexico that DOT seems to be ignoring. The U.S. State Department has issued travel advisories for Mexico. This is not a reciprocal agreement – no U.S. drivers would dare venture into Mexico.

"The chaos in Mexico and the lack of safety standards will force the DOT to shut down this ill-advised program as it has in the past."

Congress has repeatedly ordered similar programs shut down, voting 411-3 in the U.S. House of Representatives and 75-23 in the U.S. Senate to scuttle a Bush-era pilot program. Further, the Teamsters have filed a lawsuit in the 9th Circuit Court challenging the legality of the current program.

House Leaders Want to Halt HOS Changes

Republican leaders in the U.S. House of Representatives have asked President Obama to withdraw the administration’s proposed changes to the hours-of-service rules for commercial drivers.

House Speaker John Boehner (R-Ohio) and Majority Leader Eric Cantor (R-Va.) said in an Oct. 5 letter to Obama that withdrawing the proposed changes is an “opportunity to avoid adding another $1 billion in regulatory burden” to the economy and to small businesses. Full Story.....

Friday, October 14, 2011


Teamsters General President Jim Hoffa issued the following statement today regarding the U.S. Transportation Department’s delay of the first permit for a Mexican trucking company to start traveling freely throughout the United States. The delay was based on safety concerns raised by the Teamsters Union and its allies.

“The U.S. Transportation Department was right in heeding our safety concerns and delaying the first permit to operate trucks from Mexico freely throughout the United States. We are glad that transportation officials are now taking our concerns seriously.

“We will continue our fight to keep our borders closed to unsafe Mexican trucks. After years of litigation, intense congressional oversight, overwhelming public opposition and an intense drug war raging in Mexico, it is a reckless move to allow Mexico unfettered access to our highways.

"The fly-by-night Tijuana operator passed a preliminary inspection last month -- a colossal bungling by transportation officials. The carrier has one unsafe, 20-year-old semi-tractor trailer that our government designated a ‘gross polluter.’ If this is the cream of the crop of Mexican operators, we can only imagine what will be crossing our border in the future.

"The Federal Motor Carrier Safety Administration clearly ignored Congress in conducting inspections that didn't meet the legal requirements. The Teamsters Union and our allies have filed a lawsuit to stop this illegal and dangerous cross-border trucking program before people get hurt.

"This delay proves what we've been saying all along: Opening the border to dangerous Mexican trucks is not in the interest of Americans. It will cost thousands of truck and warehouse jobs that we so desperately need, it will undermine border security, it will pollute our air and it will harm the driving public.”

OOIDA comments prompt second look at cross-border applicant

In spite of having passed a Pre-Authority Safety Audit by the Federal Motor Carrier SafetyAdministration, the agency has decided to deny Grupo Behr access to the long-haul program in response to issues raised by OOIDA and two other groups.

FMCSA announced on Aug. 25 in the Federal Register that Mexico-domiciled motor carrier Grupo Behr had passed its Pre-Authority Safety Audit, or PASA, and requested comments from the public.

The Owner-Operator Independent Drivers Association was one of four groups that filed comments protesting the agency’s proposal to grant authority to Grupo Behr. Also protesting were Advocates for Highway and Auto Safety, the Teamsters and Knight Transportation. Full Story....

The No. 6 UPS Freight Ford Takes On A New Look

The last time this season the UPS Freight Ford hit the track David Ragan earned his first Sprint Cup pole starting position and went on to earn a seventh-place finish at Texas Motor Speedway. The UPS Freight Ford will take to the track for the second time this season this weekend at Charlotte Motor Speedway, but will take on a whole new design that was chosen by UPS employees. The No. 6 might look a little different, but it is the same chassis that sat on the pole in Texas and also crossed the finish line second in the Coca-Cola 600 at Charlotte back in May.

“I really like the look of our new UPS Freight paint scheme,” said Ragan. “It’s always fun to have some different looking cars and this is one of my favorites. I think it’s going to look great under the lights Saturday night at Charlotte Motor Speedway.”

Wednesday, October 12, 2011

YRC Worldwide Schedules Third Quarter 2011 Conference Call

YRC Worldwide Inc. will hold a conference call with the investment community on Friday, November 4, 2011, beginning at 9:30am ET, 8:30am CT. Chief Executive Officer James Welch and Interim Chief Financial Officer Jamie Pierson will host the call. Third quarter earnings will be released the same day, Friday, November 4, 2011, prior to the opening of the market.

The call will be webcast and can be accessed live or as a replay via the YRC Worldwide website

Sunday, October 09, 2011

David McAllister Earns Platinum Driving Award for Accident-Free Driving

David McAllister, an ABF city driver domiciled in Salisbury, Mass., has earned an ABF Platinum Safe Driving Award, becoming just the sixth driver to earn this distinction. The Platinum Award recognizes city drivers who have driven accident-free for more than 60,000 consecutive hours.

"David McAllister has earned the highest safety award available to an ABF city driver, previously attained by just five other ABF city drivers," said ABF President and CEO Wes Kemp. "We are proud to honor him for his professionalism behind the wheel and his outstanding safety record. Everyone at ABF greatly appreciates David's hard work and dedication and we're proud of the way he represents ABF and the trucking industry."

McAllister has driven for ABF for 29 years. In each of those years, he has earned an annual safe driving award. "This is truly an amazing and impressive accomplishment," said Sam Cates, ABF safety and security director. "David has safely maneuvered his equipment in busy urban settings for almost 30-years without a preventable accident. ABF is extremely proud of David for achieving this milestone in his career and for reaffirming that ABF has the safest and best drivers in the industry."

McAllister joins an elite group of ABF Platinum Safe Driving Award winners that includes retiree Robert McCormick of Macon, Ga., David Miller of Charleston, W.V., retiree Robert Mutz of San Antonio, Kenneth Scott of Wilkes Barre, Penn., and James Tranchita of Chicago. The road driver equivalent of the Platinum Safe Driving Award is the Four Million Mile Safe Driving Award, which also recognizes accident-free driving. Only three ABF road drivers have achieved this milestone: David Arrowsmith and James Lovell of Little Rock, Ark., and Darrell Gruenefeld of Kansas City, Mo.

Friday, October 07, 2011

ABF Earns American Trucking Associations Excellence in Security Award

ABF has been recognized by the American Trucking Associations (ATA) for exceptional security practices—earning the 2011 Excellence in Security Award from the ATA Supply Chain Security and Loss Prevention Council. The award was presented at the Supply Chain Security and Law Enforcement Conference at the Trump Plaza Hotel in Atlantic City, N.J., October 4-5, 2011. Including the inaugural award in 2001, ABF has earned the Excellence in Security Award six of the 11 times it has been awarded.

“ABF’s industry-leading security and cargo care record, recognized by this council and by certifications such as C-TPAT, FAST and PIP, give ABF customers a significant supply chain advantage,” said ABF President and CEO Wes Kemp, referring to certifications from the U.S. Department of Homeland Security and the Canada Border Services Agency. “Earning this prestigious award is further evidence that ABF is fully committed to maintaining that supply chain advantage for our customers. We believe our customers deserve safe, secure and error-free service, which comes from the training, experience and responsiveness of dedicated and empowered ABF employees.”

The ABF security program includes regional security managers strategically located throughout North America. The security managers have law enforcement backgrounds and work closely with ABF management and local, state and federal authorities and regulators. “Protecting our customers’ freight and company assets and the safety and security of our employees are ABF priorities,” said Sam Cates, ABF safety and security director. “ABF security procedures and guidelines are formulated as a guide for all employees—from upper management to touch labor—so they have the knowledge to conform to ABF security requirements. This has positioned ABF as the premiere carrier when it comes to delivering shipments safely and securely.”

The ATA Supply Chain Security and Loss Prevention Council is an organization of transportation security, freight claims and loss prevention professionals representing motor carriers and interested organizations. It serves, promotes and creates value for members and the industry through research, education, training and peer interaction. The ATA is the largest national trade association for the trucking industry. Through a federation of other trucking groups, industry-related conferences and its 50 affiliated state trucking associations, ATA represents more than 37,000 members covering every type of motor carrier in the U.S.

Besides being the only six-time winner of the Excellence in Security Award, ABF also is the only six-time winner of the ATA President’s Trophy for Safety and the only four-time winner of the Excellence in Claims/Loss Prevention Award. Plus, ABF is the only carrier to earn both the Excellence in Claims/Loss Prevention Award and the Excellence in Security Award in the same year, which ABF has accomplished twice.

Monday, October 03, 2011

Matthew Letter Promoted to ABF Vice President of Sales

Matthew Letter will assume the role of vice president of sales at ABF effective January 1, 2012.

A 23-year veteran of the company, Letter has served the past 12 years as ABF regional vice president of sales in Chicago. “In his new position, Matt will be responsible for the sales management of ABF’s 10 field regions throughout North America, as well as our Inside Sales Center in Fort Smith,” said James W. Keenan, whose January 1 promotion to Senior Vice President of Sales and Marketing was recently announced.

“He has served in a variety of roles at ABF, including account manager, branch manager and regional vice president of sales, where he has been responsible for ABF’s largest region. He richly deserves this promotion.”

Wednesday, September 28, 2011

Nine ABF Freight-Handling Professionals Selected for the 2012 Load Team

ABF has selected nine freight-handling professionals for the 2012 Load Team, an elite group of freight-handling professionals from across ABF’s North American network. The Load Team members and their customer service centers are:

Dwayne Cannon – Atlanta, Ga.
Detric Cathey – Little Rock, Ark.
Jon Donahey – Dayton, Ohio
Kim Hodgin – Winston-Salem, N.C.
Tony Olson – Kansas City, Mo.
Rudy Lovato – Albuquerque, N.M.
Gilberto Reyes – Chicago, Ill.
Craig Thorsell – Dallas, Texas
Bart Quarnberg – Salt Lake City, Utah

“Load Team members help to personify ABF's commitment to meeting the needs of our customers through safe and efficient freight handling,” says Murray Babb, ABF vice president of terminal operations. “Due to the talents of dedicated employees like these, shipping customers can trust ABF — knowing that more than 99.5 percent of all shipments are moved claim free.”

The Load Team program was established not only to honor outstanding performance but also to draw upon dock employees’ insights regarding dock procedures and equipment. Load Team selections are based upon personal integrity, safety records and ability to load trailers in an optimal fashion – a skill that facilitates the safe, timely and efficient movement of shipments. Load Team members also contribute to the ongoing implementation of the ABF Quality Process.

Tuesday, September 27, 2011

YRC Worldwide Announces Changes to Its Corporate Organizational Structure

Jeff Rogers Named YRC President; Mike Naatz Named Holland President

YRC Worldwide Inc. today announced the appointments of Jeff Rogers as YRC president and Mike Naatz as Holland president. Both will report directly to James Welch, CEO of YRC Worldwide. The company also announced additional changes to its corporate organizational structure with the elimination of the following positions: Chief Operations Officer, Chief Marketing Officer, Chief Administrative Officer and Chief Customer Officer. These changes will streamline the organization and will enable the company to manage its business more effectively and efficiently as it moves forward, returning YRC Worldwide to a more traditional holding company.

Jeff Rogers, 49, recently served as president of Holland, a subsidiary of YRC Worldwide. Previously he served as Chief Financial Officer of YRC Regional Transportation. Prior to joining Yellow Transportation, he spent 14 years with United Parcel Service in various finance and operational roles. Rogers is a decorated military veteran who served in the US Army Rangers. He holds a Bachelor of Science degree in Accounting from Kansas Newman University and a Masters in Business Administration from Baker University.

"Jeff brings strong leadership skills and a proven track record of delivering results, including best-in-class service," said James Welch, chief executive officer - YRC Worldwide. "Jeff's success in running Holland and a strong relationship with customers, make him a natural fit for this role."

Mike Naatz, 45, formerly served as Chief Customer Officer of YRC Worldwide. In this role, he led the sales, information technology, customer service and quality teams for the company. He previously served as chief information and service officer for YRC Worldwide. Prior to joining YRC Worldwide, he served in various operational leadership roles, including chief information officer for USF. Naatz received a Bachelor of Science degree in Economics from the University of Illinois and a Masters in Business Administration from Northwestern University Kellogg School of Management.

"Mike's demonstrated ability to continually improve and maintain quality along with his keen eye to service and customer support, makes him an effective leader for Holland as we move into the future," added Welch.

Friday, September 23, 2011

The demonstrated danger of cross-border trucking

New evidence suggests that the U.S. Department of Transportation is fully aware of the dangers inherent in opening our border to unsafe Mexican trucks.

The Teamsters union has long warned that opening the border to Mexican trucks endangers America’s highway safety and threatens U.S. warehouse and trucking jobs. We’ve been making that argument during the 17 years since the North American Free Trade Agreement (NAFTA) took effect. The agreement calls for Mexican trucks to freely roam our interstates.

Since December 2006, we have had still another reason to fight to keep our southern border closed: the horrific drug wars that have killed 40,000 people in Mexico. But even as the Department of Transportation tried to assuage our concerns about fatigued Mexican drivers and decrepit Mexican trucks, officials have said little or nothing about the possibility of drug violence spilling over our borders.

Earlier this year, DOT announced it would start another pilot program to allow Mexican trucks to travel beyond the narrow border zone. Last month, Transportation Secretary Ray LaHood said two Mexican carriers would soon get approval to participate in the pilot program. Full Story....

Wednesday, September 21, 2011

ABF President and CEO Wesley B. Kemp to Retire; Roy M. Slagle Named His Successor

Arkansas Best Corporation today announced that Wesley B. Kemp, current President and Chief Executive Officer of its largest subsidiary, ABF Freight System, Inc., will retire on December 31, 2011. Roy M. Slagle, ABF's current Senior Vice President of Sales and Marketing, will become ABF's President and Chief Executive Officer, effective January 1, 2012.

Mr. Kemp, who is 65 years old, has served as the President and Chief Executive Officer of ABF since January 2010. Throughout his nearly 43-year career with ABF, beginning as a management trainee in 1969, Wes continually advanced in ABF leadership positions with increasing responsibility including Regional Vice President of Operations, Vice President of Terminal Operations, Senior Vice President of Operations, President and Chief Operating Officer and his current position of President and CEO.

"During his ABF career that has spanned more than four decades, Wes Kemp has been an integral part of ABF's transformation from a small LTL carrier with revenues totaling $45 million and service centers in 12 states to a flexible, innovative, and full-service LTL carrier with $1.7 billion in revenues and 275 service centers across North America," said Judy R. McReynolds, Arkansas Best President and Chief Executive Officer.

"Wes Kemp is a man of integrity and a true professional. His hard work and dedication to detail have benefited our company during his time here. Wes took over the leadership of ABF in the midst of one of the most severe recessions in our company's history. His patience and guidance during this very difficult time have enabled ABF to return to profitability," said Ms. McReynolds. "We thank Wes for his longtime service to our company and we wish Wes and his wife Sharon Ann much happiness for many years to come as they enjoy more time together."

Roy Slagle, who is 57 years old, has been in his current position since February 2006. During his 35 years with ABF he also served as Vice President Administration and Treasurer, Vice President and Treasurer, and Regional Vice President of Sales. Mr. Slagle's early years with the company included a variety of field operations positions in Ohio and Pennsylvania. He began his ABF career at the Dayton, OH distribution center and was the branch manager of ABF's Carlisle, PA distribution center for three years. These are the two largest facilities in the ABF network.

"As a result of the operational, sales, pricing and administrative experiences that Roy Slagle has had during his ABF career, he possesses a comprehensive skill set that uniquely qualifies him to lead ABF into the future," said Ms. McReynolds. "Roy's experience in almost every area of ABF, both in field operations and in our corporate headquarters, gives him a strong foundation from which to draw as CEO of ABF."

"Roy's experience and success in guiding ABF's sales, marketing and pricing efforts during a challenging period in the LTL industry will be important assets as he leads ABF in adjusting to marketplace changes and in being flexible to meet the evolving needs of our customers," said Ms. McReynolds. "In spite of the fact that an experienced leader like Wes Kemp is retiring from our company, I feel comfortable that ABF will be in great hands under Roy's leadership."

Tuesday, September 20, 2011

YRC Worldwide Announces Results of Special Stockholder Meeting

YRC Worldwide Inc. announced today that a Special Meeting of Stockholders of YRC Worldwide was held on September 16th, 2011. At the meeting, stockholders of YRC Worldwide approved the merger agreement between YRC Worldwide and a recently formed wholly-owned subsidiary, YRC Merger Sub, Inc., whereby YRC Worldwide is the surviving corporation of the merger.

In connection with the merger, the certificate of incorporation of YRC Worldwide was amended and restated to, among other things, increase the number of authorized common shares to 10 billion. This stockholder approval caused the number of outstanding common shares to increase to approximately 1.9 billion as compared to the previous level of approximately 48 million, as the approximately five million Series B convertible preferred shares issued on July 22, 2011 automatically converted to common shares. In addition, convertible notes issued on July 22, 2011 have conversion rights for another approximately 4.1 billion common shares, of which approximately 2.3 billion common shares may be issued upon conversion at any time following the merger and an additional approximately 1.8 billion common shares may be issued upon conversion after July 22, 2013.

"This is an important and required step in our restructuring process," said Jamie Pierson, interim chief financial officer - YRC Worldwide. "This merger allows us to increase our authorized common shares to allow for the conversion of our preferred stock issued during the restructuring in July."

YRC Worldwide has also announced that it has received a notice from NASDAQ stating that the company is subject to delisting since its common stock has traded below a $1.00 share price for more than 30 consecutive trading days.

The company received a prior delisting notice due to the issuance of securities without stockholder approval during the July restructuring. YRC Worldwide is currently in an appeal process with NASDAQ to allow it to remain listed on the exchange.

"Despite the additional delisting notice from NASDAQ, YRC Worldwide remains confident that the company is well positioned for long-term success," said James Welch, chief executive officer - YRC Worldwide.

Last July, YRCW successfully completed a restructuring transaction pursuant to which the company issued new convertible notes for the infusion of $100 million in new capital; increased liquidity by replacing the company's existing asset-backed securitization (ABS) facility with a new three-year, $400 million asset-based loan (ABL) facility; and exchanged a portion of the company's loans and other obligations for new securities, including equity.

"We expected to receive this notice due to dilution of our common stock from the restructuring transaction," added Mr. Welch. "Our listing status will not affect our ability to provide reliable transportation solutions to our customers."

Sunday, September 18, 2011


Today, YRCW held a special meeting of its shareholders to approve the final step in its restructuring. When the restructuring transaction closed on July 22, 2011, it required a merger of corporate entities in the fall to complete the restructuring. In the shareholder vote, 99 percent of all shares voted to approve the merger.

In concert with this approval, all preferred shares issued in connection with the restructuring transaction will convert to common equity. Teamster YRCW members receiving stock allocations to their 401(k) accounts set up in conjunction with the transaction should expect shares to be distributed to their accounts on or before September 30, 2011.

To be clear, today’s developments do not affect the daily operations of YRCW but are a step forward in moving beyond the completed restructuring.

For more information, link to YRC’s 8K filed today with the SEC.

YRC says its directors actually are taking pay cuts

YRC Worldwide Inc. wants to set the record straight about the compensation it’s providing to its board of directors.

A couple weeks ago, I reported about a securities filing from the Overland Park-based trucking company detailing pay for its new board, which took over in the summer after YRC completed its financial restructuring.

The story noted that YRC planned to pay its directors a cash retainer of $75,000 a year, extra payments of between $10,000 and $15,000 for committee chairmen, and restricted stock units worth $100,000.

By comparison, the board a year ago was set to make $50,000 in cash, chairman bonuses of $5,000 to $7,500, and $77,500 in restricted stock, according to Securities and Exchange Commission filings. Full Story.....

Wednesday, September 14, 2011


U.S. DOT Plans To Start Pilot Program Within Next Few Months

The Teamsters have filed suit to block the U.S. Department of Transportation from opening the U.S. border to Mexican trucks through an illegal pilot program.

The International Brotherhood of Teamsters and Public Citizen challenged the program in the 9th Circuit Court of Appeals in San Francisco. The suit, filed last week, claims the Federal Motor Carrier Safety Administration breaks the following laws:

It waives a law that trucks must display certain proof that they meet federal safety standards.

It breaks the law requiring the pilot program to achieve an equivalent level of safety because Mexican drivers don’t have to meet the same physical requirements as U.S. drivers.

It breaks the law that Mexico must provide simultaneous and comparable access to U.S. trucks. Mexico cannot do so because of the limited availability of ultra-low sulfur diesel fuel in Mexico.

It breaks the law that the pilot program must include enough participants to be statistically valid. The FMCSA’s proposal would let only the best Mexican trucks participate, which would allow it to justify letting any Mexican truck over the border in the future.

“The last thing America needs right now is a guest-worker program on wheels,” said Teamsters General President Jim Hoffa. “We created zero jobs last month. Why would the Transportation Department threaten American warehouse and trucking jobs, while undermining highway safety? How can they even consider opening the border when drug violence is out of control in Mexico? DOT is sadly mistaken if it thinks this program is in America’s best interest.”

“Congress has repeatedly and overwhelmingly set stringent safety conditions for any cross-border trucking program, and this one clearly doesn’t meet those conditions,” Hoffa said.