BusterNite
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That was good UPSF, I don't have a clue on how to paste a copy. Thanks:smilie_132:
TForce | UPS to acquire ABF & TNT Express.
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That was good UPSF, I don't have a clue on how to paste a copy. Thanks:smilie_132:
BusterNite
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Keep in mind that UPS bought a LTL company to compete with Fedx. Fedx Freight is twice the size of UPSF. UPS needs to purchase another freight company in order to compete effectively.
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A lot of "could be's" in that article...BUT one thing that caught my eye was that this was written on 12/11/06 and he mentioned the name YRC National. This new name was not released until this past Monday on 1/15/07.........Hmmmm....what did this guy know, and when did he know it?????.........KK
BusterNite
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Sounds like an already plan in the making.
Greezy Trucker
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Can you say insider trading????? Better buy all the ABF stock you can, get rich and retire......
Greezy Trucker
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The one with the union has 56% of the market share in package, soooooo.......And we are just getting started in freight so charish that head start......Besides who is smarter the one that jumps in with both feet or the one that learns from others mistakes? Sounds like you need to reassure yourself.....Insecurity is a B!TCH!!!!!
As of today's market quotes the value of UPS is 80.26 Billion dollars. FDX - 34.06B, YRC - 2.37B, CNW - 2.16B. My point is we are talking about a huge gorilla of a company with major cash flow. Their new LTL division may not be the biggest LTL carrier but UPS has plenty of cash and resources to do whatever they want. Grow it from within, buy out another carrier, etc. My other point would be you can see what a small portion of their business we represent and if it seems things are not changing quickly enough perhaps they have other pressing items to address. 80 billion? UPS isnt going away in your lifetime, union or no union.
accelerator
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Yes Rev, you are exactly correct, but this is just speculation at this point, and nothing more, alot could change in the next year . after all mike must do what is most profitable for everyone.
There was publications regarding buyouts in the LTL industry by UPS prior to us being bought out, and it was infact shocking too alot of people in the industry that "O" was one of the first pick's, But I also think our purchase had alot to do with the railroad ( UP ) scalping UPS on small package moves by rail.
accelerator
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You must all understand the differance between ABF AND "O".
ABF owns the market in long haul at a whopping 97% operating ratio, they did have a 93% operating ratio at one time.they also have double digit growth in this market.
When compared to "O" we had double digit grouth in regional , and interegional, hauling second to 1 only NEW PENN .
When these mergers or buyout's become reality, we will be #3 in the LTL market behind FED EX\WATKINS AND YRC AS #1 IN SIZE.
With this in mind , these three can and will not only dominate the LTL industry, but can also set price, The new operations jesture for our company will be ( HOW LOW WILL BROWN GO...).
Just a brief synopsis of what could happen , but is most likely destined to happen.
97% operating ratio ? I think that you have your figures wrong.
2007 - The Year of UPS
12/11/2006
Satish Jindel
Next year will be a special year for UPS as Big Brown turns 100 on Aug. 28. However, it is the other events that could occur in 2007 that will make it an important year for the company and the transportation industry and thus provide a strong incentive for the UPS management and Teamsters leadership to cooperate in an unprecedented manner in the interest of the customers, investors, employees and management.
The Teamsters and UPS started talks last September. That provides more than nine months (which benchmarks well with previous contract talks) before the August anniversary for the two sides to finalize a new contract, which expires in 2008. During these talks, expect Teamsters to want new members while UPS seeks concessions on items affecting the integration of air express and ground parcel services, such as, part-time air drivers that only handle air express packages.
The future of UPS and the Teamsters union are intertwined.
Teamster cooperation with early contract execution would allow UPS to avert parcel volume diversion and revenue loss to competition, and disruption to shippers operations. By announcing the agreement in 2007, the union would gain by preventing potential job losses that a drawn-out negotiation might bring. UPS gets the opportunity to ramp up its integrated air and ground domestic parcel service from both operational and marketing perspective for a new competitive advantage for market share gain.
While the two sides work out the parcel contract, the Teamsters could sign a new LTL contract covering the hourly workers at all UPS Freight locations. UPS would end up with union workers in its LTL unit, avoiding problems from double breasting and it could gain more favorable work rules (to compete against non-union LTL carriers) that would not have been practical without its cooperation with the Teamsters through the card-check agreement granted last June.
Meanwhile, with mainly YRC Worldwide and Arkansas Best Freightways in the National Master Freight Agreement, William Zollars, CEO of the $10 billion YRC, will control the direction of a new contract that could set the groundwork for creating one YRC national YRC regional (with USF carriers and New Penn) network. ABF is part of the NMFA process, of course, but practically it may be thought of as the "YRC Freight Agreement."
ABF might gain the most from Teamsters consent for its workers to transition to a new UPS LTL contract. This could help ABF get acquired and provide UPS Freight a separate long haul (ABF) and regional (Overnite) network like its two major LTL rivals. With its 92 operating ratio, ABF has achieved better margins than most unionized LTL carriers. With ABF, UPS's LTL business unit would have combined annual revenue of $3.5 billion, enhance its competitive position against the larger YRC and FedEx Freight in a $32 billion market and create three giants with significant leverage to make changes in the LTL industry.
The Teamsters could gain big in 2007. Its LTL unit could get 15,000 new members and protection in the parcel unit for existing jobs and potentially new ones with UPS success in merging air and ground domestic services. And James Hoffa, newly re-elected Teamsters president, would get to participate in a major industry event to help UPS gain new confidence with the shipping community and build momentum to unionize UPS competitors.
Shareholders would also gain. If UPS, with its strong cash flow, is unable to make a large strategic acquisition in 2007, the board of directors could authorize another share buyback on top of two buyback authorizations over the last three years totaling $4 billion.
The industry also can expect strategic changes at UPS' Supply Chain and Freight.
This light-asset and non-asset business unit, the focus for many of UPS's recent acquisitions, has generated operating margins in the logistics business (based on gross revenues) of 2.6 percent, 4.9 percent and 2.2 percent compared to the domestic package business margins of 15.7 percent, 13.7 percent and 14.4 percent in 2005, 2004 and 2003, respectively.
Another thing to watch for is for UPS to announce a new CEO to lead the company into its next century.
Since the retirement of founder James Casey in 1962, CEO terms at UPS have been between four and seven years. John Rogers (1984-1989), Kent "Oz" Nelson (1989-1996) and James Kelley (1997-2001) each have presided over one contract extension with the Teamsters. Michael Eskew has been the CEO since January 2002. During his tenure, Mr. Eskew has overseen one Teamsters contract and moved the company aggressively into light-asset-based logistics and transportation services, which has quadrupled in annual revenue since 2001 to an estimated $8 billion for 2006.
And 2007 also promises to be a challenging year for UPS leadership. It may be faced with several major decisions: How to generate higher margins from the Supply Chain services? Does it bid a high price to acquire TNT Express (if it goes on sale) and deny this prize to its archrival - FedEx? How can it manage changes from integrating the overlapping domestic air and ground services into one parcel market?
No matter what, 2007 should be an interesting year. So tighten the seat belt as the road ahead may be rocky or smooth depending on how UPS and Teamsters deal with these industry-changing events.
-- Satish Jindel is President of SJ Consulting Group, based in Sewickley, Pa.
So according to this article its no longer if UPS freight will be organized by the Teamsters,but when.
I did think it very odd,all the years Overnite fought against being organized by the Teamsters.
Spending thousands of dollars,and dealling with unfair labor charges brought by the union.
Than right after we were rebranded from Overnite to UPS Freight.
The UPS CEO gave J.Hoffa jr. a free hand in starting the organizing process.
So we've been lead down the union road for these many months,and now we are seeing that UPS,and the Teamsters had agreed that we were to be unionized all along.
Well at least now we all know where we UPS freight employees stand.
Just keep doing our best job,with pride in the UPS brand.
Receive our pay checks and keep on rolling along with our parent UPS.
Yes we are on a roll,anyone that doesn't like it they better jump off now, or get run over,with this growing world wide global company.
I did think it very odd,all the years Overnite fought against being organized by the Teamsters.
Spending thousands of dollars,and dealling with unfair labor charges brought by the union.
Than right after we were rebranded from Overnite to UPS Freight.
The UPS CEO gave J.Hoffa jr. a free hand in starting the organizing process.
So we've been lead down the union road for these many months,and now we are seeing that UPS,and the Teamsters had agreed that we were to be unionized all along.
Well at least now we all know where we UPS freight employees stand.
Just keep doing our best job,with pride in the UPS brand.
Receive our pay checks and keep on rolling along with our parent UPS.
Yes we are on a roll,anyone that doesn't like it they better jump off now, or get run over,with this growing world wide global company.
BusterNite
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Oh my BusterNite your a real card,and also a real trip.
Which in my book makes you a real Trip Card.
I can't believe how clever I am this morning?
Maybe I'll go in to work early to play with my Diad.
I'm sure all of my truckingboard posting friends would just love to get rid of funny old Apostolic anyway.
I know a lot of folks can't look at life the same way as me.
Must because I know who to worship for everything,and that I'm going to make heaven my home,after I draw my last breath.
That knowledge alone,has given me a joy that can't quit.
So I'll catch you all back here after work tonight.
You all take care now your hear.
"Have fun,be safe,and may the Lord direct your path it works foe me,Apostolic"
Which in my book makes you a real Trip Card.
I can't believe how clever I am this morning?
Maybe I'll go in to work early to play with my Diad.
I'm sure all of my truckingboard posting friends would just love to get rid of funny old Apostolic anyway.
I know a lot of folks can't look at life the same way as me.
Must because I know who to worship for everything,and that I'm going to make heaven my home,after I draw my last breath.
That knowledge alone,has given me a joy that can't quit.
So I'll catch you all back here after work tonight.
You all take care now your hear.
"Have fun,be safe,and may the Lord direct your path it works foe me,Apostolic"
BusterNite
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:smilie_132:Don't play with your diad it'll make you go blind.
You mean I'll shoot my eye out with it RevItUp?
I didn't have time to mess with it when I got to work this morning,because I spent to much time on the truckingboard before getting to work.
After work tonight it was really snowing hard,so I took my little brown plastic wizerd to my drivers room.
Now I finally got caught up with the rest of my terminal with what I needed to learn about stage one,and two.
Next week its a three hour training to absorb the rest of what we need to know to use it from now on.
I'm going to pray that I won't be left in the dust with the rest of what I have to learn.
So much about the the good old days when all we needed was a signed D.R.,and we were good to go.
I didn't have time to mess with it when I got to work this morning,because I spent to much time on the truckingboard before getting to work.
After work tonight it was really snowing hard,so I took my little brown plastic wizerd to my drivers room.
Now I finally got caught up with the rest of my terminal with what I needed to learn about stage one,and two.
Next week its a three hour training to absorb the rest of what we need to know to use it from now on.
I'm going to pray that I won't be left in the dust with the rest of what I have to learn.
So much about the the good old days when all we needed was a signed D.R.,and we were good to go.
accelerator
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Let me explain, The 97% is hearsay I will admit to that, I have not seen any recent publications pertaining to OR for ABF . there was a publication in transport topics that stated ABF was running @ 93% and was the best OPERATING RATIO in the LTL industry thus far and matched to none on the LONG HAUL .
If you have recent #'s for ABF please share.
http://www.ttnews.com/tt100/2006/TT100For-Hire9-19.pdf
There was a FedEx driver saying they was bigger than UPS. May he needs to check the link who is 1 2 and 3.
There was a FedEx driver saying they was bigger than UPS. May he needs to check the link who is 1 2 and 3.
accelerator
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Let me correct that again to 92% OP,R. for ABF.