TForce | UPS to acquire ABF & TNT Express.

Does anyone remember reading an article on UPSer.com about last spring regarding what UPS thought was an outstanding freight and logistics company which they admired? The company in question was Manitoulin Transport of Canada!!! Not ABF, YRC, OD, etc. but a very well oiled machine up north. If you go to Manitoulin's web site you will find a carrier that is embedded firmly into the landscape on the frozen barrens with a network of terminals and services that would fit nicely into UPS's scheme of things. Consider the fact that FedEx's purchase of Watkins was mainly for the purpose of establishing a foothold in Canada. It just happens to be a bonus that FDX gets a US carrier to boot and gains more market share. Now an arguement can be made that FXFN is a long haul carrier and FXF is regional. Well if you use FXF, CF, OD, UPGF, Estes, R+L etc. from Boston to LA, your freight gets there on the said service times. In my eyes it's not about long haul vs. short haul, it's about market share. UPSF will fill in the blanks on the map as FXF did in the US. Besides UPS has there hands full with UPSF alone. Another US aquisition merger so early in the game would only add to the chaos as UPS is trying to establish a quality carrier. And I think after reading this article in UPSers, UPS is looking to the north.


I agree 100%
 
Does anyone remember reading an article on UPSer.com about last spring regarding what UPS thought was an outstanding freight and logistics company which they admired? The company in question was Manitoulin Transport of Canada!!! Not ABF, YRC, OD, etc. but a very well oiled machine up north. If you go to Manitoulin's web site you will find a carrier that is embedded firmly into the landscape on the frozen barrens with a network of terminals and services that would fit nicely into UPS's scheme of things. Consider the fact that FedEx's purchase of Watkins was mainly for the purpose of establishing a foothold in Canada. It just happens to be a bonus that FDX gets a US carrier to boot and gains more market share. Now an arguement can be made that FXFN is a long haul carrier and FXF is regional. Well if you use FXF, CF, OD, UPGF, Estes, R+L etc. from Boston to LA, your freight gets there on the said service times. In my eyes it's not about long haul vs. short haul, it's about market share. UPSF will fill in the blanks on the map as FXF did in the US. Besides UPS has there hands full with UPSF alone. Another US aquisition merger so early in the game would only add to the chaos as UPS is trying to establish a quality carrier. And I think after reading this article in UPSers, UPS is looking to the north.

Although I do agree with your comment about manatoulin and canada. It is easier to buy an already existing entity in the US that will double our capacity , and we also do not know how well UPSF is working out thus far, UPS had not made a comment as of yet... We just started comming out of our shell, the next year will tell how well we have adapted and will probably determin if another US carrier is worth buying. Buying an already profitable entity establishes profit during the transition process. ut does not determin where and if another buyout will occur, it is hard for me to believe we "O" was only one, we need an established company making a profit already to ease the transition process and double the territory we cover..Then we can really drop price and compete with the other big players, YRC AND FXFT. After all we are a small company in respect to realestate in comparison to the 2 I have mentioned above.
 
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