7 closing in Arkansas? Thats unbelievable
So at one point they had 18 service centers covering Arkansas? This is ashame for those who will be affected but it's easy to see why they're doing this.Closed Arkansas centers
SCY- closed 1997 (contracted center)
RVL- closed 2009 (contracted center)
MTO- closed 2011
MNA- closed 2021?
CWY- Closed 2023
BLY, CDA, CNG, FCY, HOT, NPT and PBF- closed 2023
This will leave FSM, HRO, JBR, LIT, LOW and TXK.
I’m sure I missed a few from way back. Feel free to add or correct anything.
You had me until you mentioned leadership. If most EOL centers are like mine its a empty purple shirt that gives away our freight to other centers.I think FX realized that the cost to keep an entire terminal open is significantly higher than the cost of a few extra gallons of diesel.
Some of these terminals they're closing are within 20min from other centers.
Think about that. Cost of a building/lease. Then electricity, gas, water, taxes, insurance, groundskeeping. Then, you've got to have staffing. Some degree of leadership, and office personal.
All those expenses,
Or,,
A few extra gallons of diesel.
From the cost aspect I could see their reasoning. However if the economy wasn’t in a downturn things would have proceeded as they wereSo at one point they had 18 service centers covering Arkansas? This is ashame for those who will be affected but it's easy to see why they're doing this.
I'm sure they've considered the fact that the economy will turn back up eventually. Six service centers should be able to cover the state of Arkansas. Shreveport and Memphis are really close to the state line as well. Again, sorry to those that will be affected by this.From the cost aspect I could see their reasoning. However if the economy wasn’t in a downturn things would have proceeded as they were
True. Most of the really small centers that have existed, for example Mena, were “driver centers” that had just a city and road Driver that ran the show and had no domiciled management on place. Basically a shed with a couple of doors, a computer and a forklift. I could name some more examples elsewhere.I think FX realized that the cost to keep an entire terminal open is significantly higher than the cost of a few extra gallons of diesel.
Some of these terminals they're closing are within 20min from other centers.
Think about that. Cost of a building/lease. Then electricity, gas, water, taxes, insurance, groundskeeping. Then, you've got to have staffing. Some degree of leadership, and office personal.
All those expenses,
Or,,
A few extra gallons of diesel.
Point being, it's an expense.You had me until you mentioned leadership. If most EOL centers are like mine its a empty purple shirt that gives away our freight to other centers.
Possibly, it might have been a plan all along and the downturn moved it up in priority. If you look at your operation in the western part of the country, they’ve had long P&D runs to cover the territory, some as much as 150 miles a day round trip.From the cost aspect I could see their reasoning. However if the economy wasn’t in a downturn things would have proceeded as they were
Absolute truth, they are on the list.I heard Stockton was the only unionized service center and they are on closed list. Any truth to that?
150 is common. Hell, at my old location, many were 250+ a day.Possibly, it might have been a plan all along and the downturn moved it up in priority. If you look at your operation in the western part of the country, they’ve had long P&D runs to cover the territory, some as much as 150 miles a day round trip.
FedEx Freight is American Freightways bought and rebranded, which was rebranded from Arkansas Freightways when they expanded beyond state borders. That's why there were so many centers in AR. Got its start moving local freight around the state.So at one point they had 18 service centers covering Arkansas? This is ashame for those who will be affected but it's easy to see why they're doing this.
I'm not to old, but I heard the old timers talk about before deregulation you had to have authority to deliver in a state. Someone correct me if I'm wrong.FedEx Freight is American Freightways bought and rebranded, which was rebranded from Arkansas Freightways when they expanded beyond state borders. That's why there were so many centers in AR. Got its start moving local freight around the state.