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Key issues for members include subcontracting, healthcare, and wages.
NATIONAL TFORCE NEGOTIATIONS KICK OFF
Key issues for members include subcontracting, healthcare, and wages.
I see they are using the phrase “Master Freight Agreement.” Do they plan to change TForce Freights contract to match that of Master Freight? If so, doesn’t that eliminate seniority by classification and change it to Company seniority? If so I’m a NO Vote! I’m not going to vote for a contract that allows a dockworker with 30 years to displace a road driver with 20 years on the road driver classification.
Good point. Do you see TFI buying ABF and merging with TForce Freight after the contracts are done?Similar contract language makes for an easy merger
Maybe a year or two down the road, but I’m more likely to believe collusion instead of a mergerGood point. Do you see TFI buying ABF and merging with TForce Freight after the contracts are done?
I really see that happening...just a gut feeling....TFI got plenty of money to burn and a good stake in ArkBest...wow...hang on!Good point. Do you see TFI buying ABF and merging with TForce Freight after the contracts are done?
Even if they have the money to buy out of the pension liabilities, they have nothing to trade off to do so.I really see that happening...just a gut feeling....TFI got plenty of money to burn and a good stake in ArkBest...wow...hang on!
It isn't just the stockholders either, they have the pension funds to deal with too.Depends on who brings what to the table. ABF holds the hammer, so to speak, TFI is an outsider with not a lot to offer but some properties and equipment.
TFI will not get the sweetheart deal they got from UPS, as a publicly traded Company ABF stockholders will have to approve it.
It ain't gonna be cheap...
TFII is nearly four times the size of ARCB in market cap.It isn't just the stockholders either, they have the pension funds to deal with too.
Market cap doesn't equal cash on hand. UPS did all their transactions with cash. TFI is an ant compared to UPS.TFII is nearly four times the size of ARCB in market cap.
They are not getting another ltl company the size of ups freight for 800 million. Abf would cost 2.5 billion at least. That doesn't include the pension obligations to the cspf and all the other multi employer pension funds .TFII doesn’t need the cash on hand to make an offer. They can debt finance it. UPS and TFII are two different birds.
TFI International has acquired 31 companies, including 8 in the last 5 years. A total of 4 acquisitions came from private equity firms. It has also divested 2 assets. TFI International's largest acquisition to date was in 2021, when it acquired TForce Freight for $800M.
My prediction. They will buy another freight company and pay more than they paid for UPS Freight. They will likely use private equity to get it done or divest other assets. The fact is they have a 4% stake in ABF and are looking to buy it.They are not getting another ltl company the size of ups freight for 800 million. Abf would cost 2.5 billion at least. That doesn't include the pension obligations to the cspf and all the other multi employer pension funds .
Conway didn't buy Consolidated freight.Not to dampen anyone's spirit but the older hands should remember what happened to a union freight company called Consolidated Freightways " CF " after Conway bought the company and then negotiation time came around.