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Trucking Stocks Down But Not Out

Over the past two weeks, USFreightways Corp., Boyd Bros. Transportation and Covenant Transport each announced that they expect profits in the second quarter of 1999 to be higher than Wall Street estimates. The news may have sparked a bit of a rally. The Trucking Stock Index listed in Transport Topics rose 4.78% from June 11 to 18. That could be good news for long-suffering stockholders who have seen prices for most trucking stocks fall sharply over the past 12 months.

June 30, 1999

Trailer Market Slips From Record Pace

Shipments of trailers and chassis continue to drop off their pace of 1998, when they broke the previous record set three years earlier. April figures slipped 2.3% from the previous month, according to a preliminary count from the U.S. Bureau of Census. Complete trailers and chassis totaled 23,361 for April vs. 23,905 for March, indicating the downward trend that started off the year has not let up.

June 30, 1999

Teamsters Take Control of Local

Teamsters General President James P. Hoffa placed Local 19 in Grapevine, Texas, under control of the International union, following the resignation of local president J.D. Potter. Hoffa named Joe Darmento, a 10-year Teamster veteran from Louisville, Ky., to serve as trustee on an interim basis. Local 19 has about 3,500 members in four states, most of whom work in airline-related industries.

June 30, 1999

Traffic Manager Pleads Guilty to Tax Fraud Over Kickbacks

A traffic manager for a New Jersey mail-order company pleaded guilty to pocketing more than $74,000 in kickbacks and hiding the income from the Internal Revenue Service. William Surdakowski pleaded guilty June 14 to failing to report $74,889 in taxable income that he received in 1994 for awarding business to an unidentified trucking company in Virginia.

June 30, 1999

Mexican Trucks Found Deep In U.S.

Mexican motor carriers have been found operating illegally in 28 U.S. states — far beyond the narrow border zones to which they are restricted, according to the Department of Transportation’s inspector general, Kenneth Mead. His finding was made public at a June 24 Capitol Hill press conference by Reps. Jim Oberstar (D-Minn.), Rep. Jack Quinn (R-N.Y.) and Teamsters President James P. Hoffa, who jointly called for an investigation of the extent of the problem.

June 30, 1999

Nine States Form Emissions Test Bloc

Nine northeastern states have banded together to get tough on trucks that pollute the air. Connecticut, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, Rhode Island and Vermont agreed to begin roadside smoke testing and ticketing trucks and buses that are in violation by July 1, 2001.

June 30, 1999

Patent Issue Delays Warning System

Legal worries over patents are blocking adoption of an official standard for trailer-to-tractor warning communications. The patent issue frustrates backers of the electronic protocol called PLC4Trucks because they face a looming federal deadline to establish an accepted way to warn the driver of a faulty antilock braking system in a trailer.

June 30, 1999

Trailer Market Slips From Record Pace

Shipments of trailers and chassis continue to drop off their pace of 1998, when they broke the previous record set three years earlier. April figures slipped 2.3% from the previous month. Complete trailers and chassis totaled 23,361 for April vs. 23,905 for March, indicating the downward trend that started off the year has not let up.

June 30, 1999

You Load, Consolidated Hauls

Consolidated Freightways says it has a better idea for people who plan to move but don’t feel like paying to hire a moving company. CF will send a trailer to your house, let you load it yourself and then come and get it. The service, which went “live” June 21, is being offered through the Menlo Park, Calif., company’s new e-commerce division.

June 30, 1999

UPS Expands Into Latin America

Air shipping rights obtained in a purchase of Challenge Air Cargo could give United Parcel Service dominant market share of both heavy air cargo and express package service in Latin America. The deal, announced June 28, calls for UPS to take over Challenge’s facilities, including warehouses and ground equipment, and its customer network.

June 29, 1999