Monday, November 23, 2009

Announcement: Lakeside Logistics

Lakeside Logistics recently appointed Dan Davis to the new position of Vice President Operations for Lakeside Logistics.

“Dan’s expertise in the multi-stop consolidation and temperature control segment of the business builds on our bench strength in strategic freight management,” says Jeff Moore, Managing Director, Lakeside Logistics. “He adds senior management skills to the operations group.”

Bringing more than 30 years of transportation experience to his new position, Dan will be melding his expertise with Lakeside’s strengths to continue raising the bar in the delivery of innovative, quality services for Lakeside clients. He joins Lakeside from MBX Logistics.

With seventeen years in the non-asset 3PL business, Dan is a perfect fit with Lakeside’s non-asset business model.

About Lakeside Logistics
Lakeside Logistics is a 3PL providing custom supply chain and transportation management services across North America. Headquartered in Oakville, ON, the company has operations in California, Wisconsin, Tennessee, Alberta and British Columbia. Client services are supported by real time web-based systems such as the Executive Dashboard, track and trace, KPIs, virtual warehousing and e-commerce. Clients include Xerox, Johnson & Johnson, West Fraser Mills, Ocean Spray, CIBA Specialty Chemicals, Oakrun Farm Bakery, Pepsi QTG, Santa Maria Foods and Campbell Soup.

Tuesday, November 17, 2009

CN Announcement

CN reaches 20th voluntary mitigation agreement (VMA), makes substantial strides in EJ&E integration

VMAs now cover two-thirds of the population along the EJ&E

CHICAGO, Nov. 17, 2009 — CN (TSX: CNR)(NYSE: CNI) announced today a voluntary mitigation agreement (VMA) related to its acquisition of the principal lines of the former Elgin, Joliet and Eastern Railway Company (EJ&E) with the Village of Lake Zurich, Ill., located 37 miles northwest of downtown Chicago. With this agreement, CN has VMAs with 20 municipalities that are home to two-thirds of the population living along the EJ&E in Illinois and Indiana.

CN’s latest VMA will provide funding for a range of environmental measures, including rail noise mitigation, maintenance of an existing quiet zone, emergency response training, safety initiatives, and improved communication. CN completed its EJ&E acquisition on Jan. 31, 2009, and, while traffic volumes overall remain down owing to general economic conditions, CN has rerouted a limited number of its trains over the line.

Jim Vena, senior vice-president, Southern Region, said: “CN has made substantial strides in dealing with the effects of the EJ&E transaction on communities along the line, as well as in integrating the railroad into our North American network. We have been committed to developing constructive working relationships with communities on the EJ&E, and we have been particularly pleased that so many EJ&E municipalities have been willing to undertake productive VMA negotiations with CN. The current number of VMAs – 20 out 33 communities along the EJ&E – and a series of other measures underscore our commitment to work with municipalities to minimize the transaction’s impacts on EJ&E communities and to ensure safe operations.” Such measures include:

  • A substantial reduction in the number and duration of vehicular delays caused by trains stopped at EJ&E grade crossings for 10 minutes or more;

  • Creation of a section on CN’s website with information about EJ&E construction projects and routine maintenance activities that may affect vehicular traffic;

  • Community liaison meetings to follow through with voluntary mitigation agreements and regulatory requirements. These meetings have generated positive partnerships with affected communities and solid feedback to the company;

  • Operation Lifesaver presentations at schools to educate children and teenagers about the importance of rail safety and dangers of rail trespass;

  • Comprehensive emergency responder training programs offered by CN at its own expense to all communities along the EJ&E, including tank car specialist training at Pueblo, Colo. With this training, the Chicago area possesses as high a concentration of highly-qualified experts as any region on the CN system;

  • Application of new safety equipment on the EJ&E to monitor rail wheel and bearing conditions, as well as rail lubricators to reduce train noise, and

  • Advanced planning for the construction over the next few years of key connections that will enhance the fluidity of train movements along the former EJ&E and CN’s network in the greater Chicago area.

CN has been very transparent in its implementation of this transaction. In compliance with the Surface Transportation Board’s (STB) Dec. 24, 2008, decision approving the EJ&E transaction, CN files monthly operational and quarterly environmental reports at the Board with updates on the status of implementation of the environmental mitigation measures imposed by the agency.

CN has also been actively engaged in a dialogue with EJ&E customers on integration issues and flawlessly cut-over the railway to its computerized operating system that extends the benefits of CN’s Precision Railroading model to EJ&E shippers and receivers.

“CN has been working productively with the communities having VMAs with the company to address a broad range of issues, particularly safety,” Vena said. “And we continue to work with communities along the EJ&E that do not have agreements with CN to ensure we implement the safety and environmental conditions required by the STB. We will strive to work cooperatively with all the EJ&E communities and to smoothly implement this transaction, which will enhance transportation efficiency and generate regional environmental benefits.”

CN expects that full integration of the CN and EJ&E networks will be accomplished within three years.

More information on the acquisition, including a map of the areas served by the EJ&E and CN, is available on CN’s website,

Forward-Looking Statements

This news release contains forward-looking statements. CN cautions that, by their nature, forward-looking statements involve risk, uncertainties and assumptions. Implicit in these statements, particularly in respect of long-term growth opportunities, is the Company’s assumption that such growth opportunities are less affected by the current situation in the North American and global economies. The Company cautions that its assumptions may not materialize and that the current economic conditions render such assumptions, although reasonable at the time they were made, subject to greater uncertainty. The Company cautions that its results could differ materially from those expressed or implied in such forward-looking statements. Important factors that could cause such differences include, but are not limited to, the effects of adverse general economic and business conditions, including the recession in the North American economy and the global economic contraction in 2009, industry competition, inflation, currency and interest rate fluctuations, changes in fuel prices, legislative and/or regulatory developments, compliance with environmental laws and regulations, actions by regulators, various events which could disrupt operations, including natural events such as severe weather, droughts, floods and earthquakes, labor negotiations and disruptions, environmental claims, uncertainties of investigations, proceedings or other types of claims and litigation, risks and liabilities arising from derailments, and other risks detailed from time to time in reports filed by CN with securities regulators in Canada and the United States. Reference should be made to “Management’s Discussion and Analysis” in CN’s annual and interim reports, Annual Information Form and Form 40-F filed with Canadian and U.S. securities regulators, available on CN’s website, for a summary of major risks.

CN assumes no obligation to update or revise forward-looking statements to reflect future events, changes in circumstances, or changes in beliefs, unless required by applicable laws. In the event CN does update any forward-looking statement, no inference should be made that CN will make additional updates with respect to that statement, related matters, or any other forward-looking statement.

CN – Canadian National Railway Company and its operating railway subsidiaries – spans Canada and mid-America, from the Atlantic and Pacific oceans to the Gulf of Mexico, serving the ports of Vancouver, Prince Rupert, B.C., Montreal, Halifax, New Orleans, and Mobile, Ala., and the key metropolitan areas of Toronto, Buffalo, Chicago, Detroit, Duluth, Minn./Superior, Wis., Green Bay, Wis., Minneapolis/St. Paul, Memphis, and Jackson, Miss., with connections to all points in North America. For more information on CN, visit the company’s website at

Monday, November 16, 2009

Announcement: Werner Enterprises

Werner Enterprises launches Werner Global Logistics Australia Pty. Ltd

OMAHA, Neb. Werner Enterprises, Inc. announced today that it has fully established its newest subsidiary, Werner Global Logistics Australia Pty. Ltd. The new subsidiary was formed in the third quarter of 2009 and expands the company’s global presence to Australia.

Werner Global Logistics Australia Pty. Ltd. extends the company’s logistics services to the domestic Australia market by offering freight forwarding, logistics, local transportation and distribution services. The primary Australian service areas include the most densely populated markets of Melbourne, Sydney and Brisbane.

“Our financial strength and flexible IT platform allow us to expand quickly into markets where we recognize growth opportunities. Australia is a market that is relatively insulated from the global economic downturn and presents those opportunities,” said Craig Stoffel, vice president of Werner Global Logistics. “This will also position us to better serve our worldwide client base with their international and local needs.”

Werner Enterprises, Inc. was founded in 1956 and is a premier transportation and logistics company, with coverage throughout North America, Asia, Europe, South America, Africa and Australia. Werner maintains its global headquarters in Omaha, Nebraska and maintains offices in the United States, Canada, Mexico, China and Australia. Werner is among the five largest truckload carriers in the United States, with a diversified portfolio of transportation services that includes dedicated, medium-to-long-haul, regional and local van capacity, expedited, temperature-controlled and flatbed services. Werner's Value Added Services portfolio includes freight management, truck brokerage, intermodal, load/mode and network optimization and freight forwarding. Werner, through its subsidiary companies, is a licensed U.S. NVOCC, U.S. Customs Broker, licensed Freight Forwarder in China, licensed China NVOCC, TSA-approved Indirect Air Carrier and IATA Accredited Cargo Agent.

Werner Enterprises, Inc.’s common stock trades on the NASDAQ Global Select MarketSM under the symbol WERN. For further information about Werner Enterprises, visit the company’s web site at

Wednesday, November 11, 2009

New CITT Chair of the Board

Toronto, Ontario – CITT is proud to announce Andrew Dixon, CITT, has been elected as the new Chair of the Board for 2009-10.

Mr. Dixon was elected at the 51st Annual General Meeting held on November 7, 2009 following Reposition 2009 in Niagara-on-the-Lake. He replaces outgoing Chair Patrick Bohan, CITT.

Since 2004, Mr. Dixon has been the Vice President, Marketing and Business Development, for the Saint John Port Authority. He is responsible for marketing and promoting the Port of Saint John. This includes all business development activities directed to both existing and prospective clients, as well as through terminal operators that lease port facilities. Prior to that, Mr. Dixon was the Commercial Manager, Atlantic region, for Logistec Stevedoring.

Mr. Dixon has been actively involved with CITT for several years. In 2008 he served as Vice Chair of Rules and in 2009 he served as Vice Chair of Administration on the CITT Board of Directors. When current Chair Patrick Bohan completed his final term as Chair, Mr. Dixon did not hesitate in taking on the added leadership and strategic planning responsibilities the role entails.

It is an honour and a privilege to be given the responsibility of leading CITT as Chair of the Board,” said Mr. Dixon. “It is not a position that I take lightly, and I plan to draw upon my fellow Board members and CITT staff for guidance as we plot the path forward into 2010 and beyond. Professionally and personally, the CITT designation has meant a lot to me as my career has unfolded over the years.”

Mr. Dixon graduated from the University of New Brunswick in 1983 with a Bachelor of Business Administration degree. He also completed the Executive Marketing Management program from the University of Western Ontario in 1991.

Mr. Dixon was a past course facilitator for the Integrated Logistics course in the CITT Program of Study. He earned his CITT designation in 1989.

Tuesday, November 10, 2009

Announcement: TBB Global Logistics

TBB Global Logistics Expands LTL and Truckload Transportation Services Within Canada

New Freedom, Pa.― The leadership of TBB Global Logistics (, a 63-year-old, nationally-known, third-party supply chain management firm, announces the company is now offering less than truckload (LTL) and truckload (TL) transportation services within Canada for the first time.

“Our objective is to replicate in Canada the outstanding U.S. domestic transportation management service we currently provide,” said Samuel R. Polakoff, president of TBB Global Logistics. “Through our exclusive contract with Lightning Joe’s, Inc., we now have the necessary pieces in place to offer complete LTL and truckload services to companies moving materials within Canada.”

The new offering builds on TBB Global Logistics’ extensive experience handling cross-border needs between the U.S. and Canada for any mode of transportation, including Customs clearance. The decision to expand TBB Global Logistics’ LTL and TL service developed from recognition of the growing need for quality, cost-effective transportation solutions and management throughout Canada.

“We can now work with companies to streamline their supply chain costs within Canadian borders. We use supply chain process and technology to facilitate more efficient transportation and to promote profitable trade for our clients. Our goal is to help small to medium sized clients expand their markets and improve their margins,” said Polakoff.

About TBB Global Logistics

Founded in Baltimore in 1946, TBB Global Logistics provides complete supply chain management services. TBB provides domestic and international transportation management and supply chain solutions through its Supply Chain Guardian brand. Supply chain support services include Asian sourcing, procurement, customized warehouse logistics, and reverse logistics. TBB offers web-based supply chain management applications and supply chain consulting. Headquartered in New Freedom, Pennsylvania, TBB Global Logistics maintains its international operations center in Maryland, located in Linthicum by BWI Airport and sales teams throughout the United States. TBB Global Logistics also has a network of agents in countries around the world. For more information, visit

Friday, November 6, 2009

CSX Green Certification Announcement

CSX Becomes First Transportation Provider to Join Maryland Green Registry

Cambridge, MD – November 6, 2009 – CSX is the first transportation provider selected to join the Maryland Green Registry, a voluntary self-certification program that promotes and recognizes sustainable practices by organizations throughout the state. The selection was announced yesterday evening by Maryland Governor Martin O’Malley at a Maryland Chamber of Commerce Business Policy Dinner in Cambridge, Maryland.

The Maryland Green Registry includes organizations that complete a best practices profile covering environmental management and leadership, waste reduction, energy and water conservation, transportation, and green building design.

“Maryland businesses like CSX already know that even relatively simple steps to reduce our impact on the environment save money and create a healthier workplace,” said Governor Martin O’Malley. “The Maryland Green Registry provides an opportunity for these organizations to share their stories and inspire others to take steps to protect our air, land, and water, including the Chesapeake Bay. We’re fortunate to have more than 80 organizations in our State who have agreed to come forward and participate – including CSX – and we hope to have hundreds more organizations join us.”

"Environmental sustainability is fundamental to CSX's management principles and good business practices," said Michael Ward, Chairman, President and CEO of CSX. “CSX is proud to join the Maryland Green Registry, and we look forward to working with other participants to build a greener future for Maryland, where CSX has a long and proud history.”

CSX was selected for the Maryland Green Registry due to its overall commitment to environmental sustainability. CSX recently announced a plan to reduce C02 emissions by 2.4 million tons - the equivalent of taking 441,000 cars off the road each year, or burning 5,598,000 fewer barrels of oil.

Trains can move a ton of freight more than 436 miles on a single gallon of fuel, making rail transportation three times more fuel-efficient than highway transportation. Efficient use of fuel reduces greenhouse gas emissions. According to the EPA, freight railroads account for just 2% of U.S. greenhouse gas emissions from transportation sources and well under 1% of total greenhouse gas emissions.

CSX is also a sponsor of the National Gateway. The National Gateway is a public-private partnership that proposes a state-of-the-art rail corridor linking the East Coast's international deepwater ports and major consumption markets with the population and manufacturing centers of the Midwest. The National Gateway will deliver over $2 billion of public benefits to Maryland by creating over 10,000 jobs, increasing the market access potential for the Port of Baltimore by 114%, eliminating over 2 million tons of CO2 emissions, reducing highway congestion and shifting 1.6 billion freight truck miles to rail.

CSX has partnered with the EPA as the railroad industry’s charter member in the SmartWay Transport Partnership and the first transportation company to join the EPA’s Climate Leaders Program, leading voluntary improvements in greenhouse gas emissions.

CSX Corporation, based in Jacksonville, Fla., is a leading transportation company providing rail, intermodal and rail-to-truck transload services. The company’s transportation network spans approximately 21,000 miles with service to 23 eastern states and the District of Columbia, and connects to more than 70 ocean, river and lake ports. More information about CSX Corporation and its subsidiaries is available at the company's web site,

Thursday, November 5, 2009

“Oil at $1000 per barrel in 2030?” PwC Survey

Energy prices, climate change and regional sourcing will drive fundamental changes in an energy constrained, low carbon world

November 5, 2009 — Climate change, rising energy prices and increasing local sourcing are current and future challenges for the transport & logistics (T&L) industry, according to the new global survey: Transportation and Logistics 2030 by PricewaterhouseCoopers (PwC). “While respondents to the survey strongly disagreed with a statement that the price of oil will reach US$1000 per barrel, it does raise some thought provoking questions about how the scarcity of oil will impact this sector”, says Todd Thornton, of PwC’s Transportation and Logistics practice.

Over half of the respondents to PwC’s recent survey of transportation and logistics executives across the globe predict an optimistic future scenario in which alternative energy accounts for up to 80% of their overall energy mix in some countries. The majority of global respondents see the reduction of CO2 emissions and other emissions (such as nitrogen oxide and environmental noise) as a target in both the short and long-term. As well, nearly 70% of global respondents expect that by 2030 all emissions will be tracked in the supply chain and factored into the price of the product.

“Increased awareness of consumers about sustainability will alter behaviour and in turn, global supply chains,” says Thornton, “Transport and logistics companies, driven by new regulations, will begin to face challenges in tracking, evaluating and documenting all emissions in order to measure the full environmental impact of their activities. When they do, these emissions will be factored into the price of products and could make doing business with these companies more expensive."

A number of the panelists surveyed believe that significant investments into alternative energy resources should lead to diminished importance of oil in the overall energy mix and a reduction in the demand for fossil fuels. While others believed that competition from new energy sources may lead OPEC to increase production, effectively keeping oil prices down. Overall, there was no general consensus about when or to what extent oil prices may rise.

The respondents overwhelmingly agreed that a massive hike in the oil price would have serious ramifications for the industry. Should oil prices soar to a four digit figure, regionalization of supply chains and relocation of production sites would be the consequence. If oil prices stay in the three digit figure range, it was agreed that global sourcing and transportation are still expected to provide reasonable cost advantages.

The survey reports that nearly six in ten respondents believe that their home and work environments, will become more integrated, with travel distances diminished between both. Even 45% of the respondents expect a reduction in individual mobility compared to today.

Although 60% of those surveyed think that consumers will prefer locally produced products by 2030, respondents do not believe that there will be a complete reversal of globalization by 2030. However, 59% think that transportation costs will be the predominate factor in the location of future production sites.

A further finding was that more flexible and efficient usage of transport modes will emerge. The majority of respondents anticipate that autonomous and self-controlled systems such as agent systems and automatic guided vehicles will revolutionize freight transport. Sixty percent believe that larger means of transport will become more prevalent as a way of compensating for rising transportation costs; however necessitating the need for significant infrastructure investment.


PwC surveyed 48 experts from 20 countries from five continents using an online RealTime Delphi method. Over a time period of six weeks the expert panel discussed and assessed different scenarios for the T&L industry in a multi-staged procedure. The panel was composed of C-suite representatives from prestigious global companies, subject matter experts in strategy, as well as experts from business associations and academics from the fields of logistics. The majority of participants (60 percent) were C-level executives.

About PricewaterhouseCoopers LLP

PricewaterhouseCoopers provides industry-focused assurance, tax and advisory services to build public trust and enhance value for its clients and their stakeholders. More than 163,000 people in 151 countries across our network share their thinking, experience and solutions to develop fresh perspectives and practical advice. In Canada, PricewaterhouseCoopers LLP ( and its related entities have more than 5,300 partners and staff in offices across the country.

“PricewaterhouseCoopers” refers to PricewaterhouseCoopers LLP, an Ontario limited liability partnership, or, as the context requires, the PricewaterhouseCoopers global network or other member firms of the network, each of which is a separate and independent legal entity.

Wednesday, November 4, 2009

Lakeside Logistics is Honoured with Greening of the Supply Chain Award

Toronto, Ontario - I.E.Canada recently held its inaugural CATIE Awards. The Awards celebrate excellence in Canada’s trade community and have been established to recognize those who have implemented outstanding processes, improved trade operations, created efficiencies and increased profitability, and nurtured the culture of trade professionalism.

“The individuals and corporations who live the intricate requirements of trade on a day-to day basis are the drivers of success in our global economy. It is these people and businesses that set the standard, define best practices and ultimately contribute to business success,” said Mary Anderson, president, I.E.Canada.

The Awards were presented during the I.E.Canada’s 78th Annual Conference and Tradeshow, held in Toronto.

The Greening of the Supply Chain Award, recognizing a corporation that, through its own internal processes and systems, has set a new standard for suppliers and vendors to meet in terms of environmental sustainability was presented to Lakeside Logistics. Lakeside Logistics is a non-asset based supply chain and transportation management company. In June 2007, the company committed to greening the supply chain by creating the position of Director of Sustainability to drive environmental initiatives. Through their “Vision Green” program, Lakeside Logistics’ green initiatives focus on reducing their carbon footprint through the efforts of the company, its carriers and customers, creating cost savings and increasing efficiency.

“Corporate social responsibility is becoming a very important part of trade. Companies like Lakeside Logistics that make an exceptional commitment to environmental sustainability are world leaders,” said Anderson.

For further information on Lakeside Logistics award contact: Susan Moore, Director Sustainability, Lakeside Logistics,

BNSF and Bershire Hathaway

Warren Buffet’s Berkshire Hathaway investment company is investing and making what he describes as an "all-in wager" on the U.S. economy — $34 billion to own Burlington Northern Santa Fe, the second-largest railroad in the U.S.

"Most important of all, however, it's an all-in wager on the economic future of the United States. I love these bets," he told reporters in a newscast this week.

Berkshire Hathaway Inc. owns 22 percent stake of Burlington Northern and the $34 billion investment would enable his firm to own the balance of BNSF. The transaction requires approval from Burlington shareholders and antitrust regulators in 2010.

Burlington Northern is the largest hauler of corn and coal for electricity, making it an indicator of the United States’ economic health.

An estimated 700 BNSF workers are based in Vancouver, with some 700 rail cars moving daily through Vancouver’s rail yards. In the Northwest BNSF owns 1,600 miles of track in Washington and employs 3,000 workers, with a statewide payroll of $189 million. It has operated in the region since 1873. A spokesperson stated this week that the acquisition would not impact its operations in the Northwest region.

Tuesday, November 3, 2009

Announcement: Pacer International

Pacer International Announces New Arrangements with Union Pacific and Reports Third-Quarter 2009 Results

CONCORD, Calif., November 3, 2009 (James Street Media Services)—Pacer International, Inc. (Nasdaq: PACR), the asset-light North American freight transportation and logistics services provider, today announced that it has entered into new arrangements with Union Pacific Railroad (UP) that will further accelerate Pacer’s transformation into a fully-integrated, door-to-door intermodal service provider. In addition, Pacer reported today its financial results for the three- and nine-month periods ending September 30, 2009.


--Multi-year arrangements provide continued access to the entire UP intermodal rail network and establishes a new rate structure.

--Pacer increases focus on door-to-door integrated intermodal services with seamless coordination and control of equipment, technology, and service delivery.

--Pacer’s full portfolio of intermodal, trucking, and logistics services is positioned to meet shipper requirements.

“We are delighted to announce that Pacer and UP have entered into new multi-year arrangements that provide Pacer with continued access to the entire UP network,” said Michael E. Uremovich, chairman and CEO of Pacer. “This is a significant positive development for Pacer and our customers. The direct beneficiaries of the arrangements are companies seeking door-to-door intermodal services who demand a higher degree of service delivery integration and greater efficiency.”

The new arrangements provide Pacer with continued access to the entire UP intermodal network, featuring a multi-year line-haul services extension that replaces the parties’ current terms for domestic big-box shipments that were to expire in 2011. In addition, it resolves outstanding claims between Pacer and UP relating to domestic container transportation; facilitates a more efficient equipment model through a fleet-sharing arrangement that provides customers access to equipment of both companies; and allows Pacer to strategically focus on its direct-to-customer intermodal service offering. The multi-faceted arrangements form a firm foundation for intermodal service growth by both organizations.

Pacer will utilize the $30 million cash payment received in connection with the new arrangements to reduce outstanding debt under its revolving credit facility, a reduction of nearly 50 percent, providing the Company with additional availability under the facility.

The increased focus on high-value, door-to-door service is expected to result in long-term benefits for Pacer, though a substantial reduction in revenues from third-party, ramp-to-ramp services is anticipated due to the new arrangements’ terms and conditions.

“Pacer’s strategy recognizes that shippers favor direct control over each element of the transportation process. This is an exciting and dynamic time because intermodal has emerged as a key growth sector in the transportation industry. We are positioned for growth as one of the largest intermodal services providers with the most diverse container fleet in North America and focused on what the customer demands—seamless coordination and control of equipment, technology, and service delivery,” said Uremovich.

“We continue to offer our premier array of transportation and logistics services, through our cartage, highway, warehousing, and ocean carrier and freight forwarding businesses; and we continue to dedicate ourselves to delivering the very highest service with confidence every day,” said Uremovich.

Pacer will discuss its new arrangements during its earnings call that is scheduled for Wednesday, November 4th at 8 a.m. ET. Details for analysts who would like to participate in the call are below.


--Revenues decreased $139.1 million to $418.7 million compared to $557.8 million for the quarter ended September 19, 2008.

--Income from operations declined $28.6 million to an income of $0.7 million compared to an income of $29.3 million in the 2008 quarter.

--Net income declined from $20.8 million in the 2008 quarter to a net income of $0.6 million in the 2009 quarter.

--During the quarter the Company completed an amendment to its credit agreement, closed the sale of certain assets of its truck services unit and recorded a gain of $1.4 million on the transaction in Selling, General and Administrative Expenses. In addition, it continued its cost cutting efforts during the quarter with a reduction of 253 people and recorded $2.0 million in severance expense.


--Intermodal segment income from operations decreased $30.0 million from the 2008 quarter to an income of $4.9 million compared to an income of $34.9 million in the 2008 quarter. Volumes showed improvement from the second quarter of 2009, especially automotive volumes, but are still below the 2008 quarter. Results include $1.0 million for severance expense.

--Logistics segment income from operations declined $1.9 million to a loss of $0.2 million compared to an income of $1.7 million in the 2008 quarter. Losses at the truck services unit were the primary cause of the decrease.
--SG&A expenses declined by $8.9 million due in part to the Company’s continued cost reduction programs.

--Sale of Truck Services–On August 17, 2009, the Company sold certain assets of its truck services business to Universal Truckload Services, Inc. and UTS Leasing, Inc.

“We are very pleased with our progress and return to profitability in the third-quarter given that the transportation markets and overall economic conditions remained extremely challenging,” said Brian C. Kane, chief financial officer of Pacer. “We successfully amended and extended our credit facility and closed the sale of certain assets of Pacer Transport, our flatbed and heavy haul truck services company, during the quarter. We also implemented a number of additional organizational initiatives that we believe will further improve our operational execution and the focus on our door-to-door integrated intermodal product while reducing our costs. Though we remain in challenging economic times, we are very encouraged by our financial and organizational progress during the third-quarter, and by our new arrangements with UP which will allow us to continue to deliver unparalleled value to our customers.”


--Revenues for the nine months ended September 30, 2009 decreased $423.2 million to $1,154.0 million compared to $1,577.2 million for the nine months ended September 19, 2008.

--Income from operations, which includes a $200.4 million pre-tax, non-cash goodwill impairment charge (of which $31.4 million related to our logistics segment and $169.0 million related to our intermodal segment), was a loss of $234.2 million compared to income of $75.3 million in the 2008 period. Excluding the first quarter impairment charge, income from operations was a loss of $33.8 million. Included in income from operations in the 2009 period is $4.3 million for severance expense.

--Net income declined from $47.6 million in the 2008 period to a net loss of $184.1 million, or $5.30 per diluted share, in the 2009 period. Net income includes the impact of the goodwill impairment charge ($161.2 million after-tax, or $4.64 per share). Excluding the impairment charge, net income was a loss of $22.9 million, or $0.66 per diluted share.


--Intermodal segment income from operations decreased $281.3 million from the 2008 period to a loss of $184.5 million (including a $169.0 million goodwill impairment charge) compared to an operating income of $96.8 million in the 2008 period. Excluding the impairment charge, the intermodal segment recorded a $15.5 million operating loss.

--Logistics segment income from operations decreased $35.6 million to a loss of $36.3 million (including a $31.4 million goodwill impairment charge) compared to a loss of $0.7 million in the 2008 period. Excluding the impairment charge, the logistics segment recorded a $4.9 million operating loss due primarily to our truck services unit.

--SG&A expenses declined by $13.3 million due in part to the Company’s continued cost reduction programs.

Note: A tabular reconciliation detailing the adjustments made to arrive at the adjusted financial results set forth above and elsewhere in this press release from financial results determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) is contained in the financial summary statements attached to this press release.

Pacer International, a leading asset-light North American freight transportation and logistics provider, through its intermodal and logistics operating segments, offers a broad array of services to facilitate the movement of freight from origin to destination. The intermodal segment offers wholesale intermodal services to transportation intermediaries, and retail intermodal services directly to beneficial cargo owners. The logistics segment provides other logistics services to beneficial cargo owners through its truck brokerage, warehousing and distribution, international freight forwarding and supply-chain management services units. Pacer International is headquartered in Concord, California. Its intermodal and logistics operating segments are headquartered in Concord, California, and in Dublin, Ohio, respectively.

USE OF NON-GAAP FINANCIAL MEASURES: This press release contains “non-GAAP financial measures” as defined by the Securities and Exchange Commission, including adjusted diluted earnings per share, adjusted net income and adjusted income from operations for the logistics and intermodal segments and on a consolidated basis. These non-GAAP measures which exclude the effect of the Company’s goodwill impairment write-off in the first quarter of 2009 are used by management and the Board of Directors in their analysis of the Company's ongoing core operating performance. Management believes that these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's core businesses and allows investors to more easily compare operating results from period to period. A tabular reconciliation of the differences between the non-GAAP financial information discussed in this release and the most directly comparable financial information calculated and presented in accordance with GAAP is contained in the financial summary statements attached to this press release.

CERTAIN FORWARD-LOOKING STATEMENTS--This press release contains or may contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). These forward-looking statements are based on the Company's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions. Among the important factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements are general economic and business conditions including the length and severity of the current economic recession; industry trends, including changes in the costs of services from rail and motor transportation providers; our ability to borrow amounts under our credit agreement due to borrowing base limitations and/or to comply with the financial ratio and other covenants in our credit agreement; increases in interest rates; the loss of one or more of our major customers; the success of our operational consolidation and other cost reduction initiatives in improving our operating results and cash flows without affecting customer service levels; the effect of the current economic recession on our customers including reduced transportation needs and an inability to pay us on time or at all; the impact of competitive pressures in the marketplace; the frequency and severity of accidents, particularly involving our trucking operations; changes in the terms of contracts with our underlying rail carriers that are less favorable to us relative to our current contracts as these expire; revenue losses and cost impacts associated with the new UP arrangements; the failure to comply with, government regulation; changes in our business strategy, development plans or cost savings plans; congestion, work stoppages, equipment and capacity shortages, weather related issues and service disruptions affecting our rail and motor transportation providers; changes in fuel prices; our ability to successfully defend or resolve customer and vendor rate and volume adjustment claims against us; changes in international and domestic shipping patterns; availability of qualified personnel; difficulties in maintaining or enhancing our information technology systems including selecting, developing and implementing applications and solutions to update our diverse legacy systems; increases in our leverage; and terrorism and acts of war. Additional information about these and other factors that could affect the Company's business is set forth in the Company's various filings with the Securities and Exchange Commission (the “SEC”), including those set forth in the Company's annual report on Form 10-K for the year ended December 26, 2008 filed with the SEC on February 17, 2009 and the Form 10-Q for the quarter ended June 30, 2009 filed with the SEC on August 6, 2009. Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those described herein as anticipated, believed, expected or intended. Except as otherwise required by federal securities laws, the Company does not undertake any obligation to update such forward-looking statements whether as a result of new information, future events or otherwise.

Friday, October 30, 2009

First Supply Chain Educational Programs Accredited through the CSCSC’s National Accreditation Program

October 30, 2009, Mississauga, Ontario – The Canadian Supply Chain Sector Council completed a review on October 29 of the programs put forward by education providers in the inaugural round of submissions in its National Accreditation Program (the NAP). The Council is pleased to announce that seven educational offerings, as shown below, have been accredited through that program.

The NAP was established to recognize those educational offerings in supply chain-related topics that meet the Council’s standards for accreditation, created with the assistance of the Canadian Standards Association and with significant input from supply chain stakeholders.

The standards are based on national and international best practices and principles, and include requirements for course/program needs assessment, design, development, delivery, and student evaluation. They do not include requirements related to the provider itself, such as its administrative-management system, governance structure, or policies and procedures. To be accredited, the course or program must meet all of the standards.

Post-secondary institutions, associations and private training schools are eligible to submit their programs and courses for review.

Five education providers completed the application process in the first round of submissions. The Council’s Accreditation Review Panel met for two days to review and assess the applications, and determined that the following programs met all of the standards for accreditation. Congratulations to these education providers for the excellence of their offerings:

Business Administration – Business Operations Management

Centennial College of Applied Arts and Technology

Certificate Program in International Freight Forwarding

Canadian International Freight Forwarders Association

Advanced Certificate Program in International Freight Forwarding

Canadian International Freight Forwarders Association

Bachelor of Applied International Business & Supply Chain Management

Bissett School of Business, Mount Royal University

Strategic Supply Chain Management Leadership

Purchasing Management Association of Canada

Supply Management Training

Purchasing Management Association of Canada

Graduate Certificate - Business Process Management

Sheridan College

It is important to note that education providers themselves are not accredited; it is specific programs or individual courses that are accredited.

With their newly accredited status, these offerings are recognized as meeting industry needs; they’re differentiated from non-accredited offerings by being proven relevant and valuable. Graduates of accredited programs can expect that employers will increasingly appreciate the merit of their education as awareness of the NAP builds. Educators offering accredited courses and/or programs will benefit, too, as this recognition should boost enrolment in their supply chain-related courses and programs.

The deadline for submission of information about courses or programs for review in the next round is November 1, 2009. Subsequent deadlines are February 1, May 1, August 1 and November 1, 2010. Applications are submitted electronically and are reviewed by the Council’s Accreditation Review Panel.

More information about the NAP standards, fees and review process is available on the Council’s website, at

The Canadian Supply Chain Sector Council is an all-stakeholder, not-for-profit organization responsible for the human resources strategy for the supply chain sector in Canada. The CSCSC is funded by the Government of Canada’s Sector Council Program.

Thursday, October 29, 2009

Announcement: Canadian Society of Customs Brokers President

Carol West Honoured by I.E. Canada CATIE Award

I.E. Canada has awarded its inaugural CATIE award for Trade Leadership to Carol West, President of the Canadian Society of Customs Brokers, in recognition of her leadership and vision promoting compliance and the culture of professionalism in trade.

In presenting the Trade Leadership award, Paul Lalonde, Partner with Heenan Blaikie LLP, recognized Carol’s contributions to trade, “…which have earned her the respect of her colleagues for her integrity, honesty, knowledge and expertise, along with her skill in collaborating and building consensus on some very important issues facing the trade community”. Carol has been an influential voice providing leadership and innovation relating to trade policy and trade facilitation, both in Canada and internationally.

Carol has been instrumental in advancing professionalism and promoting education among customs and compliance professionals, especially with the development of the CCS program in Canada. With its focus on ongoing professional development for customs and border management professionals, the CCS designation is now a highly recognized, desired professional certification in the trade community in both Canada and the United States.

In addition to her responsibilities as President of the CSCB, Carol is the Secretary of the International Federation of Customs Brokers Associations (IFCBA). She is also the Chair of the World Customs Organization’s Private Sector Consultative Group (PSCG), a committee of 17 global companies and 13 international trade associations which advises the WCO Secretary General and Policy Commission on a variety of important strategic issues, including the implementation of the SAFE Framework of Standards. Most recently, Carol has advocated for enhanced benefits for trusted traders both nationally and through the work of the PSCG with its Authorized Economic Operator policy development, all the while ensuring that the voice of Small and Medium-Sized Enterprises is heard and understood.

CSCB Chair Candace Sider was delighted that Carol West received the inaugural award for Trade Leadership, and said: “To be selected from a prestigious group of trade professionals is a testament to Carol’s reputation, the respect of her colleagues and peers, and her unwavering commitment to advancing trade. She truly does exemplify the standard and ethic that I.E. Canada was looking for in this most prestigious award.”

I.E. Canada President Mary Anderson said: “Carol is an influential voice in the Canadian trade industry. She has devoted her career to advancing trade and has set a standard for professionalism that exemplifies Canada as a trading nation.”

The Canadian Awards of Trade in Imports and Exports (CATIE) celebrate excellence in Canada’s trade community. The awards have been established to recognize the unsung heroes in trade, those who have implemented outstanding processes, improved trade operations, created efficiencies and increased profitability, and nurtured the culture of trade professionalism.

Wednesday, October 28, 2009

Announcement: Hwy H2O Conference 2009 Nov. 3 & 4

The Hwy H2O Conference is organized and hosted by the St. Lawrence Seaway Management Corporation under the banner of its Hwy H2O marketing initiative. The conference which will be held on November 3-4 at the Toronto Airport Marriott is a forum during which recent opportunities, developments, and issues relevant to marine transportation on the Great Lakes / Seaway are discussed.

The theme of this year's Hwy H2O Conference is 'Optimizing Today, Positioning for Tomorrow'. The challenging economic climate has caused changes to the business environment of the Great Lakes / Seaway System and the industry must properly position itself for the future. With this in mind, conference panel sessions will focus on the market overview and industry outlook, marine policy issues, short sea shipping development and new cargo opportunities for the System, including biomass. The conference has become a well-recognized annual event and networking experience, attended by over 130 marine mode stakeholders, logistics providers, shippers, and transportation professionals from Canada, the U.S. and abroad.

To register and for further information visit: