We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • ::COVID-19 COVERAGE::
  • INDUSTRY PRESS ROOM
  • ABOUT
  • CONTACT
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
    • Mobile Apps
  • TRANSPORTATION
  • MATERIAL HANDLING
  • TECHNOLOGY
  • LIFT TRUCKS
  • PODCAST ETC
    • Podcast
    • Webcasts
    • Blogs
      • One-Off Sound Off
      • Global Logistics and Risk
      • Empowering Your Performance Edge
      • Analytics & Big Data
      • Submit your blog post
    • Events
    • White Papers
    • Industry Press Room
      • Upload Your News
    • New Products
      • Upload Your Product News
    • Conference Guides
    • Conference Reports
    • Newsletters
    • Mobile Apps
  • DCV-TV
    • DCV-TV 1: News
    • DCV-TV 2: Case Studies
    • DCV-TV 3: Webcasts
    • DCV-TV 4: Viewer Contributed
    • DCV-TV 5: Solution Profiles
    • MODEX 2022
    • Upload Your Video
Home » Transport executives to boost capital spending
newsworthy

Transport executives to boost capital spending

November 12, 2010
Mark B. Solomon
No Comments

Executives of 11 truck, rail, and intermodal companies said they plan to boost their 2011 capital expenditures by between 20 and 30 percent as they either replenish their truck fleets or maintain and grow their rail and intermodal networks.

The executives' comments came at Milwaukee-based investment firm Robert W. Baird & Co.'s 40th annual Industrial Conference held earlier this week in Chicago. The conference drew attendees from 108 public companies across multiple sectors of the U.S. economy, including executives from three truckload carriers, three railroads, three less-than-truckload (LTL) carriers, and two intermodal companies. Jon A. Langenfeld, Baird's chief transport analyst, would not identify the companies other than to say both J.B. Hunt Transport Services Inc. and Ryder System Inc. were represented.

Langenfeld said capital expenditures in the truckload and LTL sector are returning to historically normal replenishment levels following capital underinvestment during the past two years. Railroads and intermodal companies will invest to maintain existing systems or expand their networks to accommodate continued robust demand for their services, Langenfeld said.

The companies said they are negotiating higher rates on new and renewed contracts due to stronger demand and the impact of capacity reductions. The trend is likely to continue into 2011, according to the executives.

Companies with broader exposure to industrial end-markets, such as railroads, LTL carriers, and integrators like FedEx Corp. and UPS Inc., are seeing stronger growth and, according to Langenfeld, are "providing more constructive 2011 outlooks" tied to improving industrial production activity.

By contrast, demand for truckload service, which is driven by the consumer and retail end-markets, is expected to weaken in the fourth quarter due to modest consumer spending and a diminished need to replenish inventories, he said.

Transportation Trucking Rail Intermodal
KEYWORDS FedEx J.B. Hunt Ryder UPS
  • Related Articles

    Railroads boost capital spending

    FedEx to ramp up capital spending

    U.S. railroads to set records for capital spending in 2012, AAR says

Marksolomon
Mark Solomon joined DC VELOCITY as senior editor in August 2008, and was promoted to his current position on January 1, 2015. He has spent more than 30 years in the transportation, logistics and supply chain management fields as a journalist and public relations professional. From 1989 to 1994, he worked in Washington as a reporter for the Journal of Commerce, covering the aviation and trucking industries, the Department of Transportation, Congress and the U.S. Supreme Court. Prior to that, he worked for Traffic World for seven years in a similar role. From 1994 to 2008, Mr. Solomon ran Media-Based Solutions, a public relations firm based in Atlanta. He graduated in 1978 with a B.A. in journalism from The American University in Washington, D.C.

Recent Articles by Mark Solomon

Coming together for road safety: interview with Joshua Girard

Off the rails

Freight rate spikes shaking up the C-suite

You must login or register in order to post a comment.

Report Abusive Comment

Most Popular Articles

  • Container prices continue to drop

  • Autonomous trucking firms launch partnerships with freight transportation providers

  • Demand for piece-picking robots gains steam

  • Now's the time to be a logistics professional

  • Empty shipping containers stack up at U.S. port depots

Now Playing on DCV-TV

Datalogic reducing labor vs

Reducing labor and exception handling with optimized scanners

DCV-TV 4: Viewer Contributed
When scanners fail to read barcodes on parcels as they move on conveyors, the added cost of manual handling and processing is significant.  New technology optimizes scanners dramatically increases accuracy eliminating manual labor. 

FEATURED WHITE PAPERS

  • Guide to Proven Warehouse Solutions

  • Five common misconceptions about running a private fleet

  • Optimize AS/RS With Advanced Warehouse Execution Software

  • The Value of Genuine Parts and Service

View More

Subscribe to DC Velocity Magazine

GET YOUR FREE SUBSCRIPTION
  • SUBSCRIBE
  • NEWSLETTERS
  • ADVERTISING
  • CUSTOMER CARE
  • CONTACT
  • ABOUT
  • STAFF
  • PRIVACY POLICY

Copyright ©2022. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing