Tag: North America

UPS first in industry to purchase hydraulic hybrid vehicles

As part of a public-private partnership to increase the commercial availability and use of alternative fuel vehicles, UPS announced its first purchases of a little-known technology – the hydraulic hybrid vehicle – that promises dramatic fuel savings and environmental benefits.
The technology, originally developed in a federal laboratory of the Environmental Protection Agency, stores energy by compressing hydraulic fluid under pressure in a large chamber.
Disclosing the results of its road testing on Detroit routes for the first time, UPS and the U.S. Environmental Protection Agency (EPA) said the prototype vehicle had achieved a 45-to-50 percent improvement in fuel economy compared to conventional diesel delivery trucks. UPS believes similar fuel economy improvements and a 30 percent reduction in CO2 are achievable in daily, real-world use. The EPA believes the technology can perform equally well in other applications such as shuttle and transit buses and refuse pick-up trucks.
UPS will deploy the first two of the new HHV’s in Minneapolis during the first quarter of 2009.
UPS’s current “green fleet” totals more than 1,600 low-carbon vehicles, including all-electric, hybrid electric, compressed natural gas (CNG), liquefied natural gas (LNG) and propane-powered trucks.

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Pilots protest UPS-DHL plan

The Air Line Pilots Association is up in arms over DHL’s proposed service contract with UPS.
The agreement would give UPS all of DHL’s U.S. air freight business and erode competition in the air cargo market.
ALPA points to a new page on UPS’ Web site as an indication that what DHL has called a vendor contract agreement with UPS is really a poorly disguised preamble to a merger.
John Prater, President of ALPA, said, “This website reveals the true nature of this deal, which was never designed to provide better package delivery services to the North American public. Congress needs to get to the bottom of this deal, which is bad for the already struggling U.S. economy.”
ALPA contends that statements on the Web site contradict the companies’ congressional testimony that the deal is not a merger and does not violate antitrust regulation.

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Fedex Ground says drivers are independent

Shipping company FedEx Ground repeated its claim that its drivers were independent contractors after the U.S. government dropped a large tax claim against it.
The Internal Revenue Service withdrew a USD 319 million tax claim against FedEx Ground Wednesday, the Memphis, Tenn., Commercial-Appeal reported.
The company said it was “pleased” with the decision, which was based on the 2002 tax year and included possible interest penalties on top of the base sum of USD 319 million.
“We continue to believe that FedEx Ground’s owner-operators are independent contractors and that no loss is probable in this matter,” company spokesman Maury Lane said.
“This is huge,” said industry analyst Art Hatfield of Morgan Keegan.
“Basically the federal government is saying these people are not employees. I think it’s very substantial for the government to come out and say, ‘We’re withdrawing this.'”
“It’s an admission their premise was wrong,” Hatfield said.

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UPS releases 3rd quarter results

UPS reported diluted earnings per share of USD 0.96 for its third quarter on a 7.4pct increase in revenue. This represents an 8.6pct decline from the USD 1.05 per share reported on an adjusted basis for the comparable 2007 quarter. The company’s international and supply chain businesses demonstrated strength despite a challenging global economic environment.
Unadjusted diluted earnings per share of USD 1.02 for the 2007 third quarter included a restructuring charge and related expenses for a supply chain business in France. Diluted earnings per share for this year’s third quarter declined 5.9pct compared to this amount.
“UPS managed the business well in this very tough economic climate,” said Scott Davis, UPS’s Chairman and CEO. “We continue to see growth in our international and supply chain businesses while maintaining our focus on cost control and revenue management throughout our organization. UPS also is investing to ensure growth in the future so that the company will be even stronger when the global economy rebounds.”

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DHL ends service to Associated Mail & Parcel Centers

According to parcel industry sources, the Associated Mail & Parcel Centers has informed its centers that DHL will cease all domestic air and ground service to that organization within 90 days. DHL International shipments through Mail & Parcel Center Channels will continue without any changes to that service.

AMPC officials informed their centers that DHL marketing officials had informed them of the change via a phone conversation late last week. The AMPC notice stated that DHL indicated that written notice would be sent to all AMPC outlets shortly.

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