Tag: USA

New UPS facility in Arkansas to accomodate future growth (U.S)

UPS announced it is opening a new 48,000-square-foot package sorting and delivery facility in Springdale, doubling the capacity of its older building. The new USD 12.5 million facility spans 13 acres.

“The new Springdale building will allow UPS to process more package volume in less time, which will definitely benefit our customers,” said James B. Smith, UPS vice president, Mid South District. “Northwest Arkansas is the fastest growing region in the state and the sixth fastest in the nation, so we wanted to make sure UPS was positioned to serve this rapidly developing area efficiently.”

The facility at 371 N. Monitor Road replaces a former UPS building located at 419 East Robinson. The new building can accommodate up to 108 delivery trucks and can sort up to 8,000 packages per hour. The old building could service up to 78 delivery trucks and sorted about 4,000 packages per hour. The new facility also features a modern UPS customer counter inside to handle any customer shipping needs.

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ABX Logistics acquires Lyons-based AIT

ABX Logistics has taken steps to boost its growth in France by acquiring AIT, a leading regional player in the Eurocargo market for traffic with Southern Europe (Italy, Spain and Portugal).

AIT is based in Genas (Lyons), employs 35 people and has an annual turnover of approx. EUR 10 million. Founded in 1996 by the Sisti family, the company will complement ABX Logistics existing LTL, groupage, customs and logistics operations in the Rhone-Alps region of France.

In this part of France, ABX Logistics already has a turnover in excess of € 25 million in the international road, air and sea sectors. Currently operating from four locations across the region (Saint-Priest, Saint-Exupéry (airport), Grenoble and Chambéry), today’s acquisition adds a fifth location, namely the AIT site in Genas.

AIT’s customers will be able to enjoy the advantages of ABX Logistics densely meshed network that extends across the whole of Europe and offers daily round trips to destinations in countries including Italy, Spain, Portugal, Germany, Switzerland, Austria, Benelux, the UK, Ireland and Scandinavia, as well as regular links with Turkey, Poland, Russia and Ukraine. ABX Logistics has more than 90 branches and hubs in Europe from which it conduct its international road groupage operations.

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USPS looks to expand package returns service with major carriers (U.S)

Looking to cooperate more with its competitors, the U.S. Postal Service is hoping to expand its package returns service through major carriers UPS, FedEx Corp. and DHL, says Jim Cochrane, acting vice president of ground packages at the U.S.P.S. But while none of the three big carriers have yet to publicly express an interest in the service, the Postal Services’ sole returns partner for now, Newgistics Inc., plans a major expansion of the service this year, Newgistics CFO Mike Twomey says.

The Postal Service wants to expand the returns service—through which the U.S.P.S. takes packages from a consumer’s home address to a postal facility, where a private carrier picks it up to complete delivery back to a retailer or manufacturer—as part of a broad effort to expand its delivery business in cooperation with carrier companies. Newgistics specializes in serving apparel and consumer electronics retailers, so extending the U.S.P.S. returns service through other carriers could broaden its reach.

UPS, FedEx and DHL all declined to comment on the Postal Service plan. Cochrane, noting the three carriers were all aware of the Postal Service’s interest in working with them, also declined to say if the U.S.P.S. had entered contract negotiations with any of the carriers.

The Postal Service, in an attempt to run its own operations more efficiently, is providing its shipping partners financial incentives to pick up and deliver packages at direct-delivery units, such as local post offices, instead of at regional bulk mail centers. Newgistics will use its shipping management system to look at a matrix of carrier shipping rates and Postal Service incentives to determine whether it’s more cost-effective to ship to a direct-delivery unit or to a bulk mail center.

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FedEx Delivers for Mother's Day

With Mother’s day just days away, FedEx has ramped up operations to support one of its busiest times of the year. Millions of flowers and gifts will pass through its hubs as FedEx is ready to brighten the day for mothers across the nation and around the world.

FedEx Express expects to see the largest delivery volume of flowers, plants and gifts for moms on Friday, May 9. On May 9, FedEx Express couriers will make 20 times more domestic flower deliveries than on an average day. Hundreds of thousands of flower deliveries have traveled through major FedEx hubs and gateways in Memphis, Miami, Indianapolis and Oakland between Tuesday, May 6 and Friday, May 9 on their way to be delivered in time for Mother’s Day.

FedEx Ground expects to see the largest delivery volumne of flowers, plans and Mother’s Day gifts on Saturday, May 10. FedEx Ground and Home Delivery will deliver more than 150,000 bouquets of flowers on May 10 alone.

For those procrastinators, FedEx will be making deliveries through Saturday, May 10 in time for Mother’s Day. Many e-commerce flower and gift retailers have located warehouses close to the FedEx Express Super Hub in Memphis, TN, allowing them to take last-minute orders up until Friday, May 9 and still have them delivered before Mother’s Day.

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FedEx Corp. Revises earnings guidance

FedEx Corp. announced that earnings for the fourth quarter ending May 31, 2008 are expected to be in the range of USD 1.45 to USD 1.50 per diluted share, compared to the previous forecast of USD 1.60 to USD 1.80.

“Since we provided earnings guidance for the fourth quarter in March when the crude oil price was slightly above USD 100 per barrel, our estimated fuel costs for the quarter have increased more than 7 percent, or USD 100 million from our previous estimate, and the weak economy has restrained demand for U.S. domestic express package and LTL freight services,” said Alan B. Graf, Jr., FedEx Corp. executive vice president and chief financial officer. “While we have dynamic fuel surcharges in place, they cannot keep pace in the short-term with rapidly rising fuel prices. This revised outlook assumes no additional increases to the current fuel price environment and no further weakening of the economy.”

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