![[Valid Atom 1.0]](valid-atom.png "Validate my Atom 1.0 feed")
TRUCKERS' OPINION * USA - They struggle despite lower fuel costs
Asheville,NC,USA -The Asheville CITIZEN-TIMES, by John Boyle -December 21, 2008: ... Diesel fuel runs America's trucking industry, and truckers are relieved to have their fuel bills cut more than in half. But they're not exactly home free and raking in huge profits... “Two months ago, we were hauling loads for $1,000 back into the area from some places,” said Judy Jones, who started Judy Jones Trucking 32 years ago and now operates 20 trucks and 100 trailers... “Now they want us to cut it back to $500 because the fuel is down. Fuel is down, yes, but the salary for drivers is not down, workman's comp is not down, road service costs are not down, groceries have not come down. It hasn't been a boom to the trucking industry at all — nationwide , everybody I talk to in the trucking industry is hurting”... Diesel costs remain stubbornly higher than gasoline, even though the fuel costs less to process than gasoline and for years was considerably cheaper... Gifford noted that federal projections have diesel prices averaging about $2.47 into next year, which is down $1.33 from the 2008 average. That should ease the load on trucking companies in an economy that just keeps producing more bad news... Jones is not as optimistic, though. She points out that for many trucking companies, taxes, insurance and other annual operating costs come due in January... (Photo, by JOHN COUTLAKIS: David Goodwin, 44, pumps diesel into his truck at a a truck stop... " I wish it would go down like gas," said Goodwin. "It's liquid gold.")* Smaller carriers hard hit by times
Arkansas,AR,USA -The Arkansas Democrat Gazette, by LAURIE WHALEN -December 21, 2008: -- Arkansan Mike Breedlove recently hunkered down at a Flying J truck stop in Denver... The truck driver from Western Grove who has three trucks, reported spending two days in early December waiting for a load that would pay enough to cover a return trip from Colorado... "I can't compete with big business," said Breedlove, 47, owner-operator of Breedlove Trucking. "They can move a truck for practically nothing, but I can't"... While falling fuel prices have kept some financially shaky, smaller carriers from going out of business, the shakeout will continue, according to an October bankruptcy research note from investment bank Avondale Partners... Next quarter's bankruptcy data might include Breedlove, who admits to having fallen out of the good graces of his financiers. The veteran trucker managed to avoid being counted among the 785 carriers that went out of business between July and September, according to the Nashville, Tenn.-based financial brokerage firm... But even though fuel prices have dropped 46 percent since setting a record in mid-July, Breedlove still complained about finding a load that would cover his costs in the beginning of December... Creditors own his equipment, and he needs to make up some missed payments... For several quarters now, truckers with small fleets have struggled to exist in a freight environment fraught with high fuel prices and low demand... Bankruptcy figures this year have hit record highs. The most challenging expense to cover for many small operators has been diesel fuel...
Labels: truckers' opinion
posted by Unknown @ 5:05 AM
0 Comments:
Post a Comment
<< Home