• "Spreading the ideas of freedom loving people on matters regarding high finance, politics, constructionist Constitution, and mental masturbation of all types"

American Trucking Associations says industry is in big trouble

GOLDBRIX

God,Donald Trump,most in GIM2 I Trust. OTHERS-meh
Midas Member
Midas Supporter
Joined
Apr 4, 2010
Messages
13,915
Likes
18,725
#81
Diesel is $3.00 a gallon here in Central KY.
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
#82
The price of fuel for the most part gets directly factored into the shipping costs. It mostly hurts people who aren’t concerned with their mpg and the end consumer.

I get around 9 mpg often, some people get 6 lol.
 

ErrosionOfAccord

#1 Global Warmer
Platinum Bling
Midas Supporter ++
Joined
Mar 30, 2010
Messages
4,418
Likes
5,614
Location
Coal Country
#83
What kind of discount does a fleet card net, Muj?
 

GOLDBRIX

God,Donald Trump,most in GIM2 I Trust. OTHERS-meh
Midas Member
Midas Supporter
Joined
Apr 4, 2010
Messages
13,915
Likes
18,725
#85

ErrosionOfAccord

#1 Global Warmer
Platinum Bling
Midas Supporter ++
Joined
Mar 30, 2010
Messages
4,418
Likes
5,614
Location
Coal Country
#86
I think the mines pay about $1.50 for red. Last time I was close to that action the contracts were for the year.
 

edsl48

Gold Member
Gold Chaser
Sr Site Supporter
Joined
Apr 2, 2010
Messages
3,055
Likes
5,976
#87
Muj...do you have to make apportions to the various states you run through for taxes or is that an ancient relic that needs to be or is buried?
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
#88
Muj...do you have to make apportions to the various states you run through for taxes
Yes.

I’ve got my IFTA sticker.

Simply stated, IFTA works as a "pay now or pay later" system. As commercial motor vehicles buy fuel, any fuel taxes paid are credited to that licensee's account. At the end of the fiscal quarter, the licensee completes their fuel tax report, listing all miles traveled in all participating jurisdictions and lists all gallons purchased. Then the average fuel mileage is applied to the miles traveled to determine the tax liability to each jurisdiction.
https://en.m.wikipedia.org/wiki/International_Fuel_Tax_Agreement
my company has software that helps us be more efficient with our fuel purchases in regards to fuel price and IFTA tax.

For those truly independent operators I can imagine that this would be a headache.
 

Buck

Village Idiot
Midas Member
Site Supporter ++
Joined
Apr 13, 2011
Messages
11,105
Likes
11,305
#89
Simply stated, IFTA works as a "pay now or pay later" system. As commercial motor vehicles buy fuel, any fuel taxes paid are credited to that licensee's account. At the end of the fiscal quarter, the licensee completes their fuel tax report, listing all miles traveled in all participating jurisdictions and lists all gallons purchased. Then the average fuel mileage is applied to the miles traveled to determine the tax liability to each jurisdiction.
https://en.m.wikipedia.org/wiki/International_Fuel_Tax_Agreement

I believe this would add an entire 'department' to the system, the very least an employee, a work station, computer, additional coffee supplies, parking spot...additional non-productive administrative non-sense that only gets passed onto the end consumer...and to think, these business's are actually having to support an entire work station simply to report on themselves...it's just another pay-to-play system that has effectively shut down lots of 'cowboys'

Power AND Control when we're forced to report on ourselves...
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
#90
I believe this would add an entire 'department' to the system, the very least an employee, a work station, computer, additional coffee supplies, parking spot...additional non-productive administrative non-sense that only gets passed onto the end consumer...and to think, these business's are actually having to support an entire work station simply to report on themselves...it's just another pay-to-play system that has effectively shut down lots of 'cowboys'

Power AND Control when we're forced to report on ourselves...
The way it’s done makes sense to me. If we didn’t have something like this, no one would get fuel in high fuel tax states at all and we would be putting wear on their roads and no money would be going going to repair them from the people who damage it; I guess the alternative would have to be that there would be tolls everywhere.
 
Last edited:

Buck

Village Idiot
Midas Member
Site Supporter ++
Joined
Apr 13, 2011
Messages
11,105
Likes
11,305
#91
The way it’s done makes sense to me. If we didn’t have something like this, no one would get fuel in high fuel tax states at all and we would be putting wear on their roads and I guess the alternative is that there would be tolls everywhere.
Fair but, there has to be a much simpler method...cost per mile would suffice...how many miles did you travel on their crappy roads that they don't spend your money on anyway?

GPS is everywhere and it could be as easy as a 'plug and play'...

To me, we are in a technological phase that is completely underutilized and specifically where the .gov is concerned

Like being in Europe and wanting to change a starter on an Italian car...it used to take a man 8 hours to change it out.
BTW, that was the engineering level in post WWII Europe, to put people back to work, but, it stuck and some of that old non-efficient methodology still exists...

It just never seems proper, for them to demand money, and they demand you track it, and they demand you fill out their forms, etc, they're not associated with their own inefficient system except at the end, where they have their hands out...

and once an audit occurs, god help your wallet if your off by 10¢
 

edsl48

Gold Member
Gold Chaser
Sr Site Supporter
Joined
Apr 2, 2010
Messages
3,055
Likes
5,976
#92
What Heavy Trucks Are Saying
by Wolf Richter • Nov 5, 2019 • 24 Comments • Email to a friend
“I do believe that in North America it is a cyclical downturn”: Cummins COO.
Orders for heavy trucks, after the historic boom in 2018, plunged this year, but they may have finally bottomed out. In October 2019, truck makers in the US received about 22,072 orders for Class-8 trucks, according to preliminary estimates by FTR Transportation Intelligence. While up by about 10,000 orders from the dismal levels in September, and the highest number so far this year, orders were still down 51% from October last year ago, “signifying a subdued beginning to the traditional start of the ordering season,” FTR said:

“The order level was boosted by a couple of big fleets placing large orders into 2020, but otherwise smaller orders were placed for the first quarter build,” FTR said in a statement. “Cancellations are expected to remain elevated as OEM’s shake out excess 2019 orders from the backlog.”
These OEMs are Freightliner, the largest truck maker in the US, and Western Star, both divisions of Daimler; Peterbilt and Kenworth, divisions of Paccar [PCAR]; Navistar International [NAV]; and Mack Trucks and Volvo Trucks, divisions of Volvo Group.
The historic boom of Class-8 truck orders that started in late 2017 and roared through most of 2018 was a result of a series of events triggered by all kinds of companies trying to front-run potential tariffs. Companies ordered excessively to dodge the tariffs, and they filled their warehouses, and it triggered a shipment boom. To meet this demand, trucking companies responded by ordering a historic number of trucks.
But this boom began to unwind in late 2018, and then turned into a collapse of orders that lasted through September 2019 when it appeared to have hit bottom. October looked better. But October 2016 looked better too, only to be followed by a very tough year. Orders in October 2019 were the lowest for any October since 2016:

“Orders increased in October as expected; however, caution prevails,” said Don Ake, FTR VP commercial vehicles, in the statement. “The trade and political turmoil are producing a highly uncertain business environment. Fleets are only ordering for their immediate needs. They are not willing to speculate much beyond the first quarter of next year. The OEMs have plenty of open capacity right now, so carriers are willing to approach 2020 a step at a time.”
“Freight growth is flat, as the industrial sector slows, and manufacturing struggles a bit,” Ake added.
The historic boom in orders in 2018 created a historic backlog of truck orders that then allowed the OEMs to continue production near capacity, even as orders have collapsed this year.
Truck makers have floated through most of the collapse in orders on a high note, as they were building out the historic backlog on their books. Paccar, for example, reported that Q3 revenues in the US and Canada rose 16% to $3.5 billion, and unit sales rose 12% to 31,700 trucks.
But that backlog has largely been eaten through, and truck makers are starting to cut production.
Navistar announced layoffs in August in its medium-duty truck division. Freightliner announced layoffs at the beginning of October for two manufacturing plants. Suppliers to the OEMs have also announced layoffs, including Meritor [MTOR] which disclosed at the end of September a “restructuring plan to reduce salaried and hourly headcount” in order “to reduce labor costs in response to an anticipated decline in most global truck and trailer market volumes.”
On October 29, engine-maker Cummins [CMI] cut its revenue forecast and disclosed that sales in its engine business had dropped 11% in the quarter. During the earnings call, CEO Thomas Linebarger, in commenting on the slowdown in the truck manufacturing business globally and in North America, said:
“Maybe what’s surprising to me is it’s broader than I thought. Like we are seeing challenges in India, challenges in China. Even Europe is slowing. We saw North America coming, that was all part of what we expected.”
Cummins COO Livingston Satterthwaite added: “We are definitely seeing freight growth has slowed. We are seeing orders slow and production has got to come down to match the backlog and meet those orders…. I do believe that in North America it is a cyclical downturn.”
Commenting on the engine business, Cummins CFO Mark Smith, said that “in North America, the pickup truck market is the only one that’s been holding out steady and strong through the year.” Cummins builds engines for all kinds of trucks. He was referring to the Cummins 6.7L Turbo Diesel for RAM pickups. And RAM pickups have been hot among consumers – who’re still holding up their end of the bargain.
 

edsl48

Gold Member
Gold Chaser
Sr Site Supporter
Joined
Apr 2, 2010
Messages
3,055
Likes
5,976
#93
Recession Warning: Freight Volumes Negative YoY for 11th Straight Month
The Cass Freight Index once again warns again of economic contraction.
Donald Broughton, founder of Broughton Capital and author the Cass Freight Index says the index signals contraction, possibly by the end of the year.
That's just one one month away.
Six Key Points
  1. With the –5.9% decline in October, following the string of declines in May through September (ranging from -3.0% to -6.0%), we repeat our message from the previous five months: the shipments index has gone from “warning of a potential slowdown” to “signaling an economic contraction.”
  2. We acknowledge that: all of these negative percentages were against tough comparisons (some extremely tough), and the Cass Shipments Index has gone negative before without being followed by a negative GDP. However, demand is weaker across almost all modes of transportation, both domestically and internationally.
  3. Several key modes, and key segments of modes, are suffering material increases in the rates of decline, signaling the contraction is getting worse********.**
  4. We know that freight flows are a leading indicator, so by definition there is a lag between what they are predicting and when the outcome is reported. Nevertheless, we see a growing risk that GDP will go negative by year’s end.
  5. The weakness in spot market pricing for many transportation services, especially trucking, along with recent airfreight and railroad volume trends, heightens our concerns about the economy. Weakness in commodity prices, and the ongoing decline in interest rates, have all joined the chorus of signals calling for an economic contraction.
  6. The Index on a 2-year percentage change basis went negative (-0.1%). This suggests that the great surge of 2018, or ‘Trump bump’ as it was characterized by many, has now been completely erased at least from a freight flow perspective, as measured by the volume of freight bills paid by Cass.

Storm Clouds
  • With China, the world’s second largest economy (even though the latest headlines and tweets keep suggesting there will be a resolution). Tariffs have throttled export volumes in many areas of the U.S. economy, most notably agriculture exports and other select raw materials. We maintain hope that there will be a resolution; that there will be a trade deal because both China and the U.S. have to reach one. But the Asian airfreight volumes continue to suggest a growing risk that one or more of the Asian economies (China, South Korea, Singapore) is already sliding into recession. The current civil unrest in Hong Kong only increases the risk of an economic contraction and is consistent with the popular reaction of citizens who are more challenged/not as prosperous as is commonly believed.
  • With Mexico. The threat of tariffs, and then the recension, sent shock waves through many supply chains. Border transit times going Northbound and Southbound have gone from less than 30 minutes to more than two days in some cases. Even before the tweets about tariffs, border inspections had become increasingly more stringent. Mexico is our third biggest trading partner, and over 80% of their exports are to the U.S. Disruptions in trade between our countries are harmful to our economy and capable of producing a recession in Mexico. Risk has gotten worse.
  • Autos and Housing: Consistent with disappointing housing starts (down -1.3% YTD) and lackluster auto sales (down as much as -4.8% in April and -1.6% YTD), spot pricing in transportation has declined dramatically. Especially in trucking, spot pricing has reached levels below contract that will drive weakness in contract pricing and eliminate, or at least significantly reduce, all capital investment other than maintenance cap ex. This puts further downward pressure on growth in coming periods.

Shipments



Eurozone Airfreight



"Airfreight volumes in Europe continue to suggest that the region’s economy continues to cool."
Asia Pacific



Airfreight volumes in Asia suggest that the region is on the verge of, or is already entering, a recession. As we’ve highlighted before, when trade tariffs slow the rate of growth for our global trading partners, it poses a real threat to the U.S. rate of economic growth."

Shanghai



"The inbound volumes for Shanghai plummeted and then stayed weak. This concerns us since it is the inbound shipment of high value/low density parts and pieces that are assembled into the high-value tech devices that are shipped to the rest of the world. Hence, in markets such as Shanghai, the inbound volumes predict the outbound volumes and the strength of the high-tech manufacturing economy."
Cass Shipments vs GDP



"At first glance, the GDP for the 1st through 3rd quarter seems very inconsistent with overall freight volumes. Using the Cass Shipments Index as a predictive proxy, we did not expect the GDP to be as strong as the reported 3.1% in Q1, or 2.0% in Q2, or even 1.9% in Q3. As we have already explained, dissecting the contributing factors explains much of the disparity, and should point out that freight flows are a leading indicator. It often takes two to three quarters for the trends in freight to become reported economic statistics."

"Based on the trend since the beginning of the year, but especially the data over the last six months, the Cass Shipments Index continues to signal that the economy is beginning to contract and that the GDP could go negative, or at least come close to being negative, in Q4’19 and or Q1’20."
Cass vs Jerome Powell's Bernanke Moment (Just Today)
Jerome Powell may have had his "Bernanke Moment" today in Congress.
Powell told Congress "Day of Reckoning" Far Off and "there’s nothing that’s really booming now that would want to bust."
Uh... What about the stock market?
Powell's testimony today sounds exactly like Bernanke's proclamation to Congress right before the Great Recession, "there is no national housing bubble to bust."
Recession Signals
In case you missed it, that is two recession signals today, one from Cass and one from Powell.
Here is a third: Good Reason to Expect Recession: Greenspan Doesn't
Meanwhile, please note, 4th-Quarter GDP Forecasts Off To Weak Start.
Mike "Mish" Shedlock
 

Scorpio

Hunter of Chin Li's Boo Hoo Flu
Founding Member
Board Elder
Site Mgr
Midas Supporter ++
Joined
Mar 25, 2010
Messages
31,449
Likes
43,967
#94
the article seems clearly biased to a globalist view of the recent past,

one would expect that if we truly get some fundamental changes in trade policies, that it would upset many of these charts and metrics

he states, zero land is down
-me, so what else is new

the amount of inputs to asia is down
-stands to reason with a trade battle currently on

trucking is a hassle at the border
-bout darn time

for some positives,
-housing has been self correcting in some markets, ie not too frothy
-wages are growing
-people are out doing stuff

fwiw
 

Uglytruth

Midas Member
Midas Member
Site Supporter ++
Joined
Apr 6, 2011
Messages
9,153
Likes
16,200
#95
the article seems clearly biased to a globalist view of the recent past,
I think that is the understatement of the last half century........... all news is bias to the nwo goals. Driving their agenda to break every system in every country in the world, leaving them in full control! Is this really any different than the brexit, Chilie, Brazil, etc...... & all the saber rattling going on?
 

DodgebyDave

Metal Messiah
Midas Member
Joined
Mar 30, 2010
Messages
12,366
Likes
14,579
#96
I see trucking as another industry that needs to evolve and have a large part of it die.

so called "hotshots" are taking over, especially for time sensitive and security sensitive loads. No worries on the local banditos jacking your stuff at the union crossdock

Rail and straight truck systems are much more fuel efficient.
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
#97
Hot shots aren’t going to be moving heavy freight. A lot of shippers want to move as much product as they can put on a trailer.

That’s about the only con that I see for them... other then them not having a sleeper.
 

edsl48

Gold Member
Gold Chaser
Sr Site Supporter
Joined
Apr 2, 2010
Messages
3,055
Likes
5,976
#98
November Heavy Duty Truck Orders Resume Collapse, Down 39% To Weakest Since 2015
The collapse in heavy duty trucking is getting tougher to blame on difficult YOY comps and is more and more looking like the symptom of a real manufacturing recession in the U.S.

Class 8 orders against collapsed in November, culminating a dismal year that some thought had seen a reprive with October's improved bookings. But new data from FreightWaves shows that the collapse has continued its trend, indicating that the sluggish economy is to blame for lackluster replacement demand.

Orders totaled 17,300 units for the month, which marks the slowest November since 2015 and a 39% collapse from November 2018. The slowdown in orders is prompting layoffs of hundreds of production workers by companies like Daimler Trucks North America, Volvo Trucks North America, Paccar Inc. and Navistar International Corp.

Other names in the Class 8 supply chain are also dealing with the negative effects. For instance, engine manufacturer Cummins Inc. is "laying off 2,000 white-collar employees globally in the first quarter of 2020".





Meanwhile, November used to be a month when fleets would be busy placing orders for the upcoming year. After October's slight tick up in orders, many analysts thought November could follow suit. That didn't happen, and sequentially November's order book was down 21% from October.

Tim DeNoyer, ACT Research vice president and senior analyst said: “The freight market downturn worsened in the past month, and uncertainty surrounding trade and tariffs continue to weigh on truck buyers’ psyches.”

Don Ake, FTR vice president of commercial vehicles commented: "The stalling of freight growth is causing fleets to exercise caution in placing orders for 2020. There will still be plenty of freight to haul, so we expect fleets will continue to be profitable and to replace older equipment. However, there won’t be a need for much additional equipment on the roads.”

“The industry thrives on stability, but we are now on a rocky road,” Ake concluded.

The rolling 12-month average for Class 8 orders is now 180,000 units and the industry backlog has collapsed to less than half of what it was in December 2018.


 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
#99
A source with direct knowledge told TNN top Celadon executives are scheduled to meet Sunday afternoon to finalize the bankruptcy filing, which is expected to be official that evening “as close to midnight as possible.”
Though sources indicate the company may file for protection under Chapter 11, it’s expected the company will ultimately liquidate its assets.
While some Celadon executives have been told of the company’s impending demise, most employees have not been notified as of yet, TNN can confirm.
The company’s more than 3,000 employees will likely be notified on Monday, multiple sources said.
According to data from the Federal Motor Carrier Safety Administration (FMCSA), the trucking giant operates more than 2,700 power units and employs more than 2,500 drivers.
However, a source tells TNN the latest driver count is approximately 1,800.
Fuel cards are currently operational, but it is unclear when the cards will be deactivated or how many drivers will be left stranded.

https://transportationnation.com/br...bl30PTRdWIH_bdqw7Q9PMYR51We4WFHmnSdKQbjmePYgI

:o oh shit
 

Scorpio

Hunter of Chin Li's Boo Hoo Flu
Founding Member
Board Elder
Site Mgr
Midas Supporter ++
Joined
Mar 25, 2010
Messages
31,449
Likes
43,967

EO 11110

CENSORSHIP KILLS
Mother Lode
Site Supporter ++
Joined
Jul 31, 2010
Messages
15,777
Likes
13,172
Location
clown world
reading their last earnings report, ryder systems is taking a yuge markdown on the value of their used trucks. they say that pricing is down, and no recovery in sight. it's a good time to go shopping
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
Got word Celadon fuel cards are shut down and some drivers are stranded.

I’ve been prepared years ago to have more than enough cash on me and also more than enough on my credit/debit card to make it home. We are too far away from home to not have a plan b and c.
 
Last edited:

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
Drivers for Celadon Group Inc. (OTC: CGIP) appear to have been the last ones to find out about the company’s imminent bankruptcy and shutdown of its over-the-road trucking operation, leaving many of them stranded on highways with no instructions on how to dispose of their rigs and freight or assistance getting home.

Some of Celadon’s competitors are stepping into the breach to help drivers get home, but before they abandon their vehicles there are steps they should take to protect themselves from liability, experts say.

Company drivers “need to find a safe location to park the truck, like a truck stop or rest stop, take pictures of the truck, hide the keys, document the location and where the keys are, and send all that information to the company,” Cassandra Gaines, a transportation attorney and head of Gaines Law Group LLC in Scottsdale, Arizona, said in a phone interview.

She stressed that trucks not be left on the side of the road because of the danger of being hit by another vehicle.

Drivers are on their own to find bus, air, rail or other transportation home, but should keep receipts because there may be options to file as a creditor with the bankruptcy court, depending on their state of employment, Gaines said.

https://www.freightwaves.com/news/rival-carriers-rush-to-assist-stranded-celadon-drivers

Video at link
 

Scorpio

Hunter of Chin Li's Boo Hoo Flu
Founding Member
Board Elder
Site Mgr
Midas Supporter ++
Joined
Mar 25, 2010
Messages
31,449
Likes
43,967
so a .corp goes down, and tells the boyz,

please put your rigs in a safe place, hide the keys for the creditors to find later,
and send us all the paperwork,

btw, you have zero coming to you except as a creditor in a long list of creditors, we are bankrupt after all,
and find your way home

have a wonderful life, go home watch the movie or something.........

------------

uhhh huh,
I can see some drivers not following their rules anymore

one positive for sure, is the economy will eat up those drivers in no time,

we have a company here that had to turn down 2 larger contracts due to not having the manpower to complete
 

hammerhead

Morphing
Midas Member
Midas Supporter
Joined
Feb 22, 2012
Messages
10,058
Likes
12,829
Location
On a speck of dust
Don Ake, FTR vice president of commercial vehicles commented: "The stalling of freight growth is causing fleets to exercise caution in placing orders for 2020. There will still be plenty of freight to haul, so we expect fleets will continue to be profitable and to replace older equipment. However, there won’t be a need for much additional equipment on the roads.”
That sums it up.
 

mtnman

Platinum Bling
Midas Supporter
Platinum Bling
Joined
Mar 30, 2010
Messages
4,562
Likes
8,798
Location
East Tennessee
If I were driving a $200,000 truck full of who knows what and was told to drop it and walk away. I know how I'd get paid....Hopefully the trailer would be full of electronics...
 

Buck

Village Idiot
Midas Member
Site Supporter ++
Joined
Apr 13, 2011
Messages
11,105
Likes
11,305
If I were driving a $200,000 truck full of who knows what and was told to drop it and walk away. I know how I'd get paid....Hopefully the trailer would be full of electronics...
be sure to take the photos of the truck before you break the door seal...
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
Park it at a shop, swap engines with an older truck, make enough cash to get home.
 

mtnman

Platinum Bling
Midas Supporter
Platinum Bling
Joined
Mar 30, 2010
Messages
4,562
Likes
8,798
Location
East Tennessee
be sure to take the photos of the truck before you break the door seal...
I think I could find a buyer for the whole rig...I can't see where you'd have any responsibility to the truck if you are now unemployed.
 

Buck

Village Idiot
Midas Member
Site Supporter ++
Joined
Apr 13, 2011
Messages
11,105
Likes
11,305
I think I could find a buyer for the whole rig...I can't see where you'd have any responsibility to the truck if you are now unemployed.
I would think, as long as these "instructions" on what to do with the truck, etc, come in a printed form, not just 'word of mouth', as long as the driver follows those instructions, he should be in the clear...but, there will probably be one or two guys who'll be pissed off enough, they'll make a mistake, not follow the 'instructions', will leave a key in an ignition, sell the load while others video him on their cell phone...etc, and that will make them responsible, even though they're unemployed...

unfortunately, for most of us here, i'd suppose (lol), times today are nothing like what we could do back when we were younger
and add to that, when we were younger, the country wasn't under siege...and there weren't hundreds of cameras nearby at all times of the day and night...
 

edsl48

Gold Member
Gold Chaser
Sr Site Supporter
Joined
Apr 2, 2010
Messages
3,055
Likes
5,976
An American trucking giant is slated to declare bankruptcy — and it may leave more than 3,200 truck drivers stranded and jobless
December 8, 2019, 7:40 PM CST


truck driver
The trucking "bloodbath" of 2019 is ending on a remarkably sour note.
Celadon, a truckload carrier that grossed $1 billion as recently as 2015, will file for bankruptcy on Dec. 11 or earlier, inside sources told leading industry publication FreightWaves on Dec. 6.
It's poised to be the largest truckload bankruptcy in history — and its drivers are already getting slammed.
The bankruptcy has the potential to leave more than 3,200 truck drivers stranded and away from home. Sources told Business Insider that Celadon truck drivers' fuel cards are already getting turned off, which means they're unable to get home without spending serious cash on gas or arranging their own transport by car, plane, or bus.
An internal source confirmed to FreightWaves that the company may not be able to get drivers home on time, and encouraged them to fill their tanks as soon as possible.
Numerous Facebook groups have been set up to help stranded Celadon truck drivers connect to others, including Celadon Closure Assistance and Jobs. Celadon did not immediately respond to a Business Insider request for comment.
2019 has been a challenging year for truck drivers and their employers. In the first half of the year, about 640 trucking companies went bankrupt, according to industry data from Broughton Capital LLC. That's more than triple the number of bankruptcies from the same period last year — about 175.
ACT Research said America's $800 billion trucking market has been in a recession since early 2019. Freight volumes have declined for 11 straight months. Manufacturing, which tracks the trucking industry, has contracted for four straight months.
However, the source of Celadon's troubles dates back further than 2019. On Dec. 5, the Securities and Exchange Commission charged two former Celadon executives following a multi-year accounting scandal. The alleged fraud resulted in shareholder loss of more than $60 million.
That plunged Celadon's stock to 41 cents a share on Friday — a considerable tumble from the high $20s per share that the stock was worth in 2015 before the accounting scandal became public knowledge.
This is a developing story. Check back here for updates.
Are you a Celadon truck driver who is at risk for being stranded? Email rpremack@businessinsider.com.
 

TRYNEIN

Gold Member
Gold Chaser
Site Supporter ++
Joined
Sep 16, 2012
Messages
10,321
Likes
53,415
Location
third cove on the right
Found these little nuggets in regards to Celadon

==========================================================




AAAAANNNNDDD - HERE YOU GO>>>>
Feds charge former Celadon executives with securities fraud
https://www.indystar.com/story/news...trucking-executives-charged-fraud/2618464001/


.........................


“More recent numbers are difficult to come by because Celadon had to restate its financial reporting after mismanagement and a complex accounting scandal that ultimately resulted in former executives being indicted on securities fraud charges yesterday, December 5.”

https://www.freightwaves.com/news/c...tcy-in-truckload-history-expected-by-mid-week




..................................



MORE OF THE SAME:
employee reviews
https://www.indeed.com/cmp/Celadon-Trucking/reviews

Like this: Loved Celadon with all of my heart. Sad to see the financial trouble we are in. The future does not look bright. Please know that the damage was done years ago by greedy executives that are now going to prison. It is not reflective of the current employees and execs that truly loved our drivers and Celadon. We really tried. Heartbreaking.

NOTE****
This all occured under Obama.


........................


Trucking has experienced YOY declines in each of the past 12 months. Spot pricing is declining which is started be reflected in contract pricing. Trade volumes are down, the manufactiuring sector has been in decline since December, oil and gas sector is reducing CAPEX, and too many new trucks were ordered in 2018.

https://www.logisticsmgmt.com/artic...ts_to_october_shipment_and_expenditures_decli
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
What I believe the tldr is the former executives embezzled monies and got caught. The new executives tried to turn the company around but couldn’t quite do it in this slow market. They were bleeding too much money so they shut it down.
 

Son of Gloin

Certainty of death? What are we waiting for?
Midas Member
Midas Supporter ++
GIM Hall Of Fame
Joined
Apr 6, 2010
Messages
7,560
Likes
16,878
Location
USA
What I believe the tldr is the former executives embezzled monies and got caught. The new executives tried to turn the company around but couldn’t quite do it in this slow market. They were bleeding too much money so they shut it down.
I feel for the current crop of executives and employees, but couldn’t they have shut this company down in a more orderly fashion and got all the truckers to their destinations and then home, instead of stranding them? Was that not feasable?
 

Usury

Site Supporter
Site Supporter
Platinum Bling
Joined
Apr 1, 2010
Messages
4,713
Likes
4,233
I feel for the current crop of executives and employees, but couldn’t they have shut this company down in a more orderly fashion and got all the truckers to their destinations and then home, instead of stranding them? Was that not feasable?
EXACTLY!! Seems like the current Execs are either incompetent or shitbags for not doing so AND for not filing Chapter 11 reorg sooner so it didn’t get to this point.
 

Mujahideen

Essential Worker
Midas Member
Site Supporter
Joined
Mar 31, 2010
Messages
12,377
Likes
23,753
Location
Wakanda
I feel for the current crop of executives and employees, but couldn’t they have shut this company down in a more orderly fashion and got all the truckers to their destinations and then home, instead of stranding them? Was that not feasable?
Probably.

But the problem I see is having people work for ya when they know that check might possibly not be coming in. From a security POV it’s probably safer to lay everyone off abruptly and hide.
 

keef

Пальто Crude
Midas Member
Joined
Nov 11, 2011
Messages
7,228
Likes
7,130
Location
here
It's 'white color crime' and it is epidemic today. Expect more of these disclosures as the tide rolls out.

I blew a whistle on our CFO at a financial agency after speaking to him briefly at our annual Christmas Party / 2005.

I was talking to him causally and he mentioned to me that he was building houses in a suburb of Dallas during the 2000-2005 boom years.

wtf, I thought to myself, this guy does not know the first thing about construction and realized right then/there he was probably laundering embezzled money from our agency. Notified the State Auditors confidentially.

Turned out it was 63 million, the CEO and a few others were also in on it and all involved immediately resigned. Our agency handled it hush-hush as they did not want to loose the public trust. People are so trusting of today's corporate crooks. Hard working/honest people pay the price.

But I still laugh to this day when the State Auditors were frantically looking for this CFO during an audit and repeatedly calling his name on the building intercom (State Auditors for Mr XXXXXXX, please come to the 1st floor meeting room!) They didn't know he had already bolted out the back door, boing-gone!

Reminded me of that scene from FARGO when William H Macy bolts out of the car lot after being caught.
1575907122618.png
"yeah, I am sure those cars are on the lot, let me go check, I'll be RIGHT BACK." hahahahaha

that guy was such a dick head, all those top guys are now. Insiders have known for years what the gen public is just now figuring out.
 

Uglytruth

Midas Member
Midas Member
Site Supporter ++
Joined
Apr 6, 2011
Messages
9,153
Likes
16,200
Mail lady said her husband works for the rail road & things are turning nasty there also.
Anyone checked the dry good, shipping, rail loads lately?

Did the stores have good black Fridays or because they have stretched it out for 2 months were sales numbers down?
 

Buck

Village Idiot
Midas Member
Site Supporter ++
Joined
Apr 13, 2011
Messages
11,105
Likes
11,305
Did the stores have good black Fridays or because they have stretched it out for 2 months were sales numbers down?
Good Question...it reminds me, i haven't heard a single thing about sales for any of it

It's usually all over the news by now, sales across Black Hole Friday and Spend More Monday...
 

Joe King

Midas Member
Midas Member
Site Supporter ++
Joined
Mar 31, 2010
Messages
10,365
Likes
11,806
Location
Instant Gratification Land