Dean Foods’ Ahart Named Fleet Executive of the Year

Michael Ahart, VP of transportation for Dean Foods, was named the 2016 Fleet Executive of the Year at the Automotive Fleet & Leasing Association's (AFLA) annual conference on Sept. 20 in San Diego, Calif.

Ahart

Ahart was selected from field of four finalists that also included Paul Youngpeter, CAFM, managing director of fleet and corporate services for Rollins, Inc.; Robin Lewis, vice president of procurement, fleet and asset management for Ferrellgas; and Julie Pedelini, director of North America fleet, travel and meetings for Johnson & Johnson.

Ahart is an 11-year fleet veteran, and manages 11,000 Class 7-8 trucks/tractors/trailers and 1,500 passenger vehicles. He is responsible for ensuring his fleet's logistics operation for the delivery of its products, including the acquisition and maintenance of the company's vehicles. Ahart has been with Dean Foods since 2000, and he was promoted to his current position in 2006.

The award recognizes exceptional leadership by managers who hold the title of vice president or higher and/or have other responsibilities beyond fleet.

He has implemented several fleet initiatives with Dean Foods, including the standardization of vehicle specifications, outsourcing titling and registration, improving vehicle maintenance, and prioritizing employee safety.

The award is sponsored exclusively by the CEI Group, with the honoree selected by a panel of judges from the fleet industry.

Related: 2015 Fleet Executive of the Year Named

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Potholes and Cracks on the Way to Autonomy

The rush to get autonomous vehicles on the road is amazing. Never before have geeks working on artificial intelligence and sensor fusion been so in demand and commanded such salaries. Startups with no revenue and a few good people are selling to big names like GM and Ford for tens of millions of dollars, if not more. How can this be, when everyone agrees that our transportation infrastructure is crumbling? How will autonomous vehicles perform on roads that are full of potholes and bridges that have cracks?

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Earnings Watch: FedEx Quarterly Profit Totals $715 Million

Earnings for trucking and package delivery company FedEx Corp.(NYSE: FDX) moved up modestly to $715 million, or $2.65 per share, in its fiscal quarter ending Aug 31 that included the cost of integrating another carrier.

This compares to a profit of $692 million, or $2.42 per share, a year earlier, as revenue increased to $14.7 million billion from $12.3 billion.

During the quarter, the Tennessee-based company incurred TNT Express integration and restructuring program costs, shaving $68 million off its profits, while also incurring $28 million of intangible asset amortization expense for TNT Express.

In May, FedEx completed its purchase of Europe's TNT Express for nearly $5 billion expanding its worldwide trucking and logistics offerings.

“The integration of TNT Express is proceeding smoothly,” said Frederick W. Smith, FedEx chairman, president and chief executive officer. “Managing our operating companies as a portfolio of customer solutions helped FedEx achieve strong financial and operating results in the quarter, especially given the global economy's continued low growth.”

In the most recent quarter, FedEx reported operating income increased to $1.26 billion from $1.14 billion in the 2015 quarter. Operating results rose compared to last year due to higher base yields at FedEx Express and FedEx Ground, volume growth at FedEx Ground and ongoing cost efficiencies at FedEx Express, according to the company.

The company's less-than-truckload operation, FedEx Freight, saw revenue increase 4% to $1.66 billion while operating income moved 2% higher to $135 million.

Revenue increased as LTL average daily shipment growth of 8% more than offset the impact of lower fuel surcharges and weight per shipment FedEx said. Operating results benefited from higher shipment volumes and a favorable rentals comparison, as last year's results included a charge related to a facility closure. These benefits were offset by lower revenue per LTL shipment.

FedEx also recorded a small hike in revenue for its FedEx ...Read the rest of this story

August Sees Boost in Trailer Orders

The final numbers on August net trailer orders show a significant increase over the previous month that still fell slightly below expectations.

Transportation industry analyst FTR reported a total of 14,000 units ordered for the month which was up 48% from July. However, July was a terrible month for orders and compared to August 2015, orders were actually down 48%.

“Overall, it was not too bad for a month of August for the trailer industry,” said Don Ake, FTR vice president of commercial vehicles. “New orders were at the highest level in six months.”

New orders were at the highest level of the past six months however, the impact was mitigated by a high number of cancellations as OEMs clean placeholder orders out of the backlog.

While fleets were expected to start placing orders for 2017 in August, lower than expected numbers seem to indicate that next year will be slow. In its own analysis of August's trailer orders, ACT Research remarked that there seemed to be a lack of enthusiasm for new orders than previously expected.

“Overcapacity, lackluster year-over-year fleet financials for Q2, and minimal expectations for improvement in freight rates are generating investment plan headwinds,” said Frank Maly, director of commercial vehicle transportation analysis and research at ACT Research. “After several years of solid and ever-earlier order placement, expect this order cycle to be less robust and straggling.”

Related: The 2016 Trailers Update

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California, Cummins to Develop Natural Gas Heavy-Duty Engine

The California Energy Commission (CEC) approved a $1 million grant to develop a 12-liter natural gas engine for heavy-duty vehicles that produces near-zero nitrogen oxide tailpipe emissions, the commission has announced.

The grant focuses on existing engine research and consists of engine development and on-road vehicle demonstration. The engine will be offered as an option for fleets with larger vehicles, according to CEC.

The South Coast Air Quality Management District will work with Cummins Westport, Inc., to develop the engine. The development of the natural gas engine will help meet the California Air Resources Board's (CARB) 2010 emissions standards and support efforts to improve air quality in the South Coast and San Joaquin Valley air basins.

Related: California's Zero Emissions Vehicle Dreams

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Kenworth adds set-forward axle configuration to T880

Kenworth expanded its T880 with a set-forward front axle configuration at the ConcreteWorks show hosted by the National Ready Mix Concrete Association (NRMCA).

The new configuration, named the T880S, is designed for fleet and truck operators in ready-mix, dump and mobile crane applications, the company said.

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ATA: Tonnage up for August

The American Trucking Associations (ATA) reported a 5.7% increase in its for-hire truck tonnage index for August, making up for a 2.1% tonnage decline for July.

Compared to August 2015, the index is up 5.9%; the largest year-over-year tonnage gain since May, the ATA noted, which was also up 5.9%. Year-to-date, compared with the same 8-month stretch in 2015, tonnage is up 3.5%.

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