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Business<br />
<strong>December</strong> <strong>15</strong>-<strong>31</strong>, 20<strong>15</strong> • 27<br />
ATA’s Truck Tonnage Index (Seasonally Adjusted; 2000=100)<br />
135.0<br />
130.0<br />
125.0<br />
120.0<br />
1<strong>15</strong>.0<br />
110.0<br />
107.5<br />
OCT - 10<br />
JAN - 11<br />
APR - 11<br />
JUL - 11<br />
OCT - 11<br />
JAN - 12<br />
APR - 12<br />
JUL - 12<br />
OCT - 12<br />
JAN - 13<br />
Volvo Trucks layoff, weakening sales<br />
signal possible weak time for Class 8<br />
Jack Whitsett<br />
jack.whitsett@thetrucker.com<br />
DUBLIN, Va. — Industry analysts pointed<br />
to a mass layoff at Volvo Trucks’ New River<br />
Valley Assembly Plant as a sign that Class 8<br />
truck sales, already sliding, may be in free fall<br />
as an uncertain new year looms.<br />
Volvo said <strong>December</strong> 2 it will lay off 734<br />
production workers in February due to a slowdown<br />
in demand.<br />
“This was the weakest November order activity<br />
since 2009 and was a major disappointment,”<br />
said Don Ake, FTR vice president of<br />
Commercial Vehicles, “coming in significantly<br />
below expectations. Orders are expected to be<br />
APR - 13<br />
JUL - 13<br />
OCT - 13<br />
JAN - 14<br />
APR - 14<br />
JUL - 14<br />
OCT - 14<br />
JAN - <strong>15</strong><br />
APR - <strong>15</strong><br />
JUL - <strong>15</strong><br />
OCT - <strong>15</strong><br />
better, but not necessarily good, the next two<br />
months.”<br />
November Class 8 orders are expected to<br />
be 60 percent below the same period last year,<br />
ACT Research of Columbus, Indiana, reported.<br />
“<strong>The</strong> November orders are very concerning,”<br />
Ake said. “People were optimistic when<br />
orders held up well during the summer. Now<br />
we get into the peak order season and have<br />
the lowest orders of the year. <strong>The</strong> weak orders<br />
are the reason for the recent OEM announcements<br />
regarding production cutbacks<br />
and layoffs. Truck inventories are high and<br />
See Volvo on p33 m<br />
Tonnage up 0.7 percent; year-to-date<br />
numbers up 3.3 percent over last year<br />
THE TRUCKER NEWS SERVICES<br />
ARLINGTON, Va. — <strong>The</strong> American Trucking<br />
Associations’ advanced seasonally adjusted<br />
For-Hire Truck Tonnage Index increased 0.7<br />
percent in September, following a decrease of<br />
0.9 percent during August.<br />
In September, the index equaled 135.1<br />
(2000=100), up from 134.1 in August. <strong>The</strong><br />
all-time high of 135.8 was reached in January<br />
20<strong>15</strong>.<br />
Compared with September 2014, the seasonally-adjusted<br />
index increased 3.1 percent,<br />
which was above the year-over-year increase<br />
of 2.1 percent in August. Year-to-date through<br />
September, compared with the same period last<br />
year, tonnage was up 3.3 percent.<br />
<strong>The</strong> not seasonally adjusted index, which<br />
represents the change in tonnage actually<br />
hauled by the fleets before any seasonal adjustment,<br />
equaled 138.9 in September, which<br />
was 1.4 percent above the previous month<br />
(136.9).<br />
“<strong>The</strong> see-saw pattern in truck freight tonnage<br />
continued again in September, except<br />
that the gain didn’t fully wipe out August’s decline,”<br />
said ATA Chief Economist Bob Costello.<br />
“However, over the last few months tonnage<br />
See Tonnage on p36 m<br />
Courtesy: VOLVO TRUCKS<br />
Volvo still intends to move forward with its plan to spend $38.1 million in upgrades at its<br />
New River Valley production plant.<br />
Courtesy: ARCBEST<br />
JUDY McREYNOLDS<br />
ArcBest, CEO honored by Women’s Forum of New York<br />
THE TRUCKER NEWS SERVICES<br />
FORT SMITH, Ark. — ArcBest Corporation<br />
and President and CEO Judy R. McReynolds<br />
were honored November 19 by the Women’s<br />
Forum of New York at the third biennial<br />
Breakfast of Corporate Champions for achieving<br />
at least 20 percent female representation on<br />
their board.<br />
ArcBest, which has a representation of 27.3<br />
percent women on the board, was applauded as<br />
a corporate game changer for making special<br />
efforts to advance women in the boardroom.<br />
“I’m pleased that ArcBest is being recognized<br />
for its strides toward a more diverse<br />
board,” McReynolds said. “We believe in appointing<br />
the best people to the board and at the<br />
executive level. We’ve been fortunate to have<br />
strong women candidates fill these positions.<br />
As long as companies focus on putting the best<br />
people in leadership, we’ll see more women<br />
occupying those roles.”<br />
ArcBest board members include McReynolds,<br />
Janice E. Stipp and Kathy D. McElligott.<br />
Stipp, who serves on the board’s Audit<br />
Committee, is chief financial officer of Rogers<br />
Corporation, an engineered materials firm<br />
that enables clean energy, Internet connectivity<br />
and protection applications. McElligott<br />
is executive vice president and chief information<br />
and technology officer of McKesson<br />
Corp., the largest pharmaceutical distributor<br />
in North America, according to a news release.<br />
“We commend ArcBest Corporation and<br />
their work toward achieving a greater gender<br />
balance in their boardroom,” said Janice Ellig,<br />
co CEO of Chadick Ellig and chair of the<br />
event. “ArcBest knows that more women on<br />
boards is smart business and their success is an<br />
inspiration to others.”<br />
<strong>The</strong> event brought together an audience of<br />
more than 500, including CEOs and directors<br />
along with business leaders, government officials<br />
and media leaders.<br />
Following the awards presentation, Judy<br />
Woodruff of “PBS News Hour” moderated a<br />
CEO panel discussion on why and how top<br />
U.S. companies should strive for gender parity.<br />
Additionally, this year’s breakfast expanded to<br />
include a follow-up symposium which included<br />
moderated sessions by Moira Forbes of ForbesWomen,<br />
Cyrus Sanati of Fortune.com and<br />
Susanna Schrobsdorff of TIME magazine.<br />
<strong>The</strong> symposium closed with a luncheon<br />
keynote speech by Securities and Exchange<br />
Commission Chair, Mary Jo White, who was<br />
introduced by Michael Fucci, Chairman of the<br />
Board, Deloitte LLP.<br />
ArcBest Corporation is a logistics and<br />
transportation firm and parent company to ABF<br />
Freight, ABF Logistics, Panther Premium Logistics,<br />
FleetNet America, U-Pack and ArcBest<br />
Technologies. 8