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SEARCHLess-than-truckload carrier ABF Freight System is cutting its number of terminals from 277 to 247. In a “change of operations” filing with the Securities and Exchange Commission, ABF parent company Arkansas Best said it had already eliminated eight facilities in the second half of this year, with the rest still yet to close.
Less-than-truckload carrier ABF Freight System is cutting its number of terminals from 277 to 247.
In a “change of operations” filing with the Securities and Exchange Commission, parent company Arkansas Best, said it had already eliminated eight facilities in the second half of this year with the rest still yet to close.
“The proposed change is part of an ongoing, dynamic network analysis that was initiated in 2013 along with other efforts at ABF Freight to return the company to sustained, historic profitability,” the company said in the filing. "[This] will result in improved transit times for customers, enhanced operational efficiency and greater density in the carrier's less-than-truckload freight network. The company will continue to directly serve customers in all the markets it currently serves.”
ABF Freight is in the process of meeting and reviewing the proposed change with all Teamster local unions involved. All of these meetings will be concluded prior to the hearing with the Teamsters about the matter, likely set for next month.
In late October, Teamsters Union members at ABF ratified a new labor contract, running from Nov. 3 of this year through March 31, 2018, that ABF said will save the company between $55 million to $65 million annually.
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