300 million
STG Logistics recently completed a $300 million debt and equity financing package. Backed by STG’s existing lenders and equity sponsors, the financing provides capital for ongoing expansion and strategic growth initiatives, company officials said on Oct. 3. “The [financing] not only reinforces confidence in STG’s long-term strategic vision, but also strengthens our position to navigate the current freight market challenges,” CEO Paul Svindland said.
115 million
Hub Group Inc. has entered into a joint venture with EASO, Mexico’s largest intermodal carrier. Through a terminal network across Mexico, EASO — which specializes in intermodal, dedicated trucking, truckload and freight brokerage services — serves the entire Mexican domestic market and main logistics hubs in the United States using its intermodal cross-border network. The family will continue leading and managing the joint venture, with support from the existing management team and Hub. EASO estimates 2024 revenue of $115 million. The transaction is expected to be immediately accretive upon close to Hub Group’s 2024 EPS, Hub officials said on Oct. 8.
75.5 million
Cargo volumes at the Port of Vancouver were steady in 2024's first half, decreasing less than 1% compared to the same period a year ago, port officials said on Oct. 1. Between Jan. 1 and June 30, port operators and supply chain partners “moved 75.5 million metric tons (MMT) of trade,” led by strong performances in the container, auto and liquid bulk sectors, Vancouver Fraser Port Authority officials said. While it was a record half-year for international trade through the port — up 3% to 62 MMT — overall cargo volumes handled by the port dipped slightly due to a 15% drop in domestic cargo, in particular, volumes of forestry products, sand and gravel.
23.6 million
Since the beginning of the navigation season, The St. Lawrence Seaway has shipped 23.6 million metric tons of cargo, slightly lower than the same 2023 period, but there were cargo segments that showed growth, seaway system officials said on Oct. 8. For example, Canadian and U.S. grain hauls were up by 251,000 metric tons or 4.2%; potash, up by 200,000 metric tons or 21%; petroleum products, up by 487,000 metric tons or 28.8%; and iron and steel, up by 313,000 metric tons or 26%. “With a busy few months remaining in the 2024 season, we’re confident that Great Lakes ports are ready to finish the year strong,” said Adam Tindall-Schlicht, administrator of the Great Lakes St. Lawrence Seaway Development Corp.
2,791,127
Port Houston posted 20% TEU growth in August, reaching 367,653 twenty-foot equivalent units (TEUs) during the month, port officials said on Sept. 27. During 2024's first eight months, total container volumes reached 2,791,127 TEUs, an 11% increase over the same 2023 period. ... Loaded import TEUs at the port’s container terminals increased 9% in August compared with August 2023’s totals. The increase was driven by “a robust retail market and healthy consumer spending,” port officials said. Year-to-date, loaded imports were up 9%. On the export side, loaded containers were up 19% in August and 13% for the year, with resins continuing to drive volumes, port officials said.
15,000
Late last month, South Carolina Ports reopened Leatherman Terminal so it could begin receiving containers in support of a weekly Asia service. The first-in-Asia call provides shippers with a critical weekly connection between Asia and the U.S. Southeast consumer market, SC Ports officials said on Sept. 26. This week, a 15,000-TEU, LNG-powered ZIM Mount Blanc ship is scheduled to call Leatherman Terminal, the “newest ocean terminal to open in the United States in more than a decade,” SC Ports officials said.
5
“Highlights from investor day included the quality of the team led by CEO Jim Vena, strong service/operating momentum, and long-term growth opportunity. The three-year earnings growth outlook (high-single- to low-double-digit EPS CAGR) may have been short of more bullish expectations, but we have more confidence in UNP to deliver on the efficiency/growth opportunity than peers. … While there was no formal near-term update, Q2 trends look solid as service and volume momentum (+5% Y/Y QTD) should offset mix headwinds.” — Baird Equity Research’s Garrett Holland on Union Pacific Corp.’s Sept. 19 investor day
4
“Oil prices dropped over 4% on Tuesday following news of a potential ceasefire between Hezbollah and Israel, which eased immediate concerns over regional conflict impacting oil supply. … Early reports of Hezbollah's openness to a ceasefire with Israel led to the sharp price drop, as investors reacted swiftly to any potential de-escalation in the Middle East conflict. However, news that Israel continues to weigh its response to Hezbollah and may still target energy infrastructure tempered the market's response.” — PFL Petroleum Market Daily Report, issued on Oct. 8
1
The shipments component of the Cass Freight Index rose 1% month over month in August, after a 3% increase in July, Cass Information Inc. officials reported on Sept. 16. Shipments declined by 1.9% year over year in August after a 1.1% year-over-year drop in July. “These were the smallest declines in 18 months as goods demand continues to grow slowly, and slowing capacity additions reduce the pressure on for-hire shipments,” Cass officials said.
0.5
FTR’s Shippers Conditions Index for July rose slightly to 0.5 from June’s 0.3 reading. “Softer capacity utilization and slightly weaker freight rates led to a marginally better overall market for shippers during the month, offsetting less favorable fuel costs,” FTR officials said on Sept. 30, adding that the conditions outlook over the next couple of years “remains soft but not especially negative with index readings forecast at close to neutral territory.”
-5.59
FTR’s Trucking Conditions Index for July fell to a -5.59 reading from +0.95 in June “as freight rates were the least favorable for trucking companies since April and most other factors were weaker than they had been in June,” FTR officials said on Sept. 29. Overall trucking conditions should turn “consistently favorable” for carriers by early 2025, they added. “Carriers surely are tired of the ‘prosperity is just around the corner’ message, but the freight market distortions of the past four years still are resolving,” said Avery Vise, FTR’s vice president of trucking.