ABF and FedEx To Raise Rates
by June 7, 2004 12:00 am 91 views
Arkansas Best Freight System Inc. announced a revision of its general rates and charges, effective June 14.
In a recent release, the company said the hike will be about 5.9 percent but the amount will vary by lane and shipment characteristics.
FedEx Freight of Memphis said on May 24 that it will implement a 5.9 percent general rate increase, also effective June 14.
FedEx said it has made investments in its less-than-truckload service, which carries higher costs than in the past. The company said EPA-compliant engines are more expensive to acquire and operate and cited rising health care costs, insurance premiums and liability requirements, as well as greater costs for security, as factors affecting the company’s costs.
On-highway retail diesel prices, which carriers such as ABF follow, have increased 32 cents a gallon in the last 12-month period, according to the U.S. Department of Energy’s Energy Information Administration.