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• LTL Shippers Hit with Mid-year Rate Hike

LTL Shippers Hit with Mid-year Rate Hike

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FedEx Freight, Roadway Express and ABF Freight System are taking mid-year general rate increases in the 5.9 percent average range.

FedEx Freight is implementing a 5.9 percent general rate increase, effective June 30. The increase covers its two operating units, FedEx Freight East and FedEx Freight West. FedEx Freight, formerly called Viking Freight and American Freightways. Roadway Express is taking a 5.9 percent average increase, effective July 13. Also, ABF Freight System ABF said it is "revising" its general rates and charges on July 14. These revisions will typically result in a 5.85 percent increase, although the amount will vary by lane and shipment characteristic, ABF said. Yellow Transportation also has revised its rate structure on a case-by-case basis, according to several Yellow shippers.

Fed Ex Freight's increase applies to intra- and interstate traffic, including Canadian transborder and other international lanes, as well as accessorial and minimum charges, FedEx Freight said. It also said "various additional adjustments" will be made on select lanes and service areas.

"In the past year, we have added and expanded service centers and enhanced our technology capabilities to better meet the fast cycle distribution needs of the marketplace," said Dennie Carey, senior vice president of marketing for FedEx Freight.

"At the same time, we have experienced increased costs for healthcare and insurance as well as compliance with new regulatory requirements. Our commitment is to be able to continue providing the high level of service and reliability our customers need and count on," Carey added.

Both FedEx Freight operating companies share a single base rate tariff and a single rules tariff. Shippers may access rate quotes online at www.fedexfreight.fedex.com. The revised FedEx Freight base rate and rules tariffs are also available on the company's web site effective June 30, the carrier said.

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