EGL REPORTS LOSS FOR 4TH QUARTER, YEAR
EGL Inc., which operates under the name EGL Eagle Global Logistics, reported a fourth-quarter loss of $42.5 million, compared with net income of $19.7 million for the year-earlier period.
Fourth-quarter results were adversely affected by start-up costs associated with a new dedicated leased aircraft servicing the U.S./Asia market, added to secure additional business following the merger with Circle International Group Inc.
Revenue rose 23 percent to $514.8 million.
For the year, the Houston-based company reported a net loss of $700,000, compared with net income of $51.7 million for 1999. Revenue was $1.86 billion, up 32 percent.
“We remain confident in EGL's non-asset-based business model and in our strong market position over the next several years,” said James R. Crane, chairman and chief executive officer of EGL. “The Circle merger, which continues to proceed on track, has strengthened our ability to serve our existing customer base and has enabled us to attract new accounts with our worldwide presence and comprehensive product line.”