USFreightways sees 4.7% increase in income
''''USFreightways Corp. reported net income for the quarter ending July 1 of $27.5 million, up 4.7 percent over the $26.3 million reported for the year-earlier quarter.
''''Revenue increased 13.3 percent to $621.9 million from $548.9 million for the second quarter of 1999. Less-than-truckload revenue rose 8.1 percent excluding the fuel surcharge over the second quarter of 1999. LTL shipments increased 5.9 percent and LTL tonnage rose 5.4 percent. LTL revenue per shipment rose from $109.08 to $111.32 and weight per LTL shipment declined from 1,150 pounds to 1,145 pounds.
''''USF's net income increase comes despite negative impact from results of USF Worldwide and USF Processors. USF Logistics, excluding USF Processors, saw a 30-percent increase in revenue and a 92.8-percent increase in operating income. USF Processors, despite a 46-percent increase in revenue, suffered an operating loss of $478,000, compared to an operating income of $2.2 million for the year-earlier quarter.
''''USF Worldwide's results, excluding the costs of network expansion in Asia, were lower than anticipated. USF said 'significant expenses were incurred in the integration and transformation of the major gateway branches from separate domestic and international locations into single branch locations as one integrated organization.' USF completed the integration by June, and expects to take advantage of growth opportunities in Asia, Latin America and Europe. The unit, with six additional Asian facilities opened during the quarter, now has opened 18 facilities in eight countries in just six months. USF Asia plans to open facilities in another eight to 10 countries in the next year.
''''The operating ratio for the group fell slightly to 90.0 from 89.9 in the year-earlier quarter.