CONSOLIDATED FREIGHTWAYS SEES $29.9 MILLION 3RD QUARTER LOSS

CONSOLIDATED FREIGHTWAYS SEES $29.9 MILLION 3RD QUARTER LOSS

   Consolidated Freightways Corp. showed a third quarter after-tax loss of $29.9 million, down from a net income of $1.3 million in the same period of 2000.

   Revenue of $571.9 million fell 3.5 percent compared to last year. The operating loss of $26.1 million compares to operating income of $5.6 million for the same period last year.

   Total tonnage was down 1 percent and revenue per hundredweight was down 3.2 percent to $17.24.

   The company said the net loss was due largely to declines in tonnage and yield, changes in freight mix involving increases in smaller shipments and declines in load factor.

   “The continuing economic downturn is affecting CF’s ability to show positive financial results. The impact of the tragic events of Sept. 11 on national and international economies — especially the manufacturing and retail sectors — compounds this problem and frustrates our efforts to return the company to profitability,” said Pat Blake, chief executive officer.

   “Adjusting our workforce to business levels is a necessary result of this depressed economy. Since June, our hourly workforce has been reduced by over 6 percent and our management workforce has been reduced by 10 percent,” he added.

   For the year to date, net loss was $66.8 million, on revenue of $1.74 billion, down 2 percent.

   Consolidated Freightways Corp. is comprises less-than-truckload carrier Consolidated Freightways, third-party logistics provider Redwood Systems, Canadian Freightways LTD, Transportes CF Alfri-Loder, the company’s joint venture in Mexico and CF AirFreight, an air freight forwarder.