Less-than-truckload carrier Saia announced Monday the opening of two new terminals, which is part of a previously disclosed $1 billion capital plan for 2024.
The new locations are in Garland, Texas, and Missoula, Montana. The Garland location will be the company’s fourth terminal in the Dallas-Fort Worth market, while the Missoula site will be its first in that state.
The carrier previously acquired 28 service centers valued at $244 million in a pair of auctions of defunct Yellow Corp.’s (OTC: YELLQ) assets. The Missoula location appears to be one of 11 leased terminals Saia purchased from the estate’s second auction.
“We’re eager to add coverage across our network,” said Patrick Sugar, Saia’s EVP of operations. “These new terminals were built, or renovated, to enable us to provide our customers with enhanced service so we can meet their supply chain needs.”
Saia (NASDAQ: SAIA) has added 25 terminals in the past three years and nearly 50 since it embarked on an expansion project in the Northeast in 2017. It plans to open as many as 20 terminals this year and relocate as many as 10 current locations into larger spaces.
It plans to spend a total of $550 million on real estate during the year, which includes amounts spent making repairs and upgrades at the acquired sites.
“Beyond these two, we intend to open another 16 to 17 new terminals over the next several months, in addition to relocating several existing facilities to larger or strategically advantageous locations to reduce shipping time, improve pickup and delivery flexibility, and increase capacity in key areas,” Sugar said.
Saia has been one of the most aggressive carriers in expanding market share since Yellow’s demise last summer.
It reported an 18% year-over-year increase in shipments during the fourth quarter alongside a 12% increase in yield (excluding fuel surcharges). Its shipments were up 12% and 19% y/y, respectively, in the first two months of the year.
The company’s guidance implies it will be operating a network of 210 to 215 service centers by year-end, approximately a 12% to 14% increase in total door count.
Saia also plans to spend $400 million to $450 million on tractors and trailers this year.
Johnny
I worked for both union and non union freight driver Orr driver dockworker etc. I loved the union way on how workers were treated. Liked going to work everyday cause I worked at my own pace. But when it comes down to it. I noticed non union workers at non union freight co worked harder cause they had some one always watching them making sure they were getting job done. That’s why non union co last longer. Now there were some guys in union co who worked hard but most sat around messed around for 8 hours.
Jimmy D
Teamsters SUCK!!!
Michael Vanacore
Saia’s just another spinoff! Just wait you’ll get yours down the road…when you get tired of working for peanuts, no bennies and can’t pass a DOT physical anymore see what SAIA will do then..Yellow had this all planed for years!
Letareio Robinson
I need a driving job in the Mississippi delta area hopefully yall get more trucks a buildings this way.
Roland Stafford
It’s funny how no one is hiring the people from Yellow Freight SAIA and other freight carriers just total BlackBall Houston Yellow Employees. Here you are telling us SAIA opening new terminal is like a slap in the face.
Paul
I could see this coming years ago, It’s not only Yellow, many others. I’ve been a Union Rep, drove for USPS, UPS, FedEx, until a break down in Montana, where I suffered a carrier ending injury caused by the wrecker driver, who lifted the tractor as I was descending throwing me backwards off d passenger side door. Multiple fractures throughout my left arm, lower back, and just 3-wks into d renewal of my CDL, $600 for 8 yrs.
Freight Zippy
The greatest day in Saia’s history was when the union posted the Meme of the Yellow Tombstone..
That put Yellow down for good and made these terminals available and a lot of new business for Sais to capture.
Amazing how no shippers ever state that they miss Yellow…….
Peter C.Ely
Good Article