XPO Logistics, Inc. (NYSE: XPO), a leading provider of freight transportation services, today announced the opening of two less-than-truckload (LTL) terminals to increase customer service capacity in its North American network. In addition, the company increased production capacity at its trailer manufacturing facility, and will open four more fleet maintenance shops this quarter.
The announcement marks the latest progress in XPO’s previously announced plan to drive growth and efficiencies in its North American LTL network. In October 2021, the company opened a 264-door terminal in Chicago Heights, Illinois, and initiated actions to enhance freight flows in the face of increasing demand. In the current quarter, XPO’s LTL investments include:
- 26 new doors at a cross-dock terminal in Sheboygan, Wisconsin;
- 24 new doors at a cross-dock terminal in Texarkana, Arkansas;
- New fleet maintenance shops at terminals in Ohio, Florida, New York and Nevada; and
- Equipment upgrades to the company’s LTL trailer manufacturing facility in Searcy, Arkansas, with the expectation of nearly doubling the year-over-year number of units produced in 2022.
Mario Harik, acting president, less-than-truckload, and chief information officer of XPO Logistics, said, “The strategic actions we initiated in the fourth quarter began showing results in a matter of weeks, giving us good traction for the execution of our plan in 2022. Our investments in this high-ROIC business will benefit customers across our national LTL platform.”
North American LTL Strategic Actions
XPO’s comprehensive LTL action plan will continue to improve network-wide operating efficiency and support future revenue growth. Specifically, the company expects to:
- Expand its North American LTL door count by 900 doors, or approximately 6%, by year-end 2023;
- Further improve network flow with targeted initiatives;
- Continue to implement accessorial charges for detained trailers, oversized freight and special handling;
- Expand the 2022 graduate count at its US driver training schools, approximately doubling the 2021 count; and
- Significantly increase the number of units produced at its trailer manufacturing facility.
XPO has one of the largest LTL networks in North America, with approximately 21,000 employees, 291 terminals and 13 million shipments in 2021.
About XPO Logistics
XPO Logistics, Inc. (NYSE: XPO) is a leading provider of freight transportation services, primarily truck brokerage and less-than-truckload (LTL). XPO uses its proprietary technology, including the cutting-edge XPO Connect® automated freight marketplace, to move goods efficiently through supply chains. The company’s global network serves 50,000 shippers with 756 locations and approximately 42,000 employees, and is headquartered in Greenwich, Conn., USA. Visit xpo.com for more information, and connect with XPO on Facebook, Twitter, LinkedIn, Instagram and YouTube.
This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. These forward-looking statements are based on certain assumptions and analyses made by us in light of our experience and our perception of historical trends, current conditions and expected future developments, as well as other factors we believe are appropriate in the circumstances. These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions that may cause actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. Factors that might cause or contribute to a material difference include the risk factors discussed in our filings with the SEC, which may be accessed on the investor page of our website. All forward-looking statements set forth in this release are qualified by these cautionary statements and there can be no assurance that the actual results or developments anticipated by us will be realized or, even if substantially realized, that they will have the expected consequences to or effects on us or our business or operations. Forward-looking statements set forth in this release speak only as of the date hereof, and we do not undertake any obligation to update forward-looking statements to reflect subsequent events or circumstances, changes in expectations or the occurrence of unanticipated events, except to the extent required by law.
XPO Wins Awards for Military Hiring
XPO acquires 28 service centers