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Summary for December 17 - December 21, 2007:
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Monday, December 17, 2007

Two new cranes at POLA

 After 21 days at sea across the Pacific, the cranes came within 5 ft of the bridge’s undercarriage but passed under without incident as television helicopters and film crews captured the scene.

 This delivery, precisely timed for the lowest tide possible, marks the first arrival of cranes under the bridge since 2002, said the port. The cranes were delivered on a barge that was lowered to the water line to allow bridge clearance.

 The cranes can lift up to 50.8 tons, and their booms extend out 170 ft, making them capable of working a ship with 19 container rows across. The cranes, each costing approximately $7mn, were built by Paceco-Mitsui of Japan.

TraPac expects the cranes will help the company “more than double its container volume over the next 30 years — from about 900,000 TEUs to nearly 2.4mn TEUs,” said the company.

 Web site:

 TraPac terminal

K + N sees Board, Rail Unit change

 EWALD Kaiser, head of the business unit Rail & Road Logistics at Kuehne + Nagel International AG, has withdrawn from his responsibilities as a member of the Management Board and has decided to leave the company, said the firm Dec 17.

 Kaiser was appointed to the Management Board of Kuehne + Nagel International AG in 2005 and “played a key role in the development of the European overland activities,” said the company.

 Xavier Urbain will be appointed to the Management Board of Kuehne + Nagel International AG to take over the responsibility for Rail & Road Logistics effective Jan 15, 2008, according to the announcement.

 “Due to his proven managerial capabilities, we are convinced that Mr. Urbain will drive forward the expansion of our European overland operations and add momentum through new impulses,” said Klaus-Michael Kuehne, executive chairman of Kuehne + Nagel International AG.

 Kuehne added, “In the scope of our pan-European strategy, Xavier Urbain will — in a next step —concentrate on the extension of the overland network in France, Italy, and Spain.”

 Web site:

 Kuehne + Nagel International AG launches truck calculator, an online resource for lift truck manufacturers, buyers, operators, and dealers, Dec 14 announced it has launched an online calculator that compares the cost of owning and operating an internal combustion engine (IC) lift truck fleet to that of owning and operating a similar fleet of electric trucks.

 The calculator, created by GNB Industrial Power, a division of Exide Technologies, can be applied to all brands of trucks and fleets of any size, making it a valuable resource for potential lift truck buyers, according to the announcement.

The online calculator asks visitors to submit information in six different tabs: IC truck information, electric truck information, energy cost information, plant operation, IC truck operation, and electric truck operation.

 Once the information is submitted, the calculator generates an operation summary, comparing capital, energy, and maintenance costs for IC and electric trucks. has an extensive Before You Buy section with various criteria to consider before purchasing a lift truck. The section includes articles, maintenance information, and in-depth comparison data. is a Web site of Hyster Co.

 Web site:


Tuesday, December 18, 2007

POLB approves drayage truck fee

 LONG BEACH Board of Harbor Commissioners Dec 17 approved a cargo fee that will generate about $1.6bn to help fund cleaner trucks and improve air quality, said port authorities.

The fee will help support the replacement of nearly 17,000 trucks in the short-haul or drayage fleet that serves the ports. The result will be an 80% reduction in air pollution from the drayage fleet in the next five years, said the port.

Today?s vote will help ensure that in a short time, only the cleanest trucks will operate at the ports, said Harbor Commission President Mario Cordero.

This tariff is an important milestone for our community, said Long Beach Mayor Bob Foster. It puts the costs for cleaner air where it belongs on the price of goods sold. In early 2008, the port will consider additional clean trucks measures, including a possible incentive program for companies that invest in the 2007-compliant trucks ahead of schedule, said the port.

The fee will place a $35 charge on every loaded TEU cargo container entering or leaving any terminal by drayage truck beginning Jun 1, 2008. Web site: Long Beach Board of Harbor Commissioners

ACCION, EPA offer truckers microloans

LONG-HAUL truck drivers can “go green, reduce fuel costs, and increase profits” with a state-of-the-art, eco-friendly equipment upgrade from EPA’s SmartWay Transport Partnership and ACCION New York and New Jersey, a nonprofit provider of microloans for the self-employed, ACCION New York announced Dec 18.

 Through ACCION, drivers unable to borrow from traditional banks can obtain a loan to buy the SmartWay Upgrade Kit for their trucks.

 As a nonprofit microfinance organization, ACCION specializes in working with self-employed individuals to build their businesses and credit histories.

 The upgrade package includes idle reduction technology, low rolling resistance tires, advanced aerodynamics, and exhaust after-treatment devices.

 The upgrade will allow truckers to “reduce emissions and spend less money on fuel, all while building quality credit that will help them save on future borrowing costs,” according to the announcement.

 “Rising fuel costs mean that in order to make more money, truckers simply need to use less fuel,” says Jennifer Spaziano, ACCION VP of business development. “ACCION has teamed up with [the EPA] to make the upgrade kit accessible to truckers, even if they encounter challenges finding financing at a bank.”

 Web sites:

 EPA’s SmartWay Transport Partnership

 ACCION New York and New Jersey

Genco Shipping acquires drybulkers

 GENCO Shipping & Trading Ltd. Dec 17 announced that it has taken delivery of three drybulk vessels under Genco’s previously announced agreements to acquire six drybulk vessels from affiliates of Evalend Shipping Co. SA.

 Peter C. Georgiopoulos, GENCO chairman, commented, “We firmly believe in the ongoing strength of the drybulk market and are committed to continue seeking growth opportunities.”

 The three drybulk vessels are the Genco Charger, a 2005-built Handysize vessel, the Genco Challenger, a 2003-built Handysize vessel, and the Genco Warrior, a 2005-built Supramax vessel.

 The company has delivered the Genco Charger and the Genco Challenger to their charterer, Pacific Basin Chartering Ltd., to commence a time charter for 35 to 37.5 months at a gross rate of $24,000 per day, less a 5% third-party brokerage commission, per vessel.

 The Genco Warrior is expected to be delivered to its charterer, Hyundai Merchant Marine Co. Ltd., on Dec 19, 2007, to commence a time charter for 35 to 37.5 months at a gross rate of $38,750 per day, less a 5% third-party brokerage commission.

 Web site:

 Genco Shipping & Trading Ltd.


Wednesday, December 19, 2007

JCPenney joins green truck coalition

THE COALITION for Responsible Transportation Dec 18 announced that JC Penney Co. Inc. and its local transportation provider, PDS Trucking Inc., have joined the CRT.

 This marks “a commitment to convert 100% of the truck fleet carrying JCPenney imports at the ports of Los Angeles and Long Beach to low-emissions, clean-diesel technology,” said the announcement.

 JCPenney and PDS Trucking are utilizing a public-private cooperative model recently developed by CRT to provide the framework through which to implement cleaner trucking fleets in Southern California.

 With JCPenney’s financial support, the fleet used by PDS Trucking to deliver JCPenney containers will be converted to low-emission diesel trucks.

 The trucks will meet the emissions goals set by the ports of Los Angeles and Long Beach by 2010, two years ahead of the ports’ deadlines, while also “preserving the livelihoods of independent owner-operators in the port trucking community,” said the announcement.

 Kent Prokop, president, PDS Trucking Inc., a subsidiary of Pacer Distribution Services Inc., said, “We are committed to working closely with the independent owner/operators to improve fuel efficiency and reduce emissions in our port operations.”

 Web site:

 Coalition for Responsible Transportation

Port of Seattle offers new apprenticeships

 THE PORT of Seattle Dec 18 announced a Memorandum of Understanding offering new apprenticeship opportunities at Seattle-Tacoma International Airport.

 The agreement was also signed by Parsons Constructors Inc., the Seattle-King County Building and Construction Trades Council, AFL-CIO and the participating local unions, Pacific Northwest Regional Council of Carpenters, Laborers Local #242 & 440, and Operating Engineers Local #302.

 Currently, the contractors, unions, and the port — all parties to the Project Labor Agreement — already work with the Washington State Apprenticeship Council to increase the pool of workers skilled in the trades.

 Under the new agreement, pre-qualified applicants from community-based pre-apprenticeship programs will be given “preferred entry” into apprenticeship programs.

 Veterans will also have the opportunity for preferred entry status.

 Preferred hire apprentices will be guaranteed up to six months or 1,000 hours when working with prime contractors.

 “The Port of Seattle is committed to creating jobs and economic growth for our communities,” said Tay Yoshitani, CEO. “Our success depends on a vibrant workforce, and we are honored to work with our partners in expanding apprenticeship opportunities to veterans and other citizens in King County.”

 Web site:

 Port of Seattle

BP Atlantis starts to produce

BP Dec 18 announced that it has completed commissioning of the Atlantis semi-submersible platform in the deepwater Gulf of Mexico and has commenced the export of oil and gas from the deepest moored floating oil and gas production facility in the world.

“The water depths and reservoir structure make Atlantis among the most technologically challenging developments undertaken by BP,” said Andy Inglis, BP’s chief executive of exploration and production.

 The platform, about 150 miles south of New Orleans, LA, and moored in 7,070 ft of water, has a capacity of 200,000 bbl of oil and 180mn cu ft of gas per day, said the announcement.

 “The investment we are making to deliver world class projects like Atlantis in the deepwater Gulf of Mexico is making a major contribution to US energy supply and US energy security,” said Bob Malone, chairman and president of BP America.

 Oil and gas will be transported to existing shelf and onshore interconnections via the Caesar oil and Cleopatra gas pipeline systems.

 BP is operator of Atlantis with 56% ownership. BHP Billiton has a 44% working interest.

 Web site:



Thursday, December 20, 2007

Teamsters ratify UPS contract

THE INTERNATIONAL Brotherhood of Teamsters Dec 19 notified UPS that a new contract covering approximately 240,000 UPS employees has been certified approved and ratified.

 The master contract was negotiated nearly a year in advance of the current contract’s expiration on Jul 31, 2008, and will extend contract coverage to Jul 31, 2013.

 The ratification came as five local supplemental or rider agreements received approval in a second round of employee voting. Last month, the UPS National Master Agreement was approved by 65% of the voting employees.

 The new contract includes “wage increases as well as significant contributions to healthcare and pension plans to help strengthen these benefits for employees,” according to the announcement.

 The agreement allows UPS to withdraw employees from the Central States multi-employer pension plan and establish a jointly trusteed, single-employer plan for this group.

 UPS will make a pre-tax $6.1bn payment to the Central States plan on Dec 26, 2007, in connection with its withdrawal, said the announcement.

 UPS, the world’s largest package delivery company, celebrates its 100th anniversary this year.

 Web site:

 International Brotherhood of Teamsters


AMB leases 590,000 sq ft to DHL Exel

 AMB PROPERTY Corp., a global developer and owner of industrial real estate, Dec 19 announced it has leased 590,000 sq ft in North America, Europe, and Asia to DHL Exel Supply Chain, a Deutsche Post World Net company.

 The lease includes 491,000 sq ft in a development project located near the ports of Seattle and Tacoma.

 AMB Valley Distribution Center is DHL Exel’s new West Coast regional distribution hub supporting its business in the region, said the announcement.

 The property has “immediate access to highways providing rapid connections to the region and is well positioned between the ports of Seattle and Tacoma, which have experienced a combined 9% annual container cargo growth in the last five years,” said the announcement.

 With the 491,000 sq ft agreement, and General Electric’s previously announced lease of 260,000 sq ft, the facility is now fully leased.

 In Europe, DHL fully leased an 85,000 sq-ft facility at the Port of Rotterdam to support its freight transportation.

 AMB has also recently leased 14,000 sq ft to DHL at Singapore’s Changi International Airport.

 Web site:

 AMB Property Corp.

 DHL Exel Supply Chain

Port of Tacoma wins GFOA excellence award

 THE PORT of Tacoma Dec 19 announced that it has been awarded the Government Finance Officers Association Certificate of Excellence for the port’s 2006 Comprehensive Annual Financial Report.

 According to the announcement from the Chicago-based GFOA, the award is the “highest form of recognition in the area of governmental accounting and financial reporting, and its attainment represents a significant accomplishment by a government and its management.”

 The port’s 2006 annual report was judged by an impartial panel to meet high standards and demonstrate a constructive “spirit of full disclosure” to clearly communicate the port’s financial story, the GFOA announcement stated.

 “Recognition by a national professional association validates the thoroughness and hard work of our financial staff on behalf of the citizens of Pierce County,” said Port Commission President Dick Marzano.

 “Our finance team is recognized to be among the best in the port industry. We are very proud of this achievement,” Marzano added.

 GFOA is a nonprofit professional association serving 16,000 government finance professionals throughout North America.

 Web sites:

 Port of Tacoma

 Government Finance Officers Association


Friday,December 21, 2007

Audit blasts Port of Seattle

 The Washington State Auditor’s Office Dec 20 released the results of a performance audit of the Port of Seattle’s capital program, saying the port was “vulnerable to fraud, waste, and abuse.”

 According to the 334-page audit, the port commission provided insufficient oversight over contracting practices and the port did not have adequate systems in place to protect taxpayer dollars from misuse, abuse, and misappropriation.

 The port wasted $97.2mn in taxpayer money during construction projects and contracts active from January 2004 to March 2007, the audit found in its review.

 “I am taking the results of this audit seriously,” said CEO Tay Yoshitani. “I welcome the majority of recommendations from this audit and believe they reflect genuine opportunities to improve our construction management and contracting practices.”

 Yoshitani has appointed an internal team to address the two overarching recommendations: centralizing procurement-related activity and clarification of the port commission’s oversight and staff reporting requirements for major construction programs.

 The audit recommended that all procurement authority be re-assigned to a Chief Procurement Officer.

 The audit was authorized by voters in 2005 with Initiative 900.

 Web site:

 Washington State Auditor’s Office

 Port of Seattle

POLA approves clean trucks fee

 The Los Angeles Harbor Commission Dec 20 approved a measure that will place a $35 charge on every loaded TEU cargo container and $70 on every loaded FEU cargo container entering or leaving the Port of Los Angeles cargo terminals by short-haul or “drayage” trucks beginning Jun 1, 2008.

 This follows the unanimous vote of support for the Clean Trucks Fee tariff approved Monday by the Port of Long Beach Harbor Commissioners.

 The nation’s two largest container ports will use the proceeds to fund a $2bn Clean Trucks Program — $1.6bn generated by the Clean Trucks Fee and the rest in anticipated grant funding from the state of California.

 The program will “replace or retrofit the existing fleet of trucks that serve the San Pedro Bay Ports over the next five years, reducing port-related truck emissions 80%,” said the port.

 The charge would not apply to containers entering or leaving the port by train, car carriers, or fuel tanks.

 Trucks will be monitored for compliance by radio frequency tracking devices or similar identification technologies, said the port.

 Web site:

 Port of Los Angeles

Tacoma’s Fabulich retires after 31 years

 After more than three decades on the Port of Tacoma Commission, Chairman of the Board Jack Fabulich Dec 20 closed his final commission meeting.

 The Port of Tacoma 31 years ago was a small, regional port focused on breakbulk and grain, logs, and other natural resource–based cargoes.

 “Jack’s leadership helped change us from that sleepy little port of 1976 to one of North America’s premier container ports today,” said Dick Marzano, a longtime Tacoma longshoreman and current president of the port commission

 Fabulich and his fellow commissioners helped bring Sea-Land, Maersk Line, Hyundai Merchant Marine, “K” Line, Evergreen, and Yang Ming Line to Tacoma, increasing the port’s container volumes from 85,000 TEUs in 1977 to nearly 2.1mn TEUs today.

 The port’s auto business grew from 19,000 to 178,000 units, and total tonnage expanded from 3.9mn to 19.9mn short tons.

 “Perhaps more than anyone else, Commissioner Fabulich has contributed to our customers’ success and the economic strength and community vitality that makes Tacoma such a remarkable place to live and work,” said Timothy J. Farrell, Port of Tacoma executive director.

 Web site:

 Port of Tacoma

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