DALLAS, May 29, 2008 (PRIME NEWSWIRE) -- Frozen Food Express Industries, Inc (Nasdaq:FFEX), a nationwide transportation company offering service in the temperature-controlled truckload and LTL, dry truckload, and brokerage / logistics markets, announced today that it has reduced the maximum speed of its company-operated truck fleet from 65 to 62 miles per hour in an effort to mitigate the impact of rising fuel costs. FFEX expects that most of the independent contractors who provide it with trucks will take similar steps to reduce their expenses.
"This is a decision we've been contemplating for quite some time, and we simply have to take some definitive action, as many other carriers have already done, to offset costs that are rising faster than our ability to deal with them," said Russell Stubbs, Senior Vice President and Chief Operating Officer. "Independent studies have found that for each mile-per-hour that a truck reduces its average speed, we can expect a 1/10th of a mile increase in that truck's average miles-per-gallon. This three mile-per-hour decrease in maximum speed can save up to 1,000 gallons of fuel, per truck, per year. At the end of the first quarter of 2008, we had 2,029 trucks in service, 1,485 of which were company operated. We are active and responsible members of the Environmental Protection Agency's SmartWay Transport Partnership, and this initiative also aids in our efforts to find ways to reduce both emissions and fuel consumption," said Stubbs. SmartWay is a partnership between the Environmental Protection Agency and select businesses in the transportation industry, with an ultimate goal of reducing greenhouse gas emissions and overall fuel consumption.
This will be an enterprise-wide effort across the FFE Transportation Group (FFE Transportation Services, American Eagle Lines, and Lisa Motor Lines brands) and customer service will not be impacted by this speed reduction. This action is one of several to address rising fuel prices, including enterprise-wide fuel consumption efforts, equipping tractors with anti-idling control devices and modifying equipment specifications to ensure the most aerodynamic fleet possible.
Stubbs concluded that, "these are difficult operating times, and carriers and shippers alike have to be adaptable to change in this type of environment. As a transportation community, it is absolutely essential that we continue to explore new ideas and work together in collaborative efforts to find creative solutions. I appreciate all the people at our companies, as well as our customers, for the way they are embracing these new concepts."
About FFEX
Frozen Food Express Industries, Inc. is a publicly owned motor carrier specializing in core offerings of temperature-controlled transport of products and perishable goods including food products, health care supplies and confectionery items. Nationwide service is offered in both over-the-road and intermodal modes on temperature-controlled truckload and LTL freight, as well as dry truckload freight. FFEX also offers services in brokerage, logistics, and dedicated hauling. Additional information about Frozen Food Express Industries, Inc. can be found at its Web site, http://www.ffex.net. To join our email alert list, please click on the following link below: http://www.ffex.net/irpass.asp?BzID=1065&to=ea&s=0
The Frozen Food Express Industries, Inc. logo is available at http://www.primenewswire.com/newsroom/prs/?pkgid=3209
Forward-Looking Statements
This report contains information and forward-looking statements that are based on management's current beliefs and expectations and assumptions which are based upon information currently available. Forward-looking statements include statements relating to plans, strategies, objectives, expectations, intentions, and adequacy of resources, and may be identified by words such as "will," "could," "should," "believe," "expect," "intend," "plan," "schedule," "estimate," "project," and similar expressions. These statements are based on current expectations and are subject to uncertainty and change.
Although management believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will be realized. Should one or more of the risks or uncertainties underlying such expectations not materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expected.
Among the key factors that are not within management's control and that may cause actual results to differ materially from those projected in such forward-looking statements are demand for the company's services and products, and its ability to meet that demand, which may be affected by, among other things, competition, weather conditions and the general economy, the availability and cost of labor and owner-operators, the ability to negotiate favorably with lenders and lessors, the effects of terrorism and war, the availability and cost of equipment, fuel and supplies, the market for previously-owned equipment, the impact of changes in the tax and regulatory environment in which the company operates, operational risks and insurance, risks associated with the technologies and systems used and the other risks and uncertainties described in the company's filings with the Securities and Exchange Commission.