| It appears we are having a terrible situation with | | | | causing consumers to be damaged in that the |
| the diesel fuel prices in the US. It is affecting | | | | cost of everything goes up.In 2000 trucking |
| everything, since everything we buy is shipped by | | | | companies all started raising prices 5%. And then |
| train or truck and most of the times both. We | | | | another increase eight to ten months ago. We |
| have artificial fuel price manipulation and large | | | | have not seen a fair price for fuel in UT, MT, WY, |
| trucking companies operating at less than 3% | | | | CO either yet we should have. The railroad |
| margins. We have seen 100s of medium size | | | | industry is fairing only a little better able to import |
| trucking companies file bankruptcy and 1000s of | | | | their own fuel cars to the locations they need to |
| small companies file as well between 1999 and | | | | fill at and buy at a bulk price where it is cheaper. |
| 2002 and we appear to be headed for another | | | | After huge consolidations and soon to be more in |
| round here in 2005. This is causing problems in the | | | | the rail industry with Canadian Rail Companies. We |
| used truck sales market. We have noticed this | | | | see problems here too. Especially recently when |
| affect with used trucks on this market it is | | | | the Railroads were shut down due to freezing of |
| affecting new truck sales right after several | | | | switchers and safety devices needed for |
| major mergers. There have been lay offs at all | | | | operations. We think we maybe able to realize a |
| large trucking company manufacturers. Employees | | | | great market in these venues in the future.When |
| from Volvo, Peterbuilt, Daimler Chrysler who have | | | | trucks and trains stop, America Stops too. Most |
| been laid off, some have hired back a few due to | | | | grocery stores and Major Retailers operate on a |
| the emissions rules and need for cleaner trucks | | | | real time basis, meaning that Inventories of the |
| and also trucks which are more efficient. The | | | | past and big warehouses are not needed to the |
| efficiency saved at these fuel prices will nearly | | | | same degree as before. This is what the new |
| pay the additional costs of the payments and | | | | economy is bringing. It means lower prices to |
| truck manufacturers intend to capitalize on that | | | | consumers due to inventories being less and less |
| fact.Fuel prices are a disaster in CA and there is a | | | | cost needed to store goods for any amount of |
| mandatory diesel engine emissions statue for | | | | time. It also means foreign trade zones and areas |
| vehicles over 14,500 GVW. The EPA laws are also | | | | where there are no inventory taxes such as NV |
| causing underground tanks to be continually dug | | | | will not be as significant as before, but still needed |
| up everywhere to protect the ground water, all | | | | to compete in the fast paced World. Those |
| these things combined are causing huge issues on | | | | foreign trade zones, which were decreed after |
| top of the already high diesel prices and insane | | | | many of the BRAC military base closures have a |
| government add on taxes. Oregon State has now | | | | one ups man ship on those other areas with |
| decided to induce as well; any truck with no OR | | | | warehousing incentives. Places such as Columbus |
| plates will be charged extra tax for fuel. Oregon is | | | | OH and Mathers AFB in Sacramento CA. Of |
| trying to keep road tax money due to a recent | | | | course there are over 400 of these foreign trade |
| law passing to keep registration fees low. | | | | zones in the US now and more than 100 more |
| Consumers believed they would save money by | | | | waiting with permits. Some of these old military |
| low registration, now it is simply added to diesel | | | | bases are now superfund sites such as Dobbins |
| fuel, which affects everything you buy and leads | | | | AFB out side of Atlanta. As America matures, we |
| us into recession. This is a big tax on all diesel | | | | have learned allot from our past and we should |
| sales of trucks. Washington State; same thing; | | | | be taking these learned experiences with us as |
| some highest prices in the Nation are now in the | | | | we deal with any potential threat of economic |
| west. Even ID, AZ and NV are raising prices but | | | | melt down.With Inventories being less for large |
| keeping them just under WA, OR and CA. Many | | | | retailers, it also means that small manufacturers |
| truck stops in NV, and AZ even though just over | | | | who want to service the large retailers will have |
| the CA border are keeping inline with just under a | | | | to be able to adapt or die to the relentless need |
| nickel per gallon less. Big saving for trucks with | | | | for that retailer to move products faster and |
| 200 gallons of fuel capacity. So now the truck | | | | faster and inventory the products at their |
| stops in NV, AZ are crowded. And the ones in | | | | manufacturing facilities, and then move them |
| NM, TX, KS, OK insane where fuel prices are a | | | | quicker. But they cannot afford to run their own |
| good 10 to 20 cents per each gallon cheaper. | | | | trucks because the fuel costs will take them out |
| Truck stops in San Bernardino, LAs main | | | | of the running to offer the lowest cost to the |
| distribution hub are busy, but are not selling much | | | | purchasing departments of retailer, store the |
| fuel, as trucking companies and drivers are only | | | | product, make the product, ship the product and |
| buying enough to make it out of the state where | | | | offer the best terms on payment to the retailer. |
| they can fill up at lower prices. In NV and AZ | | | | Who is not anticipating on paying quickly, but |
| where fuel does not get taxed as much and | | | | stringing out the payables almost as bad as Sears |
| wholesale prices are lower but prices only 5 cents | | | | in the 70s and 80s. Look at the new boss at |
| less. Diesel fuel Sales and distributors are making | | | | Home Depot, from GE, savvy guy, watching |
| insanely high margins, or at least a lot more than | | | | numbers and look at their CFO, both sharks; |
| normal. Noticed that where most of the people | | | | great for shareholders equity, but devastating for |
| live, such as near water (great lakes and Ocean) | | | | the small manufacturers. |
| that is where the fuel is more expensive? This is | | | | |