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Worldwide Logistics scaling back service

Larry Thomas -- Furniture Today, November 18, 2011

VALDESE, N.C. - Specialized furniture carrier Worldwide Logistics is eliminating service to Canada and nine Western and Midwestern states as it scales back operations in the wake of a long-running furniture industry sales slump.
     The company also has closed its terminal in Dallas and will soon shutter terminals in Riverside and Stockton, Calif.
     Formed in 2008 by the merger of six specialized furniture carriers, WWL had been providing service to all U.S. states and Canadian provinces, but said that business model is no longer viable given the current economic conditions.
     "We have decided to refocus our efforts to serve those markets that deliver the best return on assets and provide the best service to our customers," WWL said in a press release. "As we look back at the models that specialized furniture carriers have tried to provide for the home furnishings industry, it is clear that the future of quality service to the industry rests with solid regional and direct long-haul service."
     The company said it will continue to service all states except California, Oregon, Washington, Idaho, Montana, Wyoming, North Dakota, South Dakota and Nebraska with shipments originating from the East Coast.
     WWL Chairman Richard Eanes said shipments will now be made direct to customers from terminals in Martinsville, Va., and Morganton, N.C. Previously, some shipments were sent to a second terminal before reaching their final destinations.
     "We know that these changes will enable us to not only better serve our customers, but also make Worldwide a stronger, more robust company that will be around for years to come," Eanes said.
     In addition, WWL is partnering with furniture carrier American West to consolidate eastbound deliveries that originate from Southern California.
     The Pacific Northwest and parts of Canada will now be serviced by a new carrier called Northwest Furniture Xpress, which was formed by the former owners of Four Truckers, one of the companies that originally merged into Worldwide Logistics.
     The new company will provide service to Washington, Idaho, Oregon, and the Canadian provinces of Alberta and British Columbia for furniture shipments originating in North Carolina, Virginia, eastern Tennessee and southern California.
     "We have always enjoyed doing business in the Northwest and look forward to returning the same great service and reliability to our customers that they once knew at Four Truckers," said Carl Abernathy, president of Northwest Furniture Xpress. "Customers can expect a smooth transition with no service interruptions or pricing changes."
     Abernathy and the other former owners of Four Truckers are stockholders in the new company, as is Grant Laidlaw, vice president of sales. The group is no longer part of the Worldwide Logistics organization.
     Northwest Furniture Xpress is headquartered in the former Four Truckers complex in Morganton, N.C.
     The furniture shipping sector has been in a state of flux since Furniture Transport Group, the largest specialized furniture carrier, suddenly shut down in September and began liquidating its assets.
     FTG, which consisted of MGM Transport, Caldwell Freight Lines, Foothills Trucking and Lance Transportation, controlled about 25% of the industry's trucking capacity, Eanes said.
     Another specialized furniture carrier, Cargo Consolidation Services, announced during last month's High Point Market that it is adding Ohio, Pennsylvania and portions of the Northeast to its service area.
     The company also said it has hired furniture industry veterans Mark Setzer and Tom O'Hare. Setzer, who worked in the industry for 26 years, will work in sales and account management, while O'Hare, a 42-year industry veteran, will work in business development.

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