WOOODSTOCK, Ont. The acquisitions of Contrans Income Funds generated additional revenues from transportation services of $16.6 million in the second quarter of 2007, $36.9 million year-to-date, compared to the same period in 2006.
Core operations of the fund – operations existing at the beginning of 2006 – continued to be adversely affected by the strong Canadian dollar, slowing economies in Central and Eastern Canada as well as a slowdown in construction activity in both Canada and the US.
The fund’s operating expenses, as a percentage of revenue, have remained stable due to the impact of the acquisition of an LTL operation in the fourth quarter of 2006. This LTL operation has lower operating costs and higher selling, general and administration expenses compared to the fund’s logistics and truckload operations.
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