COMPETITION WATCH: Contrans re-aligns business units

WOODSTOCK, Ont. — Contrans is re-aligning its Eastern Canada flatbed and van business units to take advantage of economies of scale and improve efficiencies.

The company says it will unite the operational direction and administrative functions of various Eastern Canadian van operations together under a single management group. These functions, currently within the Brookville Carriers Van LP offices in Saint John, New Brunswick and Milton, Ontario will be transferred to Laidlaw Carriers Van LP, which is based in Guelph, Ontario. This will result in improved traffic management and more efficient fleet utilization, according to company officials.

Meanwhile, all the administrative functions of the East Coast flatbed business units will be centralized at the General Freight Carriers LP facility in Saint John, N.B. The company says the changes will enhance Contrans’s position as the largest flatbed carriers in the country.

“These measures are the logical next step in the development of our van and flatbed businesses,” said Stan Dunford, Contrans chairman and CEO. “We review our operations on an ongoing basis to find ways to improve business performance. Like other companies, we have had to manage the effects of many changes in business conditions such as plant closures, the value of the Canadian dollar, escalating fuel prices and other economic pressures. We prefer meeting these challenges head-on and in a proactive manner rather than standing by and hoping conditions will improve. With the actions that we are commencing today, we will continue to manage our business from a position of strength.”

The organizational changes will take place in April.

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