Our President
A Quarterly Message from our President and CEO
It has been called the "Perfect Storm" by some and I suppose one could feel that way when you look at the current conditions of the economies we service in 2008. We have seen a very sluggish U.S. economy during the entire second half of 2007 with its sub prime problem we read so much about, along with the value of the U.S. dollar dropping and giving way to the Canadian dollar swiftly rising. Then we have the rise in commodity prices. The one dearest to our hearts being the oil per barrel going over $100, causing the price of fuel to skyrocket. The Canadian economy seemed to be doing fairly well, but it is a mixed bag of some areas of Canada flourishing while others decline. The manufacturing sectors of Ontario and Quebec are in poor condition due to the exchange rate quickly increasing the price of goods sold from Canada to the U.S., while the cost of production was unchanged. When the largest economic engine in the world slows down it has to affect Canada as its biggest consumer of goods and services.
So we have costs rising significantly to transport goods, the exchange rate squeezing the southbound goods being sold in the U.S. and the economy losing its level of activity for many reasons. So yes, the trucking industry in the U.S. and Canada is certainly feeling the effects of this "Perfect Storm." What do we do about the challenge we face? We could just sit and complain and hope things get better and wish for a better day, or we could face the stiff winds that challenge us and move on. We first have to recognize that our customers are going through this same challenge, which is where the level of shipping originates. Once we realize their problems, we can provide for them a better selection of services so they can stay competitive in this market. We are very good at providing expedited services and other special services allowing our customers to meet their competition in this market. With sales dropping, customers need specific attention to be sure the goods get to market quickly and without damage. As we continue at Reimer Express Lines to provide the same level of excellent service with expedited options, we can help our customers maintain and grow their market share, which in turn helps ours as well.
How long with this last? Well, no one knows. All we know is we must do our very best when the challenges are most severe as we have done in the past and will continue to do in the future.
Go Reimer Go!
Allan N. Robison
President
