TOP 100 TRANSPORTATION AND LOGISTICS SITES
| |||
|
| |||
| |||
|
| |||
| Rockwell Collins Trims Expectations After Charges Zacks.com submits: Rockwell Collins Inc. (COL) reduced the upper range of its earnings forecast for the current fiscal year. The company now expects EPS of $3.70 to $3.75 compared to its earlier projection of $3.70 to $3.90. The downside in guidance was on account of the inclusion of approximately a $20 million ($12 million after-tax, or 8 cents per share) charge for facility consolidation, asset impairments and other restructuring activities. The charges were related the closure of San Jose, California, facility related relocation of engineering and production work to other facilities and trimming of work force.Complete Story » seekingalpha.com |
Mercedes, Honda, Toyota Best in Customer Retention - J.D. Power TheCarConnection.com submits: By Richard Read During economic times like these, customer retention has given some automakers an edge in the marketplace. Though studies have suggested that brand loyalty is a thing of the past, J.D. Power's new Customer Retention Survey shows a whopping 67% of Mercedes-Benz buyers remain loyal to the company, with Honda (64%) and Toyota (61%) following close behind. At the bottom? Saturn (25%), Suzuki (24%), and way down in the single-digits, Saab, at just 9%. We might blame that on the brand's potential wind-down, but with Pontiac still at 28%, it looks like Saab just can't catch a break.Complete Story » seekingalpha.com |
The Future of the Lithium Market, Part I Juan Carlos Zuleta submits:In a presentation at the inaugural Lithium Supply & Markets Conference held in Santiago in January 2009[1], I suggested three factors to determine whether lithium-ion (Li-ion) batteries will be adopted by the global automobile industry in its transition to electric propulsion, namely: the oil market, technological development and resistance to change.In the first part of this contribution I review and extend this argument in light of some important recent events that have occurred in the world economy. First, I re-analyze the oil market not only in terms of yearly oil prices and their volatility but also in relation to average oil prices and volatility for the last 12 years. Second, I now discuss technological development in reference to different types of Li-ion batteries as well as other classes of rechargeable lithium batteries that are beginning to appear in the market. And third, I complement the notion of resistance to change with acceptance to change. The Oil Market Once the economic recession has been declared to be over, oil prices have averaged around $76 a barrel during the last quarter of 2009. As anticipated in a previous article, they could not in fact drop forever and a long run perspective of the world economy did indeed call for not-so-low oil prices to avoid a supply crisis[2].The argument that “Peak oil” and climate change may prevent an ever-lasting decrease of oil prices also appears to be quite relevant today.In addition, although 2009 closed with a yearly average oil price about 38% lower than the value obtained in 2008, this did not diminish the intensity of the electric car race. Of course, prices are not alone in the oil market as determinants of adoption of Li batteries; price volatility (i.e. uncertainty) counts as well. But this variable showed also a much lower figure in 2009 than in 2008. Yet, again, the lithium rush was seen to be on the rise.At first sight, the findings above would demolish the original contention that both oil price and its volatility may have an important effect on adoption of Li batteries. However, the argument remains intact if yearly oil prices and their volatility (as measured by yearly standard deviations) are examined in relation to average values for a given period of years[3].As shown in Table 1 and Figures 1 and 2, both yearly average oil prices and volatility clearly reflect figures well above their corresponding total averages (for the period 1998-2009) during the last 5 and 3 years, respectively. The numbers attained in 2009 do not seem to be as near to the ground. Albeit low, they are still well above the average for the last 12 years.Hence because yearly oil prices (beginning 2005) and their volatility (starting in 2007) remained above the average figures over the period 1998-2009[4], the trend towards electrification in the car industry as well as adoption of advanced lithium batteries to come to grips with this development intensified[5]. Table 1(Click to enlarge) This resolves the puzzle as to why, despite the recent fall of oil prices and their volatility, both car and battery manufacturers are still investing billions of dollars in research and development of different electric cars and advanced lithium batteries. It also suggests that both car and battery makers may be placing more emphasis on both yearly oil prices and volatility in relation to total average numbers over a given period of years rather than simply yearly figures for their decision to invest in the development of electric cars and advanced lithium batteries. Figure 1(Click to enlarge) Figure 2(Click to enlarge) Technological DevelopmentIn just a year since the inaugural LS&M09 conference, technological development in the advanced lithium battery industry appears to have progressed significantly, both in terms of its focus and the number of new lithium batteries that are reportedly part of different research projects. Complete Story » seekingalpha.com |
Aviation Advisory Committee Objectives: Government or Market Solutions? Vaughn Cordle submits:May 12th the DOT released the Mission Statement and Objectives of Secretary Lahood's Advisory Committee. It looks like a great group, and the objectives of the Commission appear to be perfectly politically correct; Obama should be happy.Labor has a seat at the table, which is good. As they say in Washington, if you are not at the table, you are on the menu. A fair question to ask is how much influence unions have in Washington, and whether their views will prevail in the final report of the commission.Complete Story » seekingalpha.com |
FedEx Earnings: The Only News That Matters Today The Pragmatic Capitalist submits: The economy isn’t falling off a cliff just yet. FedEx (FDX) raised their guidance this morning in a move that confirms much of the confounding economic strength we’ve seen in corporate earnings and recent data such as the rail freight traffic. This news comes on the heels of a very positive report from UPS (UPS) just last week. These transports are key indicators of economic strength as they transport the majority of consumer related goods. FedEx was very upbeat in a report released this morning: Our revenue and earnings growth are exceeding original expectations, primarily due to better-than-anticipated growth in FedEx Express and FedEx Ground volumes. Our package volume growth rates in our first quarter are continuing at a pace similar to our fourth quarter. Of particular benefit to our earnings is the continued strong demand for our higher-margin FedEx International Priority® (IP) package and freight services, with IP package volumes expected to grow more than 20% again this quarter. Customers are favorably responding to our superior service offerings, the capabilities of our unparalleled global network and the best-in-market cut-off times we now offer from numerous points in Asia.Complete Story » seekingalpha.com |