Chip Overbey, Vice President of National Accounts & Marketing and Jerry Neal, Director of National Account Pricing for Old Dominion Freight Line, Inc., announced from the LTL carrier’s Thomasville, North Carolina Headquarters, the organization would be increasing its base rates effective May 16th, 2005.
The general increase involves a restructure that provides for increases in its rates and minimum charges based on length of haul rather than the traditional across the board increases. Generally, the shorter the haul, the lower the increase impact. Although each customer will have a different financial impact based on the lanes and distance their shipments move, the overall impact of the increase is approximately 5.9 %.
The tariffs affected by the May 16, 2005 increase are the ODFL 559/555, 505 and 560. Overbey stated that, “The increase is necessary to offset higher costs as a result of new equipment, new service centers, state-of-the art technology, insurance costs as well as wages and benefits. We believe the increase is essential to continue to provide our customers with the value in technology and quality performance they have come to depend on.”