More Bad News.....

JB Hunt stock dropped 24% in the last month.

 

How is this possible?

A few years ago, California-based Padilla spent 25-30 cents per mile to run his truck. "So for every dollar (of pay), I was pocketing 70 cents. Now it costs $1 a mile," said Padilla.

 

And so it begins

 

DOOM

 

Flatbed is looking good.

 

Most of the companies in our area have seen this coming for awhile and have conducted their business accordingly. They've been through times like these.
A lot of them used the last few years income and low interest rates to pay down their long term debt. Our banker told me that he hasn't issued any new Line of Credit loans to a logging, construction, farming, or trucking company in over two years. He was trying to get a few of us to increase our L of C but wasn't getting any takers. He was the guest speaker at a Rotary luncheon. I think our questions made him uncomfortable. I hope they did. I like my banker. I've known him for over thirty years. He's an honest man but if you cut him he'd bleed Bank of America blue. In times like these he's not my friend
He also said that they're starting to get more inquiries from O/O and small companies about refinancing. They like to refinance land and big dollar property. It means that the payments will keep coming for a while longer until the inevitable default.
Dig in, cut expenses everywhere you can.
Tell Mama she has to wait a couple of years for that new Escalade.

 

Bad news for people who owe a bank money
For whatever reason.
Good news for us, who are dept free and piled up cash.
We plan on taking full advantage of the crash.
We're just waiting, because we know it's coming.

 

Well said