UPS sells brokerage Coyote Logistics to RXO

Haven’t done any loads with coyote or RXO in a long time. Both bottom of the barrel cheap freight payers marketed for non English speakers so they can click and book.

 

As a company driver, Coyote made sure I got detention pay. All I had to do is tell them and check later with the liad number and they would tell me how much it was going to be.

Howl on.

 

UPS seems to have made several and very expensive M&A decisions. How much did they loose on the Overnight deal, (not including the money lost during the operation).

 

Reminds me the other day I had a ups delivery and I happened to be outside. After he put the box down, I Said that I hope that other driver found his address awhollago. He said what driver? And I says it was an roadway express driver and he was looking pretty lost. LoL

 

I thought the same thing initially, but as I think about it I'm coming around to the idea they probably actually broke even or even made a little money. They had Coyote for 9 years (I believe they bought in 2015). Coyote reported around $86M in Ebitda last year, and I believe it's safe to assume that was likely was on the lower end due to the soft freight market. Even if they just averaged $86M Ebitda per year for the 9 years, that would put them at $774M, resulting in essentially a break even. They likely had better years in the mix though (if you couldn't make money during the pandemic as a brokerage you probably need to hang up your cleats), so I'm guessing they actually made a few bucks on it overall.

 

RXO, ha!
I ordered a big truck jack online on June 20 truck freight, XPO zipped it across the country and it showed up 183 miles away from me yesterday (June 25) expected delivery Friday (28th).
I get a message from RXO "schedule your delivery". Cool. Go online......whaaaaat, that can't be right. Almost impossible to talk to a person, but somehow I got there. Worked through the language barrier. No, that date is the soonest we can deliver to you. AYFKM?
July 23rd! Juuuuuly Twwwwwwenty Third.
Almost a freaking month!
The local freight company I can call and have something out of Spokane (where the jack is) next day if I call early enough.
Glad I don't really need the item RXO's got parked in some warehouse