Knight-Swift acquires AAA Cooper

I had an interesting conversation about this with a good friend of mine who has been part of the business of mergers and forced raids. It's his understanding that Knight-Swift had a lot of available cash. Another point that was made is Knight-Swift will most certainly expand Cooper's brand! They can do this now and keep any debt manageable. What I expect to see soon is some throat-cutting in the LTL side of freight as Cooper starts this growth. Much as the likes of Schenider and Swift did back in the 90s. I can't remember if Cooper is unionized. One more point that may or may not be something to consider. I remember about 2 years ago watching a freight train pass by. Lots of lowboy cars with Swift trailers. I would say at least 50 of them. It is a fact Swift is in need of drivers. I wonder if Cooper will start to move more and more of Swift's long-haul freight? The next 3 or 4 years will be interesting to watch this all play out!

 

I love AAA Cooper.

 

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I have those on my F350.

 

What’s the import cost on these for ya?
How’s the farm?
Good to see you still kickin.

 

Consolidation in the industry is not good for competition. Just like Amazon and Walmart put the mom and pop stores out of business, this will put rate pressure on the small trucking companies and force them out too.

Eliminate the competition until you're the only game in town or dominate a larger segment of the market. That's the strategy at play, don't think for a second it's not.