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'''XPO Logistics, Inc.''' is an [[United States|American]] corporation headquartered in [[Greenwich, Connecticut]]. It is a non-asset, third-party logistics provider of freight transportation services, including freight brokerage, expedited ground and air services, and freight forwarding.<ref name="Reuters-1"/>
'''XPO Logistics, Inc.''' is an [[United States|American]] corporation headquartered in [[Greenwich, Connecticut]]. It is a non-asset, third-party logistics provider of freight transportation services, including freight brokerage, expedited ground and air services, and freight forwarding.<ref name="Reuters-1"/>


Formerly known as Express-1 Expedited Solutions Inc., the company was renamed XPO Logistics in September 2011, after corporate consolidation entrepreneur and investor [[Bradley S. Jacobs]] led a team that agreed to invest up to $150 million in cash in the company.<ref name="The big bet of Brad Jacobs">{{cite web|url=http://www.dcvelocity.com/articles/20110109thebigbetofbradjacobs/|title=The big bet of Brad Jacobs|publisher=dcvelocity.com|date= January 9, 2012}}</ref><ref name="greenwichtime.com">{{cite web|url=http://www.greenwichtime.com/news/article/Jacobs-has-big-plans-for-Express-1-expediter-3006886.php/|title=Jacobs has big plans for Express-1 expediter|publisher=greenwichtime.com|date= February 7, 2012}}</ref><ref name="bloomberg.com">{{cite web|url=http://www.bloomberg.com/video/70862538//|title=Jacobs Interview on Express-1 Investment|publisher=bloomberg.com|date= June 14, 2011}}</ref><ref name="bloombergNov12">{{cite web|url=http://www.bloomberg.com/video/an-inside-look-at-xpo-logistics-transport-company-yT6RnwZPSNy66AgZ25Qn6A.html|title=An Inside Look at XPO Logistics Transport Company|publisher=Bloomberg TV|date= November 30, 2012}}</ref> Jacobs became the company’s largest shareholder, and assumed the positions of chairman and chief executive officer.<ref>{{cite web|url=http://www.businesswire.com/news/home/20110614006005/en/Bradley-S.-Jacobs-Lead-Equity-Investment-150|title=Bradley S. Jacobs to Lead Equity Investment of up to $150 Million in Express-1 Expedited Solutions|publisher=businesswire.com|date= June 14, 2011}}</ref> XPO is one of the 10 largest air and expedited surface transportation carriers in the United States and Canada.<ref>{{cite web|url=http://www.ttnews.com/articles/basetemplate.aspx?storyid=27381|title=Express-1 To Be Acquired By Equity Firm|publisher=Transport Topics|date= August 12, 2011}}</ref>
Formerly known as Express-1 Expedited Solutions Inc., the company was renamed XPO Logistics in September 2011, after corporate consolidation entrepreneur and investor [[Bradley S. Jacobs]] led a team that agreed to invest up to $150 million in cash in the company.<ref name="The big bet of Brad Jacobs">{{cite web|url=http://www.dcvelocity.com/articles/20110109thebigbetofbradjacobs/|title=The big bet of Brad Jacobs|publisher=dcvelocity.com|date= January 9, 2012}}</ref><ref name="greenwichtime.com">{{cite web|url=http://www.greenwichtime.com/news/article/Jacobs-has-big-plans-for-Express-1-expediter-3006886.php/|title=Jacobs has big plans for Express-1 expediter|publisher=greenwichtime.com|date= February 7, 2012}}</ref><ref name="bloomberg.com">{{cite web|url=http://www.bloomberg.com/video/70862538//|title=Jacobs Interview on Express-1 Investment|publisher=bloomberg.com|date= June 14, 2011}}</ref><ref name="bloombergNov12">{{cite web|url=http://www.bloomberg.com/video/an-inside-look-at-xpo-logistics-transport-company-yT6RnwZPSNy66AgZ25Qn6A.html|title=An Inside Look at XPO Logistics Transport Company|publisher=Bloomberg TV|date= November 30, 2012}}</ref> Jacobs became the company’s largest shareholder, and assumed the positions of chairman and chief executive officer.<ref>{{cite web|url=http://www.businesswire.com/news/home/20110614006005/en/Bradley-S.-Jacobs-Lead-Equity-Investment-150|title=Bradley S. Jacobs to Lead Equity Investment of up to $150 Million in Express-1 Expedited Solutions|publisher=businesswire.com|date= June 14, 2011}}</ref> XPO is one of the five largest air and expedited surface transportation carriers in the United States and Canada.<ref>{{cite web|url=http://www.ttnews.com/articles/basetemplate.aspx?storyid=27381|title=Express-1 To Be Acquired By Equity Firm|publisher=Transport Topics|date= August 12, 2011}}</ref><ref>{{cite web|url=http://www.jocdigital.com/05132013/Default/20/0#&pageSet=20&contentItem=0|title=Post-recession Growth Rates|publisher=The Journal of Commerce|date= May 13, 2013}}</ref>


==History==
==History==

Revision as of 07:25, 9 December 2013

XPO Logistics, Inc
Company typePublic
NYSE: XPO
PredecessorExpress-1 Expedited Solutions Inc.
ServicesLogistics provider of freight transportation services
Revenue$177 million (2011) [1]
Divisionsfreight brokerage, expedited transportation, freight forwarding[2]
Websitewww.xpologistics.com

XPO Logistics, Inc. is an American corporation headquartered in Greenwich, Connecticut. It is a non-asset, third-party logistics provider of freight transportation services, including freight brokerage, expedited ground and air services, and freight forwarding.[2]

Formerly known as Express-1 Expedited Solutions Inc., the company was renamed XPO Logistics in September 2011, after corporate consolidation entrepreneur and investor Bradley S. Jacobs led a team that agreed to invest up to $150 million in cash in the company.[3][4][5][6] Jacobs became the company’s largest shareholder, and assumed the positions of chairman and chief executive officer.[7] XPO is one of the five largest air and expedited surface transportation carriers in the United States and Canada.[8][9]

History

Express-1 Expedited Solutions was founded in May 1989 by Michael R. Welch and Keith Avery, with a focus on transportation of time-critical, high-value shipments.[10] The company was purchased in August 2004 by the transportation firm Segmentz, Inc., a public company that subsequently went through a restructuring to close unprofitable business units. In 2006, Segmentz changed its name back to Express-1 Expedited Solutions, and began trading its stock under the stock symbol XPO.[11][12]

In May 2003, the company’s business unit Express-1 Dedicated, Inc. was awarded a contract to provide dedicated transportation services to Ford Motor Company, a contract that would yield approximately 90 percent of the business unit’s revenue.[13] Ford announced in November 2008 that it was ending the contract, and the business unit ceased operations in February 2009.

In January 2008, Express-1 acquired Concert Group Logistics, Inc., a non-asset based freight forwarder.[14] Two months later, it launched Bounce Logistics, Inc., a business unit providing freight brokerage services.

In February 2009, the firm acquired First Class Expediting Services, Inc. to strengthen its operations in the Midwest.[15] In October of that year, the firm expanded its international services with the acquisition of LRG International, Inc., a global forwarding company.[16][17]

In June 2011, Express-1 became the vehicle for Bradley Jacobs’ entry into the truck brokerage industry, an industry that Jacobs viewed as ripe for consolidation, with only 15 percent of trucking currently outsourced to third-party logistics brokers.[5] Jacobs in the 1990s had spearheaded the consolidation of the waste management and equipment rental industries in North America through an aggressive strategy of cold starts of greenfield locations as well as acquisitions.[18]

With the $150 million investment in the company, including up to $135 million from his investment firm, Jacobs Private Equity LLC,[4] Jacobs gained ownership of about 71 percent of the company.[19][20] He announced plans to move the headquarters from Michigan to Greenwich, Connecticut, with the name changed to XPO Logistics, trading under the symbol XPO on the New York Stock Exchange. On October 12, 2011, Jacobs rang the bell to open the Exchange.[21]

On February 28, 2012, the company announced plans to open its national operations center in Charlotte, N.C., and began operating the facility in March 2012.[3][22][23] XPO selected Charlotte in part because of as much as $4.3 million in state incentives.[24] North Carolina’s Economic Investment Committee awarded XPO a Job Development Investment Grant, making it eligible to receive a maximum benefit package of $3.22 million. Another $1.07 million would come from the state’s utility fund for infrastructure improvements.[25]

On March 12, 2012, XPO announced an underwritten public offering of 6 million shares of common stock.[26] Three days later, the company increased the offering to 8 million shares, at $15.75 per share.[27] The IPO closed at 9.2 million shares of common stock, with net proceeds of roughly $136.7 million.[28] XPO Logistics listed its shares on the New York Stock Exchange on June 14, 2012.[29]

On May 8, 2012, the company completed the purchase of Continental Freight Services, Inc., a $22 million freight brokerage firm in South Carolina.[30][31]

On August 3, 2012, XPO Logistics completed the purchase of Kelron Logistics, Inc., a $100 million truck broker based in Canada.[32][33]

On October 1, 2012, the company completed the purchase of BirdDog Logistics, LLC, a $7 million freight brokerage operation in North Carolina.[34]

On October 25, 2012, XPO Logistics completed the purchase of Turbo Logistics, Inc., the freight brokerage division of Ozburn-Hessey Logistics, LLC for $50 million.[35][36]

On November 30, 2012, Bradley Jacobs confirmed that there was "about $265 million on the balance sheet" to fund "maybe 3,4,5 acquisitions a year".[6] Following this, on February 8, 2013, the company completed the purchase of East Coast Air Charter, Inc., a $43 million expedited air charter brokerage firm in North Carolina.[37]

On February 22, 2013, the company acquired the operating assets of Covered Logistics & Transportation LLC, a non-asset, third party freight brokerage business with 2012 revenues of approximately $27 million.[38]

On Tuesday March 26, 2013, Gov Pat McCrory's office announced that XPO Logistics was to expand its Charlotte operations center, bringing 287 new jobs by the end of 2014.[39][40]

On May 6, 2013, the company acquired substantially all of the operating assets of Interide Logistics LC, a freight brokerage business with trailing 12 months revenue of approximately $28 million as of March 31, 2013. The purchase price was $3.1 million in cash and $600,000 in XPO common stock, with no assumption of debt.[41]

On July 15, 2013, XPO announced that it entered into a definitive agreement to acquire all of the common stock of 3PD Inc.. in a transaction valued at approximately $365 million. 3PD is the largest non-asset, third party provider of heavy goods, last-mile logistics in North America.[42][43] This purchase was completed on August 16, 2013.[44]

On August 13, 2013, XPO announced the closing of a registered underwritten public offering of 9,694,027 shares of common stock, at a price to the public of $22.75 per share.[45]

Operations

XPO now operates as three non-asset business units in North America: XPO Logistics and Bounce Logistics, which provides freight brokerage services and manages the company’s alliances with independent over-the-road carriers; Express-1, a ground and air expedited transportation services provider and Concert Group Logistics, a provider of international freight forwarding services.[2] All three divisions are part of the SmartWay Transport Partnership, a program administered by the U.S. Environmental Protection Agency under which freight shippers, carriers and logistics companies collaborate to voluntarily achieve improved fuel efficiency and reduced emissions.[46]

Awards and Recognition

  • National Shippers Strategic Transportation Council Expedited Carrier of the Year Award – 2009, 2010[47][48]
  • Inbound Logistics Top 100 Motor Freight Carrier – 2010[49]
  • Great West Casualty Co. National Safety Awards Program Gold Award – 2010[50]
  • Whirlpool Special Services Supplier of the Year Award – 2011[51]
  • UPS Urgent Services Carrier of the Year Award – 2011[52]
  • SupplyChainBrain Great Supply Chain Partner – 2011[53]
  • TT News Top 25 Freight Brokerage Firms – 2012[54]

References

  1. ^ (13 March 2012). XPO Logistics Plans Public Stock Offering, Journal of Commerce
  2. ^ a b c "Profile:XPO Logistics Inc". reuters.com.
  3. ^ a b "The big bet of Brad Jacobs". dcvelocity.com. January 9, 2012.
  4. ^ a b "Jacobs has big plans for Express-1 expediter". greenwichtime.com. February 7, 2012.
  5. ^ a b "Jacobs Interview on Express-1 Investment". bloomberg.com. June 14, 2011.
  6. ^ a b "An Inside Look at XPO Logistics Transport Company". Bloomberg TV. November 30, 2012.
  7. ^ "Bradley S. Jacobs to Lead Equity Investment of up to $150 Million in Express-1 Expedited Solutions". businesswire.com. June 14, 2011.
  8. ^ "Express-1 To Be Acquired By Equity Firm". Transport Topics. August 12, 2011.
  9. ^ "Post-recession Growth Rates". The Journal of Commerce. May 13, 2013.
  10. ^ "Express-1 Expedited Solutions CEO Speaks About His Company". seekingalpha.com. May 21, 2007.
  11. ^ "Profitable Segmentz to Change Name". Journal of Commerce. Mar 6, 2006.
  12. ^ "Over 20 Years of Expedited Shipping Excellence". express-1.com.
  13. ^ "EXPRESS-1 DEDICATED'S CONTRACT WITH FORD MOTOR CO. TO CEASE". ccjdigital.com. November 19, 2008.
  14. ^ "Express-1 announces acquisition of Concert Group Logistics". expeditersonline.com. February 4, 2008.
  15. ^ "Express-1 Acquires 3PL First Class Expediting". Transport Topics. February 3, 2009.
  16. ^ "Express-1 Expedited Solutions XPO Acquires LRG International Inc. to Expand International Services to a Global Logistics Market". Vertical News. October 24, 2009.
  17. ^ "Express-1 Expedited Solutions (XPO) Acquires LRG International". bloomberg.com. October 9, 2009.
  18. ^ "Q&A: Keep On Trucking". themiddlemarket.com. June 16, 2011.
  19. ^ "United Rentals Founder's Next Bet: Transportation". dealbook.nytimes.com. June 15, 2011.
  20. ^ "Jacobs has big plans for Express-1". expeditersonline.com. September 8, 2011.
  21. ^ "12 October 2011 XPO Logistics rings the NYSE Opening Bell". Youtube. October 12, 2011.
  22. ^ "XPO Logistics to Open Operations Center Creating Over 200 Jobs". charlotechamber.com. February 28, 2012.
  23. ^ "Logistics company to create 200 jobs in Charlotte". wcnc.com. February 28, 2012.
  24. ^ "XPO Logistics bringing 200 jobs to Charlotte". charlotteobserver.com. February 29, 2012.
  25. ^ "XPO Logistics, A Freight Transportation Provider, To Create 200 Jobs in Charlotte". areadevelopment.com. February 29, 2012.
  26. ^ "XPO Logistics Announces Common Stock Offering". investorpoint.com. March 12, 2012.
  27. ^ "XPO Logistics increases size of shares for IPO". logisticsmgmt.com. March 15, 2012.
  28. ^ "XPO Logistics closes $137 million IPO". logisticsmgmt.com. March 23, 2012.
  29. ^ "XPO Logistics Celebrates Listing on the NYSE". nysetv. 14 Jun 2012.
  30. ^ "XPO Logistics Announces First Quarter 2012 Results". nytimes.com. May 9, 2012.
  31. ^ "XPO Logistics Plans Acquisitions Worth $250 Million". joc.com. May 10, 2012.
  32. ^ "XPO buys Canadian broker for $8 million in cash". dcvelocity.com. August 9, 2012.
  33. ^ "Interview With Bradley Jacobs: Executing To Perfection". seekingalpha.com. August 8, 2012.
  34. ^ "XPO Logistics Announces Third Quarter 2012 Results". marketwatch.com. November 5, 2012.
  35. ^ "XPO Logistics acquires OHL's truck brokerage unit". dcvelocity.com. October 26, 2012.
  36. ^ "XPO Logistics Acquires OHL's Turbo Logistics". reuters.com. October 25, 2012.
  37. ^ "XPO Logistics acquires East Coast Air Charter Inc". logisticsmgmt.com. February 12, 2013.
  38. ^ "XPO buys truck broker Covered Logistics in $11 million cash and stock transaction". dcvelocity.com. February 28, 2013.
  39. ^ "XPO Logistics to add 287 jobs in Charlotte". Charlotte Business Journal. Mar 26, 2013.
  40. ^ "XPO Logistics adding 287 jobs in Charlotte". charlotteobserver.com. Mar. 27, 2013. {{cite web}}: Check date values in: |date= (help)
  41. ^ "XPO Logistics Q1 revenue is up 156 percent, company acquires Interide Logistics". logisticsmgmt.com. May 8, 2013.
  42. ^ "XPO Logistics Agrees to Buy 3PD for $365 Million, CEO Says". bloomberg.com. Jul 15, 2013.
  43. ^ "XPO Logistics is set to acquire 3PD". logisticsmgmt.com. July 15, 2013.
  44. ^ "XPO Logistics Completes Acquisition of 3PD". xpologistics.com. Aug 16, 2013.
  45. ^ "XPO Logistics Announces Closing of $220.5 Million Public Offering of Common Stock". reuters.com. Tue Aug 13, 2013. {{cite web}}: Check date values in: |date= (help)
  46. ^ http://www.xpologistics.com/
  47. ^ "Express-1 Expedited Solutions: Thriving in the Face of Adversity". expeditersonline.com. May 2, 2010.
  48. ^ "Express-1 Named Top Expedited Carrier for 2010". truckinginfo.com.
  49. ^ "Express-1 Named One of Inbound Logistics' Top 100 Motor Freight Carriers". expeditersonline.com. Oct 15, 2010.
  50. ^ "Express-1 Presented a Gold Award by Great West Casualty Company". newsblaze.com. April 20, 2011.
  51. ^ "Express-1 Named Special Services Supplier of the Year by Whirlpool". businesswire.com. September 29, 2011.
  52. ^ "XPO Logistics` Express-1 Business Named Carrier of the Year by UPS Urgent Services". reuters.com. January 11, 2012.
  53. ^ "SupplyChainBrain Names Concert Group Logistics to 100 Great Supply Chain Partners List". Globe Newswire. August 3, 2011. Retrieved April 25, 2012.
  54. ^ "Top 25 Freight Brokerage Firms" (PDF). ttnews.com. December 1, 2012. Retrieved December 18, 2012.
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