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Join Janice Luchan, Regional Sales Director at American Commercial Lines, as she presents strategic insights on barge transportation within the manufacturing industries. With over $1.2 billion in revenues in 2008 and approximately 3,200 employees, ACL has been a key player in the U.S. inland waterways since 1915. Discover how ACL focuses on safety, innovation, and productivity while realigning operations to enhance profitability and service on main river segments. Learn about the company's history and future potential in barge operations.
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Missouri River Forum December 10, 2009
American Commercial Lines • A leader in the barge transportation and manufacturing industries • Headquartered in Jeffersonville, IN • Northern Division Operations headquarters in Cairo, IL • Southern Division Operations headquarters in Harahan, LA • Operating on the U.S. inland waterways since 1915 • Over $1.2 billion in revenues in 2008 • Approximately 3,200 employees • The largest inland shipyard in the country • A fleet of approximately 2,500 barges and 130 towboats • Core Values: safety, customer focus, innovation, integrity, value
Primary Management Activity • Controlling costs • Reduce number of personnel required to handle the same or more business • Improving productivity • Operating within our optimal geographic footprint • Achieve higher transportation volumes with a smaller boat/barge fleet • Achieving organic growth • Continue to convert land based business to the water
Our Operating Network • Service focus on main river segments • Core network focus for profitability, velocity, and utilization • Operations realignment • Scheduled operations to enhance yield on new and existing business Northern Division Southern Division Core Network
Our Operating Network • Service focus on main river segments • Core network focus for profitability, velocity, and utilization • Operations realignment • Scheduled operations to enhance yield on new and existing business Scheduled Service
Our Operating Network • Service focus on main river segments • Core network focus for profitability, velocity, and utilization • Operations realignment • Scheduled operations to enhance yield on new and existing business Houston Scheduled Service
Our Operating Network • Service focus on main river segments • Core network focus for profitability, velocity, and utilization • Operations realignment • Scheduled operations to enhance yield on new and existing business Houston Scheduled Service
Our Operating Network • Service focus on main river segments • Core network focus for profitability, velocity, and utilization • Operations realignment • Scheduled operations to enhance yield on new and existing business Houston Scheduled Service
ACL’s History on The Missouri River • Activity on the Missouri peaked in 1989 with the acquisition of SCNO Barge Lines. • 390 barge loads • Activity dropped off in 1990 as ACBL fully integrated SCNO’s operations. • 127 barge loads • Activity then took another significant drop in 1995 due sharp increase in dry cargo rates. • 32 barge loads • The last of ACL’s activity on the Missouri ceased in 2003 with the closing of Blaske Marine. • ACL no longer owns/operates any shallow-hull boats used in the late 1980’s.
Strategic Planning • In order for a river segment to be attractive to a barge company • There must be volume potential • The volume potential needs to be ratable and financially attractive • ACL will operate on rivers with greatest lane density and loaded mile potential • When considering expanding to new rivers, ACL would use the same metrics • ACL certainly has the capability of providing modal alternatives on any river
