About ArcBest

ArcBest Corporation and its subsidiaries (ArcBest) operate as a multibillion-dollar integrated logistics company that leverages technology and a full suite of solutions to meet the company's customers' supply chain needs. The company offers a variety of ground, air, and ocean transportation solutions, including the company's less-than-truckload ('LTL') carrier - ABF Freight, the company's truckload brokerage provider - MoLo, and the company's ground expedite fleet - Panther Premium Logistics ('Panther'). Through the company's managed transportation solutions, the company partners with customers to create and execute logistics strategies that increase operational efficiencies, reduce costs, and give customers better insights into their supply chains. The company also offers household goods moving through U-Pack. The company's technology and innovations team, ArcBest Technologies, provides custom-built solutions, leading-edge technology, and advanced analytics that help support the company's customers and optimize supply chains. Segments The company's operations are conducted through its two reportable operating segments: Asset-Based, which consists of ABF Freight System, Inc. and certain other subsidiaries ('ABF Freight'); and Asset-Light, which includes MoLo Solutions, LLC ('MoLo'), Panther, and certain other subsidiaries. On February 28, 2023, the company sold FleetNet America, Inc. ('FleetNet'), a wholly owned subsidiary and reportable operating segment of the company. The sale of FleetNet was a strategic shift for the company as it exited the fleet roadside assistance and maintenance management business. Following the sale, Asset-Light represents the reportable operating segment previously named ArcBest, exclusive of the discontinued operations of FleetNet. The company offers LTL freight transportation through the ABF Freight network; truckload freight transportation, including brokerage services offered through MoLo; specialized transportation and premium logistics services, including ground expedite solutions through the Panther brand and household goods moving services under the U-Pack brand; and managed transportation solutions. ArcBest Technologies provides leading-edge technologies that help support the company's customers and optimize supply chains. From Fortune 100 companies to small businesses, the company's customers trust ArcBest for their transportation and logistics needs. With a relentless focus on customer needs and unique access to assured transportation capacity, which includes more than 40,000 owned and operated assets, the company creates solutions for even the most complex and demanding supply chains. The company strives to help customers solve their logistics challenges by efficiently providing a best-in-class experience with easy access to the company's integrated solutions. Segments Asset-Based segment The company's Asset-Based segment provides LTL services through ABF Freight's motor carrier operations. The company's Asset-Based carrier, ABF Freight, has been in continuous service since 1923. ABF Freight System, Inc. is the successor to Arkansas Motor Freight, a business formed in 1935 that was the successor to a local transfer and storage carrier established in 1923. ABF Freight expanded operations through several strategic acquisitions and organic growth and is now one of North America's largest LTL motor carriers, providing direct service to more than 98% of the U.S. cities with a population of 30,000 or more. ABF Freight offers interstate and intrastate services to approximately 51,000 communities in all 50 states, Canada, and Puerto Rico through 240 service centers. ABF Freight also provides motor carrier freight transportation services to customers in Mexico through arrangements with trucking companies in that country. The company's Asset-Based segment offers the transportation of general commodities through standard, time-critical, and guaranteed LTL services. General commodities include all freight except hazardous waste, dangerous explosives, commodities of exceptionally high value, commodities in bulk, and those requiring special equipment. Shipments of general commodities differ from shipments of bulk raw materials, commonly transported by railroad, truckload tank car, pipeline, and water carrier. General commodities transported by the company's Asset-Based operations include, among other things, food, textiles, apparel, furniture, appliances, chemicals, non-bulk petroleum products, rubber, plastics, metal and metal products, wood, glass, automotive parts, machinery, and miscellaneous manufactured products. Asset-Light segment The company's Asset-Light segment is a key component of the company's strategy to offer customers a single source of integrated logistics solutions, designed to satisfy the complex supply chain and unique shipping requirements customers encounter. By leveraging technology and third-party service providers, the company's Asset-Light team provides various logistics services without significant investment in revenue equipment or real estate. Asset-Light financial results previously included the ArcBest segment and FleetNet. In the company's discussion below, Asset-Light represents the reportable operating segment previously named ArcBest, exclusive of the discontinued operations of FleetNet, which sold on February 28, 2023. The company's Asset-Light segment originated with the formation of ABF Logistics in July 2013, when the company aligned the sales and operations functions of the company's organically developed logistics businesses. The company has continued to strategically invest in Asset-Light to ensure the company is positioned to serve the changing marketplace and meet the company's customers' expanding needs by providing a comprehensive suite of transportation and logistics services. The Asset-Light segment includes the ground expedite services of Panther; the company's truckload and dedicated operations, including the truckload brokerage services of MoLo; household goods moving services under the U-Pack brand, for which the majority of the moves are provided with the company's Asset-Based operations; and the company's managed transportation solutions. Under the company's enhanced market approach to offer customers a single source of integrated logistics solutions, the service offerings of the Asset-Light segment have become more integrated. Truckload and Dedicated The company's truckload and dedicated services provide third-party transportation brokerage services by sourcing various capacity solutions, including dry van over-the-road, temperature-controlled and refrigerated, flatbed, intermodal or container shipping, and specialized equipment, coupled with an owned fleet of trailers, strong technology, and carrier- and customer-based Web tools. Through the company's truckload and dedicated services, the company offers a growing network of more than 105,000 approved contract carriers, with service to all 50 states, Canada, and Mexico. Additional value is created for customers through seamless access to the ABF Freight network. Expedite Leveraging the company's best-in-class Panther fleet, the company offers expedite freight transportation services to commercial and government customers. The company also offers premium logistics services that involve the rapid deployment of highly specialized equipment to meet precise linehaul requirements, such as temperature control, hazardous materials, geofencing (routing a shipment across a mandatory, defined route with satellite monitoring and automated alerts concerning any deviation from the route), specialized government cargo, security services, and life sciences. Through these services, ArcBest solves the toughest shipping and logistics challenges customers face through a global network of owner-operators and contract carriers. The company relies on third-party carriers for most of the network capacity for the company's expedite operations, including owner-operators, ground linehaul providers, cartage agents, and other transportation asset providers. The company chooses carriers based on how well they can meet the company's customers' needs in terms of price, technology capabilities, geographic coverage, and service quality. Third-party-owned vehicles are driven by independent contract drivers and drivers engaged directly by independent owners of multiple pieces of equipment, commonly referred to as fleet owners. The company's expedite operations own a fleet of trailers, the communication devices used by its owner-operators, and certain highly specialized equipment, primarily temperature-controlled and temperature-validated trailers, to meet the service requirements of certain customers. Managed Transportation Through the company's managed transportation solutions, the company partners with customers to create and execute a logistics strategy designed to increase operational efficiencies, reduce costs, and give the company's customers better insight into their supply chains. ArcBest seeks to offer value by identifying specific challenges relating to customers' supply chain needs and providing customized solutions utilizing technology, both internally to manage the company's business processes and externally to provide shipment and inventory visibility to the company's customers. Additional value is created for customers through seamless access to the ABF Freight network, the Panther fleet, the MoLo truckload brokerage operation, and the company's dedicated truckload division, offering strategic supply chain solutions with unique access to assured capacity. International The company's international shipping and logistics services provide global ocean and air shipping solutions by partnering with ocean shipping lines and air freight carriers worldwide, as well as cross-border shipping and ground transportation to and from ports. As a non-vessel operating common carrier, the company provides less-than-container load and full container load service, offering ocean transport to approximately 90% of the total ocean international market to and from the United States. The company also offers warehousing and distribution services to and from major global ports to streamline the company's customers' ocean shipping processes. Moving The company's moving services offer flexibility and convenience for how people move through targeted service offerings for the 'do-it-yourself' consumer. The company offers these targeted services at competitive prices that reflect the additional value customers find in the company's convenient, reliable moving service offerings. Industry-leading technology, customer-friendly interfaces, and supply chain solutions are combined to provide a wide range of options customized to meet unique customer needs. Other Logistics Services The company also provides other services to meet its customers' logistics needs, such as final mile, time-critical, product launch, warehousing and distribution, retail logistics, supply chain optimization, brokered LTL, and trade show shipping services. The company's Retail+ compliance solution is designed to help vendors better meet large retailers' stringent shipping and delivery requirements by combining innovative software solutions with enhanced operations processes. Competition The company's Asset-Based segment competes most directly with nonunion and union LTL carriers, including FedEx Freight Corporation, the LTL reporting segment of FedEx Corporation; the LTL segment of Knight-Swift Transportation Holdings Inc.; Old Dominion Freight Line, Inc.; Saia, Inc.; the U.S. LTL operating segment of TFI International Inc.; and the North American LTL segment of XPO, Inc. The company's Asset-Light segment competes most directly with logistics companies, including the North American Surface Transportation segment of C.H. Robinson Worldwide, Inc.; Covenant Logistics Group, Inc.; Hub Group, Inc.; the Integrated Capacity Solutions segment of J.B. Hunt Transport Services, Inc.; the Logistics segment of Knight-Swift Transportation Holdings Inc.; Landstar System, Inc.; the Truckload Brokerage service offering of RXO, Inc.; and the Freight segment of Uber Technologies, Inc. Seasonality The company's reportable operating segments are impacted by seasonal fluctuations that affect tonnage, shipment levels, and demand for the company's services. The company's yield initiatives, along with increased technology-driven intelligence and visibility with respect to demand, have allowed for shipment optimization in non-peak times, reducing the company's susceptibility to seasonal fluctuations in recent years, including during the year ended December 31, 2023. Investments The company launched its customer offering of Vaux - its suite of hardware and software, which modernizes how freight is loaded, unloaded and transferred in warehouse and dock operations. This advanced technology utilizes patented handling equipment, software, and a patented process to load and unload trailers more rapidly and safely. In February 2024, the company announced the next step in the company's Vaux suite - Vaux Smart Autonomy, which combines autonomous mobile robot forklifts and reach trucks, intelligent software, and remote teleoperation capability to autonomously handle materials movement within warehouses, distribution centers, and manufacturing facilities, while being monitored by humans. Environmental Regulations Maintenance of the company's tanks is regulated by the EPA, and in most cases, by state agencies. Certain of the company's Asset-Based service center facilities operate with no exposure certifications or stormwater permits under the federal Clean Water Act (the 'CWA'), as amended. The company has received notices from the EPA and others that the company has been identified as a potentially responsible party under the Comprehensive Environmental Response Compensation and Liability Act of 1980, as amended, or other federal or state environmental statutes, at several hazardous waste sites. The company operates in the United States, and from the United States for international transportation, pursuant to federal operating authority granted by the U.S. Department of Transportation (the 'DOT') and the U.S. Federal Maritime Commission. The company's operations are subject to cargo security and transportation regulations issued by the Transportation Security Administration and regulations issued by the U.S. Department of Homeland Security. The company operate under the Occupational Safety and Health Act of 1970 (the 'OSH Act'). Under the OSH Act, ArcBest has a responsibility to provide employees a safe workplace. This includes, but is not limited to: Providing a workplace free from serious recognized hazards and complying with standards, rules, and regulations issued under the OSH Act; Examining workplace conditions to make sure they conform to applicable Occupational Safety and Health Administration Standards; and Ensuring employees have and use safe tools and equipment and properly maintain this equipment. The company's Asset-Based operations and the company's Asset-Light segment's network of third-party contract carriers must comply with industry regulations, including the ELD mandate of the Federal Motor Carrier Safety Administration (the 'FMCSA') for interstate commercial trucks and hours of service, safety and fitness, and other regulations of the DOT, including requirements related to drug and alcohol testing. The company is subject to the hazardous materials regulations of the FMCSA for the company's transportation and arrangement for transportation of hazardous materials and explosives, as well as the company's disposal of hazardous waste. The company provides transportation and logistics services to and from a number of international locations and are, therefore, subject to a wide variety of domestic and international laws and regulations, including export and import laws. The company is also subject to compliance with the Foreign Corrupt Practices Act of 1977, as amended and hold Customs-Trade Partnership Against Terrorism status for businesses within the company's Asset-Based and Asset-Light segments. In October 2022, the company announced its partnership with Integrate Autism Employment Advisors ('Integrate'), a non-profit organization that collaborates with companies to identify, recruit, and retain professionals on the autism spectrum, to foster a neuro-inclusive workforce and continue attracting the best talent with unique skill sets. The company has registered or is pursuing registration of various marks and designs as trademarks in the United States, including but not limited to, 'ArcBest,' 'ABF Freight,' 'Panther,' 'MoLo,' 'U-Pack,' 'Vaux', and 'More Than Logistics'. Strategy The company's customer-led strategy is to produce long-term value with the company's creative problem solvers by growing informed, trusted, and innovative relationships with shippers and capacity providers and delivering a best-in-class experience efficiently through their desired channels. The company works to build long-term value for the company's customers and shareholders by expanding its revenue opportunities and building a resilient business. Research and Development The company incurred research and development costs of $52.4 million for the year ended December 31, 2023, related to innovative technology initiatives. History The company was founded in 1923. It was incorporated in Delaware in 1966. The company was formerly known as Arkansas Best Corporation and changed its name to ArcBest Corporation in 2014.