Saia, Inc., through its wholly-owned subsidiaries, is a transportation company
headquartered in Johns Creek, Georgia providing a wide range of less-than-truckload,
non-asset truckload, expedited and logistics services across the United States.
We are a single segment company with four operating subsidiaries, Saia Motor
Freight Line, LLC (Saia LTL Freight), Saia TL Plus, LLC (Saia TL Plus), Saia
Sales, LLC (Saia Sales) and Saia Logistics Services, LLC (Saia Logistics Services)
(Saia, Inc. together with its subsidiaries, the Company or Saia). We serve a
wide variety of customers by offering regional and interregional LTL, truckload,
guaranteed, expedited and logistics services.
Founded in 1924, Saia LTL Freight is a leading multi-regional LTL carrier that
serves 34 states in the South, Southwest, Midwest, Pacific Northwest and West.
Saia LTL Freight specializes in offering its customers a range of regional and
interregional LTL services including time-definite and expedited options. Saia
LTL Freight primarily provides its customers with solutions for shipments between
100 and 10,000 pounds, but also provides selected guaranteed, expedited and
truckload services.
Saia LTL Freight has invested substantially in technology, training and business
processes to enhance its ability to monitor and manage customer service, operations
and profitability. These data capabilities enable Saia LTL Freight to provide
its trademarked Customer Service Indicators® (CSI) program, allowing customers
to monitor service performance on a wide array of metrics most important to
them. Customers can access the information via the Internet (www.saia.com) to
help manage their shipments. The CSIs measure the following: on-time pickup;
on-time delivery; claim-free shipments; claims settled within 30 days; exception
free delivery; and invoicing accuracy. The CSIs provide both Saia LTL Freight
and the customer with a report card of overall service levels.
The trucking industry consists of three segments including private fleets and
two “for-hire” carrier groups. The private carrier segment consists
of fleets owned and operated by shippers who move their own goods. The two “for-hire”
carrier groups, truckload and LTL, are based on the typical shipment sizes handled
by transportation service companies. Truckload refers to providers generally
transporting shipments greater than 10,000 pounds and less than truckload, or
LTL, refers to providers generally transporting shipments less than 10,000 pounds.
Saia LTL Freight is primarily an LTL carrier.
LTL transportation providers consolidate numerous orders, generally ranging
from 100 to 10,000 pounds, from businesses in different locations. Orders are
consolidated from individual locations at carrier-operated service facilities
within a certain radius and then typically transported from the origin location
to the destination location and then to the ultimate destination.
As a result, LTL carriers require expansive networks of pickup and delivery
operations around local service facilities and shipments are moved between origin
and destination often through an intermediate distribution or “breakbulk”
facility. Depending on the distance shipped, the LTL segment historically was
classified into three subgroups:
Regional — Average distance is typically less than 1,200 miles with a
focus on one- and two-day markets. Regional transportation companies can move
shipments directly to their respective destination location which increases
service reliability and avoids costs associated with intermediate handling.
Interregional — Average distance is usually between 1,200 and 1,500
miles with a focus on serving two- and three-day markets.
National — Average distance is typically in excess of 1,500 miles with
a focus on service in three- to five-day markets. National providers rely on
intermediate shipment handling through hub and spoke networks, which require
numerous satellite service facilities, multiple distribution facilities and
a relay network. To gain service and cost advantages, they occasionally ship
directly between service facilities reducing intermediate handling or utilize
the rail system.
Over the last several years, there has been a blurring of the above subgroups
as individual companies are increasingly serving multiple markets. For example,
a number of companies are focusing on serving one- and two-day lanes, as well
as serving three and more day markets between adjacent regions. Saia LTL Freight
operates as a traditional LTL carrier with ability to focus in all three areas.
The truckload segment is the largest portion of the “for-hire” truck
transportation market. Truckload carriers primarily transport large shipments
from origin to destination with no intermediate handling. Although a full truckload
can weigh over 40,000 pounds, it is common for carriers to haul two or three
shipments exceeding 10,000 pounds each at one time making multiple delivery
stops.
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