Conference on

1
Conference on
THE FUTURE OF INTERMODAL TRANSPORTATION
IN MEMPHIS AND THE MID-SOUTH REGION
Craig Philip
CEO, Ingram Barge Company
November 9, 2007
2
Container on Barge Service on the
Inland Waterways
An unfulfilled opportunity for today,
but a real market for tomorrow
3

• Ingram operates along the full expanse of the
  nation's inland waterway system

4

• There are reasons for optimism about inland
  container moves
• (1) Transportation realities increasingly favor
  C.O.B. service
• Highways and railroads are congested, especially
  for the West Coast gateway
• Inland marine operations offer lower linehaul
  costs and a smaller environmental footprint
• The waterways network retains unused capacity,
  with improvements underway at a handful of choke
  points

5
Major Lock and Dam improvement projects underway
today
6
(2) Inland C.O.B. service may emerge in "seam"
markets that

• Are a long dray from major intermodal hubs
• Can derive adequate volume from agricultural or
  industrial activity, especially from ethanol and
  steel mini-mill projects

7
(3) The inland waterways can create new (i.e.
north/south) trade lanes not extensively served
by current intermodal operators
8

• (4) The barge industry can economically start up
  as a "low" volume service
• Only 50 TEU's are needed to fill one hopper barge
• Containercarrying barges can be integrated into
  existing linehaul operations, taking full
  advantage of a carrier's network density
• Existing hopper barges can be used without
  modification
• Can carry a mix of container sizes (20', 40',
  45', 48' 53')

9

• (5) On-dock (or near-dock) transfer operations do
  not initially require significant capital
• Many former industrial sites may be suitable
• Operations will require only a few acres

10

• (6) Although service will be "slower" than
  competing modes, consistent transit times are
  achieved now
• Fixed cut-off service is possible
• Reliability is a "red herring"
• Scheduled service is a myth and unnecessary

11
Average number of transit days between major hubs
12

• For two years Ingram has moved specialty
  containers of rubber from New Orleans to Paducah,
  KY
• Annual volume totals 50-75 thousand tons
• Reported savings versus truck deliveries approach
  1 million

13
(No Transcript)
14
(No Transcript)
15
(No Transcript)
16
(No Transcript)
17
(No Transcript)
18
(No Transcript)
19
(No Transcript)