Wednesday, December 16, 2009

Senior Logistics Management Change At California Multimodal Group

Pacer Boss Replaced by Chief Operating Officer
Shipping News Feature

CALIFORNIA – US – The Chairman and CEO of freight and logistics company Pacer International has been replaced in what many industry observers see as a sudden move. Management at the company insist that change has been on the cards for some time and that the new boss, Daniel W. Avramovich, who joined Pacer in mid 2008, has been groomed to takeover for months. All operations, excepting international container shipments, have been his responsibility since May.

Outgoing chief Michael E. Uremovich is to retire having held the role of CEO since 2006. Mr Avramovich will now oversee a company which encompasses everything from truck sales and warehousing through intermodal domestic and international services.

In October Pacer reported a $7.3 million loss in the Q2, down $30 million on the previous year. In the following quarters figures (to September 2009) announced in November revenue fell 25% to $418 million and the company sold off parts of its truck services division and renegotiated its rates and domestic carriage arrangements with Union Pacific, terms which had originally been negotiated through to 2011. In the course of these negotiations the two companies resolved current claims and disputes and Pacer received a $30 million cash payment which halved their outstanding debt under a revolving credit agreement.

The management change took place with immediate effect yesterday. Mr Uremovich paid tribute to his successor saying has being replaced by a man who had an in depth knowledge of logistics and intermodal transport, and had proved his ability since joining Pacer in 2008.

http://www.pacer.com/Default.aspx