Ryder System, Inc. (NYSE: R), or Ryder, is an American-based provider of transportation and supply chain management solutions with global operations. Ryder specializes in fleet management, supply chain management and dedicated contracted carriage. Ryder operates in North America, the United Kingdom and Asia. It has its headquarters in suburban Miami, Florida within Miami-Dade County.
The largest provider of transportation services in the world, Ryder System, Inc. designs and manages logistics and transportation solutions, focusing on three service areas: global logistics, truck leasing, and public transportation services. After restructuring in the mid-1990s, Ryder stood poised as a market leader in several business areas. The company provided full-service commercial leasing and short-term rental of trucks, tractors, and trailers to clients such as Domino's Pizza, Home Depot, and Sprint. It managed inbound and outbound logistics for major manufacturers, retailers, and other businesses. Also, the company transported students by school buses in 21 states and managed more than 80 public transit systems. During the late 1990s, Ryder maintained operations in the United States, Canada, the United Kingdom, Argentina, Brazil, Germany, The Netherlands, and Poland. Its stock was a component of the Dow Jones Transportation Average and the Standard & Poor's 500 Index.
Ryder System, Inc. (Ryder) provides transportation and supply chain management solutions. The Company operates in three segments: Fleet Management Solutions (FMS), Supply Chain Solutions (SCS) and Dedicated Contract Carriage (DCC). FMS provides full-service leasing, contract maintenance, contract-related maintenance and commercial rental of trucks, tractors, and trailers to customers principally in the United States, Canada and the United Kingdom. SCS provides supply chain solutions, including distribution and transportation services throughout North America and Asia. DCC provides vehicles and drivers as part of transportation solution in the United States. These customers operate in a range of industries, which include automotive, electronics, transportation, grocery, lumber and wood products, food service and home furnishings. In April 2011, the Company completed the acquisition of the lease, rental and maintenance portfolio of B.I.T. Leasing Inc.
On January 10, 2011, Ryder acquired the assets of Carmenita Leasing, Inc., full service leasing and rental business located in Santa Fe Springs, California, which included a fleet of approximately 190 full service lease and rental units, and 60 contract customers. On January 28, 2011, Ryder acquired The Scully Companies, Inc. (Scully), which includes Scully’s fleet of approximately 1,800 full service lease units and 300 rental vehicles, and approximately 200 contractual customers primarily served from its six service facilities. On December 31, 2010, it completed the acquisition of Total Logistic Control (TLC).
Fleet Management Solutions
Ryder provides vehicle maintenance, supplies and related equipment for operation of the vehicles. The Company’s full service lease includes all the maintenance services that are part of its contract maintenance service offering. Its contract maintenance customers include non-Ryder owned vehicles that want to utilize its network of maintenance facilities and trained technicians to maintain the vehicles they own or lease from third parties. The Company focuses on rental customers that have a need to supplement their private fleet of vehicles on a short-term basis. Its commercial rental fleet also provides additional vehicles to its full service lease. Ryder’s full service lease and contract maintenance customers require additional maintenance services that are not included in their contracts. It obtains contract-related maintenance work because of its contractual relationship with the customers. Vehicles covered under this offering are serviced at the Company’s facilities.
Ryder has developed a range of fleet support services for its lease customers. Customers may elect to include these services as part of their full service lease or contract maintenance agreements. Its fleet support services include fuel, insurance, administrative, safety, environmental management and information technology. The Company primarily sells its used vehicles at one of its 55 retail sales centers, throughout North America (18 of which are collocated at an FMS shop), at its branch locations or through its Website at www.Usedtrucks.Ryder.com. Its FMS customers in the United States range from small businesses to large national enterprises. As of December 31, 2010, the Company had 550 operating locations, excluding ancillary storage locations in 49 states and Puerto Rico, and operated 174 maintenance facilities on-site at customer properties. Canada.
As of December 31, 2010, the Company had 37 operating locations throughout nine Canadian provinces. The Company also had eight on-site maintenance facilities in Canada. As of December 31, 2010, it had 41 operating locations throughout the United Kingdom and Germany. The Company also manages a network of 320 independent maintenance facilities in the United Kingdom to serve its customers. In addition to its FMS operations, Ryder also suppllies and manages vehicles, equipment and personnel for military organizations in the United Kingdom and Germany. During the year ended December 31, 2010, the Company’s FMS business accounted for 66% of its consolidated revenue.
Supply Chain Solutions
The Company offers contract carriage as part of an integrated supply chain solution to its customers. The DCC offerings combine the equipment, maintenance and administrative services of a full service lease with drivers and additional services. The Company’s SCS business offers services relating to all aspects of a customer’s transportation network. It provides shipment planning and execution, which includes shipment optimization, load scheduling and delivery confirmation through a series of technological and Web-based solutions. Ryder’s transportation consultants, including its freight brokerage department, focus on carrier procurement of all modes of transportation with an emphasis on truck-based transportation, rate negotiation and freight bill audit, and payment services. In addition, its SCS business provides customers as well as its FMS and DCC businesses with capacity management services.
Ryder’s SCS business offers a range of services relating to a customer’s distribution operations from designing a customer’s distribution network to managing distribution facilities. Services within the facilities include managing the flow of goods from the receiving function to the shipping function, co-ordinating warehousing and transportation for inbound and outbound material flows, handling import and export for international shipments, coordinating just-in-time replenishment of component parts to manufacturing, and final assembly and providing shipments to customer distribution centers or end-customer delivery points. Its SCS business offers a range of knowledge-based services that include both a network design that sets forth the number, location and function of key components of the network and a transportation solution.
As of December 31, 2010, the Company had 106 SCS customer accounts in the United States, and managed warehouse space totaled approximately 14 million square feet for the United States and Puerto Rico. As of December 31, 2010, Ryder had 50 SCS customer accounts and managed warehouse space totaling approximately one million square feet in Canada. As of December 31, 2010, Ryder operated and maintained 789 vehicles in Mexico; had 116 SCS customer accounts, and managed warehouse space totaling approximately three million square feet. As of December 31, 201, Ryder had 32 SCS customer accounts and managed warehouse space totaling approximately 320,000 square feet in Asia. During 2010, its SCS business accounted for 24% of its consolidated revenue.
Dedicated Contract Carriage
As of December 31, 2010, Ryder had 154 DCC customer accounts in the United States. In order to customize its DCC transportation solution for its customers, the Company’s DCC logistics specialists perform a transportation analysis using advanced logistics planning and operating tools. During 2010, the Company’s DCC business accounted for 10% of its consolidated revenue.
As Ryder System entered the 1990s, its full-service truck leasing, contract carriage, jet turbine aircraft overhaul and maintenance, and new aviation parts-distribution units were performing well; other units would eventually rebound alongside the manufacturing economy. As the 1990s, progressed, however, it became clear to company leader Burns that fundamental changes were needed to properly position the company for long-term growth and profitability. Burns--who had completed his ascent of the company's management ranks to preside as president, chief executive officer, and chairman--wanted to lessen the company's interests and sharpen its focus, a desire reminiscent of Ryder's mid-1970s restructuring. His intent was to adapt to changing market conditions before the trends of the future passed Ryder by. His vision was forward-looking, a perspective that he hoped would prevent Ryder from falling victim to the cyclicality of its business.
As the "new Ryder" took shape during the mid-1990s, both recent and age-old components of the company were shed. No divestment was larger than the October 1996 sale of the company's consumer truck rental business, its famed yellow Ryder rental truck fleet. The sale of the consumer truck rental business represented a $574 million deal, stripping the company of more than $400 million in annual revenue. Less than a year later, Burns also sold Ryder's automotive carrier business, reaching an agreement with Allied Holdings, Inc. for a $111 million sale price. With the divestiture of the consumer truck rental business and the automotive carrier business, Burns felt his company was "leaner, more focused, more disciplined, more profit-minded," and less vulnerable to the vagaries of capricious market conditions, ridding Ryder of businesses that were "seasonal, transactional, highly volatile, and in difficult markets." With these two business segments gone, along with others, Burns pinned the company's hopes for the future on three main business areas: logistics, corporate truck leasing and rental, and public transportation services.
As Ryder entered the late 1990s, the company could not point to strong, tangible evidence that its "new" operating structure would provide all the answers for the new century ahead--and it did not expect to. At work were sweeping, fundamental changes that would take more than several years before a proper, accurate evaluation could take place. What Burns did achieve, however, was a measurable increase in contractual business and a growing position in logistical services. Although the company was heavily dependent on its truck leasing and rental business--the largest Ryder enterprise and a consistent, stable contributor to its bottom line--there were great expectations for the future of its logistical services business, the smallest Ryder enterprise. Whether or not expectations would develop into reality remained unanswered as the 21st century neared, but at Ryder's corporate headquarters there was confidence that the near future would provide an answer welcomed by all, especially Burns.
Principal Subsidiaries: Ryder Integrated Logistics, Inc.; Ryder Transportation Services; Ryder Public Transportation Services, Inc.; Ryder Integrated Logistics--Canada; LogiCorp; Ryder Plc (U.K.); Ryder Deutschland GmbH (Germany); Ryder de Mexico, S.A. de C.V.; Ryder Polska Sp.z.o.o. (Poland); Ryder Argentina, S.A.; Ryder do Brasil, Ltda. (Brazil); Ryder Netherlands, B.V.; Ryder Truck Rental Canada Ltd.
Ryder divides its business into three segments: Fleet Management Solutions, Supply Chain Solutions, and Dedicated Contract Carriage. In 2008 (the last year whose report is posted online) the total company revenue was $ 6.2 billion with profits (earnings before income taxes) of $ 459 million. The numbers mentioned below are before eliminations. The basic variables are who owns the trucks, maintains the trucks, pays the drivers, does the warehousing, and supervises the driving.
OVERALL
Beta: 1.42
Market Cap (Mil.): $2,746.36
Shares Outstanding (Mil.): 51.34
Annual Dividend: 1.08
Yield (%): 2.02
FINANCIALS
R.N Industry Sector
P/E (TTM): 20.38 15.64 18.80
EPS (TTM): 57.52 -- --
ROI: 2.52 6.21 4.19
ROE: 9.52 7.72 7.33
Statistics:
Public Company
Incorporated: 1934 as Ryder Truck Rental System, Inc.
Employees: 42,000
Sales: $4.89 billion (1997)
Stock Exchanges: New York Chicago Pacific Berlin
Ticker Symbol: R
SICs: 7510 Automotive Rentals, No Drivers
Name Age Since Current Position
Gregory Swienton 61 2005 Chairman of the Board, Chief Executive Officer
Art Garcia 49 2010 Chief Financial Officer, Executive Vice President
Robert Sanchez 45 2010 President - Global Fleet Management Solutions
John Williford 54 2008 President - Global Supply Chain Solutions
Gregory Greene 51 2010 Executive Vice President, Chief Administrative Officer
Robert Fatovic 45 2004 Executive Vice President, Corporate Secretary, Chief Legal Officer
Cristina Gallo-Aquino 37 2010 Vice President, Controller
E. Follin Smith 51 2005 Lead Independent Director
Lynn Martin 71 1993 Independent Director
David Fuente 65 1988 Independent Director
Hansel Tookes 63 2002 Independent Director
Eugene Renna 66 2002 Independent Director
John Berra 63 2003 Independent Director
Abbie Smith 57 2003 Independent Director
L. Patrick Hassey 65 2005 Independent Director
Luis Nieto 55 2007 Independent Director
James Beard 70 2008 Independent Director
Address:
3600 Northwest 82nd Avenue
Miami, Florida 33166
U.S.A.
The largest provider of transportation services in the world, Ryder System, Inc. designs and manages logistics and transportation solutions, focusing on three service areas: global logistics, truck leasing, and public transportation services. After restructuring in the mid-1990s, Ryder stood poised as a market leader in several business areas. The company provided full-service commercial leasing and short-term rental of trucks, tractors, and trailers to clients such as Domino's Pizza, Home Depot, and Sprint. It managed inbound and outbound logistics for major manufacturers, retailers, and other businesses. Also, the company transported students by school buses in 21 states and managed more than 80 public transit systems. During the late 1990s, Ryder maintained operations in the United States, Canada, the United Kingdom, Argentina, Brazil, Germany, The Netherlands, and Poland. Its stock was a component of the Dow Jones Transportation Average and the Standard & Poor's 500 Index.
Ryder System, Inc. (Ryder) provides transportation and supply chain management solutions. The Company operates in three segments: Fleet Management Solutions (FMS), Supply Chain Solutions (SCS) and Dedicated Contract Carriage (DCC). FMS provides full-service leasing, contract maintenance, contract-related maintenance and commercial rental of trucks, tractors, and trailers to customers principally in the United States, Canada and the United Kingdom. SCS provides supply chain solutions, including distribution and transportation services throughout North America and Asia. DCC provides vehicles and drivers as part of transportation solution in the United States. These customers operate in a range of industries, which include automotive, electronics, transportation, grocery, lumber and wood products, food service and home furnishings. In April 2011, the Company completed the acquisition of the lease, rental and maintenance portfolio of B.I.T. Leasing Inc.
On January 10, 2011, Ryder acquired the assets of Carmenita Leasing, Inc., full service leasing and rental business located in Santa Fe Springs, California, which included a fleet of approximately 190 full service lease and rental units, and 60 contract customers. On January 28, 2011, Ryder acquired The Scully Companies, Inc. (Scully), which includes Scully’s fleet of approximately 1,800 full service lease units and 300 rental vehicles, and approximately 200 contractual customers primarily served from its six service facilities. On December 31, 2010, it completed the acquisition of Total Logistic Control (TLC).
Fleet Management Solutions
Ryder provides vehicle maintenance, supplies and related equipment for operation of the vehicles. The Company’s full service lease includes all the maintenance services that are part of its contract maintenance service offering. Its contract maintenance customers include non-Ryder owned vehicles that want to utilize its network of maintenance facilities and trained technicians to maintain the vehicles they own or lease from third parties. The Company focuses on rental customers that have a need to supplement their private fleet of vehicles on a short-term basis. Its commercial rental fleet also provides additional vehicles to its full service lease. Ryder’s full service lease and contract maintenance customers require additional maintenance services that are not included in their contracts. It obtains contract-related maintenance work because of its contractual relationship with the customers. Vehicles covered under this offering are serviced at the Company’s facilities.
Ryder has developed a range of fleet support services for its lease customers. Customers may elect to include these services as part of their full service lease or contract maintenance agreements. Its fleet support services include fuel, insurance, administrative, safety, environmental management and information technology. The Company primarily sells its used vehicles at one of its 55 retail sales centers, throughout North America (18 of which are collocated at an FMS shop), at its branch locations or through its Website at www.Usedtrucks.Ryder.com. Its FMS customers in the United States range from small businesses to large national enterprises. As of December 31, 2010, the Company had 550 operating locations, excluding ancillary storage locations in 49 states and Puerto Rico, and operated 174 maintenance facilities on-site at customer properties. Canada.
As of December 31, 2010, the Company had 37 operating locations throughout nine Canadian provinces. The Company also had eight on-site maintenance facilities in Canada. As of December 31, 2010, it had 41 operating locations throughout the United Kingdom and Germany. The Company also manages a network of 320 independent maintenance facilities in the United Kingdom to serve its customers. In addition to its FMS operations, Ryder also suppllies and manages vehicles, equipment and personnel for military organizations in the United Kingdom and Germany. During the year ended December 31, 2010, the Company’s FMS business accounted for 66% of its consolidated revenue.
Supply Chain Solutions
The Company offers contract carriage as part of an integrated supply chain solution to its customers. The DCC offerings combine the equipment, maintenance and administrative services of a full service lease with drivers and additional services. The Company’s SCS business offers services relating to all aspects of a customer’s transportation network. It provides shipment planning and execution, which includes shipment optimization, load scheduling and delivery confirmation through a series of technological and Web-based solutions. Ryder’s transportation consultants, including its freight brokerage department, focus on carrier procurement of all modes of transportation with an emphasis on truck-based transportation, rate negotiation and freight bill audit, and payment services. In addition, its SCS business provides customers as well as its FMS and DCC businesses with capacity management services.
Ryder’s SCS business offers a range of services relating to a customer’s distribution operations from designing a customer’s distribution network to managing distribution facilities. Services within the facilities include managing the flow of goods from the receiving function to the shipping function, co-ordinating warehousing and transportation for inbound and outbound material flows, handling import and export for international shipments, coordinating just-in-time replenishment of component parts to manufacturing, and final assembly and providing shipments to customer distribution centers or end-customer delivery points. Its SCS business offers a range of knowledge-based services that include both a network design that sets forth the number, location and function of key components of the network and a transportation solution.
As of December 31, 2010, the Company had 106 SCS customer accounts in the United States, and managed warehouse space totaled approximately 14 million square feet for the United States and Puerto Rico. As of December 31, 2010, Ryder had 50 SCS customer accounts and managed warehouse space totaling approximately one million square feet in Canada. As of December 31, 2010, Ryder operated and maintained 789 vehicles in Mexico; had 116 SCS customer accounts, and managed warehouse space totaling approximately three million square feet. As of December 31, 201, Ryder had 32 SCS customer accounts and managed warehouse space totaling approximately 320,000 square feet in Asia. During 2010, its SCS business accounted for 24% of its consolidated revenue.
Dedicated Contract Carriage
As of December 31, 2010, Ryder had 154 DCC customer accounts in the United States. In order to customize its DCC transportation solution for its customers, the Company’s DCC logistics specialists perform a transportation analysis using advanced logistics planning and operating tools. During 2010, the Company’s DCC business accounted for 10% of its consolidated revenue.
As Ryder System entered the 1990s, its full-service truck leasing, contract carriage, jet turbine aircraft overhaul and maintenance, and new aviation parts-distribution units were performing well; other units would eventually rebound alongside the manufacturing economy. As the 1990s, progressed, however, it became clear to company leader Burns that fundamental changes were needed to properly position the company for long-term growth and profitability. Burns--who had completed his ascent of the company's management ranks to preside as president, chief executive officer, and chairman--wanted to lessen the company's interests and sharpen its focus, a desire reminiscent of Ryder's mid-1970s restructuring. His intent was to adapt to changing market conditions before the trends of the future passed Ryder by. His vision was forward-looking, a perspective that he hoped would prevent Ryder from falling victim to the cyclicality of its business.
As the "new Ryder" took shape during the mid-1990s, both recent and age-old components of the company were shed. No divestment was larger than the October 1996 sale of the company's consumer truck rental business, its famed yellow Ryder rental truck fleet. The sale of the consumer truck rental business represented a $574 million deal, stripping the company of more than $400 million in annual revenue. Less than a year later, Burns also sold Ryder's automotive carrier business, reaching an agreement with Allied Holdings, Inc. for a $111 million sale price. With the divestiture of the consumer truck rental business and the automotive carrier business, Burns felt his company was "leaner, more focused, more disciplined, more profit-minded," and less vulnerable to the vagaries of capricious market conditions, ridding Ryder of businesses that were "seasonal, transactional, highly volatile, and in difficult markets." With these two business segments gone, along with others, Burns pinned the company's hopes for the future on three main business areas: logistics, corporate truck leasing and rental, and public transportation services.
As Ryder entered the late 1990s, the company could not point to strong, tangible evidence that its "new" operating structure would provide all the answers for the new century ahead--and it did not expect to. At work were sweeping, fundamental changes that would take more than several years before a proper, accurate evaluation could take place. What Burns did achieve, however, was a measurable increase in contractual business and a growing position in logistical services. Although the company was heavily dependent on its truck leasing and rental business--the largest Ryder enterprise and a consistent, stable contributor to its bottom line--there were great expectations for the future of its logistical services business, the smallest Ryder enterprise. Whether or not expectations would develop into reality remained unanswered as the 21st century neared, but at Ryder's corporate headquarters there was confidence that the near future would provide an answer welcomed by all, especially Burns.
Principal Subsidiaries: Ryder Integrated Logistics, Inc.; Ryder Transportation Services; Ryder Public Transportation Services, Inc.; Ryder Integrated Logistics--Canada; LogiCorp; Ryder Plc (U.K.); Ryder Deutschland GmbH (Germany); Ryder de Mexico, S.A. de C.V.; Ryder Polska Sp.z.o.o. (Poland); Ryder Argentina, S.A.; Ryder do Brasil, Ltda. (Brazil); Ryder Netherlands, B.V.; Ryder Truck Rental Canada Ltd.
Ryder divides its business into three segments: Fleet Management Solutions, Supply Chain Solutions, and Dedicated Contract Carriage. In 2008 (the last year whose report is posted online) the total company revenue was $ 6.2 billion with profits (earnings before income taxes) of $ 459 million. The numbers mentioned below are before eliminations. The basic variables are who owns the trucks, maintains the trucks, pays the drivers, does the warehousing, and supervises the driving.
OVERALL
Beta: 1.42
Market Cap (Mil.): $2,746.36
Shares Outstanding (Mil.): 51.34
Annual Dividend: 1.08
Yield (%): 2.02
FINANCIALS
R.N Industry Sector
P/E (TTM): 20.38 15.64 18.80
EPS (TTM): 57.52 -- --
ROI: 2.52 6.21 4.19
ROE: 9.52 7.72 7.33
Statistics:
Public Company
Incorporated: 1934 as Ryder Truck Rental System, Inc.
Employees: 42,000
Sales: $4.89 billion (1997)
Stock Exchanges: New York Chicago Pacific Berlin
Ticker Symbol: R
SICs: 7510 Automotive Rentals, No Drivers
Name Age Since Current Position
Gregory Swienton 61 2005 Chairman of the Board, Chief Executive Officer
Art Garcia 49 2010 Chief Financial Officer, Executive Vice President
Robert Sanchez 45 2010 President - Global Fleet Management Solutions
John Williford 54 2008 President - Global Supply Chain Solutions
Gregory Greene 51 2010 Executive Vice President, Chief Administrative Officer
Robert Fatovic 45 2004 Executive Vice President, Corporate Secretary, Chief Legal Officer
Cristina Gallo-Aquino 37 2010 Vice President, Controller
E. Follin Smith 51 2005 Lead Independent Director
Lynn Martin 71 1993 Independent Director
David Fuente 65 1988 Independent Director
Hansel Tookes 63 2002 Independent Director
Eugene Renna 66 2002 Independent Director
John Berra 63 2003 Independent Director
Abbie Smith 57 2003 Independent Director
L. Patrick Hassey 65 2005 Independent Director
Luis Nieto 55 2007 Independent Director
James Beard 70 2008 Independent Director
Address:
3600 Northwest 82nd Avenue
Miami, Florida 33166
U.S.A.