Zombie Truckers are still afflicting motor carriers both large and small
Mar 5, 2010 1:56 PM
Though a term more appropriate for a George Romero film than the freight market, “Zombie Truckers” are still afflicting motor carriers both large and small by keeping capacity in play that technically shouldn’t be there. The term – coined by Larry Gross, president of Gross Transportation Consulting and senior consultant with FTR Consulting Group – refers to truck operators who are not making their monthly equipment payments and thus should be bankrupt or shut down, yet remain in operation because the banks do not want to repossess their equipment as its value remains minimal.
This was a really interesting article I was tipped off by a friend who has 40 years in the auto transport business. One thing he says he's seen in all the years of analyzing the numbers is that a truck has to earn a certain amount per day on average, or you'll be better off parking it.