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Area Development - Site Selection, Facility Planning and Workforce Development

Mid America Logistics Opens Phoenix, Arizona, Operations Hub

01/26/2018
Mid America Logistics, a technology-enabled logistics and trucking company, opened its first operations center in the western United States, in Phoenix, Arizona.

"Today, approximately half of Mid America's revenues and nearly three-quarters of our revenue growth originates from our new branch office network," said Mark Kummer, President of Mid America Logistics. "The decision to expand beyond our Saint Louis Corporate office has proven a prudent strategy in our mission to promote diversity and expand our talent base."

Mid America Logistics reports three contributing factors which have propelled truckload capacity constraints in the current market. “The first factor being the abnormally extreme weather systems that have slowed ground transportation networks this winter season. The second is the implementation of Electronic Driver Logs, commonly referred to as ELD's,in late December forcing small carriers and owner-operators off the road in order to become compliant. The final factor has been a robust economy that limited otherwise routine cyclical shipping patterns and seasons."

“The culminating impact of these simultaneous market forces have increased transportation rates and stimulated demand of shippers seeking new innovative solutions and transportation partners,” company officials reported.

"Mid America is employing new procurement and sourcing methodologies to secure capacity that offer price stability in a volatile market," said Managing Partner & CFO, Justin Baisch. "If a company is to launch a growth initiative to the scale of Mid America, the method in which you grow must be sustainable to achieve longevity. We have already surpassed our revenue goals and will most likely recognize over $100 million in revenues for 2018.”

Mid America Logistics shipping volume year to date increased 65% over last year, and the number of trucks it operates through its asset division has tripled in the previous twelve months. The company said it will open two additional offices in 2018 and has made a continued commitment to expanding its asset fleet in an Asset-Light operating model.

“January's annualized run rate of combined revenues between the asset, logistics and technology divisions of Mid America have exceeded $85 million. This was a goal it initially set for all of 2018. The growth has been fueled by a steady demand of shippers seeking new transportation partners seeking to stabilize transportation spend in a capacity constrained domestic transportation market,” the company reported.

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