Ryder

This article is about the truck rental and logistics company. For other uses, see Ryder (disambiguation).
Ryder System, Inc.
Public
Traded as NYSE: R
S&P 500 Component
Dow Jones Transportation Average component
Industry Transportation
Founded Miami, Florida, U.S. (1933)
Founder James Ryder
Headquarters Miami, Florida, U.S.
Key people
 Robert Sanchez (Chairman, CEO)[1]
Art Garcia (CFO)[2]
Services Fleet management
Supply chain management
Dedicated carrier
Cargo truck rental
Revenue Increase US$5.136 billion (2010)
Increase US$405.46 million (2007)
Increase US$186.31 million (2010)
Total assets Increase US$6.652 billion (2010)
Total equity Increase US$1.404 billion (2010)
Number of employees
 25,900 (2010)
Website http://ryder.com
Footnotes / references
[3][4][5][6]
A 2003-07 Ryder Ford E-450
A Ryder DAF LF45 truck in the UK
A Ryder Freightliner Sprinter truck in the USA
A Ryder Ford Transit van in the UK
A Isuzu N-Series

Ryder System, Inc., or Ryder, is an American-based provider of transportation and supply chain management products, and is especially known for its fleet of rental trucks.[7] 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.

History

Ryder was founded in Miami, Florida in 1933 by James Ryder as a concrete hauling company with one truck, a 1931 Model "A" Ford.[3] Within a few years, the business expanded to leasing trucks to other companies. This led to Ryder changing its focus from distribution to leasing. By 1939, Ryder's truck fleet had increased to 50. Ryder bought Great Southern Trucking Company in 1952. In 1955 Ryder System, Inc. was formed to combine Great Southern and Ryder Truck Rental. Ryder System went public in 1955.[8] By the 1960s and 1970s, Ryder had expanded into the distribution and supply chain markets.

In 2008, Ryder acquired three regional competitors: Pollock, Lily Transportation and Gator Leasing.

James A. Ryder, founder and chairman, retired in 1978.[3]

Business

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 EBIT (earnings before income taxes) of $459 million. The numbers mentioned below are before eliminations.[9] The basic variables are who owns the trucks, maintains the trucks, pays the drivers, does the warehousing, and supervises the driving.

Fleet management

Ryder's fleet management business is its largest business segment, accounting for 71% of its revenue for a total of $4.4 billion. Profit of $398 million was 86% of the total.[9] This arm of the business does contract-based full-service leasing, contract maintenance, commercial rental and fleet support services. Under full-service leasing Ryder owns and maintains the trucks and the customer decides where they go. In contract maintenance Ryder just takes care of the trucks. Commercial rentals are the white Ryder trucks which the contract customers can rent on a temporary basis. Ryder grew its North American rental fleet to nearly 30,000 vehicles in 2010 and 2011 raising the percentage of model year 2010 or newer vehicles in the fleet to more than 40 percent.[10] Support services consist of insurance, vehicle permits, and fuel.

In April 2011 Ryder bought B.I.T. Leasing, from Hayward, California.[11] Also in 2011 it acquired the full service leasing and rental business of Carmenita Leasing, Inc., located in Santa Fe Springs, California,[12] and the full service lease, contract maintenance, commercial rental and dedicated contract carriage business, The Scully Companies, Inc., based in Fontana, California.[13]

Supply chain

Ryder' supply chain operations accounted for 26% of its revenue for a total of $1.6 billion. Profit of $42 million was 9% of the total. This business consists of management of a customer's supply chain. Basically the customer owns the trucks and Ryder decides where they go, managing the warehouses and the drivers. Ryder managed over 15,000,000 square feet (1,393,546 m2) of warehouse space on December 31, 2008.[9]

In December 2010 Ryder bought TLC, a supply chain services company based in Holland, Michigan.[14]

Dedicated Contract Carriage

Ryder Dedicated Contract Carriage accounted for 8% of its revenue for a total of $0.5 billion. Profit of $49 million was 10% of the total.[9] This arm of the business conducts both leasing and supply chain management. In 2013, Ryder launched a new name and identity for this program called Ryder Dedicated.

Rental trucks

Ryder launched a consumer truck-rental operation in 1968 with 1,000 trucks and vans. These were the yellow trucks known as "one-ways" and available for the public to rent from filling stations and other automotive-service locations. In June 1998, Ryder decided to focus on commercial truck rental and leasing, and exited the "one-way" business arena; which it sold to Budget Truck Rental.[15] The white Ryder trucks seen on highways today are available to the general public looking to move locally (returning the truck to the original pick-up location), businesses, and companies that have a contractual agreement with Ryder.

Headquarters

Ryder's headquarters are located in an unincorporated area in northwest Miami-Dade County, Florida, near the Miami Dade-County, Broward County boundary line.[16][17]

Previously Ryder had its headquarters in Doral, Florida.[18] In 2002, after taking a year-long study of 22 potential headquarters sites in South Florida, Ryder announced that it would move its headquarters to another location in northwest Miami-Dade County. The commute times of around 200 employees who reside in Broward County decreased. Before the announcement of the final headquarters site, Ryder considered some locations in Miramar in Broward County.[17] In 2005 Shoma Development Corp. began demolishing the former Ryder headquarters in Doral, replacing it with the Park Square at Doral development.[19]

Locations

Headquartered in Miami, Ryder has satellite locations in 48 US States and also in Mexico, Canada, Singapore, China and the United Kingdom.[20]

Criticism

In December 2011, the non-partisan organization Public Campaign criticized Ryder for spending $0.96 million on lobbying and not paying any taxes during 2008–2010, instead getting $46 million in tax rebates, despite making a profit of $627 million.[21]

References

Notes
  1. ↑ "Ryder: About Us/Leadership". Retrieved July 15, 2013.
  2. ↑ "Ryder: About Us/Leadership". Retrieved July 15, 2013.
  3. ↑ 3.0 3.1 3.2 "Ryder History". Ryder System, Inc. Retrieved August 7, 2008.
  4. ↑ "Ryder Media Fact Sheet". Ryder System, Inc. Retrieved August 7, 2008.
  5. ↑ "Ryder System, Inc.". Google Finance. Retrieved April 24, 2011.
  6. ↑ "Ryder System, Inc. - Form 10-K". Edgar Online. Retrieved April 24, 2011.
  7. ↑ "Ryder System Inc Company Profile". Reuters. Retrieved August 8, 2008.
  8. ↑ "Ryder System, Inc. Company History". Funding Universe. Retrieved May 7, 2011.
  9. ↑ 9.0 9.1 9.2 9.3 2008 Annual Report
  10. ↑ Business Wire
  11. ↑ Ryder Acquires Portfolio of B.I.T. Leasing
  12. ↑ About Ryder
  13. ↑ Ryder completes acquisition of The Scully Companies Inc.
  14. ↑ Ryder acquires big Holland-based warehouser with 2,500 employees nationwide
  15. ↑ highbeam.com
  16. ↑ "Contact Us." Ryder. Retrieved on January 9, 2010.
  17. ↑ 17.0 17.1 Tamen, Joan Fleischer. "Ryder Headquarters to be Located Near Broward County, Fla., Border." South Florida Sun-Sentinel. December 5, 2002. Retrieved on January 9, 2010.
  18. ↑ "Contact Ryder." Ryder. February 29, 2000. Retrieved on January 9, 2010.
  19. ↑ "Urban Living." Miami Herald. August 12, 2005. 1C Business. Retrieved on January 9, 2010.
  20. ↑ Ryder.com
  21. ↑ Portero, Ashley. "30 Major U.S. Corporations Paid More to Lobby Congress Than Income Taxes, 2008–2010". International Business Times. Archived from the original on December 26, 2011. Retrieved December 26, 2011.
Bibliography
  • Saunders, Harris. Top Up or Down? The Origin and Development of the Automobile and Truck Renting and Leasing Industry -- 56 Years, 1916–1972. Birmingham, AL: Harris Saunders, 1972.
  • "2008 Annual Report" (PDF). Ryder System. Retrieved February 15, 2011.

External links

Coordinates: 25°52′5.67″N 80°23′6.96″W / 25.8682417°N 80.3852667°W