10/2/2007
North American Van Lines Presents New Tariff, Offers Simplified Approach for Customers
FORT WAYNE, IN, October 2, 2007 – North American Van Lines today announced its new, independent tariff, which offers an easy-to-understand pricing structure similar to the current Tariff 400-N used as the benchmark by the household goods (HHG) moving industry. The company introduced its new tariff much earlier than the Surface Transportation Board’s (STB) effective date of January 1, 2008, so its customers, van line agents and drivers can take their time reviewing the changes. The STB is an economic regulatory agency of the Department of Transportation, which regulates and resolves service and rate disputes for most of the transportation industry, including interstate household goods carriers.
“We appreciate how important it is for our customers, agents and drivers to feel comfortable with and understand our new tariff so we’ve kept our pricing simple and changes minimal,” said Dan Robertson, general manager of North American Van Lines, a subsidiary of SIRVA, Inc.
A May 7, 2007, ruling issued by the STB created an environment where every household goods carrier, including North American Van Lines, must create and publish its own, individual tariff by January 1, 2008. Tariffs basically explain a household goods carrier’s base rates, charges and service rights, rules and responsibilities.
North American Van Lines has posted its new tariff on the company’s Web site at www.navl.com, where it also provides a calculator customers can use to determine an estimated tariff amount based on origin, destination, zip code, and shipment weight.
STB Decision and History
The STB decided to end joint ratemaking during its most recent periodic review of the approvals of motor carrier bureau agreements. The STB determined rate bureaus are not necessary or consistent with the industry’s deregulated environment and no longer serve the public interest.
For many years, the household goods industry, like most sectors within the transportation industry, has operated with anti-trust immunity in setting and publishing transportation rates. Tariff bureaus were established to bring order to the wide range of pricing practices and allowed carriers to jointly establish the rate structure for their respective memberships. In 1980, Congress started the move towards deregulating the motor carrier industry by eliminating most entry restrictions and rate regulations, including the extensive regulatory authority of the Interstate Commerce Commission (ICC) over rates.
In 1995, deregulation further progressed with the ICC Termination Act (ICCTA), which eliminated the ICC and established the STB. ICCTA included specific provisions on joint ratemaking agreements, including requiring the STB to review those agreements every five years to determine if they were necessary to protect the public interest.
Changes Open Door to Innovative Solutions for Customers
Allowing household goods carriers to develop their own tariffs offers greater opportunity to develop new and innovative services and products, according to Ron Sumner, director, Pricing and Contract Services, North American Van Lines.
“We’re excited about the creative new solutions we’ll be able to develop for our customers now that we no longer have to follow the industry tariff,” Sumner said. “It will be easier to customize products and services to individual customer needs, which will provide flexibility our customers will really appreciate.”
About North American Van Lines, Inc.
North American Van Lines, Inc., established in 1933, is a wholly owned subsidiary of SIRVA, Inc., (NYSE: SIR), a leader in providing relocation solutions to a well-established and diverse customer base around the world. The van line, with headquarters in Fort Wayne, IN, and more than 500 agents, handles corporate, government, military and private relocations and operates in the U.S., Canada and more than 100 countries worldwide. Information on the company can be found on the Internet at www.navl.com.
About SIRVA, Inc.
SIRVA, Inc. is a leading provider of relocation solutions to a well-established and diverse customer base around the world. The Company handles all aspects of relocation, including home purchase and home sale services, household goods moving, mortgage services and home closing and settlement services. SIRVA conducts more than 300,000 relocations per year, transferring corporate and government employees along with individual consumers.
The Company operates in more than 40 countries with over 4,000 employees and an extensive network of agents and service providers. SIRVA’s well-recognized brands include Allied, Allied International, Allied Pickfords, Allied Special Products, DJK Residential, Global, northAmerican, northAmerican International, Pickfords, SIRVA Mortgage, SIRVA Relocation and SIRVA Settlement. More information about SIRVA can be found on the Company’s web site at www.sirva.com.
Media Contact
Jenine Davis-Hansen
Marketing Manager
North American Van Lines
630.468.4785
