UPS Freight

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UPS Freight truck with Motor Cargo and Overnite trailers in 2016.

UPS Freight is the Less-Than-Truckload (LTL) trucking division of UPS. UPS acquired on August 8, 2005, Overnite Transportation (and its subsidiary Motor Cargo) for $1.25 billion.[1] On April 28, 2006, Overnite Transportation officially became UPS Ground Freight, Inc.[2] The logos on the doors of the Overnite tractors were covered with signs showing the operator as UPS Freight. UPS Freight soon changed the color scheme of the tractors from blue and grey to UPS brown on the bottom, with a gold line near the center of the tractor and gray for the upper color. All new vehicles purchased by UPS Freight LTL come painted in these colors as the older Overnite equipment is replaced, while the new tractors for the truckload division (Former Overnite Transportation – Special Services Division) are solid white with the UPS shield on the roof fairing. [3]

UPS Freight is based in Richmond, Virginia.[4]

International DuraStar UPS Freight

Reasons for buyout[edit]

Prior to the buyout of Overnite, FedEx had recently purchased LTL companies American Freightways (on the east coast) and Viking Freight (on the west coast), creating FedEx Freight. UPS spokesman Norman Black told industry news outlet FleetOwner the LTL industry had become attractive due to the increasing economic and strategic attractiveness of the sector: “[LTL has become] attractive because of consolidations and watching the survivors grow and flourish as they’ve been improving operating ratios and developing new types of services customers respond to – especially in time-definite delivery options... That is what Overnite has been forefront of and that’s a huge trend in commerce now. Certainly we see it in the package world."[5]