American Commercial Lines Inc.Jeffersonville, IN, United States (NASDAQ (GS): ACLI)

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American Commercial Lines Competition

Now Viewing American Commercial Lines's competition in: Inland Barge Transport (primary)

Recent Developments

Small Shipyards Getting Noticed - In light of increasing scrutiny over where inland barge transport ships are repaired under Jones Act regulations, the US Maritime Administration recently gave nearly $10 million in grants to small US shipyards. The Assistance to Small Shipyards program aims to help small shipyards improve their repair facilities to stay globally competitive. The grants should give inland barge transport companies more options for US repairs to their fleets.

Pittsburgh District Makes Plea for Repairs - Representatives of the Pittsburgh District, which encompasses waterways in parts of four states, are sounding alarms about needed infrastructure improvements. The Port of Pittsburgh Commission and the Army Corps of Engineers recently spoke out about the continually weakening infrastructure of the District's locks and dams, including an appeal to Congress. While some money has already been appropriated, the projects have met significant delays in recent years, worrying those familiar with the District.

Waterways Challenged During Slow Month - June 2008 saw a significant decrease in tonnage of goods moved compared to June 2007, in part due to Midwestern floods. The floods closed some river systems, namely parts of the Mississippi, and came during an already slow period of the year, resulting in a total tonnage decrease of 19 percent compared to June 2007, according to the Army Corps of Engineers. While coal shipments were up nearly 6 percent, food and farm products plummeted 64 percent.

Competitive Landscape

Demand is driven primarily by the level of agricultural exports, petroleum refining, coal usage, and chemical shipments. Large companies have advantages in handling a broad range of cargo types, along with economies of scale in purchasing and marketing. Small companies compete by specializing in particular cargo types or services, subcontracting to larger companies, and offering responsive customer service. Average annual revenue per employee is about $200,000 for small companies and over $300,000 for large companies.

Inland Barge Transport Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US water transportation, which includes barges, is forecast to grow at an annual compounded rate of 5.5 percent between 2007 and 2012.

Water Transportation Services Growth Steadies

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.

First Research Opportunity Rating

The First Research Opportunity Rating is First Research's estimate of industry performance vs. industry risk over the next 12 to 24 months.

  • Demand: Strong demand for farm products, commodities
  • Energy costs hurt profitability
  • Risk: Slowing economy cuts domestic demand

Industries Where American Commercial Lines Competes

  • Transportation Services
    • Marine Shipping
      • Inland Shipping (primary)
  • Automotive & Transport
    • Commercial Shipbuilding & Related Services