Saia cuts work force, pointing to seasonal slowness, economy

In a Securities and Exchange Commission filing late Thursday, Saia said the cuts were made across field operations and in its corporate office. The company has about 8,200 employees according to its Web site.

The Associated Press

10/3/2008

NEW YORK — Trucking company Saia Inc. has cut 5 percent of its work force, blaming lower seasonal volume and “an uncertain economic environment.”

In a Securities and Exchange Commission filing late Thursday, Saia said the cuts were made across field operations and in its corporate office. The company has about 8,200 employees according to its Web site.

In a note to clients on Friday, Morgan Keegan analyst Art Hatfield said the cuts “give us confidence in our demand expectations.” He predicts tonnage at Saia to fall by about 5 percent in the third quarter.

Hatfield maintained his “Outperform” rating, but lowered his earnings estimates on the company.

Saia is a less-than-truckload carrier, which fill their trucks with freight from a variety of sources and might re-sort and redistribute it at a company terminal along their routes.