U.S. HEAVYWEIGHTS FORM INTEGRES TO SERVE SMALL AIR SHIPPERS

U.S. HEAVYWEIGHTS FORM INTEGRES TO SERVE SMALL AIR SHIPPERS    Small shippers pay a premium to transport their cargo by air, but a new logistics firm established by some of the biggest names in U.S. transportation said it will use the Internet to help these firms compete with the large air freight shippers.
   A group of executives from the U.S. airline, forwarding, trucking and computer systems industries announced in a press conference this morning the launch of Integres Global Logistics, an Internet company which promises to
manage a shipper’s transactions from rates and bookings to delivery at destination.
   “Businesses are increasingly looking for shipping solutions that leverage the benefits of e-commerce while protecting margins and enhancing their existing relationships,” said James Hartigan, chairman and chief executive officer of the new firm, based in Rancho Cordova, Calif. “Integres levels the playing field by helping our partners and affiliates compete for, and win, in
the full-service global cargo market.”
   Hartigan, a 34-year veteran of the airline industry, recently retired from United as vice president of cargo. His successor at United will be named soon.
   Integres’ management believes that its Web-based service will help small shippers shave as much as 35 to 40 percent off the rates levels that they’re currently paying via traditional forwarding services. If shippers can’t decide which routing to use, Integres will choose the best option for them.
   Integres’ backers include United Airlines, American Airlines, Roadway Express, Uti Worldwide, Unisys Corp., and G-Log. About $30 million has been invested to launch the firm and each partner brings its expertise to the table:
   *United and American will provide their domestic and international combination passenger/cargo networks.
   *Roadway, a large less-than-trailer-load trucker, will provide its national overland network in addition to its sales and operations support to the new firm, while Integres will help Roadway expand its operations in the
expedited air-cargo market.
   *Unisys will provide Integres with systems integration between the partners.
   *G-Log will support the Internet-based aspects of the operation. The firm will allow Integres to manage freight flows, while also rerouting, expediting, merging and diverting orders based on “real-time conditions.”
   *UTi Worldwide will provide logistics management for international shipments.
   Hartigan said Integres may add partners to the service over time, and it will continue to seek investments. Integres currently has about 20 employees and plans to expand to 80 employees by the end of the year.
   Integres insists that its service doesn’t compete directly with express carriers, such as Federal Express and UPS, but it will compete head on with small to midsized forwarders for business. The target market for Integres is
small shippers with cargo loads ranging from 70 to 200 pounds.