work truck magazine may/june 2011

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THE RESOURCE FORMANAGERS OF CLASS 1-7TRUCK FLEETS

WWW.WORKTRUCKONLINE.COMMAY/JUNE 2011

VOL. 5 NO. 3

THE DRIVE (TIRE)THE DRIVE (TIRE)TOWARD FUEL ECONOMYTOWARD FUEL ECONOMY

STRATEGIES STRATEGIES FOR HANDLING FOR HANDLING

HIGH FUEL PRICESHIGH FUEL PRICES

MITSUBISHI FUSO MITSUBISHI FUSO LAUNCHES 2012 LAUNCHES 2012

CANTER FE/FG SERIESCANTER FE/FG SERIES

PROS & CONS OF CNG PAGE 22 TRUCK ACQUISITION STRATEGIES PAGE 28 PG&E ELECTRIFIES BUCKET TRUCK FLEET PAGE 36

4500/5500NAMED 2011 MD TRUCK OF THE YEARNAMED 2011 MD TRUCK OF THE YEAR

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fl eet.ford.com

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*Optional feature available on select models. Some features are unavailable while driving.

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AF0710ford_grad.indd 2-3 6/24/10 9:55:53 AMWT_992-1.indd 1WT_992-1.indd 1 4/11/11 9:05:08 AM4/11/11 9:05:08 AM

IN THIS ISSUE MAY/JUNE 2011VOLUME 5 ISSUE 3

2 WORK TRUCK MAY/JUNE 2011 www.worktruckonline.com

Features

Departments

16 RAM CHASSIS CAB NAMED 2011 MEDIUM-DUTY TRUCK OF THE YEARWork Truck magazine names Class 4 and 5 Ram 4500/5500 Chassis Cab its 2011 Medium-Duty Truck of the Year.

18 STRATEGIES FOR DEALING WITH FUEL CHALLENGESFuel costs are a top concern nationwide, and more so for fl eets whose operations require the use of larger, more fuel-consuming vehicles and equipment. Truck fl eet managers share their strategies for dealing with escalating fuel costs.

22 ARE NATURAL GAS VEHICLES RIGHT FOR YOUR FLEET?A growing number of fl eets have already made the switch to compressed natural gas after weighing the benefi ts and challenges.

28 CASH, FINANCE, OR LEASE: WHICH TRUCK ACQUISITION STRATEGY WORKS BEST?Determining the acquisition strategy that works best for individual company fl eets is a daunting process. Industry experts pose and answer questions to help fl eet managers make this important decision.

32 THE DRIVE (TIRE) TOWARD FUEL ECONOMYTread design tweaks help lower resistance.

34 MITSUBISHI FUSO LAUNCHES ALL-NEW 2012 CANTER FE/FG SERIES WORK TRUCKSFive all-new models were introduced for the Class 3-5 vocational market under the Canter name for the fi rst time in North America.

36 PG&E ADDS HYBRID-ELECTRIC BUCKET TRUCKSPacifi c Gas & Electric Company (PG&E) added about 100 hybrid-electric bucket trucks in 2010 and has ordered 125 more as part of its fl eet green-ing efforts.

4 ON THE WEB

6 LETTERS■ Speed Limiters on MD Trucks

■ Defi nition of a Truck

8 TRUCK NEWS ■ Truck Tire Prices Rise

■ Freightliner’s New SmartPlex Electrical System

12 STATS■ 2010 Operating Costs for Full-Size Vans

■ Total Fleets Purchasing “Green” Trucks in 2011

38 TRUCK PRODUCTS ■ DuraClass Dump Bodies

■ Supreme Corp. Aero Body

40 END OF FRAME EDITORIALTraits of Successful Truck Fleet Managers

WORK TRUCK MAGAZINE (CDN IPM# 40013413) is published bi-monthly, by Bobit Business Media, 3520 Challenger Street, Torrance, California 90503-1640. POSTMASTER: Send address changes to Work Truck P.O. Box 1068 Skokie, IL 60076-8068. Please allow 8 to 16 weeks for address changes to take effect. Please address Editorial and Advertising correspondence to the Executive Offi ces at 3520 Challenger Street, Torrance, California 90503-1640. The contents of this publication may not be reproduced either in whole or in part without consent of Bobit Business Media. All statements made, although based on information believed to be reliable and accurate, cannot be guaranteed and no fault or liability can be accepted for error or omission.

18

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Read the full story and more at:

www.arifleet.com/partnersatwork

ROB HOYSGAARDUtility Fleet Expert

As a power industry specialist, Rob focuses his energy on innovative fleet management solutions that help ARI’s utility partners succeed.

Partners at Work

Vehicle reliability and readiness are always critical. But perhaps never more than when you’re managing a

1,000-vehicle fleet covering three northwestern states. ARI ensures every passenger car, pickup, bucket truck

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WT0511toc.indd 3WT0511toc.indd 3 4/12/11 7:35:34 AM4/12/11 7:35:34 AM

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www.worktruckonline.com

what you’re readingw


FREIGHTLINER TRUCKS TO OFFER PRE-WIRE OPTION FOR TELOGIS TELEMATICS PLATFORMAvailable in Cummins-equipped Freightliner Business Class M2, 108SD, and 114SD vocational trucks.

NREL RELEASES HYBRID ELECTRIC FLEET STUDYThe year-long technology evaluation of gasoline hybrid electric trucks in the FedEx fl eet can be accessed at www.worktruckonline.com/Channel/Green-Fleet.

NEW INTERNATIONAL WORKSTAR FEATURES SLOPED HOOD, UPGRADED INTERIORThe new sloped hood option provides best-in-class visibility for the driver while the completely refi ned interior has ergonomic enhance-ments and improved comfort features.

MITSUBISHI FUSO TO RESUME TRUCK PRODUCTIONThe company announced it would start limited vehicle assembly on March 29, 2011 at its main Kawasaki, Japan plant, in a move intended to support the company’s customers around the world.

ENERGY XTREME WINS THE WORK TRUCK SHOW 2011 GREEN AWARDThe company is recognized for its new U36 Crossover mild-hybrid plug-in system.

Use the navigator on the WorkTruckOnline.com home page to browse the latest articles from the channels. Enter a channel to view in-depth news, articles, tools, calculators and more related to that specifi c topic.

May/June’s Web Channel Highlight: MOBILITYView strategies for how to increase real-time control and com-munication within your fl eet. The resources provided in this channel will educate you on how to enhance the capabilities of your drivers and fi eld workers to meet customer expectations.

▲ Siemens Streamlines Vehicle Relocation

▲ Managing Your Off-Road Fleet from a Desktop

▲ Bright Ideas Energize Fleet Management

▲ 9 Mistakes to Avoid When Playing ‘Musical Cars’

▲ How Can Telematics Help Your Fleet?

Industry Trendss Telematics Safety Remarketing Fuel

the 5

THE FLEET CHANNELS

WORKTRUCKONLINE.COM TOP 5 MOST POPULAR STORIES AS OF APRIL 12, 2011

1

2

3

4

5

What We’re Blogging About

MARKET TRENDSBy Mike Antich

www.worktruckonline.com/

blog/markettrends.aspx

April 1Time to Add a New Component in Calculating Total Cost of Ownership

March 11Beware of Expunged MVR Records

February 28Higher Raw Material Costs Put Upward Pressure on Replacement Tire Prices

February 15In a Slow Economy, Driver Violations Increase

FLEET BLOGSThe Voice of the Fleet Community

(www.fl eetblogs.com)

April 8: Musings on the Eve of the Fleet Executive of the Year Awardby Wayne Smolda

April 6: Myth Busted: Changing your air fi lter saves MPGby Steve Fowler

March 30: Here’s a Tip, and Keep the (Annoying) Changeby Elisa Durand

March 23: Increase Your Net Worthby Anonymous Public Fleet Manager

Interested in starting your own blog? Go to www.fl eetblogs.com for more information

ANTICH

FLETCHER

CHATTY CHASSIS By Lauren Fletcher

www.worktruckonline.com/

Blog/Talking-Truck.aspx

March 22Hitting the Road: Freightliner in Las Vegas

March 8Hitting the Road: The Work Truck Show – The Products

March 7Hitting the Road: The Work Truck Show – The Events

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A higher level.

That’s what you get with Ford gas engines and transmissions.A higher build level means you’re getting engine and transmission assemblies built to the exacting specifi cations of Ford Motor Company. So you not only get the quality build you expect in an assembly from Ford, but also one that’s built by using parts that keep it specifi c to year, make and model as well as emissions calibrations.

Introducing the all-new 3-Year Unlimited-Mile Warranty – No Commercial ExceptionsFord gasoline engines and transmissions are covered by a three-year/unlimited-mile warranty.* All warranties are backed by Ford Motor Company. They’re also supported by more than 3,500 Ford and Lincoln Mercury Dealerships nationwide as well as at their originating place of service.

Plus, unlike some competitors, the warranty is good for fl eet vehicles. That means you get the same advantages and coverage for commercial use, no exceptions.

For technical questions, contact the Powertrain Assistance Center at 1-800-392-7946 or visit FordParts.com.*See dealer for limited-warranty details. Remanufactured diesel engines are covered by a two-year/unlimited-mileage warranty.

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LETTERS TO THE EDITOR

6 WORK TRUCK MAY / JUNE 2011 www.worktruckonline.com

Will Medium-Duties be Next?I read your End of Frame editorial entitled, “NHTSA Proposes Speed Limiters

on HD Trucks: Will Medium-Duties be Next?” (See March/April WT.) It was ex-

cellent. Here are my thoughts:

With medium-duties (MD), I’m not sure there would be as much resistance to a road

governor/speed limiter compared to a mandate for heavy-duty (HD) rigs. (In fact, if

I remember correctly, MD trucks, like the Isuzu NPR, already come standard with

road governors, set somewhere in the high 60s/ low 70s mph. The GMC C- series’

governors were set somewhere around 72 mph.) Here’s my initial hypothesis:

1. MD trucks tend to be driven by employees versus owner-operators. Company

principals/fl eet managers want to limit maximum speed for safety and fuel econ-

omy reasons, without having to micromanage drivers on speed issues. Moreover,

MD trucks usually run routes “close to home,” rarely needing to exceed the speed

set by a road governor.

2. HD rigs, on the other hand, used primarily in over-the-road applications for

long-distance trips, are often driven by owner-operators who would be more likely

to reject speed limiters because the mandate impacts them directly.

Sean LydenProfessional WriterFt. Lauderdale, Fla.

Is it Really a Truck?In response to the Chatty Chassis blog

post, “Is it Really a Truck,” (see www.

worktruckonline.com/blog/Chatty-

Chassis.aspx). I have to say: Well said,

or more accurately, well asked! I sup-

port re-categorization by all parties —

NHTSA, state DMVs, the industry, in-

surance companies, etc. In my opinion,

the issue is carrying capacity and intent.

If it’s primarily designed to move mate-

rials, like a pickup, it’s a truck. Carry-

ing 10 or more passengers would be an

exception, so a bus-like vehicle is also a

truck. Everything designed to move fewer

than 10 passengers is a car. The NHTSA

defi nition of a truck is unworkable and

needs to be changed.

Joseph McKinneyPresident

Oregon Roads, Inc.

Eugene, Ore.

In Favor of Speed LimitersI am in favor of governing speed (see

March/April WT). It is common sense.

Unfortunately, more and more regulations

keep coming into our lives. I would not be

surprised to see all cell phone use elimi-

nated in three to fi ve years.

The speed for a truck should be limit-

ed to 68 mph; however, many will argue

they need the speed to get out of jams.

A speed limited of 75 mph is for clear

and dry pavement. The argument for re-

duced speeds can be made for congested

areas, inclement weather, and at night.

A number of states have reduced speed

limits at night for heavy vehicles. Also,

there are speed restrictions for various

types of vehicles.

Ford has the new MyKey solution,

geared around teenage drivers. My com-

pany has standardized it to all of our fl eet

vehicles. For example, if you have a driver

who keeps showing up as speeding, trav-

eling 80-85 mph when the speed limit is

65 mph, you can govern his or her vehi-

cle to 70 mph.

Drivers must understand the limit of

your equipment. I would much rather

have 40,000-50,000 lbs. traveling 65 mph

than one traveling 75 mpg; stopping dis-

tance would be greatly improved.

Mike ButschDirector, Global Fleet Operations

Joy Global

Milwaukee

CSA & Vicarious LiabilityIn response to the January/February WT

editorial, I would add that vicarious liabil-

ity will not apply to the owner if the vehi-

cle is leased out to someone else and a con-

tract for indemnifi cation is in place.

E-mail from Stroman

Vol. 5 No. 3

PublisherSherb Brown

Editor/Associate PublisherMike Antich

[email protected]

Managing EditorLauren Fletcher

lauren.fl [email protected]

Senior EditorGrace L. Suizo

[email protected]

Associate EditorThi Dao

[email protected]

Web EditorGreg Basich

[email protected]

Production DirectorKelly Bracken

Production ManagerBrian Peach

(310) 533-2548

Art DirectorArmie Bautista

For Subscription Inquiries(888) 239-2455

[email protected]

Great Lakes Sales ManagerRobert Brown Jr.

1000 W. University Dr., Ste. 209Rochester, MI 48307

(248) 601-2005 Fax: (248) 601-2004

Regional Sales ManagersEric Bearly

(310) 533-2579

Joni Owens(310) 533-2530

Sales CoordinatorTracey Tremblay

Business and Editorial Offi cesBobit Business Media

3520 Challenger St.Torrance, CA 90503Fax: (310) 533-2503

ChairmanEdward J. Bobit

CEOTy Bobit

Chief Financial Offi cerRichard E. Johnson

Editorial ConsultantHoward Rauch

Change Service Request Return AddressHallmark

P. O. Box 1068 Skokie, IL 60076-8068

Autom

otive Fleet

WT0511letters.indd 6WT0511letters.indd 6 4/11/11 8:24:38 AM4/11/11 8:24:38 AM

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WT0511letters.indd 7WT0511letters.indd 7 4/11/11 8:24:44 AM4/11/11 8:24:44 AM

WT0511leggett.indd 1 4/12/11 11:17:15 AM

ANAHEIM, CA – Isuzu Commercial Truck of America,

Inc., announced production of gasoline-powered Isuzu N-

Series trucks began April 18 at the Spartan Motors, Inc.,

facility in Charlotte, Mich.

Gasoline-powered NPR (12,000-lb. GVWR) and NPR-

HD (14,500-lb. GVWR) trucks are available in Single Cab

models with wheelbases of 109, 132.5, 150, and 176 inch-

es, and in Crew Cab confi gurations with 150- and 176-inch

wheelbases. Units were expected to arrive at Isuzu dealer-

ships beginning early May, as of press time.

N-Gas models are powered by a General Motors Vortec

6.0L V-8 engine that produces 297 hp at 4,300 rpm and gen-

erates 372 lb.-ft. of torque at 4,000 rpm. In addition, a version

of the engine compatible with compressed natural gas (CNG)

and liquefi ed petroleum gas (LPG) will be available.

Both versions of the gasoline powerplant are mated to a

GM powertrain 6-speed automatic transmission with dou-

ble overdrive. Previous N-Series gasoline models offered

only a four-speed automatic.

Truck Tire Prices RisingAKRON, OHIO – Several tire manufacturers announced increased

pricing for commercial truck tires, according to Modern Tire Dealer.Continental Tire the Americas LLC increased the price of its Con-

tinental, General, and AmeriSteel brand truck tires by 10 percent effec-

tive April 1 for replacement sales channels in the United States only.

Yokohama Tire Corp., implemented a price increase on all of its light

and medium commercial truck tires in the U.S. effective April 1. Prices

were raised an average of 8 percent, with in-line adjustments.

Double Coin and China Manufacturers Alliance LLC (CMA) hiked commercial tire prices an average of 13 percent on March 1. The

price increases applied to the Double Coin radial truck and bus tires, all of

its private brand radial truck and bus tires, and Double Coin radial OTR

tires.

Toyo increased prices on its commercial truck and OTR tires by an

average of 8 percent, with in-line adjustments, on March 1.

Michelin increased prices on its commercial products in the U.S. ef-

fective March 1. The company also raised prices an average of 12 per-

cent on Michelin and BFGoodrich truck tires and Michelin Retread

Technologies and Oliver retread products.

Hankook increased prices on its medium truck tires by a weighted

average of 9 percent. The increases went into effect on tire shipments

made on or after March 15.

Cooper Tire raised its commercial truck tire prices 12 percent across

the board during the week of Feb. 6.

TRUCK NEWS


Spartan Motors to Assemble Isuzu N-Series Gasoline Trucks

With units expected to arrive at Isuzu dealerships this spring, the gas-powered NPR trucks are available in Single Cab and Crew Cab confi gurations.

Sill Installed as 47th NTEA President

INDIANAPOLIS – Ste-

ven Sill, president of As-

pen Equipment Company in

Bloomington, Minn., was in-

stalled as the 47th president

of the National Truck Equip-

ment Association (NTEA) at

The Work Truck Show 2011, held in Indi-

anapolis. Sill accepted the gavel from im-

mediate Past-President Allen Birmingham,

national sales manager for Tommy Gate

Co. in Phoenix, at the President’s Break-

fast & NTEA Annual Meeting.

Sill began his career as the fi rst third-

generation employee in the family business,

Road Machinery & Supplies (RMS), in high

school. On July 1, 1994, Aspen Equipment

was separated from RMS and was born un-

der Sill’s leadership as president.

“My primary focus over the next year

as president of the NTEA will be to help

fellow NTEA member companies to bet-

ter position themselves to take full advan-

tage of the rapidly revitalizing economy,”

Sill said.

SILL

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TRUCK NEWS CONTINUED

INDIANAPOLIS – Freightliner

Trucks introduced the SmartPlex

Electrical System for the Freight-

liner 114SD and Business Class M2

platforms. The electrical system

provides fl exibility for truck equip-

ment manufacturers (TEMs) when

confi guring a truck to suit specifi c


Freightliner Introduces New SmartPlex Electrical Systembody installations, according to

Freightliner.

The SmartPlex Electrical System

uses Freightliner’s proprietary con-

trol modules that connect to the J1939

data bus, controlling power to lights

and TEM equipment. SmartPlex also

introduces the SmartPlex fl ex switch

and lamp module — capacity for up

to 24 switches is located in the over-

head compartment — which can be in-

stalled, programmed, and labeled by

TEMs for specifi c body needs.

Laser-etched plastic inserts with

icons that are appropriate for each in-

dustry and/or the type of truck are also

provided, allowing TEMs to snap the

inserts into corresponding switches.

The system expands the total number

of switches and lamps that can be con-

nected to 35 (includes dash switches),

a signifi cant increase.

The SmartPlex Electrical system is

accessed using Freightliner ServiceLink

software, which communicates direct-

ly with the Freightliner proprietary

control modules. ServiceLink allows

TEMs to confi gure programming for

unique needs — all in the comfort of

their own facility. This provides trace-

ability back to Freightliner dealers,

easing service in the fi eld for trucks

with TEM equipment.

Leggett & Platt & Landi Renzo Partner on NGVsATLANTA – Leggett & Platt Com-

mercial Vehicle Products (L&P CVP)

partnered with Landi Renzo USA

to implement alternative-fuel sys-

tems using compressed natural gas

(CNG).

As a Qualifi ed Vehicle Modifi er (QVM)

of Ford vehicles, L&P CVP will install

Landi Renzo’s CNG fuel system at its

Ford ship-thru facility in Elyria, Ohio

and will offer three- and four-tank op-

tions for installation on Ford’s E-250 and

E-350 cargo and passenger vans.

The 21- and 27-gasoline-gallon-

equivalent tanks are part of a system

that complies with Federal Motor Vehi-

cle Safety Standards and Regulations,

is certifi ed by the EPA, and is 50-state


www.worktruckonline.com MAY/JUNE 2011 WORK TRUCK 11

SAN DIEGO – Navistar, Inc. and

the Women In Trucking Association

(WIT) presented the inaugural “In-

fl uential Woman of the Year” award

to Rochelle Gorman, chief execu-

tive offi cer, CalArk International

(an irregular route, general com-

modities, and contract TL carrier),

at a ceremony during the Truckload

Carriers Association (TCA) annu-

al meeting.

The “Infl uential Woman of the

Year” award seeks to recognize a

woman in the trucking industry who

makes or infl uences key decisions in

a corporate, manufacturing, suppli-

er, owner-operator, driver, sales, or

dealership setting. Other criteria for

the award include demonstrating a

record of responsibility and success

in mentoring other women.

Gorman accepted her award im-

mediately following a panel discus-

sion about overcoming the challeng-

es women often face in the trucking

industry.

“Women today have the opportu-

nity to lift each other up in ways that

provide inspiration, leadership, and

encouragement that may not have

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Navistar & Women In Trucking Award ‘2011 Infl uential Woman of the Year’

existed when I entered the in-

dustry,” Gorman said. “We

are now trusted to promote

the good and positive of the

trucking industry.”

Two runners-up for this

year’s award were also rec-

ognized at the TCA event: Shelley

Simpson, executive vice presi-

dent, J.B. Hunt Transport, Inc.

and Andreea Raaber, vice pres-

ident, business development,

Bendix Commercial Vehicle

Systems, LLC.

compliant through the California Air

Resources Board. The L&P CVP/Lan-

di Renzo CNG conversion system al-

lows NGVs to perform just like gaso-

line vehicles, can be serviced by local

dealers, and will be backed by a com-

prehensive warranty.

“To increase their effi ciency, our cus-

tomers have asked for alternative-fuel

options for their fl eets and NGVs make

economic sense,” said John Fischer,

VP new business and product develop-

ment for L&P CVP. “We also strive to

make the conversion process seamless.

For Ford vans, simply check the option

code (31V – effective April 1) on the ve-

hicle order form to have it upfi t with the

CNG fuel system and delivered to a deal-

er anywhere in the country at no addi-

tional transportation cost.”


WT0511firestone.indd 1 4/11/11 11:57:09 AM

STAT SHEET

Number of Class 3-6 trucks on AF’s 2011

Top 300Commercial

Fleets

297,084

No 58%

Fleets Purchasing ‘Green’ Trucks in the Next 6-12

Months for State & FederalClean Air Requirements

How Much Does the Payload Weigh?

Class 4-7 Truck BodyLength vs. Cab-to-Axle*

2010 Operating Costs: Full-Size Vans

Here are weights for common

materials hauled in dump bodies:

GASOLINE 0.1800 $279.79 0.1635 $305.75 0.1611 $322.95

OIL 0.0042 $5.07 0.0055 $6.82 0.0043 $6.97

TIRES 0.0042 $7.36 0.0099 $18.23 0.0164 $25.38

MAINTENANCE/REPAIR 0.0156 $16.84 0.0227 $34.91 0.0328 $73.00

WARRANTY RECOVERY (0.0001) ($0.35) (0.0007) ($1.25) (0.0001) ($0.95)

TOTAL OPERATING COSTS 0.2039 $308.71 0.2009 $364.46 0.2145 $427.35

CENTSPERMILE

DOLLARSPER

MONTH

CENTSPERMILE

DOLLARSPER

MONTH

CENTSPERMILE

DOLLARSPER

MONTH

24,000- 48,000 MILES

<24,000 MILES

48,001-80,000 MILESTOTAL

UNITS:85,083

BODYLENGTH

APPROXCA*

9 ft. 60 in. 10 ft. 72 in.12 ft. 84 in.14 ft. 108 in.16 ft. 120 in.18 ft. 138 in.20 ft. 150 in.22 ft. 162 in.24 ft. 175 in.26 ft. 190 in.28 ft. 205 in.

Crushed stone ...............2,500 lbs.

per cubic yard

Gravel..............................2,700 lbs.

per cubic yard

Sand (dry)........................2,700 lbs.

per cubic yard

Soil....................................2,500 lbs.

per cubic yard

For more material weights, visit

www.age.psu.edu/extension/

factsheets/h/H20.pdf.Yes 42%

58%42%

Average U.S. National Per-Gallon Diesel Fuel PriceTrend

July 10 Aug. 10

$2.93$2.96

Sept. 10

$2.95

Oct.10 Nov. 10

$3.06$3.14

Dec. 10

$3.24

Jan. 11

$3.38

Feb. 11

$3.54

Mar. 11

$3.97

Mar. 10

$2.91

Apr. 10

$3.05

May 10

$3.07

June 10

$2.96

SO

UR

CE: W

OR

K T

RU

CK

MA

GA

ZIN

ESO

UR

CE: W

EX

SO

UR

CE: AF

RESEA

RC

H D

EPT

.


SOURCE: PENN STATE UNIVERSITY DEPARTMENT OF AGRICULTURE AND BIOLOGICAL ENGINEERINGSOURCE: NATIONAL TRUCK EQUIPMENT ASSOCIATION (NTEA) SOURCE: AF RESEARCH DEPT.

WT0511stats.indd 12WT0511stats.indd 12 4/12/11 1:53:37 PM4/12/11 1:53:37 PM

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WT0511firestone.indd 1 4/11/11 11:57:09 AMWT0511stats.indd 13WT0511stats.indd 13 4/12/11 1:53:39 PM4/12/11 1:53:39 PM

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μ�

2011 RAM 4500/5500 CHASSIS CAB

NAMED “MEDIUM-DUTY TRUCK OF THE YEAR”

BY WORK TRUCK MAGAZINE

fleet.chrysler.com 800-999-FLEET

WT_14-15.indd 15WT_14-15.indd 15 4/12/11 7:27:12 AM4/12/11 7:27:12 AM

Work Truck magazine named the Class 4 and 5 Ram 4500/5500 Chassis Cab its 2011 Medium-Duty Truck of the Year. By Lauren Fletcher


The Class 4 and 5 Ram 4500/5500

were named Work Truck mag-

azine’s 2011 Medium-Duty

Truck of the Year.

Nineteen vehicles were included in

an online ballot and voted on by profes-

sional fl eet managers, who were asked

to consider which medium-duty truck

model best fi t their fl eet requirements,

including application effectiveness, du-

rability, quality, servicing, maintenance,

and lifecycle costs.

“We are very pleased

that the Ram 4500/5500

Chassis Cab was named

the 2011 Medium-Duty

Truck of the Year,” said

Pete Grady, vice pres-

ident, Network Devel-

opment & Fleet for the

Chrysler Group LLC. “We take pride in

this truly fl eet-oriented award, as it was selected by professional fl eet customers

from across the country.”

BUILT FOR TOWING

Ram Chassis Cab trucks are specifi cal-

ly designed for towing. The new Ram

4500/5500 Chassis Cab GCWR upgrade

is part of an optional “Max Tow” pack-

age, available on both regular and crew

cab models and in 4x2 and 4x4 confi g-

urations. The Ram Max Tow package

includes a new transfer case gear set as

well as chain and sprocket upgrades,

recalibrated transmission software, and

an enhanced collection of thermal man-

agement devices.

Ram 4500 and 5500 Chassis Cab trucks

come equipped with the commercial-grade

6.7L Cummins Turbo Diesel engine that

produces 305 hp at 2,900 rpm and 610

lb.-ft. of torque at 1,600 rpm.

Max Tow is available on Ram Chas-

sis Cab trucks equipped with the option-

al commercial-grade Aisin 6-speed au-

tomatic transmission and 4.88 rear-axle

ratio. A 4.44 axle is standard on 4500

models and not available with the Max

Tow package. A class-exclusive 6-speed

manual transmission is standard on Ram

4500 and 5500 Chassis Cab models.

The 30,000-lb. GCWR gives the

Ram Chassis Cab a 4,000-lb. increase

CHASSIS CAB NAMED2011 MEDIUM-DUTY TRUCK OF THE YEAR

The 2011 Medium-Duty Truck of the Year provides truck fl eets with:

■ Max Tow – a towing package available on both regular and crew cab models and in 4x2 and 4x4 confi gurations.

■ Maximum upfi t-friendliness with an industry-standard 34-inch frame rail spacing and fl at, clean frame rails on a one-piece C-channel rear-frame rail with 50,000-psi steel strength.

■ Programmable features, including speed limiters and shut-down timers.

AT A GLANCE

Work Truck magazine Associate Publisher Robert Brown (second from right) presents the 2011 Medium-Duty Truck of the Year Award to the Ram Chas-sis Cab team, (left) Joe Veltri, vice president, Product Planning; Fred Diaz, president and CEO Ram Truck Brand and head of National Sales; and Scott Kunselman, senior vice president, Engineering. Shown in back is the 2011 Ram 4500 Chassis Cab.GRADY

WT0511ram.indd 16WT0511ram.indd 16 4/11/11 8:30:05 AM4/11/11 8:30:05 AM


in trailer-towing capabilities, up to a

maximum of 22,300 lbs. on a Ram

4500 or 5500 Chassis Cab equipped

with a 6-speed automatic transmission

on Class 4 Chassis Cab trucks.

“The commercial truck segment is

all about total cost of ownership,” said

Fred Diaz, Ram Truck president, CEO,

and head of U.S. sales – Chrysler Group

LLC. “When you account for fuel econ-

omy, brake wear, tire wear, and the best

powertrain warranty in the business,

Ram Chassis Cab trucks offer the low-

est cost of ownership.”

PROVIDING UPFIT FRIENDLINESS

Maximum upfi t-friendliness is achieved

with industry-standard 34-inch frame

rail spacing and fl at, clean frame rails

on a one-piece C-channel rear-frame

rail with a best-in-class 50,000-psi

steel strength, according to Ram

Truck. All chassis components are

below the frame surface, allowing

easy adaptability and versatility for

upfi t applications.

Further improving upfi tter-friendliness,

2011 Ram 4500 and 5500 Chassis Cabs

feature four all-new upfi tter switches

integrated on the instrument panel. Each

switch is linked to an auxiliary power

distribution center (PDC) located under

the hood, which includes one fused 20-

amp battery feed and one fused relay-

controlled 20-amp ignition. In addition to

these feeds, the PDC supports four new

customizable switches. Two switches

are ignition-fed, and the remaining

two are either battery- or ignition-fed.

Switch outputs are found under the

hood in a connector for further ease

of upfi t. A seven-circuit trailer harness

and a special upfi tter jumper cable —

a wiring harness for ancillary power

needs — are both standard.

Upfi tter wire circuits and electrical

schematics are identifi ed in the man-

ufacturer’s Body Builder Guide. With

built-in tandem PTO capability, all mod-

els feature a heavy-duty cooling system

in order to meet additional heat loads

that are often generated from PTO up-

fi ts and/or extreme hauling.

A special capped auxiliary fuel line

on the fuel tank facilitates the use of

auxiliary equipment running on fuel.

The fuel fi ller is routed through the

frame, and an optional 22-gallon mid-

ship fuel tank frees up more space be-

hind the rear axle for special upfi t ap-

plications. Fuel and brake lines are

routed together on the frame’s driver

side to make better use of space along

the frame, which also provides clear-

ance for rear exhaust routing.

Ram Chassis Cab also employs a

Cummins commercial-grade DEF

system that is placed out of the way of

upfi t zones, saving time and money in

the upfi t process.

PROGRAMMABLE FEATURES

For 2012, the Ram Chassis Cab has a

customer-selectable maximum speed.

Ram Chassis Cabs can be ordered from

the factory — or programmed by a

Ram Truck dealer at no charge — with

55, 60, 65, 70, or 75 mph speed limits.

According to the manufacturer, Ram

4500 and 5500 Chassis Cab trucks

have a best-in-class standard 87 mph

top speed, an important feature for fi re,

ambulance, and other safety and rescue

roles. A fi ve-minute shutdown timer is

also available.

The 2012 Ram 4500 and 5500

medium-duty Chassis Cab commercial

trucks will be available with an optional

30,000-lb. GCWR, an increase from

26,000 lbs. The 2012 Ram Chassis Cab

with Max Tow will reach dealerships

in the third quarter of 2011. Max Tow

pricing will be announced closer to

launch.

For more information, visit www.

ramtrucks.com/commercial. WT

WT0511ram.indd 17WT0511ram.indd 17 4/11/11 8:30:27 AM4/11/11 8:30:27 AM

STRATEGIES FOR

FUEL CHALLENGESFUEL CHALLEFuel costs are a top concern nationwide, and more so for fl eets whose operations require the use of larger, more fuel-consuming vehicles and equipment. Truck fl eet managers share their strategies for dealing with escalating fuel costs. By Grace L. Suizo & Thi Dao


Oil prices are all over the

radar, especially as un-

rest in oil-producing coun-

tries has contributed sig-

nifi cantly to increased cost. While an

average commuter can complain about

a hike in fuel prices, fl eets purchasing

fuel for hundreds or thousands of vehi-

cles have more to be concerned about.

In a recent survey of commercial fl eet

managers, the rapid escalation of fuel

prices was cited as one of the top chal-

lenges facing fl eets in 2011.

Retail gasoline prices were up to a

nationwide average of $3.69 per gal-

lon as of April 5, while diesel was at

$3.99, according to OPIS (Oil Price

Information Service), a provider of

petroleum pricing and news informa-

tion. Compare this to $3.07 gasoline

prices at the beginning of this year

($3.32 diesel), and many fl eets have

reason to be concerned prices may

rise even higher.

FACTORS AFFECTING OIL

PRICES

According to Denton Cinquegrana,

senior markets editor, west coast, for

OPIS, the three factors affecting fuel

prices are geopolitics,

equities, and the value

of the dollar.

Supply is not so much

the issue — while the

oil market has already

taken into account that

some countries won’t be

exporting oil, what it doesn’t like is un-

certainty in MENA (the oil-producing

countries of the Middle East and North

Africa). “The unrest in the oil-produc-

ing countries really have this market

on edge,” Cinquegrana said.

In addition, oil prices are in tune with

equities and inversely related to the dol-

lar — if the dollar weakens, oil prices

will most likely go up, he said.

The high cost of diesel is a top con-

cern for truck fl eet managers, and

the price difference between oil and

gas seems to be rising. Cinquegrana

doesn’t think the early-April 30-cent

fuel price difference is going away any

time soon.

“I think the disparities are going to

stay pretty wide,” he said. While the

U.S. is more gas-centric, “a lot of oth-

er nations around the world, partic-

ularly developing nations, are more

diesel- centric, so diesel is more in

tune to economic factors around the

globe,” he explained. Cinquegrana be-

lieves this is why diesel has been more

expensive than gasoline over the past

couple of years.

RIGHTSIZING & IDLE

REDUCTION

With rising fuel prices signifi cantly im-

pacting fl eet budgets, many fl eet man-

agers have done their part to prepare

as best as possible. Several of Automo-

Fleet managers have enacted some of the following techniques to handle rising fuel prices:

■ Revising fuel budgets.

■ Rightsizing vehicles.

■ Reducing idling through GPS tracking.

■ Ensuring fuel card compliance.

■ Educating drivers about fuel- effi cient driving.

■ Utilizing fuel hedging programs.

■ Exploring alternative-fuel programs.

AT A GLANCE

100.0

80.0

60.0

40.0

20.0

0.0

-20.0

-40.0

1/1/20

00

CENT

S PE

R GA

LLON

DATE

5/1/20

009/1/20

001/1/20

015/1/20

019/1/20

011/1/20

025/1/20

029/1/20

021/1/20

035/1/20

039/1/20

031/1/20

045/1/20

049/1/20

041/1/20

055/1/20

059/1/20

051/1/20

065/1/20

069/1/20

061/1/20

075/1/20

079/1/20

071/1/20

085/1/20

089/1/20

081/1/20

095/1/20

099/1/20

091/1/20

105/1/20

109/1/20

101/1/20

11

DIESEL VS. GAS BASIS IN CENTS PER GALLONA cost compari-son of diesel and gasoline prices show that in late 2008, diesel cost almost $1 more per gallon than gasoline (94.1 cents in Novem-ber 2008). As of March, the dis-parity hovered just under 40 cents per gallon.

SOURCE: OPIS

CINQUEGRANA

WT0511practices.indd 18WT0511practices.indd 18 4/13/11 12:40:38 PM4/13/11 12:40:38 PM

DEALING WITH

FUEL CHALLENGESLENGES


tive Fleet’s 2010 Top 100 Truck Fleets

shared strategies for dealing with fuel

over the past year.

Joy Global, parent company of P&H

Mining and Joy Mining Machinery,

operates a global fl eet of 1,400 work

trucks, 700 of which are in the U.S. and

Canada. These include Ford Escapes,

F-150 and F-250 pickups, some F-550s,

heavier service trucks, and semis. Small-

er vehicles operate on gasoline (about

75 percent of the fl eet), and the rest are

diesel-powered.

According to Mike

Butsch, director of

global fl eet operations

for Joy Global, having

learned from fuel price

hikes in the past, the

company began “an

aggressive program

of rightsizing.” The company began

moving from F-150s to Escapes and

Fusions for its sales positions begin-

ning in 2007. All applicable vehicles

will be switched out by MY-2012, and

lifecycle savings on the approximately

150 rightsized vehicles is expected to

total $1.5 million. Switching smaller

vehicles (F-550 and smaller) to run on

gasoline has also resulted in decreased

fuel spend.

In addition, since deploying fl eet

In January, monthly average unleaded gasoline prices exceeded $3 for the fi rst time since October 2008. Diesel prices as of March were escalating to-ward $4, a price not seen since 2008.

SOURCE: OPIS

management software and satellite-

based GPS tracking, the fl eet has re-

duced idle time by about 75 percent,

further reducing fuel use, he said.

With these measures already in

place, Joy Global is not as affected

by fuel prices as it could be. “We’ve

effected enough of a decrease in use

to make up for the increase in cost,”

Butsch said.

As for budgeting for fuel prices, “We

always budget a little more than what

we think we’re going to use to allow

for some fl uctuation,” he said. In fact,

Butsch, forecasting rising costs this year,

budgeted $4 per gallon, but also bud-

geted for reduced consumption.

National auto and home insurance

provider State Farm has also switched to

smaller, more fuel-effi cient models.

“Rising fuel costs have had quite an

impact on our operating costs,” accord-

ing to Dick Malcom, fl eet manager for

State Farm. “These vehicles are neces-

BUTSCH

In January monthly average unleaded gasoline prices exceeded $3 for the

DOLLAR

S PE

R GA

LLON

DATE

JAN 10

*Through March 28, 2011

FEB 10 MAR 10 APR 10 MAY 10 JUN 10 JUL 10 AUG 10 SEP 10 OCT 10 NOV 10 DEC 10 JAN 11 FEB 11 MAR 11*

2.71 2.652.77

2.85 2.842.72 2.72 2.73 2.70

2.79 2.852.98

3.09 3.16

3.52

3.89

3.543.37

3.253.163.072.962.972.952.97

3.083.042.91

2.842.88

MONTHLY COMPARISON (AVERAGE PRICES)

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

$4.0UNLEADED PRICEDIESEL PRICE

PHO

TO: ©

ISTO

CK

PHO

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OM

/HEN

RIK

5000


sary for us to take care of our cus-

tomers and our facilities.”

State Farm’s total fl eet num-

bers nearly 13,000 vehicles, with

close to 3,000 vans (2,815) and

160 trucks that run on gasoline,

fl ex fuel, and diesel. In fall 2010,

State Farm began moving its

Claim representatives out of full-size

vans into four- cylinder Ford Transit

Connect models.

“The Transit [Connect] provides much

better fuel economy, and yet has the

space necessary to allow us to install

our upfi t package,” Malcom said.

MONITORING &

CONTROLLING COSTS

Fleets are working with drivers to mon-

itor and control fuel use as well as re-

evaluating their budgets.

Mike Lahr, director of Lo-

gistics for LKQ Corporation,

said rising fuel costs have sub-

stantially affected his fl eet’s

operating budget. LKQ is a na-

tional provider of aftermar-

ket collision replacement, re-

cycled OEM parts, and refurbished

OEM collision replacement products.

The LKQ fl eet totals 3,700 vehicles,

comprised of 1,400 trucks (80-percent

diesel and 20-percent gasoline); 2,175

vans (98-percent gasoline and 2-per-

cent diesel); and 125 tractors running

on 100-percent diesel.

“We will probably have to revise our

budget to account for the offset in ris-

ing fuel prices. We are not sure where

or when it will stop or if it will reverse

this trend and head back down again,”

Lahr said.

Close monitoring of costs is key to

helping LKQ ensure no abuse/fraud is

taking place. Fuel for vehicles is pur-

chased using an assigned fuel card,

and drivers are assigned a PIN that

allows them to drive any truck. “We

are working on 100-percent compli-

ance to this fuel card, as we can con-

trol the gallon maximum per day per

fi ll and limit the amount of fi ll-ups per

day,” Lahr explained, noting the hours

of use of each card can also be limited.

A listing of drivers who are no longer


Fuel Management

employed with the company is

provided on a daily basis to en-

sure their PINs are deactivat-

ed and no unauthorized charg-

es are incurred.

In addition, drivers must en-

ter the odometer total, which en-

ables mpg to be tracked so dis-

crepancies can be easily identifi ed if

they are not correct to the type of ve-

hicle driven. “This also enables us to

monitor mpg by vehicle type for future

specs and track fuel gallons purchased

to make sure it matches the size of the

fuel tank on the vehicle this driver is

using,” Lahr said.

Weekend and after-hours fuel use is

also tracked with exception reports that

provide the time, date, gallons, amount

of fuel purchased, type of fuel, and sta-

tion location.

All fuel cards are put into a

lock box at night, along with the

keys to the trucks. Lahr said both

card and key stay together on the

same keychain.

Erin Gilchrist, fl eet manag-

er for Safelite AutoGlass, said

fuel prices have challenged her fl eet

as well.Safelite AutoGlass, a national

auto glass repair and replacement ser-

vice provider, operates nearly 6,000 ve-

hicles: 4,400 vans, 90 gasoline trucks,

190 diesel trucks, 150 pickup trucks,

and 1,100 cars.

One of the ways the company has

dealt with escalating fuel prices is fuel

hedging, to “[give] us some re-

prieve,” Gilchrist said.

For many years, Safelite Auto-

Glass has also managed its “Turn

it off, idling gets you nowhere”

anti-idling campaign. The pro-

gram was recently revamped with

new “green” signage and goals, as

well as enhanced mileage and excep-

tion reporting and fi eld training to sup-

port Safelite AutoGlass’ overall 2011

fuel initiative to reduce consumption

by 10 percent.

In the fl eet’s efforts to achieve this

goal, Gilchrist worked with Safelite Au-

toGlass’ fuel card provider to develop a

Web seminar focusing on the key com-

ponents necessary to maximize over-

all fuel economy, such as idling reduc-

tion, new preventive maintenance alerts,

and driver behavior. With the help of its

risk management solutions company,

new “green” driver training modules

and policies have been added to ensure

all individuals understand their role in

maximizing fl eet fuel effi ciency. The

training is conducted at pre-hire and

after an accident. Gilchrist estimated

these initiatives will help reduce CO2

emissions by 9,000 metric tons.

Other recent Safelite AutoGlass fuel

initiatives include more fuel-effi cient

vehicle selectors, exploring alternative-

fuel programs, and utilizing lighter-

weight interior upfi t components.

NOT $5 PER GALLON

ANY TIME SOON

What are the fuel price predictions for

the near future? Most of the commer-

cial fl eet managers surveyed by AF said

they foresee fuel price volatility con-

tinuing for the balance of 2011 and ex-

tending into calendar-year 2012.

Former President of Shell Oil John

Hofmeister in December 2010 predict-

ed a possible $5 per gallon of gasoline

at the pumps due to growing global de-

mand for oil, tighter supplies, and in-

adequate responses by the U.S. gov-

ernment.

However, Cinquegrana of OPIS doesn’t

think prices will go that high. “I don’t

see it,” he said. “The talk of $5 I think

is a little ridiculous, and it’s a little bit

of fear mongering.”

Fleet managers may be re-

lieved at his prediction for the

next few months: “We’ll proba-

bly peak out somewhere not far

from where we are now [in early

April], probably in the $4 area

nationally,” he said. This is con-

sidering patterns continue as they have

been and there are no unforeseeable

events that drive prices upward.

Of course, California, Hawaii, Alas-

ka, and other more expensive mar-

kets will see higher fuel prices, and

a few stations may show the $5 sign,

but “it’s going to be certainly more

the exception than the rule,” Cinque-

grana said. WT

LAHR

GILCHRIST

MALCOM


ARE NATURALGAS VEHICLESRIGHT FOR YOUR FLEET?

A growing number of fl eets have already made the switch to natural gas after weighing the benefi ts and challenges.


A growing number of busi-

nesses are transitioning their

fl eets to run on compressed

natural gas (CNG) or lique-

fi ed natural gas (LNG) as alternatives to

gasoline and diesel.

Delivery giant United Parcel Service

(UPS), which began using natural gas

vehicles (NGV) in 1989, now operates

more than 1,300 CNG package deliv-

ery trucks in a dozen markets and re-

cently announced it was adding another

48 LNG-powered tractors to its western

freight fl eet.

AT&T has deployed nearly 3,000 NGVs,

comprised primarily of Ford E-250 vans

upfi tted to CNG at time of purchase, and

more recently ordered 101 CNG

Chevrolet Express cargo vans

direct from GM. Through 2013,

the telecom company anticipates

purchasing up to 8,000 NGVs as

part of its commitment to deploy

15,000 alternative-fuel vehicles

throughout its fl eet.

In October 2010, Verizon Wire-

less Inc. ordered 501 new Ford

E-250 CNG vans in what com-

pany offi cials indicate is the fi rst

phase of what will be a multi-year

deployment of NGVs.

Why are these and other businesses

making the switch to NGVs?

“Corporate and government fl eets

are the strongest adopters of natu-

ral gas vehicles” said Dave Hurst,

senior analyst for Pike Research,

which recently published a report

analyzing global clean technolo-

gy markets. “More and more fl eet

managers are attracted to the low-

er fuel costs of natural gas, in ad-

dition to the op-

portunity to reduce

their vehicles’ car-

bon footprint.”

Jerome Webber, senior

vice president of AT&T Global Fleet Op-

erations, agrees. “CNG vehicles provide

a reduction in carbon emissions — by ap-

proximately 25 percent compared with

our traditional gasoline vehicles. That

supports our corporate commitment to

reduce our impact on the environment.

We also expect a decrease in our overall

fuel costs, especially as gasoline prices

continue to trend upwards. His-

torically, CNG is 30-40 percent

cheaper than unleaded gasoline,

so adding this many CNG vehi-

cles to our fl eet will have a pos-

itive impact both economically

and environmentally.”

Despite these advantages, NGVs’

Be aware of the facts about com-pressed natural gas (CNG) before making the switch:

■ How CNG systems work.

■ Cost of CNG conversion.

■ Benefi ts of CNG from a business perspective.

■ Payback.

■ Limitations.

■ Best applications.

■ Future of CNG.

AT A GLANCE

In October 2010, Verizon announced its order of 501 new 2011 Ford E-250 vans to be converted to CNG.

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need for fueling infrastructure has hindered

more widespread adoption. “NGVs are a

good fi t for fl eets like UPS, AT&T, and

Verizon because they have relatively high

fuel use and are either return-to-base or

repetitive route applications,” said Stephe

Yborra, director of market development

at NGVAmerica. “Investments in fueling

infrastructure, whether company-owned

and operated or provided by a utility or

independent fuel retailer, are driven by

fuel use.”

Yborra said that while the transit,

airport, and refuse sectors account for

more than 75 percent of vehicular natural

gas use, there’s been signifi cant growth

in work truck fl eets applications, such

as utilities, food and beverage distrib-

utors, textile rental services, and local-

regional freight delivery companies. He

noted that as more truck platforms be-

come available to meet different fl eets’

needs, and the gap between natural gas

and petroleum fuel prices grows, eco-

nomics will drive additional investment

in fueling infrastructure. “NGVs are

not for everybody — yet,” said Yborra.

“Fleet operators need to weigh the ben-

efi ts and challenges against their corpo-

rate goals.”

“Our greatest challenge in deploying

CNG vehicles continues to be the limit-

ed availability of public refueling facili-

ties,” said AT&T’s Webber. “It’s our hope

that by applying our market size, we’re

also helping our nation’s infrastructure.

To help meet our needs, we’ve teamed

with the DOE [Department of Energy]

Clean Cities organizations across the

nation to help match and time our de-

ployments with public refueling infra-

structure.”

What is Vehicular Natural Gas? Vehicular natural gas is the same “blue

fl ame” gas that is used in factories, busi-

nesses, and homes for industrial process-

es, heating, water heating, cooking, and

other domestic uses. Natural gas is com-

prised primarily of methane (CH4), an

energy dense single carbon molecule

that produces far fewer harmful emis-

sions than either gasoline or diesel when

combusted. While most natural gas used

today is a fossil fuel extracted from de-

posits found deep within the earth, a


NGV Analysis

growing amount of renewable natural

gas produced from landfi lls, sewage

plants and agricultural waste (referred to

as bio-gas or bio-methane) is being uti-

lized, including by some fl eets.

Since nearly 98 percent of all nat-

ural gas used in the U.S. comes from

North America, proponents argue that

increased use, especially in the trans-

portation sector which currently relies

heavily on imported oil, is a viable path

for the United States to achieve greater

energy independence now and for the

foreseeable future.

“The existing and growing U.S. re-

serves of well gas and bio-methane are

more than enough to absorb tremendous

growth in the transportation sector,” said

Yborra. “The 115,000 NGVs on U.S. roads

today account for less than one-half of

1 percent of all U.S. natural gas use, so

there’s lots of room to grow.”

How Do NGVs Work? NGVs use internal combustion engines

that are very similar to those that run

on gasoline or diesel. Most NGVs avail-

able today use spark-ignited engines, al-

though some of the largest natural gas

engines use compression ignition, uti-

lizing a small amount of diesel “pilot”

fuel. Light-duty sedans and pickups and

some smaller medium-duty trucks use

spark-ignited engines that may be ei-

ther dedicated (runs exclusively on nat-

ural gas), or bi-fuel (designed to run ei-

ther on natural gas or gasoline but not

both at same time). Nearly all spark-ig-

nited medium- and heavy-duty engines

run dedicated only.

Natural gas may be stored onboard in

one of two ways, either as CNG or LNG,

although in all but the largest natural

gas engines, fuel is fed to the combus-

tion process as a gaseous vapor at pres-

sures similar to gasoline or diesel. LNG

is currently used in less than 5 percent

of NGVs with nearly all used by heavy-

duty trucking and some transit bus op-

erations because its density allows for a

smaller fuel system footprint. CNG is

far more prevalent and the fuel system

is available in all light-duty vehicles and

most medium-duty work trucks.

Today’s CNG systems operate at

3,600 lbs. per square inch (psi) although

some older NGVs still on the road to-

day were designed using 3,000 psi fuel

storage systems and many CNG sta-

tions still offer both pressures. Differ-

ent fuel nozzles and receptacles ensure

that the higher pressure gas may not

be errantly loaded into the lower pres-

sure vehicles.

CNG systems comprise:

■ Storage cylinder(s). Four types of

cylinders are available. At one end of the

spectrum are steel cylinders, which are

cheapest but heaviest. At the other end

are composite materials cylinders which

are more expensive but lighter. All meet

the same stringent strength and safety

regulations.

■ High-pressure fuel line, which

serves as the pathway for CNG to trav-

el from the cylinders to the engine com-

partment.

■ Pressure regulator, which drops

the gas pressure to the required fuel-in-

jection system pressure.

■ Fuel injectors, which modulate

the amount of gas for combustion based

on demand.

■ Pressure relief device, which is a

built-in fi re safety feature to allow for

controlled venting of the gas at pres-

sures well below the cylinders’ design

“burst” pressure.

■ Various shut-off valves that al-

low for CNG system maintenance and

operation.

■ Brackets, protective plates, and other hardware to secure and protect

CNG system components.

General Motors’ Chevrolet Express and GMC Savana CNG vans use a four-tank system, with three tanks placed in underfl oor locations and one in the cargo area on the driver’s side. A three-tank system is also available.



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Purchase Price Premium for NGVs Factory built heavy-duty NGVs for de-

livery fl eets, public works and other

larger work truck applications (Class 6

and larger) are available from many of

the major truck manufacturers includ-

ing Freightliner, Peterbilt, Kenworth,

and International. In addition, conver-

sions are available on Class 5-7 Work-

horse, Freightliner Custom Chassis

Corp. (FCCC), and Isuzu trucks ordered

with gasoline engines. The premium on

these OEM and conversion vehicles var-

ies widely based on the amount of fuel

storage installed but may range from

$20,000 to as much $50,000.

In the light heavy-duty and medium-

heavy duty (Class 2b-Class 5) work truck

arena, GM offers CNG Express and Sa-

vana 2500/3500 cargo vans at a list price

premium of $15,910. For other GM and

Ford trucks as well as Isuzu, FCCC, and

Workhorse trucks ordered with gaso-

line engines, EPA- and CARB-certi-

fi ed conversions systems are available

from several approved manufacturers

and their upfi tter installers. According

to NGVAmerica, the premium for these

conversions may range from $10,000-

22,000 depending on amount of fuel

storage specifi ed.

Business Case for NGVs The environmental benefi ts of using

NGVs are compelling. According to

NGVAmerica, NGVs produce up to 95

percent less overall toxics compared

to gasoline and diesel vehicles. Green-

house gases are reduced between 20-

30 percent.

However, with a $10,000-$22,000 (or

more) premium for an NGV, what is the

business case — beyond being a good

corporate citizen — for fl eets to oper-

ate NGVs?

“I think the biggest driver is the grow-


NGV Analysis

ing differential between the operating

cost of running on natural gas versus

gasoline or diesel,” said Yborra, who es-

timated savings of $1.25-$2 per equiva-

lent gallon of gasoline or diesel.

For higher fuel use applications, Ybor-

ra said the payback on the premium for

the right fl eet application typically ranges

between three to four years. “If a compa-

ny runs its trucks eight to 10 years, that’s

a good fi ve, six, or seven years that it’s

running that vehicle with all that fuel

savings going back in its pocket. And

that’s without considering grants or tax

credits,” he said.

Yborra is referring to federal income

tax credits for vehicles, which expired

Dec. 31, 2010, for the purchase of a ded-

icated NGV, covering 50 percent of the

incremental cost (or conversion cost) of

the vehicle, plus an additional 30 per-

cent if the vehicle met certain tighter

emission standards. Put into effect in

2006, these credits helped drive NGV

growth by signifi cantly reducing their

incremental cost, shortening the pay-

back time, in some instances, to as lit-

tle as one to two years.

Yborra said the industry is commit-

ted to getting those tax credits reinstat-

ed, noting that a bill introduced in Con-

gress in early April — the NAT GAS Act

— does just that and more. In the mean-

time, there are still many states that of-

fer tax incentives and/or grants that low-

er NGV purchase cost premiums. (To

learn more about what is available in

your state, visit www.ngvamerica.org/

incentives/stateNGV.html.)

CNG Payback AnalysisSuppose, for example, you’re consider-

ing replacing a gas-powered Chevrolet

2500 Express cargo van with the CNG-

version of the Express. How long will it

take to recoup the investment? (See “CNG

Payback Projection” chart.)

Estimate the CNG premium at $15,000,

without factoring in any available tax

credits. Suppose the van travels 24,000

miles per year. At an estimated 12 mpg,

that’s 2,000 gallons of fuel burned per

year. Since gasoline and CNG offer

comparable fuel economy, estimate 12

mpg for both. Plug in $3.75 for regular

unleaded and $1.75 for natural gas.

The annual fuel cost differential, there-

fore, is $4,000, in favor of natural gas.

Under these assumptions, the payback

is approximately 3.75 years.

Keep in mind these numbers are

based solely on the estimated fuel cost

differential, which may fl uctuate con-

siderably over the next fi ve years. For

example, if gasoline spikes to $4.50 per

gallon and CNG rises more modestly

to, say, $2.10 gasoline gallon equiva-

lent (GGE), the payback time shortens

to 3.125 years.

Also, this projection doesn’t factor

in any differences in maintenance cost,

investment in on-site fueling infrastruc-

ture, available or future tax credits (that

could lower the CNG cost premium), and

other variables. Instead, its purpose is to

provide a quick snapshot to help deter-

mine whether to look deeper into CNG

for the fl eet’s application.

Limitations of CNGDespite fuel cost advantages, there is

one primary constraint impeding wide-

spread fl eet adoption of natural gas,

even in high-mileage applications: in-

frastructure.

Currently, there are about 1,000 CNG

fueling locations in the U.S., but only 50

percent are open to the public. A listing

of public CNG refueling stations is avail-

able at: www.eere.energy.gov/afdc/fuels/

natural_gas_stations.html.

AT&T has deployed nearly 3,000 natural gas vehicles, the majority of which are Ford E-250 vans.

CNG PAYBACK PROJECTIONCNG VAN GASOLINE VAN

CNG premium $15,000 $0 Fuel $1.75 $3.75Miles 24,000 24,000MPG 12 12Gallons per year 2,000 2,000Fuel cost per year $3,500 $7,500

Replacing a gasoline-powered van with a CNG model can result in annual fuel

savings of $4,000 after approximately 3.75 years.


Best Applications for Natural GasWith the advantages and limitations

in mind, which fl eet applications work

best for NGV use?

“Any metro market business that has

return-to-base operations, with repeti-

tive routes, and always comes back to a

fueling site or at least passes a fueling

site on the route,” Yborra said. He rec-

ommended using the following ques-

tions as a guide:

■ Will the vehicle run suffi cient miles

per year to justify the incremental cost

for CNG?

■ Will the vehicle be used on dai-

ly routes that require one tankful or

less of fuel?

■ Will on-site CNG fueling or con-

venient access to public CNG refueling

stations be available?

If the answer all three of these ques-

tions is “yes,” a compelling business case

for CNG conversion is possible.

What Does the Future Hold?“The overall economies of scale are start-

ing to kick in, and I think they will kick

in even more for engine suppliers and all

the available systems that are related to

supplies in the CNG market,” said Ybor-

ra. “So we’re right on the verge of what

I think can be a very important growth

time. And growth always means more

availability of components such as en-

gines, valves, injectors, pumps, pipes

— you know, all the various pieces of

the systems. This economy of scale is

bringing down the premium [to con-

vert to CNG].”

Yborra also expects the number of

public access CNG fuel stations to con-

tinue its growth trend, especially in ma-

jor metro markets. “This will make the

hill less steep for fl eets to convert to

CNG. And more public access to fuel-

ing will be available as more and more

fl eets adopt this technology.”

“As alternative-fuel technologies

evolve, we’ll continue to explore them

to determine if they’re right for our com-

pany,” said AT&T’s Webber. “For now,

CNG is a good option for our fl eet and

the technology for our vehicles is read-

ily accessible. We plan to continue de-

ploying CNG vehicles as long as it makes

sense to do so.” WT


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CASH, FINANCE,

WHICH TRUCKACQU ISITIONACQU Determining the acquisition strategy that works best for individual company fl eets is a daunting pro-cess. Industry experts pose and answer questions to help fl eet managers make this important decision. By Sean Lyden


When it comes to truck

acquisition strategies,

one size does not fi t

all. There are sever-

al factors to consider, including vehicle

replacement cycles, tax strategy, and

corporate accounting, just to name a

few. Even within the same fl eet, some

trucks are better suited for fi nance and

others for lease, depending on the type

of equipment upfi ts, special fi nancing

or leasing offers at time of acquisition,

and anticipated mileage.

How should fl eet managers deter-

mine whether to purchase, fi nance,

or lease the next truck? What is the

best way to discern which is the bet-

ter deal?

Here’s an overview of how each

strategy works and the pros and cons

of each to provide a guide to evaluat-

ing truck acquisition options.

■ CASH PURCHASE

MUST CASH BE AVAILABLE TO PURCHASE A TRUCK OUTRIGHT?

“Many small fi rms don’t have the

large amounts of cash needed for major

capital acquisitions in the fi rst place,”

said Ken Sibley, CPA, founder and

managing director of Dallas-based

accounting fi rm Sibley and Compa-

ny. When cash is not an option, fl eet

managers look to fi nancing or leasing

to conserve cash and spread out truck

payments on a monthly basis for a

specifi ed term.

IF CASH IS AVAILABLE, WHAT ARE ADVANTAGES TO PUR-CHASING TRUCKS OUTRIGHT?

■ Potential for lower acquisition cost. When a vehicle is fi nanced or

leased, interest charges, leasing fees,

etc., are added to the vehicle’s acqui-

sition costs. When a fl eet purchases

a vehicle outright, those fees are

not charged.

■ Greater control over depreciation. Depreciation is

the difference between the origi-

nal purchase price and the proceeds

received at vehicle resale. When a

company owns a vehicle outright, it

controls the resale pricing, with the

potential to sell it at retail pricing

versus wholesale.

■ Lower insurance cost. With loans

and leases, the bank or leasing com-

pany will require low insurance de-

ductibles, from $250-$1,000, which

can drive up insurance costs. When

a company owns a vehicle outright, it

controls what the deductibles will be.

The higher the deductible, the low-

er the cost.

■ Tax benefi ts. Vehicle purchases

may qualify for bonus depreciation

and/or IRS code Section 179 expens-

ing. (See sidebar on page 28.) Consult

the company’s CPA for specifi c rec-

ommendations.

When acquiring medium-duty trucks for fl eet, fl eet managers need to de-cide between:

■ Cash: The potential for lower acquisition costs, greater control over depreciation, lower insurance costs, and tax benefi ts.

■ Financing: The fi nance option offers many of the same ownership benefi ts of the cash purchase, while allowing the ability to conserve cash by providing the means to pay off the balance over time.

■ Leasing: A lease fi nances the use of a vehicle; [loans] fi nance the purchase of a vehicle.

AT A GLANCE

PHOTO: ©ISTOCKPHOTO.COM/ALEXSL

WT0511acquisition.indd 28WT0511acquisition.indd 28 4/11/11 8:56:50 AM4/11/11 8:56:50 AM

OR LEASE:

STRATEGY WORKS BEST?ACQU ISITIONISITION


IS PAYING FOR A TRUCK IN FULL THE BEST USE OF A COMPANY’S CASH?

“It really boils down to, ‘If I don’t use

this cash for this purchase, what will I

use it for? And what is the opportunity

cost associated with that?’ ” said Mark

Smith, strategic consulting services lead-

er for GE Capital Fleet Services.

Sibley agrees. “A straight cash pur-

chase using a fi rm’s existing funds will

almost always be more expensive than

the lease or loan options because of the

loss of use of funds.”

HOW SHOULD A FLEET DETER-MINE WHETHER OR NOT TO PAY CASH?

“When deciding whether to pay

cash or borrow to purchase trucks, take

the after-tax return on investment in

the business and compare it to the af-

ter-tax cost of borrowing,” explained

Bill Smith, managing director, CBIZ

MHM, a New York-based full-ser-

vice certifi ed public accounting and

management consulting fi rm to For-

tune 500 companies. “If a company

earns 10-percent gross on whatever

is pumped back into the business, and

pays a 40-percent combined tax rate,

the after-tax return is 6 percent. If bor-

rowing at 10 percent and the company

is able to deduct the amount, the after-

tax cost is 6 percent. In this example,

paying cash or borrowing is a ‘wash’

because it costs 6 percent to keep mon-

ey out of the business and 6 percent to

fi nance the trucks.”

Therefore, the variables to plug into

an analysis are the tax rate, gross prof-

it, and borrowing cost (interest rate). If

a company’s after-tax profi t is great-

er than the fi nance or lease cost (the

cost of borrowing), then money pro-

duced by the business is best reinvest-

ed in the company.

■ FINANCE PURCHASE

WHAT ARE THE ADVANTAGES OF FINANCING?

The fi nance option offers many of the

same ownership benefi ts of the cash

purchase, while conserving cash by

providing the means to pay off the

balance over time. Also, the purchase

might qualify for tax savings from bo-

nus depreciation and IRS code Section

179 expensing (see sidebar on page 28)

without having to pay the full price of

the equipment up-front.

WHAT ARE THE DRAWBACKS TO FINANCING?

“The most obvious downside of [fi -

nancing] versus leasing is the month-

ly payment, which is usually higher

on a fi nanced vehicle,” said Sibley of

Sibley and Company. “Also, the deal-

ers usually require a reasonable down

payment, so the initial out-of-pocket

cost is higher when fi nancing a vehi-

cle compared to what’s typically re-

quired for leasing.”

Sibley also points to the potential of

negative equity — if fl eet intends to cy-

cle out of the vehicle prior to the end of

the loan term — as a signifi cant draw-

back. “Presumably, as the vehicle loan

is paid down, companies have the abil-

ity to build equity in the vehicle,” Sibley

said. “Unfortunately, this is not always

the case. When purchasing a vehicle, the

payments refl ect the whole cost of the ve-

hicle, usually amortized over a four- to

six-year period. However, depreciation

can take a nasty toll on a vehicle’s val-

ue, especially in the fi rst few years. As

a result, buyers who put down modest

down payments can end up fi nancing a

considerable portion of the vehicle and

even fi nd themselves in an ‘upside-down

situation,’ in which the vehicle comes to

be worth less than what the buyer stills

owes on it at a given time.”

How does this happen? Sibley ex-

plained: “Like the monthly payments of

a mortgage, monthly vehicle payments

are divided between paying principal

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When cash is not an option for pur-chasing vehicles, fl eet managers look to fi nance or leasing.


and interest, and the amounts dedicat-

ed to each vary from payment to pay-

ment. In the fi rst years in which a ve-

hicle loan is paid back, the majority of

each payment goes toward interest rath-

er than principal. But in the fi rst few

years after being purchased, most new

vehicles depreciate 20-40 percent. The

loss in equity is a double whammy: the

vehicle depreciates dramatically. Be-

cause the monthly payments have most-

ly gone toward interest rather than the

principal, a company is left with very

little equity in the vehicle.”

■ LEASING

WHAT ARE KEY DIFFERENCES BETWEEN LOANS AND LEASES?

“Leases and purchase loans are sim-

ply different methods of vehicle fi -

nancing,” explained Sibley of Sibley

and Company. “[The lease] fi nances

the use of a vehicle; [loans] fi nance

the purchase of a vehicle.”

In other words, a loan fi nances the to-

tal purchase price of the vehicle, includ-

ing full sales tax, dealer fees, and tag and

title fees, minus the down payment. A

lease, in contrast, fi nances the spread be-

tween the vehicle purchase price, with-

out sales tax included, and the residual

(projected vehicle disposal) value at lease

end. This spread represents the “use” or

depreciation of the vehicle.

Therefore, if a truck costs $30,000

and the residual is set at $10,000 at

the end of the lease term, essentially

the company is fi nancing the “use” —

the difference, of $20,000 — instead

of the full amount.

Unlike with a loan, when at the end

of the term a company owns a vehicle


Truck Acquisition

outright, a number of scenarios should

be considered at lease end. Depend-

ing on how the lease is structured, op-

tions may include purchasing the vehi-

cle, turning it back in to the lessor, or

trading it in on the acquisition of an-

other vehicle.

WHAT ARE THE ADVANTAGES OF LEASING?

“Perhaps the greatest benefi t of leas-

ing a vehicle is knowing exactly what

the monthly cost will be when acquir-

ing and maintaining the vehicle,” said

Sibley. “Leases may require a lower

down payment and there are no up-front

sales tax payments. Also, monthly pay-

ments are often lower [than compara-

ble loans], and vehicles can be updat-

ed every few years.”

According to Smith of GE Capi-

tal Fleet Services, “[Companies] don’t

have to come up with the entire amount

up front and pay only for the amount

used. They also get — in most states

— rental tax treatment versus sales tax

treatment [in which taxes are paid on

the monthly rent payment, not sales tax

on the full purchase price].”

“Leases are classifi ed as either capi-

tal leases (off-book) or operating leases

(off-book) from an accounting perspec-

tive based on how they are structured and

if they pass the IRS requirements for op-

erating leases,” Smith noted. Companies

should consult their own tax and account-

ing departments to ensure that their leas-

es are being properly recorded.

Why is this relevant? It impacts debt-

to-equity ratios when a company applies

for business loans and other forms of fi -

nancing. The “off-book” treatment for

certain types of leases does not show as

a liability on a balance sheet, which en-

hances the debt-to-equity ratio.

“Leasing also provides an alterna-

tive when fi nancing the vehicle is not

an option,” Sibley said. “Many banks

will not lend more than $30,000 for a

vehicle loan. So, if a company plans to

acquire a vehicle worth more than that,

leasing may be the only option.”

LEASING AND BODY-BUILD TIME CONSIDERATIONS

“Often, when acquiring a medium-

WHAT’S THE IMPACT OF BONUS DEPRE-CIATION AND IRS CODE SECTION 179 ON TRUCK

ACQUISITIONS?

Bill Smith, managing director, CBIZ

MHM, a New York-based full-

service certifi ed public accounting

and management consulting fi rm to

Fortune 500 companies, offers this

explanation.

“The 2010 Tax Relief Act enables

taxpayers to deduct 100 percent of

the cost of qualifying property (tangi-

ble personal property used in a trade

or business, including trucks) placed

in service between Sept. 9, 2010 and

Dec. 31, 2011. For 2012 (and before

Sept. 9, 2010), the bonus depreca-

tion percentage is reduced to 50

percent. Bonus depreciation is only

available for new property.

For 2011, Section 179 allows small

businesses to elect to deduct the

cost of qualifying property placed

in service during the year rather

than depreciate those costs over

time. Under the Small Business Jobs

Act, the maximum Section 179 de-

duction is $500,000, limited to tax-

able income, and is reduced by the

amount the total eligible investment

exceeds $2 million (‘phase out’).

For 2012, the maximum is reduced

to $125,000 and the phase out will

start at $500,000. The Section 179

deduction applies to used proper-

ty as well as new property.”

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duty truck, a signifi cant amount of up-

fi tting can take place, which can take

several months to complete,” said Smith

of GE Capital Fleet Services. “One ad-

vantage to leasing is that a company

can fi nance that process and capital-

ize the cost of the fi nished asset over

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While conserving cash, a fi nance op-tion offers many of the same owner-ship benefi ts of a cash purchase and may qualify for tax savings.


a period of time. Some of our custom-

ers with medium-duty truck applica-

tions might have an upfi t period in ex-

cess of 12 months, as custom bodies

are created. What we can do in that

period is pay for the chassis and we

charge an ‘interest-only’ scenario un-

til the entire truck is built. Then, what

we do is add the cost of the body to it,

capitalize it, and begin depreciating it

when the whole truck is ready. What

this does is basically allow a compa-

ny to defer the cost of the asset, and

the cash fl ow associated with the as-

set, until it can go ‘on-road’ and begin

generating revenue.”

WHAT ARE THE DRAWBACKS OF LEASING?

“By leasing a vehicle, a company al-

ways has a vehicle payment. If [a com-

pany] doesn’t like that prospect, leas-

ing is probably not right,” said Sibley

of Sibley and Company. “Also, if the

vehicle will travel high miles during

the year, consider instead a loan or an

open-end lease. Most closed-end leas-

es restrict mileage to 15,000 miles per

year (sometimes even as low as 12,000

miles per year). If the allotted miles are

exceeded, a company pays extra: the

going rate is about 15-25 cents or more

for every mile over the limit.”

HOW DOES LEASING IMPACT INSURANCE COSTS?

“Insurers usually charge higher cov-

erage costs for leased vehicles. However,

depending on driver age, driving record,

and place of business, the additional cost

may be nominal,” Sibley said.

Sibley also advised: “When entering a

lease agreement, be aware of any claus-

es in the contract regarding addition-

al charges for ‘excess wear and tear’ or

above-average costs for additional mile-

age. You want to minimize any surprise

costs as much as possible.”

CLOSED-END VS. OPEN-END LEASES: WHAT’S THE DIFFERENCE?

“Closed-end leases allow a company

to walk away from the vehicle at the end

of the lease term. If the company owes

for any mileage coverage or unusual

wear and tear, this is when it would be

paid for,” said Sibley. “With an open-

end lease — also known as an equity

lease — the vehicle must be purchased

at the end of the lease period for a pre-

determined amount. This is often the

type of lease used by businesses or in-

dividuals who drive a lot.”

Smith at GE Capital Fleet Services

recommends that, for many commer-

cial fl eets, the open-end lease is a bet-

ter fi t because of the fl exible terms and

lack of mileage restrictions.

“Let’s say a company leases a

medium-duty truck on a closed-end

lease,” Smith posed. “If you signed

up for a 12,000-mile-per-year lease,

and the vehicle is only driven 8,000

miles, a company will have overpaid

signifi cantly for that lease. And, there’s

nothing that can be done about it. Or,

if a company signed up for a 12,000-

mile lease and ends up driving it 20,000

miles, it will be hammered with over-

mileage fees.“

“With the open-end lease, fl eets

reap the benefi t of taking care of the

vehicle and having less mileage on the

vehicle rather than give that benefi t

to the leasing company,” said Smith.

“With an open-end lease you tell us

what kind of an asset you want to drive

(or we can help you select and design

one) and we will set up the lease in a

series of rental payments. At the end

of the life of the vehicle, whether you

choose to keep it three years, four,

fi ve, or whatever, we’re going to sell

the vehicle on your behalf. And if you

overpaid your rental payments, we’re

going to give you a refund. If you un-

derpaid, we’re going to send you a bill

for the difference. Either way, you have

much more control.’ ”

PUTTING IT ALL TOGETHER

Sibley of Sibley and Company poses

a few questions to help fl eet managers

think through what’s important in de-

termining acquisition strategies:

■ Is long-term cost savings more im-

portant than lower cash monthly pay-

ments? Advantage: Cash, Finance.

■ Is having a new vehicle every two

or three years with no major repair risks

more important than long-term cost?

Advantage: Leasing.

■ Is having ownership in your vehi-

cle more important than low up-front

costs and no down payment? Advan-tage: Cash, Finance.

■ Is the certainty of the vehicle’s

depreciation amount in a lease more

important than the uncertainty of the

residual value in a purchase/fi nance

transaction? Advantage: Leasing.

■ Is it important to pay off the ve-

hicle and be debt-free for a while,

even if it means higher monthly pay-

ments for the fi rst few years? Advan-tage: Finance.

THE BOTTOM LINE

How does a company determine which

strategy is right for its fl eet? Know

the objectives. Consider the impact

of each strategy on cash fl ow, insur-

ance costs, and taxes. Then consult

a CPA, fl eet management company,

or other trusted business advisors for

help structuring the vehicle acquisi-

tion strategy that best aligns with the

company’s operations. WT

Limitations of Leasing & Taking Advantage

of Either Bonus Depreciation or Section

179 Expensing

According to Ken Sibley, CPA,

founder and managing director

of Dallas-based accounting fi rm Sib-

ley and Company, “The lessee is not

able to take direct advantage of bo-

nus depreciation or Section 179 ex-

pensing; however, since the [leasing

company] may be able to use these

tax advantages, the indirect bene-

fi t could be refl ected in a reduced

lease cost.”

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One of the greatest benefi ts of leas-ing a vehicle is knowing exactly what the monthly cost will be when ac-quiring and maintaining a vehicle.


WT0710amerifleet.indd 1 6/15/10 9:29:02 AM

THE DRIVE ( TIRE )TOWARD FUEL ECONOMYTread design tweaks help lower resistance. By Mike Manges


Trends in the medium-duty

truck tire market come and

go, but the drive to reduce

rolling resistance levels is

here to stay, according to Donn Kramer,

Goodyear Tire & Rubber Co. director

of marketing for commercial tires.

This extends not only to steer and

trailer tires, but drive axle tires as well.

That’s why more drive tires are rolling

off the assembly line with closed shoul-

der tread designs, Kramer noted.

“Open shoulder designs, which may

be more attractive in terms of perfor-

mance, are worse on fuel economy.

There are more voids in the tread so

there’s less rubber in contact with the

road. Also, there are generally more

sipes. Those extra sipes hurt rolling re-

sistance,” Kramer said.

In addition, open shoulder designs

are more susceptible to uneven wear,

which reduces tread life.

Kramer said 60 percent of a drive tire’s

fuel economy is derived from tread el-

ements. The rest is derived from other

components, such as compounding.

To reduce rolling resistance, “you

have to change the dynamics of the tire’s

lug elements, meaning they should be

stiffer. The stiffer they are, the better

it is for (lowering) rolling resistance.

But you can’t get them too stiff be-

cause that won’t be as good for trac-

tion,” Kramer said.

Technologies exist to inter-lock tread

lugs, Kramer noted, “and that’s what is

happening with closed shoulder drive

tires. You’re trying to stiffen the lug

elements as the tire rolls through its

footprint.”

Truck tire manufacturers also are

switching to silica-based compounds, an

effort driven by government-mandated

fuel economy requirements.

MAJOR SHIFT LOOMING?

Kramer said the focus on reducing roll-

ing resistance will continue as the gov-

ernment pushes for more fuel-effi cient

commercial trucks.

In June 2010, President Barack Obama

directed the U.S. Department of Trans-

portation (DOT) and the U.S. Environ-

mental Protection Agency (EPA) to

boost the fuel effi ciency of medium-

and heavy-duty trucks, starting with

2014 model-year vehicles.

The DOT and EPA are developing

rulemaking proposals to achieve the

objective. A fi nal rule will be issued

next summer.

“If (fuel effi ciency) standards simi-

lar to automobiles and light trucks go

into effect for trucks at some point in

the not-too-distant future, you’re going

to see tremendous emphasis on trying

to hit (low rolling resistance) targets,”

Kramer said.

If fuel effi ciency standards are set,

original equipment truck manufactur-

ers “will decide upon tire sizing and to

a greater extent tread designs.” WT

DON’T FORGET CASINGS(They’re an important component, too)

A big part of drive tires is their casing construction and how many times a

fl eet can utilize that casing by retreading it,” said Chris Hoffman, manager,

TBR and retread product marketing, Bridgestone Bandag Tire Solutions. “That’s

pretty important as fl eets try to keep their total operating costs low.”

All manufacturers, he said, want to design “a ‘super tire’ with the lowest roll-

ing resistance and the longest tread wear, (but) there are different stresses put

on a driven tire versus a free rolling tire.”

As tiremakers continue to develop new drive axle tires, “over time, you’re

going to see changes in tread designs, you’re going to see changes in compounds,

and you will see changes in casing construction, too,” Hoffman said.

Sixty percent of a drive tire’s fuel economy is derived from its tread elements, said Donn Kramer, Goodyear Tire & Rubber Co. director of marketing for commercial tires.

WT0511tire.indd 32WT0511tire.indd 32 4/11/11 8:58:10 AM4/11/11 8:58:10 AM

KEY FEATURES• Coordination of vehicle

upfi tting and delivery process

• Single point of contact throughout

up-fi tting and delivery process

• Door-to-door delivery of vehicles

• Pre- and post-inspection when needed

• Title, license, and registration prior to delivery

• Service to all 50 states, Puerto Rico, and Canada

• $6 million in primary insurance coverage

CLIENT BENEFITS• Reduced delivery times

• Quicker vehicle utilization

• Increased worker productivity

• Improved driver

satisfaction and morale

• Increased revenue

• Improved regulatory

compliance

Our Name Says It All

CWhen it comes to work truck logistics providers,

WorkTruck Transport has years of experience as part

of AmeriFleet Transportation. We are THE truck

specialists. Our Turn Key Ready Delivery program

increases revenue and improves delivery times. We

manage the entire process — from ordering vehicles,

to upfi tters through delivery. We can even pick up your

used vehicles and take them directly to auction or a

remarketing center for immediate disposal. With our

many years of experience, you can be assured that

your work trucks will be back on the road quickly.

1360 Union Hill Rd., Bldg. 2 • Alpharetta, GA 30004800.728.9235 Ext 660

www.worktrucktransport.com

AN AMERIFLEET COMPANY

WT0710amerifleet.indd 1 6/15/10 9:29:02 AMWT0511tire.indd 33WT0511tire.indd 33 4/11/11 8:58:14 AM4/11/11 8:58:14 AM

LAUNCHES ALL-NEW 2012 CANTER LAUNCHES ALL-NEW 2012 CANTER FE/FG FE/FG SERIES WORK TRUCKSSERIES WORK TRUCKS

Five all-new models were introduced for the Class 3-5

vocational market under the Canter name for the

fi rst time in North America.

By Lauren Fletcher


Mitsubishi Fuso Truck of

America (MFTA) is bring-

ing the name Canter to its

North American models

for the fi rst time. The automaker in-

troduced fi ve new models at the 2011

NTEA Work Truck Show in India-

napolis, covering weight ratings from

Class 3-5 and addressing vocational

market needs.

The lineup includes:

Weight Class

Model GVWR

Class 3 FE125 12,500 lbs.


Class 4 FE160CC 15,995 lbs.

Class 4 FG4X4 14,050 lbs.


“This is the most extensive redesign

we’ve undertaken in seven years,” said

Todd Bloom, president and CEO of

MFTA. “We had to develop new drive-

trains to meet EPA 2010 regulations,

of course. But we asked our designers

and engineers to go beyond that and

put everything they’ve learned about

powertrain technology and effi ciency

into the new Canter FE/FG series of

commercial trucks.”

The 2012 Canter lineup was designed

to signifi cantly lower the overall cost

of ownership. MFTA has improved

fuel economy by 10-20 percent and

extended service intervals to 18,000

miles. In addition, payload advantag-

es are up to 2,200-lbs. over the cur-

rent leading cabover with parts pric-

ing at 20-percent below the current

market leader, according to the man-

ufacturer.

These trucks are ideal for vocational

needs, such as dry freight, refrigerat-

ed delivery, landscaping, delicate car-

go transport, municipal roadwork, and

snow plowing.

Mitsubishi Fuso Trucks of America (MFTA) launched fi ve all-new Can-ter models in the North American market:

■ FE125, FE160, and FE180 in 12,500-,

15,995-, and 17,995-lb GVWR.

■ FE160CC (seven-passenger crew

cab model): 15,995-lb. GVWR.

■ FG4X4 (four-wheel-drive medium-

duty cabover): 14,050-lb. GVWR.

AT A GLANCE

WT0511fuso.indd 34WT0511fuso.indd 34 4/11/11 9:02:09 AM4/11/11 9:02:09 AM


Headline Here

CANTER FE MODELS ENABLE EASE IN UPFITTING

The Canter FE series features standard-

width 33.5-inch straight ladder frames,

designed with patterned holes at regular

intervals along its length and height,

to enable ease in body mounting and

to save weight without strength loss.

The frame is made with 56,565-psi-

yield-strength steel.

The 2012 model Canters feature

fully trimmed cabs that provide am-

ple driver space plus room for two

passengers.

The turning diameter for Canter FE

models with a 110.2-inch wheelbase

is 34.1 feet. These models also fea-

ture dual-caliper hydraulic disc ser-

vice brakes with vacuum servo assist

and ABS on all four wheels. The Can-

ter series also includes an electron-

ic brake priority override system for

added safety. All FE models feature

a 30-gallon fuel tank.

FG4X4 4WD CABOVER

Still the industry’s only four-wheel-

drive cabover, the Canter FG4X4 goes

where no other trucks can, thanks to

excellent ground clearance, locking

hubs, and front constant velocity joints

for sure-footed tracking and turning,

according to MFTA. Plus, the vehi-

cle uses heavy-duty axles, all-terrain

tires, transfer case, and more.

With a 14,050-lb. GVWR, it’s ide-

al for off-road use, light construction

as a dump truck, stake body, or util-

ity body — even snow plowing. No

matter how sloppy or slippery condi-

tions get, the FG4X4’s DUONIC au-

tomated transmission feeds continu-

ous power to all four wheels to help

maintain maximum traction.

The FG4X4 uses hydraulic drum

service brakes with ABS all around

and includes electronic brake priority

override system for added safety.

The FG4X4 features a 33-gallon

fuel tank.

STANDARD FEATURES OFFERED ON ALL MODELS

MFTA’s new 4P10 dual-overhead-

cam (DOHC), common-rail injected,

dual-turbocharged, intercooled four-

cylinder diesel engine is coupled to an

advanced Mitsubishi Fuso DUONIC

6-speed, dual-clutch automated manu-

al transmission. Adoption of Daimler

Commercial Truck’s BlueTec emissions

control system with selective catalyt-

ic reduction (SCR) emissions technol-

ogy brought the new drivetrain into

EPA 2010 compliance.

All models include easy-to-read

instrumentation, with the instru-

ment multi information display pan-

el located in the driver’s direct line-

of-sight. Power windows and door

locks are standard, with one-touch

up and down on the driver’s window.

For added safety, the window drive

mechanism immediately stops the

window’s upward travel if it encoun-

ters an obstacle.

The center and right-hand seats

fold down to provide a work area for

the driver, and extra storage compart-

ments have been added to the cab area.

Models are available in fi ve cab col-

ors (Natural White, Arcadia Silver,

Jupiter Green, Mars Red, and Shan-

non Blue), and blue seat cloth is stan-

dard on all models.

Doors include a crush control beam

to increase frontal impact protection.

Offset door hinges allow the doors to

open 70 degrees, then push forward

several inches to provide full access

while limiting door extension into

traffi c or curbside obstructions. The

collapsible steering column offers tilt

and telescoping adjustments via a sin-

gle lever control.

The full line of Canter FE and FG

series trucks includes a three-year/un-

limited mileage bumper-to-bumper

warranty, four-year/unlimited mile-

age rust-through warranty, and fi ve-

year/175,000-mile powertrain limit-

ed warranty. WT

The Canter FG (left) and Canter FE Crew Cab models are ideal for vocational needs, such as dry freight, refrigerated delivery, municipal roadwork, landscaping, and more. Offering a 10- to 20-percent improvement in fuel economy, the full line of Canter FE and FG trucks include the industry’s only fi ve-year 175,000-mile powertrain warranty.

WT0511fuso.indd 35WT0511fuso.indd 35 4/11/11 9:02:41 AM4/11/11 9:02:41 AM

PG&EADDS HYBRID-ELECTRIC BUCKET TRUCKS

Pacifi c Gas and Electric Com-pany (PG&E) added about 100 hybrid-electric bucket trucks in 2010 and has ordered 125 more as part of its fl eet greening efforts.

By Carly Lanning


Pacifi c Gas and Electric Com-

pany (PG&E) continues its ef-

forts to protect the environment

and reduce its carbon emissions

with the purchase of just under 100 hy-

brid-electric bucket trucks that delivered

at the end of 2010, and has ordered and

additional 125 units that will deliver in

the fi rst half of 2011. Of the company’s

12,000-vehicle fl eet, 3,072 already run

on alternative fuel or are on order.

PG&E has been working to reduce its

carbon footprint for the past 15 years,

contributing to the development of nat-

ural gas, plug-in, and hybrid vehicles

throughout its own fl eet and with oth-

er vehicles within the community such

as school buses, taxi cabs, and passen-

ger cars. The addition of these hybrid-

electric bucket trucks is another step in

the “green” direction.

DEVELOPING IN THE RIGHT DIRECTION

PG&E operates throughout a 75,000-

square-mile service territory, rang-

ing from north of Los Angeles to the

northern California border. The San

Francisco-based company replaces

500 to 1,600 vehicles annually, but it

expects to be on the higher end of the

range for the next several years.

The bucket trucks are built on Ford

F-550 chassis with Altec AT37 aer-

ial devices that will be powered by

JEMS48 hybrid units.

“We selected this application for a

variety of reasons, but primarily due

to the duty cycle of the vehicle. The

operation of the aerial device, tool cir-

cuit, and climate control in the cab are

the primary contributors to the idling

issue, and this system was designed to

help eliminate that,” said Dave Mei-

sel, director of transportation servic-

es, PG&E.

The trucks are shut off once they ar-

rive at the worksite, and the systems are

then battery-powered. PG&E expects

the battery to last a normal operating

shift, but in the event the battery were

to run low, the vehicle will automati-

cally restart to power the circuits and

recharge the battery.

While always looking for new al-

ternatives and ideas on how to better

the environment, Meisel recognizes

that there must always be a balance be-

tween the type of “green” vehicle and

the function it will perform.

“You need to understand the applica-

tion when applying vehicles and fuel to

certain situations,” he said. “There must

be an alignment between the application

of our technology and the product.”

A RICHER FUTURE

The goal of PG&E is to provide op-

erators with safe, reliable, and cost-

effective equipment while continuing its

fl eet greening efforts. “This purchase,

while signifi cant, is the fi rst of many

that will continue to show PG&E’s en-

vironmental leadership. We believe that

through technology, we can improve

our environment while reducing our

operating costs,” Meisel said.

PG&E expects the use of hybrid-

electric bucket trucks will reduce fl eet

operating costs, enhance operator safe-

ty, and produce cleaner emissions.

For the future, PG&E will be pushing

toward purchasing plug-in hybrids that

have been adapted for pickup trucks and

SUVs. “A major initiative in our oper-

ation today is to electrify our fl eet, and

by doing so use clean energy to power

clean vehicles. There is no better time

for us to infl uence this process and to

encourage others to adopt clean tech-

nologies,” Meisel said. WT

The bucket trucks are “trouble trucks,” the fi rst vehicles to arrive on the scene in the event of an emergency or service interruption.

WT1110pge.indd 36WT1110pge.indd 36 4/12/11 7:32:57 AM4/12/11 7:32:57 AM

WT1110pge.indd 37WT1110pge.indd 37 4/12/11 7:33:07 AM4/12/11 7:33:07 AM

➠ ➠P R O D U C T H I G H L I G H T S :

TRUCK BODIES➠ DURACLASS DUMP BODIES

All medium-duty DuraClass dump bodies are designed to incorporate maxi-

mum durability and useability. Fully enclosed front posts are included for added

strength and resistance to corrosion. Rear corner posts are full depth, which

helps keep body dimensions true and rigid, according to the manufacturer. High

tensile steel provides superior strength and lighter body weight than compa-

rable dump bodies.

SL: Features an interlaced understructure to support the body fl oor on a

grid of 8-gauge crossmembers laced to J-section longmembers. This design

saves weight and adds fl oor support, minimizing washboarding. The SL design

utilizes two vertical side braces with radius bends, slanted forward for a con-

temporary look.

SL316: The DuraClass SL316 features a crossmemberless understructure,

which provides dirt and corrosion resistance, leaving a clean look. The dump

body features a horizontal side brace and tailgate brace.

HM: The HM utilizes a stacked understructure with structural channel 4-inch

crossmembers and 6-inch I-beam longmembers for additional strength and ri-

gidity. A six-panel tailgate and vertical side braces complement the sturdy, traditional design, according to the company.

HH: For tougher loads, the DuraClass HH features a stacked understructure of 4-inch I-beam crossmembers and 6-inch

I-beam longmembers that provide maximum fl oor support. Six-panel tailgate and vertical side braces are standard.

Website: www.DuraClass.com

➠ TRUCKCRAFT TC-300/310 COMBO SERVICE/DUMP BODY

TruckCraft engineered the TC-300/310 body and subframe to handle greater haul-

ing and storage loads on trucks 10,000-lbs. GVW and up. The TC-300 series has dump

body capacities of 2.75 or 3 cubic yards, storage capacities of 57 or 64 cubic feet, and

handles 4 foot x 8 foot sheets with the tailgate closed. The entire side pack set is built

of treated steel for years of rust-resistant life, according to the manufacturer.

The dump body’s electrohydraulic-powered three-stage telescopic hoist uses effi -

cient hydraulic principles for a 25-second raise time. The cylinder operation is smooth

and effortless, and allows the bed to be mounted 8-10 feet lower than a comparable

scissors hoist, according to TruckCraft.

A one-hand tailgate unlatch lever, low fl oor height, built-in handhold, and step bum-

per all combine to make operator entry to the dump body fast and easy.


Features:

● Pre-assembled body, hoist, and base frame.

● Three-stage chromed telescopic cylinder.

● 10 guage A-60 Galvanneal steel dump body.

● Multiple height pintle hook location.

● Safety chain keyslots.

● Step and handhold for easy bed entry.

● Dash light notifying operator when the

dump bed is raised.

● Removable 18-inch corner standards.

● Storage cabinets pre-fi tted for mounting.

Options:

● Roll-up tarp assembly.

● Coal chute.

● Trailer plug.

● Pintle hook.

● D-ICER tailgate replacement.

● Salt spreader.

● D-ICER mounting brackets.

● Quick latch.

● Aluma boards.

Website: www.truckcraft.com

The DuraClass medium-duty dump body is available in SL, SL316, HM, and HH models.

The TruckCraft TC-300 series has dump body ca-pacities of 2.75 or 3 cubic yards.

The TruckCraft TC 300

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➠ SUPREME CORP. AERO BODY

The Aero Body by Supreme Corp. offers a streamlined ap-

pearance and proven practicality, according to the manufacturer.

Long-lasting LED lights protected by a sealed wiring harness use

less energy while decreasing risk of electrical damage and down-

time. The Aero Body also provides a three-year/36,000-mile bulk-

head-to-bumper warranty on all body components along with a

fi ve-year structural warranty, which covers roof, wall, and fl oor

structures.

Standard features include:

● Aerodynamic body design with nested wind faring.

● Curved composite sidewalls.

● Custom fi berglass rear frame.

● Fiber panel front wall.

● Full-width pooched step bumper with grab handle.

● Custom access door in skirting.

● Body length skylight that allows ambient light inside.

● Todco ToughShell rear roll-up door.

● Superbright LED recessed stop, turn, and tail lights with sealed wire harness.

● 12 volt dome light with cab switch.

● Seamless non-slip FRP fl oor with textured/grit surface.

Popular options:

● Aluminum slider ramps.

● Cargo Control options including “E” track, rope ties, and fl oor ties.

Website: http://aerobody.supremecorp.com

➠ UNICELL TRUCK BODIES

All Unicell truck bodies are constructed of a one-piece molded fi ber-

glass outer shell. This means no seams to separate and leak, no met-

al to rust and dent, and no paint to scratch and peel, according to the

manufacturer.

Unicell bodies have an uninterrupted, smooth, and glossy gel coat ex-

terior, making it the perfect surface for company logos and graphics, ac-

cording to the manufacturer.

The new Servicell combines the visual appeal and long life construc-

tion of Unicell Body Company’s one-piece fi berglass Hi-Cube body with

the versatility and function of Knapheide Truck’s utility body.

A roomy interior offers stand-up height with a well-lit cargo and work-

space. On the outside, practical and secure storage compartments allow for ex-

terior access to tools and parts.

The Servicell is available in 12- and 14-foot lengths and two body styles for

Ford, Chevrolet, or GMC dual rear-wheel cutaway vans. Custom lengths and op-

tions are available.

Unicell fi berglass bodies are backed by a fi ve-year warranty.

Website: www.unicell.com

The Aero Body by Supreme Corp. provides a three-year/36,000-mile bulkhead-to-bumper warranty on all body components.

The Servicell truck body has one-piece fi berglass construction, offers stand-up height, and is available in 12- and 14-foot lengths.

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40 WORK TRUCK MAY / JUNE 2011 www.worktruckonline.com

Show me a well-run truck fl eet and I

will show you a top-notch fl eet man-

ager. Although every fl eet is unique,

there are common traits found among

great fl eet managers — attributes that en-

sure their fl eets are operating at the opti-

mum level.

Here are my observations as to the traits

they have in common:

1. Goal-Oriented Fleet Management Great fl eet managers are goal-setters.

They are goal-oriented in all aspects of fl eet

management, including driver productivity,

safety, accident management, and so forth.

They strive to reduce not only hard costs, but

also soft costs. They link fl eet to the corpo-

ration’s overall mission and then keep man-

agement informed as to how fl eet is helping

improve the corporate mission.

2. Focus on the Internal Customer

These fl eet managers have established a

cooperative, working relationship with all

internal corporate functions associated with

fl eet operations. They keep senior manage-

ment informed on fl eet performance, budget

requirements, new products, and programs.

These fl eet managers keep the company’s

interests foremost in all fl eet management

decisions.

3. Develop Strategic Partnerships with Suppliers

These fl eet managers work with suppliers

and other partners to optimize performance.

Some employ supply-chain management

techniques, such as bringing suppliers to-

gether as a team to facilitate communication

with each other to provide effi cient, low-cost

service to the fl eet. Just as important, these

fl eet managers never stop learning and con-

fer with suppliers to be on top of the latest

products and services in the market.

4. Practice Strategic Fleet ManagementStrategic fl eet management stresses the

importance of achieving objectives and using

metrics to benchmark progress. It recogniz-

es the strategic aspect of fl eet management

and views truck acquisition, replacement

planning, funding alternatives, and sourc-

ing alliances with manufacturers and sup-

pliers as high-level strategic corporate de-

cisions.

5. Ability to Implement Effective Fleet Policies

Great fl eet managers use a strategic

perspective to control costs by implementing

the right fl eet policies and selecting the right

vehicles and suppliers. A fl eet manager who

reduces annual fl eet expenses by $100,000

generates the equivalent of $1 million in

sales, if a company operates at a 10-percent

net profi t margin.

6. Expertise in Cost ContainmentA successful fl eet manager uses a strate-

gic and proactive management style to run

the truck fl eet. These fl eet managers proac-

tively seek to maximize the productivity and

revenue-generating capacity of each compa-

ny driver at the lowest possible cost to make

their fl eet operations more effi cient.

7. Management’s Encouragement to be Innovators

Great fl eet managers have autonomy to

implement innovative initiatives to drive

cost out of their fl eet operations. Senior

management recognizes the fl eet manager

as the in-house expert on all matters deal-

ing with truck fl eet management. These

fl eet managers have the full backing and

support of senior management when deci-

sions are implemented. These fl eet manag-

ers are valuable members of the company’s

management team, managing a multimillion

dollar asset. Fleet is viewed as a critical rev-

enue-generation component of a company’s

business plan.

8. Knowledge Transcends Fleet Management

These fl eet managers rise above the level

of simply managing day-to-day fl eet work.

Their understanding of the company’s busi-

ness transcends fl eet management. Besides

having fl eet management expertise, these

fl eet managers are intimately aware of their

company’s product line and services, mar-

keting objectives, corporate culture, and

user group needs. They are proactive and

anticipate changes in their corporate envi-

ronment. These fl eet managers implement

fl eet programs that contribute to the achieve-

ment of overall company goals.

9. Manages Fleet with a Long-Term Per-spective

It is impossible to run a truck fl eet without

long-term planning. In addition to produc-

ing both fl eet and departmental budgets each

year, these fl eet managers develop strategies

for cost containment and reductions. They

employ the critical skill of turning strategies

into tactics. They set strategic goals and de-

velop the tactics to implement them.

10. Excellent Communicator with Sound Judgment

Fleet managers interact with more peo-

ple in more areas of the company than just

about any other department head, and using

good judgment is the foundation for such

interactions. These fl eet managers have

excellent communication skills and sound

business judgment. Their credibility with

management is due to demonstrated truck

fl eet management expertise, which allows

them to work within the organization to im-

plement new programs.

FLEET LEADERSHIPA truck fl eet manager validates his or

her importance day-in and day-out by cost-

effectively managing hundreds of thousands

to millions of dollars of corporate assets

and controlling the expenses associated

with operating these assets. Each year, fl eet

managers save their companies hundreds of

millions of dollars.

To all successful truck fl eet managers, I

salute you for a job well done.

Let me know what you think. WT

[email protected]

10 Traits of Successful Truck Fleet Managers

END OF FRAME EDITORIAL BY MIKE ANTICH

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The Choice Is Clear — And Clean.Your fleet can get the same horsepower and torque performance as gasoline for 30% less in fuel costs –

and with 60% fewer emissions — thanks to ROUSH CleanTech Liquid Propane Injection fuel systems.

Propane autogas fuel systems by ROUSH CleanTech let you operate on a price-stable, North American-

sourced fuel with no engine modifications required. That means you’ll get all the benefits of propane

autogas, with no compromises in your vehicle’s factory warranty protection.

PERFORMANCE: IDENTICAL

VEHICLE WARRANTY: IDENTICAL

FUEL COSTS: 30% LESS

EMISSIONS: 60% LESS

PROPANE AUTOGAS VS. GASOLINE

800.59.ROUSH ROUSHcleantech.com

2007.5 – 2008 2009 – 2010 2009 – Newer 2009 – Newer 2009 – NewerFord F-150 Ford F-250 / F-350 Ford E-150 / E-250 / E-350 Ford E-350 DRW Cutaway Ford E-450 DRW Cutaway(5.4L V8) (5.4L V8) (5.4L V8) (5.4L V8) (6.8L V10)

UPFITS AVAILABLE

THE ZERO COMPROMISE ALTERNATIVE FUEL SOLUTION

AF0111roush.indd 1 12/13/10 12:58:16 PMWT0511edit.indd 993WT0511edit.indd 993 4/11/11 9:04:30 AM4/11/11 9:04:30 AM

There’s never been a true commercial van quite like the Reach™. It delivers more than the competition, offers a choice of effi cient vocational packages specifi cally designed for functionality, all while using less fuel.

Reach… improves economy & durability: • Fuel-effi cient Isuzu powertrain delivers up to 35% better fuel effi ciency1 without complex alternative propulsion systems or costly batteries

• Isuzu 4JJ1-TC 3.0L diesel engine provides class-leading2 B10 durability of 310,000 miles

Reach… enhances versatility: • Wider and taller modular cargo area features 450, 540 or 630 cubic feet of storage – plus 13-inches more aisle width than a cargo van2

• Vehicles ranging from 10 to 14 feet in length and a payload capacity of up to 4,250 pounds

• Offers a wide choice of vocational packages specifi cally designed for functionality

Reach… delivers a new level of performance: • Unique shape is 13% more aerodynamic1

• Reach is up to 6-times quieter than competitive vehicles in this class2

• Outstanding visibility – an asset for low-speed maneuverability

Whether you’re a fl eet manager or a small business owner, you’ll benefi t from the impressive fuel economy and performance this game-changing vehicle provides. Discover more about the Reach™ – the new defi nition of safety, performance and cost effectiveness in commercial vans.

You don’t have tofor the future… it’s available now!

Isuzu & Utilimaster Team up and Deliver Proven Power, Fuel Economy & Long Life

In a Game-Changing Commercial Van

IsuzuCV.comNextGenerationVan.com

All photographs, illustrations, equipment and technical data shown are based on the latest information available at time of publication. Isuzu Commercial Truck of America, Inc.,reserves the right to make changes at any time, without notice, including prices, colors, materials, equipment, specifi cations and models, and to discontinue models or equipment. These vehicles are assembled from component parts manufactured by Isuzu Motors Limited and its affi liated companies and by independent suppliers who manufacture such components to Isuzu’s exacting standards for quality, performance and safety. See your authorized Isuzu truck dealer for warranty and other details.

1 Compared to class 3-5 commercial walk-in vans; testing conducted by an independent, certifi ed party2 Class 3–5 commercial walk-in vans

WT0511isuzu.indd 1 4/11/11 12:04:50 PMWT0511cover.indd 994WT0511cover.indd 994 4/12/11 1:56:49 PM4/12/11 1:56:49 PM

work truck magazine may/june 2011

Documents

truck fleetswww

truck fl eet managers

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fuel challengesfuel

escalating fuel costs