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Celadon Group, Inc.

Leading SmartWay practitioner

CELADON GROUP, I LEADING SMARTWAY PRACTITIONER EFFICIENT AND FOCUSED CELADON GROUP, INC. OF INDIANAPOLIS PROVIDES CUSTOMERS WITH AN EXPANDING ARRAY OF SERVICES

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Celadon Group, Inc.

Celadon Group, Inc.

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Leading SmartW

STABLISHED BY STEVE RUSSELL IN 1985 with a single contract to service the then Chrysler Corporation’s transportation needs, Celadon Group, Inc. of Indianapolis, IN today stands as the ninth largest truckload carrier and one of the top international shippers in the United States with annual revenue exceeding $550 million.

“We’ve transitioned to the point that we’re now working with anyone and everyone among your largest retailers and manufacturers providing intermodal, TOFC and logistics as well as trucking services. We’re very cutting edge and progressive within an industry that typically is not that way,” says Monte Horst, Vice President of Sales and Marketing.

“Part of what distinguishes us is that everything we implement is constantly tested. And, when we have failures, we really dig into what happened to determine the root cause and to make sure it doesn’t happen again,” Horst explains.

Approximately 2,200 of the company’s 4,000

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Celadon Group, Inc.

Leading SmartW

employees are drivers. Celadon operates 3,330 aerodynamically efficient International ProStar trucks with approximately 10,000 Wabash and Great Dane trailers. The company maintains seven Warehousing Logistics Centers in the U.S. as well as operations in Mexico (Jaguar) and Ontario (Celadon Canada).

Celadon became an Environmental Protection Agency SmartWay Transport partner in 2005, is a multiple recipient of the EPA’s Excellence Award and

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maintains the highest possible Shipper Index Factor of 1.25. The SmartWay initiative identifies measures to improve fuel efficiency and reduce greenhouse gases and air pollution from the transportation supply chain industry. To date, the program has helped US companies save $6.1 billion in fuel costs.

“Cost savings was definitely a determining factor for us when joining SmartWay,” says Jeff Bryant, the Vice President of Maintenance. “Being a green

Celadon Group, Inc.

company and the emissions savings equates to money back into the bottom line.”

SMARTWAY IMPACT

The company’s investments to improve fleet fuel efficiency and slash fuel emissions have paid off with reduced annual air emissions of 23 percent for CO2, 25 percent for NOx and 19 percent for particulate matter.

“We generally burn from 48 to 50 million gallons of fuel per year and have seen a 25 percent savings, which is just off the charts. It’s astronomical,” states Tom Burck, the company’s Director of Safety, who noted the introduction of semi-synthetic oil

Leading SmartW

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produced by British Petroleum has been another cost-saver.

The company worked closely with ESPAR to equip auxiliary heater units to address the issue of trucks burning 1.2 gallons per hour while idling from eight to 10 hours per day during the winter. The addition of an ambient temperature sensor preventing engines from running between 20 and 70 degrees Fahrenheit reduced the fuel burn to .02 gallons per hour to cover early spring and late fall. “When you’re talking about 2,500 or more trucks idling at eight to 10 hours per truck, the savings add up fast. The ambient temperature sensor was the key

THE DRIVE TO FUEL EFFICIENCY STARTS HERE.

*Results of year-long, two-phase trial including 50 trucks with 30,000-mile drain intervals.

FIELD TESTED. FLEET TRUSTED. ©2012 BP Lubricants USA Inc.

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in helping the heater take off as well as it did,�

Bryant says.

To address summer idling issues, battery-powered APUs from Bergstrom and ESPAR’s hydronic coolant heaters were tested in the MaxPower APU system.

An automatic start/stop system starts the unit to charge batteries temporarily disengaging the electric auxiliary AC unit then when the batteries are charged it shuts down and the battery power takes over without any further interaction from the driver.

Celadon Group, Inc.

Leading SmartW

*Results of year-long, two-phase trial including 50 trucks with 30,000-mile drain intervals.

SUPPLIER STATS

Castrol Heavy Duty Lubricants ©2012 BP Lubricants USA Inc.

Employees: 1,000 Industry: Lubricants Services: At Castrol, our high technology products are designed to provide lubrication solutions and services to help businesses improve their operational efficiencies.

On-Going Projects: Castrol is working to provide our customers with extreme extended drain interval solutions and fuel economy improvements.

Management: Dave Berlin Gary Leveton Visit Website

“When we went to FIELDAC units battery-operated TESTED. on several hundred trucks FLEET only for the summer, we TRUSTED. dropped between 5,500 and 5,800 minutes per month per truck down to about 1,110 minutes per month per truck,” Bryant notes. “We measure in min than percentages. Our goa reduction and we’ve hit, if OPERATIONS

Six key components, or bu People and Drivers, Techno Capacity. “When we visit c about what we are doing in The company flipped its It replaced 1,000 of those i

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nutes because it is much more relevant information al was to reach $50 savings per day per truck on idle not exceeded, that.”

uckets, form the core of Celadon’s investment strategy – ology, Equipment, Safety, Environment and Growth and customers’ locations they want to talk about CSA and n respect to the environment,” Horst says. s entire fleet of trucks in 2007 at a cost of $222 million. in 2011 to meet 2010 emissions guidelines and plans

to replace another 1,200 thi 1.6 to 1.2 years at a time wh Additionally, 4,700 trailers e 4,000 more projected to arr All trucks are equipped w applications. Seats designed while the TruckersB2B prog to smaller fleets.

Celadon has bucked the i long-haul operations with T

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SUPPLIER STATS Espar Heater Systems Employees: 85 Industry: Heater Manufacturer Services: Bunk & Engine Pre-heaters, Fuel savings Visit Website

is year, reducing the average age of the fleet from hen most companies’ fleets are significantly older. equipped with side skirts were added in 2011 with rive this year. with Qualcomm MCP100’s Omnivision monitoring d by National reduce stress on drivers’ backs and legs gram provides discounts for items such as fuel and tires

industry trend toward shorter routes and has augmented TOFC (trailer on flatcar), dedicated and logistics services

Celadon Group, Inc.

Leading SmartW

at the regional level.

“We are still primarily a long haul company. We haven’t walked away from that and we continue to focus on international services into Mexico and Canada. We’ve started to complement long haul with regional which ultimately makes for a better drop and hook for the long haul drivers,” Bryant explains.

Ongoing web-based safety training is conducted in-house and substance screening is conducted at a fullservice on-site clinic staffed by personnel from an area hospital. The company’s “Highway to Health” wellness program provides health screenings, health seminars, WE GENERALLY BURN FROM 48 TO 50 MILLION GALLONS OF FUEL PER YEAR AND HAVE SEEN A 25 PERCENT SAVINGS, WHICH IS JUST OFF THE CHARTS. IT’S ASTRONOMICAL

TOM BURCK, DIRECTOR OF SAFETY

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diet and weight loss programs and nutritional and exercise programs.

“Having our own medical facility and doctors on site means a lot. We also have a rehabilitation center so drivers can seek treatment here. We’re doing all we can to provide the best amenities for our drivers so they can provide the best service for our customers,” Bryant asserts.

MOVING FORWARD

Celadon acquired three companies within the last quarter, adding nearly 850 tractors and 1,600 trailers

Celadon Group, Inc.

Leading SmartW

to its fleet inventory as well as 300 drivers, enabling the company to increase regional service throughout the Northeast and Southeast. The company will continue to expand its fleet and its area of operations via acquisitions.

Expansion of its Indianapolis headquarters is now under way and will essentially double the size of the existing facility while unifying operations under a single roof.

“In general, we will continue to be one of the cutting edge industry leaders, embracing technology and preserving the environment. We’d like to become a billion dollar company, not for the sake of growing but to fill a void created by more and more fleet failures. We’ll keep adding services to meet our customers’ transportation needs,” Horst concludes.

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STATISTICS

Name: Celadon Group Country: Indianapolis, IN, USA Employees: Approx. 4,000 Est: 1985 Revenue: Approx. $556,694 FY11 Industry: Trucking Premiere service: provides long-haul and regional full-truckload freight services across the U.S. Canada and Mexico.

CEO: Stephen Russell Website: www.celadontrucking. com

Celadon Group, Inc. 9503 E. 33rd Street, Indianapolis, IN 46235 Tel: 800-235-2366 www.celadontrucking.com Powered by:

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