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Con-way Freight Revamps Less-than-truckload Prices

The Associated Press

ANN ARBOR, Mich. (AP) — A subsidiary of Con-way Inc. on Monday rolled out a new pricing system for less-than-truckload shipments, guaranteeing that those shipments would not cost more than a full truckload shipment.

Con-way Freight said the capped pricing would simplify less-than-truckload prices, applying the formula commonly used in truckload shipping, and remove many add-on charges, such as the lineal foot rule, that shippers often face when moving large less-than-truckload freight.

Con-way also said customers would get guaranteed on-time delivery or the shipment is free. It also said the new pricing model should result in less wasted space on board trucks, resulting in fewer trucks on the road.

Con-way Inc. shares fell $1.03, or 3.1 percent, to $32 in morning trading.