Tfi International Transforce Company History and Growth

Tfi International Transforce has a rich history that spans over several decades, with its roots dating back to the 1970s. The company was founded by a group of entrepreneurs who saw an opportunity to provide logistics and transportation services to businesses.

The company started small, but it quickly grew in size and scope, expanding its services to include freight forwarding, warehousing, and distribution. By the 1990s, Transforce had established itself as a major player in the logistics industry.

Today, Tfi International Transforce is a leading provider of transportation and logistics services, with a global presence and a diverse customer base. The company continues to innovate and adapt to changing market conditions, always looking for ways to improve its services and stay ahead of the competition.

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TFI International TransForce organizes its divisions and subsidiaries into four business segments. These segments are the foundation of the company's operations and provide a range of services to customers.

The company's package and courier segment is comprised of four subsidiaries: Canpar Express, ICS Courier, Loomis Express, and TForce Integrated Solutions. These subsidiaries work together to provide a comprehensive package and courier service.

TFI's less-than-truckload (LTL) segment is a mix of road and intermodal providers, including notable subsidiaries such as Clarke Transport, National Fast Freight, and Vitran. This segment offers a range of services, including intermodal and road freight transportation.

The Truckload segment consists of 43 divisions/subsidiaries providing truckload shipping services, including specialized services like flatbed, tank, and intermodal transportation.

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TransForce's diversification and expansion efforts have been a key factor in its growth and success. The company's first major acquisition was Canpar Courier in 2002, which provided domestic services directly and cross-border services via interline agreements with other carriers.

In 2004, TransForce acquired Canadian Freightways from Consolidated Freightways for CA$69.6 million plus debt assumption. This acquisition added LTL, truckload, warehousing, brokerage, and other logistics services to TransForce's offerings.

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By 2005, TransForce was Canada's largest trucking company, operating two dozen subsidiaries with a combined nearly 3,500 trucks and 9,000 trailers. This growth was fueled by both acquisitions and organic growth.

In 2007, TransForce acquired ICS Courier and its parent Century II Holdings Inc., expanding its courier services. ICS primarily focused on commercial shipments, including parcel and document services.

TransForce continued to expand its services with the acquisition of the Retail Solutions Division of ATS Andlauer Transportation Services in 2009. This division focused on the retail and supply chain sectors.

Here's a list of some of the key acquisitions made by TransForce:

These acquisitions have helped TransForce expand its services and increase its market share, making it a major player in the logistics and transportation industry.

TFI's less-than-truckload (LTL) segment is a significant part of their business. It's a mix of road and intermodal providers.

There are several notable subsidiaries in this segment, including Clarke Transport, National Fast Freight, and Vitran. These companies handle intermodal services.

Road freight is also a key part of TFI's LTL segment, with notable subsidiaries like Cavalier, TForce Freight, and TST-CF Express.

Here are some of the notable subsidiaries in TFI's LTL segment:

The Truckload segment is a significant part of the company's operations, consisting of 43 divisions/subsidiaries that provide truckload shipping services.

These subsidiaries offer a range of services, including standard dry van services, as well as specialized services like flatbed, tank, and intermodal transportation.

Some notable subsidiaries in this segment are BTC, Contrans, Fleetway, and Kingsway Bulk, which are part of the specialized services.

Conventional services are also provided by subsidiaries like CFI Dedicated, which was formerly known as Transport America.

SGT, formerly known as SGT 2000, was a subsidiary that offered conventional services, but it's no longer in operation as of July 2024.

Here's a breakdown of the notable subsidiaries in the Truckload segment:

TFI International's acquisition of UPS Freight was a game-changer for the company.

The acquisition was completed in April 2021, nearly doubling TFI's size to $6.5 billion in annual revenue.

This massive deal made TFI one of the largest trucking companies in North America, a title it now shares with a few other companies, including the 2017 merger of Swift Transportation and Knight Transportation.

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UPS Freight was formed in 2005 after UPS acquired Overnite Transportation and Motor Cargo for $1.25 billion, but the expected synergies between the LTL services and UPS' core package services didn't materialize as planned.

In 2021, TFI invested $50 million to $75 million into the new division, TForce Freight, to upgrade its fleet and renegotiate prices with customers.

The smaller truckload business was transferred to TFI's other US truckload companies, and the division's core LTL services continued to operate out of the carrier's Richmond, Virginia headquarters.

TFI's acquisition of UPS Freight was the second-largest deal in North American trucking history, and it marked a significant milestone in the company's growth strategy.

The acquisition was a strategic move by TFI to expand its services and increase its presence in the market, and it has had a lasting impact on the company's operations and revenue.

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TFI International has a strong corporate structure led by chairman, president, and CEO Alain Bédard, who has been at the helm since the late 1990s.

The company's board of directors includes notable members such as André Bérard, a former president, CEO, and chairman of the National Bank of Canada.

TFI International Inc. is based in Montreal, Quebec. This is where the company's headquarters is located, which is a significant factor in its overall corporate structure.

The company's location in Montreal, Quebec is worth noting as it's a major hub for logistics and transportation in Canada.

TransForce Inc. intends to change its corporate name to TFI International Inc. to reflect its increased geographic scope of operations.

This change is in line with the company's growing operations and footprint in the U.S., where it currently generates approximately 50% of its revenue.

A special meeting of TransForce shareholders has been called for December 23, 2016, to consider the change, which must be approved by at least two-thirds of the votes cast by the holders of TransForce's common shares.

The company will file Articles of Amendment to effect the change of name upon approval.

TransForce's stock symbol on the TSX will change to TFII upon the name change.

Registered shareholders may continue to use their current share certificates after the name change.

Beneficial shareholders will not be required to take any action.

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TFI has been led by chairman, president, & CEO Alain Bédard since the late 1990s.

Notable members of the TFI board include former president, CEO, and chairman of the National Bank of Canada André Bérard, and former founder and president of CF Montréal Joey Saputo.

Lucien Bouchard was a member of TFI's board from 2007 to August 2021, bringing with him a wealth of experience from his senior political positions in Canada.

Bouchard's impressive resume includes Secretary of State, Premier of Quebec, and Ambassador to France.

The TFI board also includes former journalist and National Assembly of Quebec member Richard Guay, who brings a unique perspective to the table.

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TFI International's Canadian courier subsidiaries faced a ransomware attack in August 2020, which took down their websites for a time.

No customer data was obtained by hackers, according to TFI. However, three internal documents from Canpar Express were leaked to the dark web.

The source of the leak appeared to be hacking group DoppelPaymer. This led to shipping delays reported by some Canpar customers.

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The Caisse de Depot et Placement du Quebec, a public pension manager, expressed its dissatisfaction with TFI International Inc.'s decision to move its headquarters to the U.S.

The pension fund owned a stake of more than 4% in TFI, worth C$624 million at the time of the announcement.

TFI's announcement was met with criticism from CDPQ, which has a dual mandate to generate returns and contribute to Quebec's economic development.

The company's decision to move its headquarters to the U.S. was made because about 70% of its operations are based there, and it has more shareholders in the U.S. than anywhere else.

TFI's shares are traded in Toronto and New York, but have underperformed lately, down by more than 7% since the beginning of the year.

The stock has soared by about 275% in Canadian dollar terms over the past five years, largely due to the company's merger and acquisition spree.

In August 2020, TFI's Canadian courier subsidiaries suffered a series of ransomware attacks.

The attacks took down the websites of Canpar Express, ICS Courier, Loomis Express, and TForce Integrated Solutions for a time.

TFI assured customers that no customer data had been obtained by hackers.

However, three internal documents from Canpar Express were leaked to the dark web.

The source of the leak appeared to be the hacking group DoppelPaymer.

Some Canpar customers reported shipping delays following the attack.

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In 1997, Cabano Kingsway made significant management changes focused on operational efficiency and cost reductions.

The company had been severely impacted by a strike in 1996, resulting in an earnings deficit.

One key focus of the new management team was to reduce risk by diversifying its service offerings.

Early acquisitions were primarily intended to increase efficiency and grow new markets and services.

By following their acquisitions strategy and divesting "non-core assets", the company subsequently experienced a significant increase in revenue with a much lower increase in expenses.

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In 1999, the company changed its name to TransForce Inc.

TransForce's acquisition of TST Solutions in February 2000 represented a significant increase to its presence in the US.

TST continued to operate as an independent subsidiary post-acquisition.

The company made major changes to its structure in 2002 when it converted itself into an income fund known as TransForce Income Fund.

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