service rendered by North Alabama which is used on some outbound fabric shipments from Sylacauga to Birmingham for interline to Mississippi.

Avondale also supports the application to ensure continuation of Floyd & Beasley's present service rendered via gateways. The following are examples of Avondale shipments transported by Floyd & Beasley over gateways:

Monroe, Georgia to points in Tennessee;

Graniteville, South Carolina to points in Tennessee;

Greenville, South Carolina to points in Tennessee;

Sumter, South Carolina to points in Tennessee;

Sumter, South Carolina to points in Georgia, such as Thomaston, Tifton, Columbus and Jackson; and

Greenville, South Carolina to points in Georgia, such as Thomaston, Tifton, Columbus and Jackson.

Floyd & Beasley's present service is considered excellent.

Avondale supports the application insofar as Mississippi points are concerned and to insure continuity of present service. If the application is granted Avondale may reduce the size of its own fleet.

16. The Bibb Company (Bibb).—Bibb manufactures textiles and textile products at 16 Georgia plants located in Macon (4), Forsyth (2), Percale, Porterdale (2), Newnan (2), Columbus (2), Fort Valley (2) and Potterville.

Raw material for use at Bibb's Georgia plants originates among others in the States of Tennessee and South Carolina. Two major suppliers in Tennessee are the American Enka Company at Lowland, Tenn., and E. I. DuPont at Chattanooga, Tenn., which supply synthetic fibers to Bibb. Approximately 6 million pounds of fibers are received annually in truckloads ranging from 24,000 to 30,000 pounds from Tennesseee origins at Bibb plants located at Macon, Forsythe, Porterdale, Newnan, Columbus, and Potterville, Ga.

Bibb's South Carolina fiber suppliers located at Darlington, Edgeville, Irmo, Clemson, Abbeville, and Charleston supply 48 million pounds annually to the Georgia plants.

Floyd & Beasley is one of Bibb's primary carriers on the above-described traffic and its service is considered very satisfactory. Bibb supports the application to assure continuance of Floyd & Beasley's service, in jeopardy as a result of the Commission's Gateway Regulations.

Bibb also routes such traffic via carriers such as Southeastern, Overnite, Pilot, Carolina, Brown, Johnson, and Watkins Motor Lines. Although Bibb has available some carriers providing service on a less circuitous routing, Floyd & Beasley is preferred because it has given "a superior service in many cases as to that of the carriers holding a more direct authority."

Bibb, due to the inflationary spiral, demands that shipments arrive at Bibb facilities by a given hour of the day to avoid the payment of overtime. Floyd & Beasley has consistently met delivery limitations in connection with service to Bibb's facilities, eliminating overtime experienced with other carriers. Additionally, Bibb is faced with tariff restrictions imposed by some other carriers, limiting availability of their service. Approval of this application and continuance of Floyd & Beasley's service is considered of extreme importance to Bibb.

17. Syntex Agribusiness, Inc. (Syntex).-Syntex manufactures and distributes animal nutrients and feed supplements from its facilities at Chattanooga, Tenn., which has a market area in the South.

For the period August 1974 through July 1975, 1,084,065 pounds moved to Alabama points; 1,544,278 pounds to Georgia points; 998,313 pounds to Mississippi locations, and 317,536 pounds to South Carolina points.

Alabama destinations included Florence, Coleman, Haleyville, Birmingham, Guntersville, Montgomery, and Decatur; Georgia destinations included Dahlonega, Cordele, Athens, Claxton, Gainesville, Douglas, Union City, Chestnut Mountain, and Macon; Mississippi destinations included Jackson, Waynesboro, Laurel, Sebastopol, and Carthage; and South Carolina destinations included Sumter, Aiken, Leesville, Lancaster, Bennetsville, Clover, Rock Hill, and Newberry. Eighty percent of these shipments are LTL averaging 6,400 pounds each, ranging from 50 pounds to a truckload.

Syntex is experiencing increasing needs for expedited service. Customers are maintaining smaller inventories, ordering in smaller quantities, more frequently, and demanding that transit time be reduced because they are attempting to use the carriers as their warehouse. Consistency of service is equally important. Almost 100 percent of the products upon delivery go directly into the customers production schedule; at times Syntex must make special arrangements making enough feed available to keep the customers animals alive until the next shipment arrives.

Syntex has encountered several problems with existing service out of Chattanooga to the territory here involved. Carriers in Chattanooga have been encountered who restrict their service or do not solicit traffic moving into the market areas of interest to Syntex. Difficulty has been encountered in obtaining pickups from various carriers; tracing problems have been encountered. To some destinations, no service is available and to others only undesirable three-line service is possible. On numerous occasions transit times on shipments delivered within 600 miles of Chattanooga have ranged from 5 to 20 days.

Various examples were furnished. A 10,000-pound shipment destined to Waynesboro, Miss., was picked up by Floyd & Beasley September 4, 1975, interlined at Birmingham to Deaton on September 5 and had not been delivered as of September 23. In regard to Applicant's portion of the shipment the service was characterized by the witness as most adequate. A 20,000-pound shipment for Lavonia, Ga., was originated by Overnite on September 17, 1975 and as of September 23, Syntex was unable to locate the shipment and did not know whether it had been interlined in Atlanta or was beyond Atlanta. On August 15, 1975, a shipment was originated by Overnite destined to Sumter, S.C., and had not been delivered by August 20. After three unsuccessful attempts to have Thurston pick up a shipment to Wilson, N.C., in December 1974, Syntex discontinued the use of Thurston's services.

The Chattanooga facility, which makes approximately 140 shipments per month as utilized Floyd & Beasley, Overnite, Baggett, Robinson, Roadway, and Merchants. Many destinations can only be reached with three-line service. For example, to Sebastopol, Miss., Floyd & Beasley originates the shipment for interline at Birmingham with Deaton, which further interlines at Jackson, Miss., with shippers. One customer has advised Syntex that it no longer wishes Robinson to deliver shipments.

Syntex uses Floyd & Beasley to any point which it makes, principally Birmingham, for delivery and interline, including Mississippi traffic. The service presently rendered is very good and the consistency of it brought Floyd & Beasley into Syntex's distribution pattern. Based upon experience, Syntex believes Floyd & Beasley will deliver to major points within a 400-mile radius of Chattanooga on an overnight or next-morning basis, second morning to interior Alabama and Mississippi points.

Syntex would tender all of its Mississippi traffic to Floyd & Beasley because of dissatisfaction with presently available service.

18. Sylacauga Chamber of Commerce (SCC or Sylacauga Chamber).—The function of the SCC is to attract business to settle in the Sylacauga, Ala., area. Sylacauga. located in Talladega County, has a population of 12,500 and in August 1975. unemployment was 13.9 percent. Sylacauga lost (November 1974) an artillery shell manufacturing facility which employed some 500 people.

The SCC is actively attempting to interest industries in locating in the Sylacauga area. Potential prospects are located and directed to the SCC by the Alabama Power Company, the State of Alabama and other industries. Upon notification that a prospect exists, contact will be made by letter or phone call and on occasion trips have been made to meet with the prospects. SCC attempts to sell the area insofar as living conditions and also attempts to determine requirements for such items as labor and transportation. If a positive response is given by the prospect it will be invited to come and look at the Sylacauga area. Transportation is always a factor considered by these prospects.

The SCC voted to support the instant application because it was felt that approval would help the SCC in its endeavors to attract proper industry and would add another inducement which could be offered in selling Sylacauga to various prospects. Floyd & Beasley would be enabled to pick up in Sylacauga and deliver to destinations in States such as Mississippi and Tennessee.

19. Wells LaMont Corporation (Wells LaMont).—Wells LaMont is the largest glove manufacturer in the world. The corporation operates 10 plants, of which 3 are located in Mississippi at Philadelphia, Eupora, and Waynesboro. Inbound raw materials, including piece goods, thread, and corrugated cases, are received at the Mississippi plants from a large distribution center established by Wells LaMont at Memphis. Tenn., and from origins in South Carolina (Graniteville, Landrum, Rock Hill, Spartanburg, and Ware Shoals) and Georgia (Langdale, Atlanta, Lindale, Rossville, and Trion). The Philadelphia facility receives the equivalent of 4 truckloads per week, 2 to 2 1/2 truckloads originating at the Memphis distribution center, the remainder from South Carolina and Georgia origins. Traffic which arrives in Memphis at the distribution center is consolidated into truckload shipments which are transported to Philadelphia in private carriage. Shipments directly to Philadelphia from South Carolina and Georgia origins are half LTL and half truckload, the latter ranging from 24-30,000 pounds each. The Waynesboro and Eupora plants each recieve the equivalent of a truckload each week with shipments of both LTL and TL quantities included, directly from South Carolina and Georgia origins, occasionally via private carriage from the Memphis warehouse.

Transit time from South Carolina and Georgia origins is poor and is not suited to Wells LaMont's basic operations as far as inventory level and supply. Wells LaMont is compelled to maintain excessive inventories because the quality of presently available service two and three line only is not dependable enough to guarantee the proper flow of materials to the production facilities. In order to remedy delays, Wells LaMont has been required to interrupt shipments at intermediate points and transfer goods to its own vehicles for expedited delivery to the production facility to enable manufacturing to continue. Problems of lengthier transit times have been increasing ever since the inception of the fuel crisis when the shipper noted deterioration in service.

Additional problems are connected with transportation provided by common carriers to the Mississippi plants. Joint-line service has caused excessive tracing problems on shipments to both Philadelphia and Waynesboro.

Traffic from Ware Shoals, S.C., totals 80 to 100,000 pounds per month and is originated by a company owned carrier (Smith & Waters) who then tenders it to Floyd & Beasley, which transports shipments destined to Waynesboro to Mobile, Ala., for interline with Highway Exp. and shipments destined to Philadelphia to Memphis for interline with Merchants. Several examples selected at random were furnished. On one, Floyd & Beasley received a 13,256-pound shipment on February 12, 1975, interlined with Merchants at Memphis on February 14, and Merchants delivered at Philadelphia on February 21. On June 3, 1975, Floyd & Beasley received a 5,022pound shipment, delivered it to Highway on June 5, and Highway delivered at Waynesboro on June 11. On August 5, 1975, Floyd & Beasley received a 1,991-pound shipment, interlined it to Highway on August 8, and Highway delivered at Waynesboro on August 12. Floyd & Beasley received another shipment on April 9, 1975, delivered it to Highway on April 11, and Highway delivered at Waynesboro on April 22. Roadway cannot be utilized because it has a two line-haul restriction in its tariff and participation of Smith & Waters in the traffic accordingly precludes use of Roadway. The witness was not aware of whether Thurston's authority would permit it to provide the transportation.

Merchants is used quite heavily by Wells LaMont in connection with transportation involving Memphis and not here directly involved. Traffic to Philadelphia from South Carolina and Georgia points would be diverted to Floyd & Beasley with the institution of its direct service; however, other traffic now handled by Merchants, which is far greater, would not be affected.

Wells LaMont supports the application in order to eliminate one carrier on movements to Waynesboro, Philadelphia, and Eupora in an effort to secure more expeditious transit time and reduce handling, thereby decreasing the exposure and possibility of damage. The elimination of a carrier is also expected to improve tracing and coordination and permit Wells LaMont to reduce its inventory. A grant of the instant application would cause Wells LaMont to reevaluate its private carrier operations in the southeastern United States.

20. Hold'Em, Inc. (Hold'Em).—Hold'Em at Oneonta, Ala., manufactures and sells livestock feeding and handling equipment, some 60 different items ranging in weight from 50 to 2,000 pounds. Hold'Em products are marketed through major feed companies such as Cargell and Goldkist, in addition it has its own sales force and sells directly to individuals.

During a recent 12-month period, Hold'Em had 269 shipments to points in Georgia, 123 shipments to Mississippi, 20 shipments to South Carolina, and 31 shipments to Tennessee, all LTL, averaging 200 pounds each. Hold'Em also ships in TL quantities in private carriage. Its trucks also transports LTL traffic from Oneonta to Birmingham for distribution to freight lines who do not serve Oneonta.

Representative destinations in the States named are Atlanta, Athens, Lafayette, Hartwell, Millwood, Trion, Albany, Helena, Cairo, Cedartown, Commerce, and Comer, Ga.; Holly Springs, Kosciusko, Jackson, Laurel, Houston, and Brookville, Miss.; Graycourt, Lancaster, Ridge Springs, Holly Hills, Marion, and Manning, S.C.; and Pulaski, Cleveland, Jackson, Murfreesboro, and Manchester, Tenn.

Presently Hold'Em has three carriers who pick up at its plant at Oneonta. Town's is utilized to the Birmingham area; Ross Neely to points in south Alabama and a few points in northern Alabama, and Gordon's to some points in Tennessee, generally the Memphis area. Ross Neely has been used in the past on interchange traffic but the service was unsatisfactory because of transit delays and otherwise. On interline shipments involving a three-line-haul Hold'Em has been charged a combination of

355-175 0-81-9

locals rather than a through rate and this caused the initiation of private carriage on LTL traffic to Birmingham.

Although Hold'Em has attempted to secure other motor-carrier service directly from its plant, it has been unsuccessful. For example, a carrier in Birmingham was called but never responded. Hold'Em operates its own vehicle to Birmingham approximately three times per week. The traffic handled by this vehicle is then turned over to direct line carriers at Birmingham. If the application were granted, Hold'Em would tender traffic to Floyd & Beasley and eliminate its Birmingham run.

21. Monsanto Textile Company (Monsanto).-Monsanto operates plants within the southeast at which it manufactures textile products, primarily synthetic fiber and yarn. In the State of South Carolina, Monsanta operates plants at East Greenwood and Blacksburg and a warehouse at Greenville. In Alabama, Monsanto has plants located at Decatur and Sand Mountain and warehouses located at Decatur and Huntsville. Additionally, Monsanto operates a facility at Gonzalez, Fla.

Floyd & Beasley serves all of these plants except that at Gonzalez, Fla., and handles traffic originating at the Gonzalez plant via interline in Alabama. During the first 8 months of 1975 Floyd & Beasley originated 59 million pounds at the various plants served and participated in 4.9 million pounds moving from the Gonzalez plant. Floyd & Beasley handled approximately 31 million pounds during this period from Alabama origins to points in Georgia, South Carolina, and Tennessee; it maintains trailer pools at the Alabama origins and picks up at those installations on a daily basis as many as 20 truckloads.

The remaining traffic was handled by Floyd & Beasley from the South Carolina origins, an insignificant portion to Alabama points, the remainder to Georgia and Tennessee corporate yarn customers, drapery manufacturers and various types of textile manufacturers. The traffic to Georgia and Tennessee destinations moves almost entirely to points which are outside the 20 percent rule of the Gateway Regulations and thus cannot be served directly under Floyd & Beasley's "E" letter notices; unless additional authority is granted Floyd & Beasley's service will be lost. An exhibit showed the traffic handled by Floyd & Beasley from the South Carolina origins to Georgia (Calhoun, Carrollton, Cartersville, Chatsworth, Columbus, Dalton, Elijah, Eaton, LaGrange, Lafayette, Lyerly, and Rossville) and Tennessee (Chattanooga, Cleveland, Crossville, Decatur, Knoxville, Lake City, Spencer, and Spring City) points during the year 1974 and the first 6 months of 1975, a total of 59,431,200 pounds (41,304,500 to Georgia, 18,126,700 to Tennessee).

Applicant's service is considered very good. Few customer complaints have been received in regard to its service and several customers request routing via Floyd & Beasley. If this application were not granted and the gateway elimination application were not granted, Monsanto would have to find substitute service for some 120 million pounds annually, an insuperable task. Monsanto has always utilized Floyd & Beasley from Alabama to South Carolina points. The tonnage that applicant transports from South Carolina into Alabama, Georgia, and Tennessee helps return Floyd & Beasley's equipment to the Alabama area for further movements outbound. Without such balance Floyd & Beasley would not have enough power units in Alabama to service Monsanto origins. Thus, the South Carolina to Georgia and Tennessee traffic is viewed as an integral part of the outbound Alabama traffic. Monsanto supports the application for the continuance of Floyd & Beasley's service from the South Carolina origins to all points in Tennessee and Georgia, thereby assuring continuing overall service.