Old Dominion Freight Line Implements 4.9% Rate Increase to Improve Service Quality

### Old Dominion Freight Line Announces General Rate Increase to Enhance Service Quality

Old Dominion Freight Line, Inc. (Nasdaq: ODFL), a leading player in the North American less-than-truckload (LTL) sector, reveals a general rate increase (GRI) of 4.9% that is set to take effect on December 2, 2024. This adjustment affects rates under its existing ODFL 559, 670, and 550 tariffs. According to Todd A. Polen, the company’s Vice President of Pricing Services, the decision to implement this increase stems from a strategic assessment of the economic landscape and the imperative to bolster its service network. As the freight industry grapples with rising operational costs, this GRI reflects Old Dominion's commitment to maintaining high-quality service levels while adapting to evolving market demands.

The upcoming rate adjustment is aimed at offsetting various costs associated with real estate, the acquisition of new equipment, investments in technology, and competitive employee compensation. Old Dominion's approach to pricing is closely linked to its long-term yield management strategy, which seeks to balance profitability and service excellence. By implementing this GRI, the company is not only ensuring its ability to meet customer expectations but also reinforcing its reputation for providing reliable, claims-free service at competitive prices. The impact of the increase will vary for customers based on specific shipment lanes and distances, allowing for a tailored approach to pricing that accommodates diverse logistical needs.

In addition to the overall rate increase, Old Dominion will also introduce a nominal rise in minimum charges for intrastate, interstate, and cross-border shipments. This multifaceted pricing adjustment is integral to the company’s dedication to delivering a premium value proposition in the logistics sector. Old Dominion operates through an extensive network of service centers across the continental United States and maintains strategic alliances with other carriers to expand its LTL services throughout North America. The company continues to enhance its offerings with value-added services, including expedited transportation, container drayage, truckload brokerage, and supply chain consulting, thereby solidifying its position as a comprehensive logistics solution provider.

As Old Dominion Freight Line prepares for the future, the forthcoming GRI exemplifies its proactive stance in navigating a competitive market landscape. The company emphasizes its commitment to high service quality while ensuring operational sustainability amid rising costs. Customers can find more details regarding the GRI and its implications by visiting the company’s website or contacting their customer service.

In summary, Old Dominion’s latest rate increase is a strategic move to enhance service quality and operational efficiency. By aligning its pricing strategy with market realities, the company aims to sustain its reputation as a leader in the LTL industry.