QDI unsure of disruption cost
Sep 1, 2005 11:25 AM
Quality Distribution Inc (QDI), Tampa FL, said it is unable at this time to estimate either the duration of the disruption caused by Hurricane Katrina or the ultimate impact on QDI's financial performance.
In addition, the carrier said it does not yet know the extent, if any, to which any losses will be covered by business interruption insurance.
QDI is estimating that inbound and outbound freight into the devastated area generates approximately $1.5 million dollars per week of revenue.
The company and its independent affiliates operate several terminals and tank washes in areas of Alabama, Louisiana, and Mississippi affected by the storm.
While the facilities for the most part seem to have suffered relatively minor physical damage, QDI operations in the area have been disrupted due to customers' operations being shut down, delivery difficulties resulting from damage to roadways, and the inability to contact many of its drivers in the area.
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