Dive Brief:

• Winconsin-based Roadrunner Transportation Systems and Ontario-based Sameday Worldwide entered into a reciprocal agreement last week to expand their service offerings to two countries.
• Under the agreement, Roadrunner will handle Sameday shipments within its U.S. network while Sameday will handle Roadrunner LTL shipments to eastern Canada.
• Sameday will also help Roadrunner expedite international shipments through trans-border management, according to the press release. The company is offering one-day shipments to the U.S.

Dive Insight:

Roadrunner appears to be betting on expanding its direct service offerings and facilities in order to grow its share of an increasingly strained freight market. 

Roadrunner's second quarter earnings announcement reveals the company has been struggling due to a muted freight environment. The company lost $7 million in LTL revenue compared to last year, which was only a fraction of its $34.5 million decrease in consolidated revenue from the same period last year. In addition, the company reported $600,000 in downsizing costs, largely from transitioning from long haul employee drivers into a cheaper, independent contractor model. 

However, Roadrunner has expanded its service to Chicago, Vancouver, Memphis, Plainfield, IN, and El Paso, TX within the past year. Through the partnership with Sameday, Roadrunner will also receive access to the Canadian company's 32 terminals and increased marketing potential.