Submitted by Nike Inc.
SACRAMENTO, CA - October 29, 2007 - Nike, Inc. and its affiliate company Converse announced today that they would be switching a significant portion of their Los Angeles area harbor drayage fleet from diesel to new Liquefied Natural Gas (LNG) fueled vehicles. The "green fleet" announcement was made in conjunction with news that Nike has joined the Coalition for Responsible Transportation (CRT), a group advocating for policies and public/private partnerships that encourage the use of cleaner truck technologies in port communities.
Nike estimates the new LNG trucks will emit 18 percent less CO2, 88 percent less NOx and 96 percent less particulate matter per mile when compared to their diesel counterparts. Nike, utilizing a public-private partnership model recently developed by CRT, has teamed up with Southern Counties Express, a local trucking firm, to meet approximately 50 percent of its por-related trucking needs in the Los Angeles/Long Beach area. Southern Counties Express will be taking delivery on more than 70 new LNG-fueled trucks in the next two months. The trucks were purchased in part with financial aid from the ports of Los Angeles and Long Beach and the Air Quality Management District (AQMD).
"Nike and our affiliate companies are committed to a 30 percent absolute
CO2 reduction for inbound logistics by 2020," said John Isbell, Nike's Director of Corporate Logistics Services. "To do so will take an accumulation of many efforts just like this one in which we can take advantage of an environmentally preferred alternative."
The ports of Los Angeles and Long Beach are the ports of entry for a substantial portion of the footwear, apparel and equipment which Nike and Converse import from the Asia Pacific region. While a portion of those goods move directly via train from the ports to Nike distribution centers in Tennessee, many are trucked directly to local distribution centers in Inland Empire and Torrance. It is a portion of those hauls - totaling approximately 285,000 miles a year -- which will be converted to LNG trucks.
"We think LNG trucks can be part of the approach for addressing the air quality impacts of drayage trucking in the area around these vital ports," said CRT spokesperson James Jack. "We are pleased Nike has taken a leadership role in committing to use these vehicles."
Brian Griley, CEO of Southern Counties Express, said he expected to take begin putting the new LNG trucks into service in mid-December. "I'm very confident the market, especially when they see companies like Nike leading, will respond very positively to this transportation option."
About Nike, Inc. Based near Beaverton, Oregon, Nike is the world’s leading designer, marketer and distributor of authentic athletic footwear, apparel, equipment and accessories for a wide variety of sports and fitness activities. Wholly-owned Nike subsidiaries include Converse Inc., which designs, markets and distributes athletic footwear, apparel and accessories; NIKE Bauer Hockey Inc., a leading designer and distributor of hockey equipment; Cole Haan, which designs, markets, and distributes fine dress and casual shoes and accessories; Hurley International LLC, which designs, markets and distributes action sports and youth lifestyle footwear, apparel and accessories and Exeter Brands Group LLC, which designs and markets athletic footwear and apparel for the value retail channel.
About the Coalition for Responsible Transportation. CRT was created to allow private sector companies to address port-related environmental issues by implementing innovative solutions to alleviate diesel-related emissions, and to promote better business practices in communities surrounding our nation's ports. CRT recently released a comprehensive template that provides port users the ability to convert existing diesel truck fleets to low emission, "green" truck fleets. This voluntary program is based on a "lease to buy" model that puts drivers in new, clean trucks through private sector financial support. The CRT green fleet template is being shared with industry and governmental leaders with the goal of serving as a model for diesel emission reduction efforts in other major port complexes throughout the United States.
NIKE, Inc. based near Beaverton, Oregon, is the world's leading designer, marketer and distributor of authentic athletic footwear, apparel, equipment and accessories for a wide variety of sports and fitness activities. Wholly-owned NIKE subsidiaries include Converse Inc., which designs, markets and distributes athletic lifestyle footwear, apparel and accessories and Hurley International LLC, which designs, markets and distributes surf and youth lifestyle footwear, apparel and accessories. For more information, visit www.nikeinc.com.
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