Old Dominion Freight Line coughs up for hazmat settlement

August 5, 2022

•

Allegations of illegal disposal of hazardous waste by Old Dominion Freight Line have been settled.

The less-than-truckload company will pay $1.36 million civil penalties, costs, and supplemental environmental projects, according to a news release from the Alameda County District Attorney’s Office. Old Dominion Freight Line also was ordered to implement an improved hazardous waste compliance program at its service centers and repair facilities in California. The judgement was filed in late July.

The hazmat disposal practices were discovered by investigators from 16 district attorneys and one city attorney.

Investigators found that Old Dominion Freight Line illegally disposed of hazardous waste in the company’s trash receptacles, unlawfully transported hazardous waste out of state without proper documentation and without a transporter’s registration, and failed to train employees in the proper management of hazardous waste.

The hazardous waste included commercial chemical products, paint materials, electronic devices, batteries, ignitable liquids, aerosol products, cleaning agents, and other flammable, reactive, toxic, and corrosive materials.

Old Dominion Freight Line developed and implemented new policies, procedures, and training programs designed to properly manage and dispose of hazardous waste shortly after prosecutors brought the issues to the company’s attention, according to the news release.

No environmental damage was alleged to have occurred, and no toxic materials escaped or were released into the environment, reports the Santa Barbara Independent.

Old Dominion second quarter report

In its second-quarter earnings call on July 27, Old Dominion President and CEO Greg Gantt reported a revenue increase of 26.4% for $1.7 billion. A transcript is available from The Motley Fool.

“We also improved our operating ratio by 280 basis points to 69.5%. This is the first time in our company’s history that we have produced a sub-70% quarterly operating ratio,” Gantt said.

The operation ratio measures how efficiently a company keeps costs low while generating revenue. The smaller the ratio, the more efficient the company is at generating revenue vs. total expenses.

The company expects to end the year strong, he said.

“With over $700 million of year-to-date revenue growth through June, we are on pace to exceed $1 billion of revenue growth for the second year in a row,” Gantt said.

Old Dominion Freight Line is based in Thomasville, N.C.