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RMC losses hit hauliers

24th September 1992
Page 11
Page 11, 24th September 1992 — RMC losses hit hauliers
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Which of the following most accurately describes the problem?

• Hauliers working for RMC were warned this week that the amount of work on offer is not likely to increase for several years. This follows a 50% fall in RMC's UK profits to £8.8m for the six months to 30 June.

Commenting on the prospects for RMC's 950 concrete hauliers, construction analyst Lawrence Amboldt of brokers Carr Kitcat and Aitken says: "We won't see any improvement until 1994."

The RMC fleet has been pared down by more than 25% over the past few years. Amboldt says: "My own feeling is there may be a slight further reduction but not very much. The big reduction has already happened in the UK."

RMC employs more than 800 owner-drivers and finance director Brian Jenkins says there are no plans to cut any more trucks "at the moment", but he adds that future fleet levels are "de pendent on demand". In its interim results RMC points to the severe effects of the continuing downward trend in the construction industry. 1:1Last week Tarmac reduced the rates it pays to haulage subcontractors and announced the closure of eight brick and concrete block plants.