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Transportation Overview September 9, 2013

Transportation Overview September 9, 2013. Costco Today. 2 nd Largest U.S. retailer* 7 th Largest retailer in the world 24 th Largest in Fortune 500 $44+ Billion market cap. *Based on worldwide sales. Costco Today. Sales $100B (LTM) 88M+ Sq. Ft. (143K / whse.)

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Transportation Overview September 9, 2013

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  1. Transportation Overview September 9, 2013

  2. Costco Today • 2ndLargest U.S. retailer* • 7th Largest retailer in the world • 24th Largest in Fortune 500 • $44+ Billion market cap *Based on worldwide sales

  3. Costco Today • Sales $100B (LTM) • 88M+ Sq. Ft. (143K / whse.) • 173K employees worldwide • >2M transactions / day

  4. Warehouse Locations • 632 Worldwide • 9 Countries • 448 in U.S. • 29 in WA state

  5. U.S. Annual Shipment Volumes Inbound Truckloads 1,075,000 20% shipped freight collect, 80% shipped prepaid by vendors Outbound Truckloads 450,000 Import Containers (FEU’s) 49,000 Export Containers (FEU’s) 24,000 LTL Shipments 487,000 Small Parcel 9,400,000

  6. U.S. Distribution Network(Outbound) 11 cross-dock facilities 450,000 outbound loads shipped annually All loads received and shipped same day 70% received at selling location same evening Utilize heavy haul equipment when possible WA, OR, UT, ID, MT, CO, FL Private fleet utilized at 6 distribution centers

  7. Washington State Shipments Inbound Truckload Over the Road 16,000 30% shipped to/from California (I-5) Intermodal 6,000 Import Containers 6,000 Export Containers 2,000

  8. Outbound from Sumner, WA Truckload 53,000 truckloads shipped 48,000 loads shipped OTR to WA, ID & OR 22,000 loads shipped via Costco Fleet 5,000 ocean loads shipped to AK

  9. Locations serviced by Sumner, WA

  10. Federal Challenges 80,000lb. GVW Limitation Limited access to use LCV’s Hours of Service CSA

  11. Washington State Challenges Ports Infrastructure Road conditions Port access (Seattle) Construction (Seattle) Lack of PM hours of operation Labor

  12. Washington State Challenges Highway infrastructure Traffic congestion Emergency conditions Flooding, Pass closures Tolls Bridge conditions SR-167

  13. Questions?

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