Hub Group Downgrades 4Q Outlook

Third-party logistics company and freight broker Hub Group said its full-year 2008 earnings will be lower than previously estimated, due to sluggish intermodal and brokerage volumes and pricing.

The company estimated it will earn $1.56 to $1.61 per share for the year, down from its previous forecast of $1.65 to $1.70 per share.

“Intermodal and truck brokerage volume has been lower than expected due to the rapid downturn in the economy,” with the biggest volume declines from retail and durable goods segments, Hub Group said in a statement.

Intermodal volume will be flat to down 3% in the fourth quarter, truck brokerage revenue will be down between 8% and 12% due to declines in price, volume and fuel, the company said.