Canadian National Railway CEO to retire following investor pressure


By Amruta Khandekar and Praveen Paramasivam
© Reuters/Christinne Muschi
A Canadian National Railway train travels westward on a track in Montreal

(Reuters) -Canadian National Railway (CN) said on Tuesday Chief Executive Officer Jean-Jacques Ruest will retire at the end of January, following investor demands for his exit after the railroad operator's failed bid for Kansas City Southern.

TCI Fund Management, which owns 5% of CN, in August pitched former Union Pacific executive Jim Vena for the top job and on Tuesday urged Canada's largest railroad operator to secure his leadership.

"Dismissing the same CEO that the Board put in place just three short years ago is a good start, but it does not address the fundamental problem of a lack of leadership," TCI Founder Chris Hohn said. The hedge fund had earlier cited the company's "ill-conceived" efforts to pursue the Kansas City merger for demanding Ruest's ouster.

Last month, CN lost a bidding war to create the first direct railway linking Canada, the United States and Mexico as rival Canadian Pacific Railway Ltd signed a $27.2 billion deal to buy Kansas City.

CN has now set up a committee to look for a new CEO both within and outside the company.

"(The board) is not on the clock. It doesn't mean that they will go slow," Ruest said in an earnings call, adding that he would leave it to the board to engage with TCI.

Ruest had deferred discussions on his retirement plans in order to see the company through the merger, it said, and he could helm CN until it names a replacement.

In the third quarter ended Sept. 30, adjusted profit rose 9.5% on a surge in petroleum and chemicals shipments. But its operating ratio, a key profitability metric for investors, worsened to 62.7% from 59.9% a year earlier.

($1 = 1.2365 Canadian dollars)

(Reporting by Abhijith Ganapavaram, Amruta Khandekar and Praveen Paramasivam in Bengaluru; Editing by Devika Syamnath)

CN's chief executive to retire, rail's Q3 profit
surges to $1.69B with KCS break fee


Canadian National Railway Co.'s embattled CEO is retiring in the new year, the railway says as it reported a big jump in third-quarter profits thanks in part to a $770-million after-tax break fee it received after walking away from a takeover bid for Kansas City Southern railway.

© Provided by The Canadian Press

The Montreal-based company says Jean-Jacques Ruest will leave at the end of January or when a successor has been appointed. Ruest has been a target for replacement by activist shareholder TCI Fund Management Ltd.

"I am not going anywhere and I will deliver with the team here today around me on the fourth-quarter results and to be sure that we have a successful setup to the 2022 business plan," he told analysts in a conference call after markets closed.

Railway chairman Robert Pace said Ruest had deferred his retirement due to the KCS transaction and introduction of its strategic plan.

TCI has proposed former CN chief operating officer Jim Vena but Ruest said a search committee will consider a wide variety of candidates both inside the railway and elsewhere.

"We know there is some candidate out there, at least one, but I think the world is bigger than that. And before the board makes a decision, we want to be very, very thorough."

CN said it earned $1.685 billion or $2.37 per diluted share for the three months ended Sept. 30, up from $1.38 per share or $985 million a year earlier.

Excluding one-time items such as the break fee, adjusted earnings increased 9.5 per cent to $1.08 billion or $1.52 per share, up from $985 million or $1.38 per share in the third quarter of 2020.

Revenues increased 5.3 per cent to $3.59 billion, up from $3.41 billion.

CN was expected to report $1.44 per diluted share in adjusted profits on $3.54 billion of revenues, according to financial data firm Refinitiv.

CN said its operating ratio, a key measure of railroad efficiency where a smaller number is better, increased 2.8 points to 62.7 per cent due to the impact of fires in Western Canada and other factors, while the adjusted ratio improved to 59.0 per cent.

The railway is "making progress on executing our strategic plan," Ruest said. "This includes delivering immediate shareholder value while maintaining our long-term commitment to safety, customer service and sustainable value creation."

CN said it has already achieved 75 per cent of the promised jobs cuts of more than 1,000. Nearly 600 are management workers and 190 unionize with most taking place in Canada. It has also reduced the use of consultants.

The railway expects all parts of its business will grow in 2022 except for grain as it anticipates a 10 per cent increase in adjusted earnings per share in 2021 above $5.30 in 2020.

The results came a day after TCI made its case for replacing four directors and Ruest in a bid to improve the railway's financial performance. A special shareholder meeting is set for March 22.

TCI is unhappy with CN's bid to acquire KCS, saying it is among some questionable decisions made by the railway. It launched its efforts in response to CN's US$33.6-billion takeover bid for Kansas City Southern.

CN netted the break fee when KCS determined CP's bid was superior after the U.S. railway regulator rejected its request for a voting trust.

Ruest rejected suggestions that his departure moves the railway closer to what TCI has been demanding.

"I think it's maybe the other way around, it's maybe TCI is getting closer to what CN's long-term strategy is," he said.

Ruest said CN's strategy is to position the company for the future and is looking for a leader focused on growth and having a diverse workforce.

Referring to an adage by hockey great Wayne Gretzky, he said CN wants to be where the puck will be next, not where it was in 2010 or 2015.

"When you look for a CEO in early 2022, you want to have somebody who can actually get the company the way it needs to be in 2025."

In a news release, TCI founder and portfolio manager Chris Hohn said a CEO change doesn't go far enough.

"Dismissing the same CEO that the Board put in place just three short years ago is a good start, but it does not address the fundamental problem of a lack of leadership, failed strategic oversight, and the vacuum of operational expertise at the Board level," he said.

"Putting a new plan out a month ago without having the CEO needed to implement it is a massive corporate governance failure and puts the future of the Company at risk. The good news is TCI has a clear plan and the right people available now to fix that."

Analyst Cameron Doerksen of National Bank Financial says TCI's written submission to shareholders was short on specifics about proposed changes to improve CN's financial and operational performance.

He said CN management has two quarters before the March shareholder meeting to show progress toward its financial targets.

The often bitter proxy battle has seen each side accuse the other of making inaccurate and misleading statements.

TCI has denied CN's claim that it is in a conflict of interest by being the largest shareholder of rival Canadian Pacific Railway Ltd. in addition to being the second-largest CN investor.

This report by The Canadian Press was first published Oct. 19, 2021.

Companies in this story: (TSX:CNR, TSX:CP)

Ross Marowits, The Canadian Press

Xpeng-backed flying car startup raises $500 million



BEIJING (Reuters) - HT Aero, a flying car startup backed by Chinese electric vehicle maker Xpeng Inc, said on Tuesday it has raised over $500 million in its latest funding round.

© Reuters/Mike Segar FILE PHOTO: An XPeng Inc. P7 performance electric vehicle outside the New York Stock Exchange (NYSE) ahead of the Chinese company's IPO in New York

The startup, founded in 2013 and previously called Xpeng Heitech, raised the new money from IDG Capital, 5Y Capital, Xpeng and others in this funding round, it said in a statement.

HT Aero said it would use the funding to develop technologies and expand its workforce. It aims to deliver a flying car model, which will be able to drive on road, to customers in 2024.

HT Aero did not disclose its valuation after the funding round.

Companies from start-ups to global carmakers are racing to develop commercial flying "robo-taxis", hoping to cash in on a market Morgan Stanley says could be worth $1.5 trillion by 2040.

Other automakers that are developing flying cars in China include Geely's Terrafugia, which is building a factory in central city of Wuhan. Volkswagen AG is also studying the industry in China.

Regulators in China, however, have yet to detail rules on flying vehicles.

Parliament imposes mandatory vaccination rule on most MPs
CBC/Radio-Canada 

'

© Adrian Wyld/The Canadian Press

 The vast majority of returning MPs are already fully vaccinated against COVID-19, though the status of some Conservative MPs has not been made public.

Most members of Parliament — and anyone else entering the House of Commons — will have to be fully vaccinated against COVID-19 when Parliament returns on Nov. 22.

The Board of Internal Economy, Parliament's governing body responsible for administrative rules, announced the requirement today.

"This requirement will apply to any person who wishes to enter the House of Commons Precinct, including members and their staff, political research office employees, administration employees, members of the Parliamentary Press Gallery, parliamentary business visitors, contractors and consultants," says a statement from the board.

The statement goes on to say that those with a valid medical reason for avoiding vaccination "will have the option of providing proof of a recent negative COVID-19 rapid antigen test result."

Liberal MP Anthony Rota is chair of the Board of Internal Economy. The board is made up of nine MPs representing each party elected to Parliament, except the Greens.

Parliament will consider an individual fully vaccinated 14 days after their second dose of a vaccine approved by Health Canada.

The mandatory vaccination policy is in addition to the preventative measures already in place in Parliament, including mandatory masking and the closure of the grounds to the public.

Both the Liberals and NDP required that their candidates be vaccinated during the election campaign, though they did not extend that requirement to staff members. The Bloc Québécois said during the campaign that all of its candidates were vaccinated.

The Conservatives have not released similar vaccination statistics, but the party told CBC News in September that Conservative MPs will follow all public health directives.

Parliament is set to resume on Nov. 22, slightly more than two months after election day.

The office of Pablo Rodriguez, the government house leader, indicated that Parliament may resume under the hybrid model that was used for much of the pandemic, which allows some MPs to attend virtually.

"We believe the hybrid House of Commons worked well earlier this year. We are supportive of continuing to have hybrid sittings of the House and continuing to make use of technology to ensure that Parliament continues to work well for all Canadians," said Rodriguez's spokesperson Simon Ross.

Bloc Québécois Leader Yves-François Blanchet called for the end of the hybrid system shortly after the election, saying that any unvaccinated MPs should stay home.

Alyssa Milano Arrested During Voting Rights Protest Outside White House

Brent Furdyk 9 hrs ago


Alyssa Milano was one of several protesters arrested on Tuesday while demonstrating for voting rights outside the White House in Washington, DC.

© Photo by Paul Morigi/Getty Images 

Actress and People For the American Way board member Alyssa Milano attends the "No More Excuses: Voting Rights Now" rally held in front of The White House on Oct. 19, 2021 in Washington, DC.

Milano announced her arrest via Twitter, writing that she "was just arrested for demanding the Biden Administration and the Senate to use their mandate to protect voting rights."

The protest was organized by People for the American Way, on which Milano is a board member; the organization was founded in the 1970s by legendary TV producer Norman Lear.

RELATED: Alyssa Milano Confirms She Is Considering A Run For U.S. Congress

The protesters urged the U.S. Senate to end the archaic filibuster, which has allowed the Republican minority to thwart efforts to pass the Freedom to Vote Act, which would provide legislation to make voting easier throughout the U.S. even as Republican-run states are enacting legislation making voting more difficult at the state level.

According to Deadline, prior to being arrested, Milano and her fellow protesters were warned by a U.S. Park Police officers they were violating a District of Columbia misdemeanor law prohibiting "crowding or obstructing streets or sidewalks."

The former "Who's the Boss?" star is at the nation's capitol to testify before Congress on Thursday to support passing of the Equal Rights Amendment, which was originally set to be ratified in the 1970s but has languished in Congress for decades.

People for the American Way president Ben Jealous also shared video of his arrest on Twitter.

ACLU sues Oklahoma over law prohibiting critical race theory topics from being taught in schools

By Madeline Holcombe, CNN 5 hrs ago

A group of students and educators has filed a complaint challenging an Oklahoma law that restricts teaching about race and gender, in what the American Civil Liberties Union calls the first federal lawsuit to challenge such a statewide ban.

© Adobe Stock The state flag flies at the Oklahoma State Capitol in Oklahoma City in 2018.

The suit -- backed by the ACLU, the Lawyers' Committee for Civil Rights Under Law, the Oklahoma state conference of the NAACP and the American Indian Movement (AIM) Indian Territory -- seeks to block enforcement of the law it says inhibits free speech and education of complete history through the framework of critical race theory.

The concept has ignited controversy in recent months, and at least two dozen states have taken steps to ban topics surrounding critical race theory from being taught in schools.

Oklahoma's HB 1775, which does not include the term "critical race theory," is intended to stop discrimination, according to the bill. If any educator makes part of their curriculum teachings that "an individual, by virtue of his or her race or sex, bears responsibility for actions committed in the past by other members of the same race or sex" or that "an individual, by virtue of his or her race or sex, is inherently racist, sexist or oppressive, whether consciously or unconsciously," they could be suspended or have their license removed, according to the law.

When the law went into effect in July, according to the lawsuit, its vague terms left many educators to err on the side of caution, striking Black and female authors from their reading lists "while leaving in place texts by White and male authors," the lawsuit said.

Video: How a racist rant in 'The Great Gatsby' explains White identity politics today (CNN)

"Teachers have received guidance to comply with H.B. 1775 by avoiding terms such as 'diversity' and 'white privilege,' while administrators have simultaneously acknowledged that 'no one truly knows what (the Act) means or can come to agreement on its meaning,'" the lawsuit says.

State Rep. Kevin West, who authored HB 1775, told CNN the complaint is "full of half-truths" and "blatant lies."

"It is unfortunate, but not surprising, to see radical leftist organizations supporting the racist indoctrination of our children that HB 1775 was written to stop. The law ensures that all history is taught in schools without shaming the children of today into blaming themselves for problems of the past, as radical leftists would prefer," West said in a statement.

Gary Peller, a professor at Georgetown Law and author of "Critical Race Consciousness: Reconsidering American Ideologies of Racial Justice," told CNN earlier this year that critical race theory acknowledges racism is both systemic and institutional in American society and that White people have historically held racial power.

The bill has impacted students' ability to exchange ideas, engage in discussions and study history, the lawsuit argues.

"All young people deserve to learn an inclusive and accurate history in schools, free from censorship or discrimination," said Emerson Sykes, staff attorney with the ACLU Speech, Privacy, and Technology Project. "The bill was intended to inflame a political reaction, not further a legitimate educational interest."

MANCHIN TORPEDOS BUILD BACK BETTER

SOME Democrats abandon free community college as White House warns social safety net bill will shrink below $2T

Sahil Kapur and Kristen Welker and Leigh Ann Caldwell and Dartunorro Clark

MSNBC 


WASHINGTON — President Biden told progressive lawmakers on Tuesday that the final social spending bill is expected to drop tuition-free community college and curtail the child tax credit program, two sources familiar with the meeting told NBC News on Tuesday.

© Provided by NBC News

The sources told NBC News that the popular child tax credit will likely be extended for an additional year. The proposals had been pushed by many Democrats as ways to reduce poverty and remove financial barriers to higher education and vocational training.

The new details on the negotiations come as Biden and Democratic leaders feverishly work to reach a deal. But the talks remain fluid as the party works to narrow down the bill to a version that can become law.

The news also comes as another big priority — a sweeping climate measure known as the Clean Energy Performance Program — is also likely to be curtailed from the spending bill. However, congressional sources told NBC News on Tuesday that while the climate proposals will be scaled back there will be a focus on clean renewable energy. Two sources familiar with the negotiations also told NBC News that lawmakers are considering reducing the duration of paid leave in the bill, potentially from 12 weeks to 4 weeks.

Earlier Tuesday, Rep. Pramila Jayapal, D-Wash., chair of the House progressive caucus, said her members had a "really good, productive meeting" with Biden, who is working with moderates and progressives on the bill.

"I think we all still feel even more optimistic about getting to an agreement on a really transformational bill that will fundamentally lift people up," she told reporters.

The social spending package, which Democrats are attempting to pass without Republican support through a procedural process known as reconciliation, started at $3.5 trillion. Last month, Biden told House Democrats the range was likely $1.9 trillion to $2.2 trillion. But he told progressives Tuesday night the range he is now working on is $1.75 trillion to $1.9 trillion, three sources familiar with the meeting told NBC News.

Sources cautioned, however, that there is no final deal on these proposals.

Biden had separate White House meetings Tuesday with Sens. Kyrsten Sinema of Arizona and Joe Manchin of West Virginia, both of whom are at the center of the disagreement over the bill's price tag and proposals. The administration has been pressing Congress to reach a deal on the social spending package and the trillion-dollar infrastructure bill by the end of the month.

Manchin, who has said he is proceeding with caution on any additional spending, told reporters Monday that he was skeptical that Congress could meet the self-imposed Oct. 31 deadline to pass both bills.

But the White House struck a more optimistic tone.

"After a day of constructive meetings, the president is more confident this evening about the path forward to delivering for the American people on strong, sustained economic growth that benefits everyone," White House press secretary Jen Psaki said in a statement Tuesday night.

"There was broad agreement that there is urgency in moving forward over the next several days and that the window for finalizing a package is closing," she said.

The battle for British supermarket group Morrisons


(Reuters) - Shareholders in Morrisons, Britain's fourth-largest supermarket group, on Tuesday approved a 7 billion pound ($9.7 billion) agreed takeover by U.S. private equity firm Clayton, Dubilier & Rice (CD&R).

© Reuters/Lee Smith FILE PHOTO: A view of a Morrisons supermarket in Birtley

Here is a timeline of the six-month battle for the grocer.

June 19

Morrisons rejects a proposed 5.52 billion pound ($7.43 billion)cash offer from Clayton, Dubilier & Rice (CD&R).

June 30

Morrisons investor JO Hambro says CD&R should increase its offer to around 6.5 billion pounds.

July 3

Morrisons agrees to a 6.3 billion pound offer from a consortium led by SoftBank-owned Fortress Investment Group. It emerges Fortress made an initial approach in early May.

July 5

A third private equity group, Apollo Global Management, says it is evaluating a possible offer for Morrisons.

July 20

Apollo says it will not bid for Morrisons on its own but may join the Fortress consortium.

July 22

Scheme document outlining Fortress' offer is published and Aug. 16 set for Morrisons' shareholders to vote on the offer. UK Takeover Panel gives CD&R until Aug. 9 to announce a firm intention to make an offer or walk away.

July 27

Silchester, Morrisons' biggest shareholder, says not inclined to support Fortress offer.

July 28

Singapore's GIC sovereign wealth fund joins Fortress-led consortium.

July 29

Morrisons investor M&G says Fortress offer does not reflect the value of the group.

Aug. 6

Morrisons agrees to an improved offer worth 6.7 billion pounds from Fortress consortium and adjourns until Aug. 27 a shareholder meeting to vote on the offer.

Aug. 9

Takeover Panel extends CD&R's "put-up or shut-up" deadline until Aug. 20.

Aug. 19

Morrisons agrees to a 7.0 billion pound (285 pence a share) offer from CD&R and drops the Fortress recommendation. Fortress says it is "considering its options". Morrisons says Aug. 27 shareholder meeting will instead be held around week starting Oct. 4.

Aug. 23

Morrisons shareholder Legal & General says it believes the true value of the supermarket group should be realised following CD&R's sweetened bid, with more attention now being paid to its property assets.

Aug. 24

Morrisons' pension schemes warn a takeover by either CD&R or Fortress could "materially weaken" the security of the schemes if no additional protection is agreed.

Aug. 27

Morrisons says scheme document for CD&R's offer to be published on or around Sept. 11. It says shareholder meeting to vote on CD&R offer will be held on or around Oct. 5.

Sept. 8

Morrisons says it is in talks with CD&R, Fortress and the Takeover Panel over an auction process. It says scheme document for CD&R's offer to be published around Sept. 25, with a shareholder meeting around Oct. 18.

Sept. 14

CD&R reaches agreement with pension trustees to provide additional security and support.

Sept. 25

Scheme document for CD&R's offer published. Shareholder meeting slated for Oct. 19.

Sept. 29

Takeover Panel says auction will be held on Oct. 2.

Oct. 2

CD&R wins the auction, bidding 287 pence a share versus Fortress' 286 pence.

Oct. 19

Morrisons' shareholders approve CD&R's offer.

($1 = 0.7234 pounds)

(Reporting by James Davey; Editing by Nick Macfie)

Amazon's new net-zero carbon pledge is focused on the oceans, as shipping giants pursue alternative fuels

Alicia Doniger  CNBC  12 hrs ago



Marine shipping accounts for 1 billion tons of carbon emissions per year, according to the Clean Air Task Force, which worked with the Aspen Institute on a new ocean transportation effort.

Amazon and IKEA are among the companies making a pledge to only use zero-carbon fuel ocean vessels by 2040.

New renewable sources of fuel such as marine ammonia will be required, and transitioning the shipping industry away from fossil fuels will require an "intense globally coordinated effort," according to CATF.

© Provided by CNBC For the marine shipping industry to cut its carbon footprint in half by 2050, promising technology will need to become reality, and efficiency gains will need to increase as well.

Amazon and IKEA are among the major companies pushing the ocean shipping industry to adopt zero-carbon fuel sources for vessels by 2040.

Marine shipping accounts for 1 billion tons of carbon emissions per year, according to the Clean Air Task Force, which worked with the Aspen Institute on a plan to accelerate a marketplace for zero-carbon shipping among the world's largest cargo ship owners. The announcement on Tuesday included other consumer-facing companies such as Patagonia, Brooks Running, Inditex, Michelin, Unilever, Tchibo, and Frog Bikes. The announcement did not include cargo companies.

In 2018, the International Maritime Organization set an initial goal of cutting carbon emissions from international shipping by at least 50% by 2050 compared to 2008.

According to Clean Air Task Force research, for the IMO to reach its goals a large part of the international shipping fleet would need to transition to net-zero-carbon fuels. CATF has cited ammonia as a likely option for marine, though it noted that ammonia is approximately 3-7 times more expensive than conventional marine fuel.

Its research also suggests liquified natural gas as a transition — but only transitional fuel — and small-scale nuclear on-vessel as an underexplored option for the future. It estimated that ships could change over to LNG use for a 15% carbon reduction, but that figure would depend on methane leakage being reduced "well below current levels."

"In order to combat the climate crisis, we must rapidly decarbonize marine shipping," Jonathon Lewis, Director of Transportation Decarbonization at CATF said in a statement announcing the consortium of merchants.

CATF stated in its research that U.S. shipping is responsible for 80 million tonnes of CO2 emissions, a figure which is increasing, and for the U.S. shipping fleet to meet the IMO 2050 deadline, use of marine ammonia would need to reach as high as 47 million tonnes.

CATF proposes making marine ammonia from renewables (referred to as green ammonia), nuclear power, or carbon capture and storage operations in industries including fossil fuels (referred to as blue ammonia). But it noted that there is still a long way to go to "make marine ammonia a reality."

Current ammonia production has a carbon footprint, mostly from within the fertilizer industry.

In March of this year, several of the major cargo companies including Maersk, Fleet Management Limited, Keppel Offshore & Marine, Sumitomo Corporation and Yara International began a study of a green ammonia supply chain at the Port of Singapore.

"Emitting zero CO2 when combusted, ammonia has long been considered as one of the most promising alternative marine fuels to reduce greenhouse gas (GHG) emissions within the shipping industry," the group said in a statement.

"So far, it is unclear which measures could achieve the emissions reduction targeted by the IMO (much less, reductions that are consistent with the Paris Agreement), but it is unlikely that it will be through technology alone," CATF wrote in its report on transportation decarbonization. And it said, "The shift to ammonia will need an intense globally coordinated effort."

IMO itself implemented a mandatory data collection system for fuel oil consumption of ships in March 2018, and by 2025, set the goal of new ship builds being 30% more energy efficient than those built in 2014, according to its greenhouse gas reduction plan.

Over the last few years, Amazon has stepped up its commitment to reducing its carbon footprint while it also has taken over more control of its massive logistics operations. In 2019, Amazon first unveiled its pledge to meet the Paris climate agreement goals through the use of renewable energy and new transportation technology, such as electric delivery vehicles, 10 years ahead of the Paris timeline.

Among its most notable carbon-free transportation investments is electric vehicle maker Rivian, which has raised billions from venture investors including Amazon. The retail giant plans to buy 100,000 electric vehicles from Rivian and, by 2020, Amazon said it had already delivered over 20 million packages using electric vehicles. The retail giant rolled out its custom electric delivery vehicles earlier this year and says it will have 10,000 vehicles on the road by 2022.

 By 2028, Amazon is predicted to acquire 200 airplanes for its freight needs.

Wanted: 80,000 truck drivers to help fix the supply chain 


The trucking industry is short 80,000 drivers, a record high, Chris Spear, President and CEO of the American Trucking Associations, tells CNN.

© Brendan Smialowski/AFP/Getty Images 

Trucks transport cargo containers at the Port of Baltimore in Baltimore, Maryland, on October 14, 2021.

By Vanessa Yurkevich, CNN

That's a 30% increase from before the pandemic, when the industry already faced a labor shortage of 61,500 drivers.

"That's a pretty big spike," Spear added. Many drivers are retiring, dropping out of the industry. Increased consumer demand, prompting a need for more drivers, also plays a big role in the shortfall.

This comes at a time when US ports are backlogged -- primarily because there are few trucks and drivers to pick up cargo -- creating a supply chain slowdown. President Biden directed the Ports of Los Angeles and Long Beach to move to 24/7 operations. However, the ports can't yet work round the clock because importers don't have enough drivers to move their cargo at all hours.

"24/7 operations - it's an improvement," said Spear. "But it doesn't matter if it's a port in LA or Long Beach, or the last mile of delivery from a train to a warehouse in Wichita. You're going to have to have a driver and a truck move that freight."

Truck drivers move 71% of the US economy's goods, but represent just 4% of the vehicles on the roads, said Spear. If nothing is done, the latest figures put the industry on track for a shortage of 160,000 drivers by 2030, and the need for 1,000,000 new drivers over the next ten years, according to the American Trucking Associations.

The bipartisan infrastructure bill awaiting action in Congress would authorize hundreds of billions of dollars for transportation, which would include workforce development for the trucking industry. That would allow 3,000 drivers between the ages of 18-20 to undergoing training, permitting them to drive tractor-trailers across state lines. Currently, drivers must be 21 to do so.

Spear believes younger drivers are the key answer to the labor shortage.

"I think that clearly is the most impactful thing that could be done right now to alleviate this problem. So next year, [we] are not going to be having this conversation because it will alleviate itself because we're investing," said Spear.

#VULCANOLOGY

Volcano in southern Japan erupts with massive smoke column

TOKYO (AP) — A volcano in southern Japan erupted Wednesday with a massive column of gray smoke billowing into the sky

.

© Provided by The Canadian Press

The Japan Meteorological Agency raised the warning level for Mount Aso to three on a scale of five, warning hikers and residents to avoid the mountain.

NHK national television aired footage of a massive smoke column above the volcano.

The warning was issued for the city of Aso and two nearby towns in Kumamoto prefecture, which is in the north-central region of the southern island of Kyushu.

Yoshihiko Isozaki, the deputy chief Cabinet secretary in the national government, said it is still collecting information on the eruption.

La Palma: Drone operator will try to rescue dogs from volcano
Story by Reuters 32 mins ago

A Spanish drone operator on Tuesday received permission to try to rescue three emaciated dogs trapped near a volcano in the Canary Islands, by catching them with a remote-controlled net and flying them out over a stream of lava.

© La Palma local government/Reuters A dog stands on the ash-covered earth surrounded by volcanic lava following an eruption of the Cumbre Vieja volcano, in the area of Todoque on the Canary Island of La Palma, Spain in this undated screen grab taken from a handout video. Video recorded with a drone. LA PALMA LOCAL GOVERMENT/VOLCANIC LIFE/TICOM SOLUCIONES/Handout via REUTERS THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. MANDATORY CREDIT.

The three dogs have been stranded for weeks in an abandoned yard covered with volcanic ash on the island of La Palma.

They have been fed by drones dropping packages of food, but until now no one has been able to figure out how to rescue them. Helicopters are banned from flying to the area because of hot gas that can damage their rotors.

After evaluating the proposed rescue mission, emergency authorities said in a statement they had decided to allow it.

Jaime Pereira, CEO of drone operator Aerocamaras, said he plans to send a 50-kilogram (110-pound) drone equipped with a wide net to try to trap the dogs, one by one, and fly them to safety, 450 meters (1,476 feet) away over flowing lava.

"It's the first time an animal is being rescued with a drone and the first time it has to be captured," Pereira told Reuters. "If that's the last option that the dogs have? Then we're going after them."

The operator will have just four minutes to lure a dog to the net, and another four minutes to fly it out.

"What we don't want is to run out of battery when flying over the lava," Pereira said.

Test flights are still being carried out. Ultimately, the mission depends on how the dogs will respond to the machine, Pereira said.

"They've been eating very little for weeks. They might come, or become scared of the drone. We really depend on their reaction."