Ryder System provides
40 CNG trucks for lease
to 99 Cents Only Stores
Sep 20, 2012 10:03 AM
About half of 99 Cents Only Stores’ sales come from food and beverages, including fruits and vegetables; dairy, deli, and frozen foods; as well as organic and gourmet foods.
The CNG-powered vehicles were made available through Ryder’s natural gas vehicle project agreement with the San Bernardino Associated Governments (SANBAG) in Southern California, and will replace most of the retail chain’s delivery fleet. The contract with 99 Cents Only Stores is Ryder’s single largest lease agreement for CNG vehicles to date.
This deal, made possible by the $38.7 million Ryder/SANBAG project, is part of a public/private partnership among the US Department of Energy, the California Energy Commission, the Southern California Association of Governments Clean Cities Coalition, and Ryder. The project includes 202 natural gas vehicles to be deployed into Ryder’s Southern California operations network, upgrades to three maintenance facilities for proper servicing of natural gas vehicles, and construction of two fueling stations.
“With the support from SANBAG to offset acquisition costs, we’ll be able to take advantage of natural gas as a fuel source, which is a less-expensive, cleaner, and less-volatile fuel than diesel,” said Eric Schiffer, chief executive officer of 99 Cents Only Stores. “Not only will this allow us to have a quieter, cleaner-burning, and more neighborhood-friendly fleet, it will also help us keep our transportation operations as efficient as possible.”
99 Cents Only Stores has already taken delivery of 31 CNG vehicles and will place the remaining vehicles into service over the next several months. The 40 CNG units will operate throughout the Greater Los Angeles area, carrying out store deliveries and vendor pickups, and will be serviced at a local Ryder facility. Under the full-service lease agreement, Ryder will provide ongoing maintenance for all 40 vehicles.
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