Technical Appendix • Listing of Freight Acronyms & Abbreviations • Freight Glossary & Acronyms (FHWA) • Railroad & Intermodal Abbreviations for New England and Canadian Maritime Provinces 360
Listing of Freight Acronyms and Abbreviations AATA Acronym for the Animal Transportation Association. An international non‐profit organization dedicated to the safe and humane transport of animals. AAR Acronym for the Association of American Railroads. The AAR represents North America's major freight railroads as well as Amtrak. Based in Washington, DC, the organization is committed to keeping the railroads of North America safe, fast, efficient, clean and technologically advanced. ABC Abbreviation for activity‐based costing. A method used to identify, describe, assign costs to and report on freight shipping operations. ACE Abbreviation for automated commercial environment. A method used to automate the process of tracking U.S. imports and provide a systematic approach to border control. ACS Abbreviation for automated commercial systems. The U.S. Customs/Department of Homeland Security master computer system. ACS is a comprehensive system designed to track, control and process all commercial goods imported into the United States. ADA Acronym for the Airline Deregulation Act. A federal law enacted in the late‐70s designed to remove government regulation from commercial aviation and subject the passenger airline industry to market forces. AID Acronym for the Agency for International Development. A U.S. government organization responsible for most non‐military foreign aid. The AID receives foreign policy guidance from the U.S. Secretary of State and seeks to extend a helping hand to those people overseas struggling to make a better life, recover from a disaster or striving to live in a free and democratic country. AMS Abbreviation for the U.S. Customs/Department of Homeland Security Automated Manifest System. The AMS is a modular cargo inventory control and release notification system. It interfaces directly with other systems to allow faster identification and release of low risk shipments. 361
ATA Acronym for the American Trucking Association. The ATA is the national voice for the trucking industry before Capitol Hill, regulators, the courts and the news media. It is the driving force in effecting change, ensuring that the industry’s interests are vigorously promoted and improving the business climate for trucking companies. B * * * * * BAA Acronym for the British Airports Authority. The BAA is the world’s leading airport company. They own and operate seven UK airports as well as operations in Italy, Australia, Hungary and the USA. BACA Acronym for the Baltic Air Charter Association. BACA represents the interests of commercial aviation companies particularly in the air charter industries and their related markets. Members include air brokers, charter airlines, airports, business aircraft operators, freight forwarders and consultants. BAF Abbreviation for bunker adjustment factor. A method used to compensate a water transport vessel for irregular fuel costs. Sometimes referred to as a fuel adjustment factor (FAF.) The term bunker refers to oil and may also refer to a compartment on a ship for storing fuel. BB Abbreviation for bareboat. A method of arranging a shipment that leaves the chartering party with most of the responsibilities of the owner. B/B Abbreviation for break‐bulk cargo. Loose cargo such as cartons, stowed directly in a vessel's hold as opposed to containerized or bulk cargo. BCO Abbreviation for beneficial cargo owner. A term ascribed to an importer who assumes responsibility for freight upon delivery, but does not partake in the movement of that same cargo. B/L Abbreviation for bill of lading. A bill of lading is a document issued by a carrier to the shipper acknowledging that they have received a shipment of goods. It also verifies that those goods have been placed on board a particular vessel bound for a particular destination, and states the terms in which those goods are to be transported. 362
BOM Abbreviation for bill of material. A BOM describes a product's assemblies and basic parts. It is an essential part of the design and manufacture of any product. B2B Abbreviation for business‐to‐business. A term most often used in a marketing context. B2B strategies and services are designed to enable or improve relationships within firms and/or between two or more companies. C * * * * * CAA Acronym for the Civil Aviation Authority. A government body that regulates airlines based in the United Kingdom. The CAA oversees all civil aviation functions such as economic regulation, airspace policy, safety regulation and consumer protection. CAF Abbreviation for currency adjustment factor. A charge applied to compensate ocean carriers on currency fluctuations. The CAF is expressed as a percentage of a base rate. CCEF Abbreviation for customs centralized examination facility. A privately operated facility not in the charge of a Customs officer, but at which merchandise is examined by customs officers. A CES may be established in any port or any area under the province of a port director. CE Abbreviation for consumption entry. The filing process required to import foreign goods for use in the United States. A CE must be made with the U.S. Customs Department to address issues such as the payment of estimated duties, taxes and fees resulting from the release of those goods for sale in America. CFS Abbreviation for container freight station. A shipping dock where cargo is loaded or unloaded from containers. C&F An abbreviated term used for a quoted price that includes the cost of goods and freight. CISG Shorthand expression for the United Nations Convention on Contracts for the International Sale of Goods. The CISG was enacted in 1988 to eventually replace the Uniform Commercial Code (UCC) as the primary legislation governing international sales and contracts of sale. 363
CKD Abbreviation for completely knocked down. A term used to describe unassembled parts and subassemblies being transported to an assembly plant. COFC Abbreviation for container on flatcar. A shorthand expression used to describe the process of placing containers directly on the back of a flatcar. COGSA Acronym for the Carriage of Goods by Sea Act. A law enacted in 1936 to protect carriers from liability arising from damage to cargo caused by inadequate packaging. CMI Acronym for the Comite' Maritime International. Established in 1897, CMI is the oldest international organization in the maritime field and was the first of its type concerned exclusively with maritime law and related commercial practices. CSCMP Acronym for the Council of Supply Chain Management Professionals. Formerly the Council of Logistics Management, the CSCMP was formed to lead the evolving supply chain management profession by developing, advancing and disseminating supply chain knowledge and research. CY Abbreviation for container yard. A method of measurement used to express the capacity of a materials handling/storage facility used exclusively for loads in containers. D * * * * * DAT Abbreviation for dangerous articles tariff. A duty imposed on shipments containing dangerous items such as combustibles, corrosives, acid or other hazardous materials. DCA Acronym for the Department of Civil Aviation. A term broadly used to describe a foreign country's aviation oversight body responsible for establishing regulation and air traffic management guidelines. DDP Abbreviation for delivered duty paid. An arrangement in which the shipper rather than the recipient, has the option of paying for destination duties and taxes on a shipment. This arrangement is also known as free domicile. DDU 364
Abbreviation for delivered duty unpaid. An arrangement in which the destination duty and taxes are paid by the consignee. DEQ Abbreviation for delivered ex quay (duty paid.) An arrangement in which the seller fulfills the contract obligations to deliver when goods are made available to the buyer at the wharf of the destination port. DF Abbreviation for dead freight. A term used to describe freight when the merchant agrees to return cargo and he fails to do so, and lets the ship return in ballast. That merchant must then compensate the shipper in the amount of the freight ‐ this cargo is called dead freight. D&H Abbreviation for dangerous and hazardous cargo. A term used to describe cargo capable of inflicting physical harm or contamination if its container is damaged or packaged inadequately. Examples of such cargo are explosives, corrosives, inflammables, etc. DDC Abbreviation for destination delivery charge. Based on container size, a DDC is a charge that involves many freight tariffs. This charge covers crane lifts off the vessel, container drayage and gate fees. DOT Acronym for the Department of Transportation. The DOT is the most common name for a government agency in North America devoted to transportation oversight. The largest is the United States Department of Transportation, which oversees interstate travel. All U.S. states, Canadian provinces and many local agencies also have similar organizations. DRP Abbreviation for distribution resource planning. A systematic approach to the design, implementation and management of a distribution system based on quick response and continuous replenishment concepts. DRP also provides guidelines on how to dramatically improve the accuracy of product deliveries, reduce levels of inventory, lower operating costs and refine productivity. E * * * * * EMC Abbreviation for export management company. A third‐party entity that manages the export activities of a shipper for a fee. 365
F * * * * * FAF Abbreviation for fuel adjustment factor. Same as bunker adjustment factor. A method used to compensate a water transport vessel for irregular fuel costs. FAK A shorthand expression for freight all kinds. Goods that are usually charged a higher rate and often reside in full container loads of mixed shipments. FAS Abbreviation for free alongside ship. An arrangement in which the seller pays for the transportation of goods to the port of shipment. The buyer then pays loading costs, freight, insurance, unloading costs and transportation from the port of destination to his factory. FCL Abbreviation for full container load. The opposite of a less than container load (LCL.) Simply put, FCL refers to a shipping container that is full. FEU Abbreviation for forty‐foot equivalent unit. A unit of cargo capacity, especially for container ships. One FEU represents the cargo capacity of a standard container 40 feet long, 8 feet wide and a little over 8 feet high. FIATA Acronym for the International Federation of Freight Forwarders Associations. A non‐
governmental organization comprised of 40,000 forwarding and logistics firms. FIATA has consultative status with the Economic and Social Council of the United Nations, the United Nations Conference on Trade and Development and the UN Commission on International Trade Law. FMC Acronym for the Federal Maritime Commission. The U.S. Governmental regulatory body responsible for administering maritime affairs including the tariff system, freight forwarder licensing, the enforcement of the Shipping Act and the approval of carrier agreements. FMCSA Acronym for the Federal Motor Carrier Safety Administration. The FMCSA was established as a separate administration within the U.S. Department of Transportation on January 1, 2000, pursuant to the Motor Carrier Safety Improvement Act of 1999. Its primary mission is to reduce crashes, injuries, and fatalities involving large trucks and buses. FO Abbreviation for free out. An arrangement in which the cost of unloading a vessel is borne by the chartering party. 366
FOB Abbreviation for free on board. A term used to describe a situation in which the seller pays for transportation of the goods to the port of shipment, plus loading costs. The buyer then pays freight, insurance, unloading costs and transportation from the port of destination to his factory. FOC Abbreviation for flag of convenience. A flag of a specific country, flown by a ship owned by a citizen of another country. the country providing the flag charges money for that service. The ship owner can thereby often avoid taxes and make registration easier. FTZ Abbreviation for free trade zone. One or more areas of a country in which tariffs and quotas are eliminated, and bureaucratic requirements lowered as a means of raising the incentives for companies to conduct business there. Most FTZs are located in developing countries. G * * * * * GATS Acronym for the General Agreement on Trade and Services. GATS is a treaty of the World Trade Organization (WTO) that was created to extend the multilateral trading system to services in the same way the General Agreement on Tariffs and Trade (GATT) provides such a system for merchandise trade. All members of the WTO are signatories to GATS. GATT Acronym for the General Agreement on Tariffs and Trade. A multilateral treaty designed to reduce trade barriers between its signatory countries and promote trade through tariff concessions. GATT included a reduction in tariffs as well as other international trade barriers and is generally considered the precursor to the World Trade Organization. GBL Abbreviation for government bill of lading. A Government operations document used when transportation of supplies, materials and personal property are required. The GBL procures freight and express transportation as well as related services from commercial carriers, including freight forwarders. GDSM Abbreviation for general department store merchandise. A way of describing goods shipped by mass‐merchandise companies via service contracts. GO Abbreviation for general order. An action taken when the U.S. Customs Department orders 367
shipments without entries to be kept in their custody in a bonded warehouse. GPS Abbreviation for global positioning system. Also known as a geophysical positioning system, a GPS is a fully‐functional navigation system comprised of more than two dozen satellites. The GPS broadcasts precise timing signals by radio to its receivers, thereby allowing them to accurately determine their exact location: longitude, latitude, and altitude, in any weather conditions ‐ day or night, anywhere on Earth. GRI Abbreviation for general rate increase. A term used to describe a tariff rate increase applied to base shipping rates. GSA Abbreviation for general sales agent. Usually a broker or freight forwarder acting on behalf of an airline. GT Abbreviation for gross tonnage. A term that applies to vessels, not to freight. GT is the total volume in cubic meters of all enclosed spaces on ship. GVW Abbreviation for gross vehicle weight. The combined total weight of a vehicle and its container, inclusive of prime mover. H * * * * * HS Acronym for the harmonized system of codes. An international goods classification system for describing international cargo under a single commodity‐coding scheme. HTS Abbreviation for harmonized tariff schedule. A system for classifying all goods according to the international Harmonized Commodity Coding and Classification System established by the World Customs Organization. I * * * * * I/A Abbreviation for independent action. In the transportation industry, an I/A is the right of a conference member to publish a rate of tariff rule that departs from the Agreement's common rate or rule. 368
IATA Acronym for the International Air Transport Association. The IATA is the global trade organization for the air transport industry. It fights for the interests of airlines across the globe, challenging unreasonable rules and charges, holding regulators and governments to account, and striving for sensible regulation. ICAO Acronym for the International Civil Aviation Organization. A UN agency, the ICAO codifies the principles of international proper air navigation and fosters the planning of air transport practices to ensure safe and orderly growth. It also adopts air navigation standards, seeks to prevent unlawful interference and facilitates border‐crossing procedures for international civil aviation. ICTF Abbreviation for Intermodal container transfer facility. An on‐dock facility for moving containers from ship to rail or truck. ICC Abbreviation for the International Chamber of Commerce. An international organization that supports global trade. It serves as an advocate for the interests of economic growth, job creation and prosperity. IE Abbreviation for immediate exit. In the United States, a Customs IE Form must be executed when goods are brought into the U.S. that will be immediately re‐exported without being further transported within the confines of the U.S. IMDG Code Acronym for the International Maritime Dangerous Goods Code. IMDG Code was developed as a uniform international systematic identification system for the transport of dangerous goods by sea covering such matters as packing, container traffic and stowage. IMO Acronym for the International Maritime Organization. Based in London, the IMO promotes cooperation among governments and the shipping industry to improve maritime safety and prevent marine pollution. INCOTERMS Acronym for the International Chamber of Commerce Terms of Sale. A list of freight shipping phrases designed to provide a set of international rules for the interpretation of the most commonly used trade terms in used foreign trade. IPI 369
Abbreviation for inland point Intermodal. A term that refers to non‐port inland points served by carriers on a through bill of lading. ISO Acronym for the International Standards Organization. ISO is an international standard‐setting body composed of representatives from national standards bodies. Founded in 1947, the organization produces world‐wide industrial and commercial standards ‐ the so‐called ISO standards. ISO also works closely with the International Electro‐technical Commission (IEC), which is responsible for standardization of electrical equipment. J * * * * * JIT Abbreviation for just‐in‐time. An inventory strategy designed to improve business return on investment by reducing in‐process inventory and related costs. K * * * * * KT Abbreviation for Kilo or metric ton. A kilo is the equivalent of 2,204.6 pounds. L * * * * * LCL Abbreviation for less than container load. A quantity of freight less than that required for the application of a full container load rate. L/C Abbreviation for letter of credit. Also referred to as an LOC or a documentary credit, a letter of credit is a document issued by a financial institution which acts as an irrevocable guarantee of a payment to a beneficiary. LIS Abbreviation for logistics information system. A software tool designed to optimize the business of freight transport companies by administering the management of customer and service provider relationships, logistics, vehicles stocks and warehouse services. Lo/Lo Abbreviation for lift‐on/lift‐off. A method by which cargo is loaded onto and discharged from an ocean vessel by the use of a crane. 370
LTL Abbreviation for less than truckload. A term used to describe relatively small freight shipments. LTL carriers typically collect individual freight shipments from multiple shippers and once their trailer is full, they return to their terminal to unload their cargo. Each item is then individually weighed and rated for billing purposes. M * * * * * MBM Abbreviation for 1,000 board feet. One MBM equals 2,265 cubic meters. MFN Abbreviation for most favored nation. A designation for countries which receive preferential tariff rates. Min. B/L Abbreviation for minimum bill of lading. A minimum requirement for a shipment based on either dollar value or weight expressed in cubic meters. MLB Abbreviation for mini‐land bridge. A method for indirectly moving cargo between locations normally served by sea transport, by using land transport as an intermediate mode. MMFB Acronym for the Middlewest Motor Freight Bureau. One of the primary LTL rate publishing sources in the United States. During the 1980's, the MMFB aggressively entered the computerized rating system market and became one of the most widely‐used rate publishing systems available. MRP Abbreviation for materials resource planning. A computerized approach to inventory planning, manufacturing and supplier scheduling, and overall corporate planning. The MRP system provides the user with information about timing (when to order) and quantity (how much to order), generates new orders, and reschedules existing orders as needed. M/R Abbreviation for mate's receipt. An acknowledgement that the ship‐owner has received the goods in the condition stated therein, but usually has no further legal relevance. It is usually a preliminary document only, which is later given up in return for the bill of lading. MT Abbreviation for metric ton. The equivalent of 1000 kilograms. 371
mt Shorthand expression for the word empty. Self‐explanatory. MV Abbreviation for motor vessel. Self‐explanatory. N * * * * * NCITD Acronym for the National Committee on International Trade Documentation. A federal law enacted to ensure international trade documents are eliminated, consolidated and standardized, and that the essential information in them is transmitted as fast and efficiently as possible. NITL Acronym for the National Industrial Transportation League. Established in 1907 to represent shippers in their dealings with various regulatory bodies. The NITL seeks to ensure a safe and efficient freight transportation industry, and to see the needs of shippers and the entire economy are best met. NMFC Abbreviation for national motor freight classification. The NMFC is a pricing tool that provides a comparison of commodities moving within interstate, intrastate and international commerce. Commodities are grouped into one of 18 classes based on an evaluation of four transportation criterion: density, stow ability, handling and liability. These characteristics collectively establish a commodity’s transportability. NOR Abbreviation for notice of readiness. A state that occurs when a shipmaster informs a chartering party that a vessel is ready to load according to the terms in the charter party's agreement. NT Abbreviation for net ton. The U.S. equivalent of 2000 pounds. NVOCC Abbreviation for non‐vessel owning common carrier. A party such as a forwarding agent, who does not own or operate a sea vessel but who contracts with a shipping line for the transport of third party cargo. O * * * * * OBL 372
Abbreviation for original bill of lading. A document which requires signatures in order to consummate a shipping contract. The OBL must be marked as "original" by the issuing carrier. OCP Abbreviation for overland common point. A term that appears on the BOL that offers lower shipping rates to select importers. ODS Abbreviation for operating differential subsidy. An amount of money the U.S. government pays its shipping companies that qualify for this subsidy. The intent was to help offset the higher subsidy and the the cost of operating a U.S. vessel. The ODS program is administered by the U.S. Maritime Administration and is being phased out. OECD Acronym for the Organization of Economic Cooperation and Development. Comprised of 30 member countries sharing a commitment to democratic government and the market economy, the OECD plays a prominent role in fostering good governance in public service and in corporate activity. O/N Abbreviation for order‐notify. A bill of lading term used to surrender the original bill of lading before freight is actually released. An O/N is usually associated with a shipment covered by a letter of credit. OPIC Abbreviation for overseas private investment corporation. The OPIC is an agency of the U.S. government established in 1971 that helps U.S. businesses invest overseas and promotes economic development in new and emerging markets. ORFS Abbreviation for origin rail freight station. Same as CFS at origin except an ORFS is operated by the rail carrier participating in the shipment. OSRA Acronym for the Ocean Shipping Reform Act. First enacted in 1984, OSRA permitted confidential service contracts between ocean carriers and shippers. An amendment to this act was then implemented in 1998 which reformed liner shipping regulations. OS&D Abbreviation for over, short or damaged. A short‐hand expression used to describe the condition of a shipment upon being unloaded. 373
P * * * * * PADAG An abbreviation for Please Authorize Delivery Against Guarantee. A request from the consignee to the shipper to allow the carrier or agent to release cargo against either bank or personal guarantee. A PADAG is in order when the consignee is unable to produce original bills of lading. PIERS PIERS maintains the most comprehensive database of timely, accurate, import and export information on cargo moving through ports in the U.S., Mexico, Latin America and Asia. It collects data from over 25,000 BOLs everyday, then translates the raw data into meaningful intelligence that companies around the world can use. POD An abbreviation for point‐of‐delivery or point‐of‐discharge. Self‐explanatory. Q * * * * * No entries for "Q". R * * * * * R&C Abbreviation for rail and canal. Self‐explanatory. R/C Abbreviation for re‐consigned. The act of changing the destination of cargo already in transit. Regs. Abbreviation for registered tonnage. A maritime shipping term used to express a measurement of the enclosed space in a sea vessel. RT Abbreviation for revenue ton. A ton on which the shipment is freighted. If cargo is rated as weight or measure, whichever produces the highest revenue will be considered the revenue ton. Weights are based on metric tons and measures are based on cubic meters. Ro/Ro Abbreviation for roll on/roll off. A maritime shipping service provided on a vessel with ramps that allows wheeled vehicles to be loaded and removed without cranes. RVNX Abbreviation for released value not exceeding. A measure designed to limit a carrier's liability when cargo is damaged in‐transit by placing a ceiling on the value of a shipment. 374
S * * * * * SABS Acronym for the South African Bureau of Standards. A statutory body established via the Standards Act of 1945 and continues to operate as the national institution for the promotion and maintenance of standardization and quality in connection with commodities and their related services. SED Abbreviation for shipper's export declaration. A U.S. Commerce Department document ‐ the SED is used for developing export statistics and export control. An exporter must submit an SED when the value of a single Schedule B commodity exceeds USD $2,500, or when an export license is required for a shipment from the U.S. to another country. S&FA Abbreviation for shipping and forwarding agent. Any federally‐licensed freight forwarder or shipper. A freight forwarder is any entity acting on the behalf of a shipper. The freight forwarder handles all shipping matters and documentation for a manufacturer or exporter, including the use of one or more carriers. SHEX Abbreviation for Saturday and holidays excluded. A shorthand term used to ensure any party to a shipping agreement understands that stated service and rate quotes DO NOT apply to Saturdays and holidays SHINC Abbreviation for Saturday and holidays included. A shorthand term used to ensure any party to a shipping agreement understands that stated service and rate quotes apply to Saturdays and holidays. SIT Abbreviation for stopped in transit. A term usually used to describe adjustments to rate and service provisions when a shipment is involuntarily halted. SITC Abbreviation for standard international trade classification. A standard numeric code developed by the United Nations to classify commodities used in international trade. SL&C Abbreviation for shipper's load and count. A provision from the Bill of Lading Act designed to protect motor carriers for physical damages and freight losses when the loss or damage did not or could not have happened during transport. 375
SL&T Abbreviation for shipper's load and tally. A term that specifies the contents of a car loaded and counted by the shipper but not checked or verified by the railroad. S/N Abbreviation for shipping note. An instrument that enables the shipper to complete a single document for all consignments regardless of destination. It provides the receiving authority with complete data and also provides those with an interest in the consignment with adequate information at each stage. SR&CC Abbreviation for strikes, riots and civil commotions. A term typically used when describing insurance coverage issues involving loss or damage to cargo due to labor strikes, locked‐outs and labor‐related civil unrest. SS Abbreviation for steamship. Any sea vessel powered by steam‐driven turbines. STCC Abbreviation for standard transportation commodity code. A coding structure designed to classify all commodities or articles which move in freight transportation. The STCC is published by the Association of American Railroads and contains product information used on waybills and other shipping documents. S.tn Abbreviation for short ton. A unit of mass equal to 2000 lb. In the United States it is simply called a "ton" without distinguishing it from the metric ton or long ton which is actually 2240 pounds. SW Abbreviation for shipper's weights. The weight recorded on the transportation waybill that serves as the basis for payment. T * * * * * TBL Abbreviation for through bill of lading. A TBL is used to document the characteristics of a shipment involved in at least two different modes of transport from road, rail, air and sea. TBN Abbreviation for to be nominated. A term used when the name of a ship is unknown. T&E 376
Abbreviation for transportation and exportation. A customs form used to control cargo movement from the port of entry to port of exit, meaning that the cargo is moving from one country, through the United States to another country. TEU Abbreviation for twenty‐foot equivalent unit. A measure of containerized cargo capacity equal to one standard 20 ft by 8 ft by 8 ft 6" in a shipping container. TIB Abbreviation for temporary import entry. A form that must be executed when non‐consumable goods exist that will be re‐exported within 12 months of importation. Security such as a cash deposit or other approved collateral is also required to cover any import duties and/or Goods and Services Tax. TIR Abbreviation for transport international par la route. A transport operating agreement among European governments and the United States for the international movement of cargo by road. Display of the TIR carnet allows sealed container‐loads to cross national borders without inspection. TL Abbreviation for truckload. A quantity of freight that fills a truck. TOFC Abbreviation for trailer on flat car. The movement of a highway trailer on a railroad flatcar. Also known as piggyback. Trf. Abbreviation for tariff. A publication setting forth the charges, rates and rules of transportation companies. TSA Acronym for the Transportation Security Administration. An organization comprised of 43 thousand security officers, inspectors, directors, air marshals and managers. The TSA protects the nation's transportations systems to ensure safe travel as its officers screen persons and luggage at airports, on rail cars and also subways. U * * * * * UCP Abbreviation for uniform customs and practice for documentary credits. The most frequently used standard for making payments in international trade by means such as a letter of credit. Also referred to as "UCP500." 377
UFC Abbreviation for uniform freight classification. A method by which related products are assigned to rate categories based on bulk, value and ease of handling. ULD Abbreviation for unit load device. Typically a pallet or container used to facilitate freight loading, shipping and unloading. V * * * * * VAN Abbreviation for value‐added network. A third‐party that acts as a hub for receiving and routing shipping data. VANs are a pre‐requisite for the use of Internet‐based electronic data exchange (EDI) systems. VAT Abbreviation for value‐added tax. A sales or consumption tax paid by the end user. Typically a "hidden" tax added to the list price of the goods in question. Ves. Abbreviation for Vessel. A sea‐faring device used to transport freight. W * * * * * WCO Acronym for the World Customs Organization. An organization that helps customs administrations throughout the world communicate on customs issues. Headquartered in Brussels, the WCO develops agreed‐upon rules on customs procedures and also provides advice and assistance to customs service entities. WPA Abbreviation for with particular average. An insurance term that refers to partial loss sustained by a shipper's cargo. WR Abbreviation for war risk. A surcharge typically applied to cover a shipment's increased vulnerability to damage or delay caused by potential domestic or international military conflicts. W/R Abbreviation for warehouse receipt. A document that verifies the cargo delivered to a freight 378
warehouse. A W/R optionally allows delivery of cargo to be made to a specified party. WTO Acronym for the World Trade Organization. An international organization which sets the rules for the global trading system and resolves disputes between its member states. X * * * * * No entries for "X". Y * * * * * No entries for "Y". Z * * * * * ZORF Abbreviation for Zone of Rate Flexibility. A measure introduced in the Railroad Revitalization and Regulator Reform Act of 1976 that eased the degree of control over transportation‐related pricing in designated areas. 379
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Freight Glossary and Acronyms
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Acronyms
Freight Glossary Index
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Freight Glossary
Average Annual Daily Truck Traffic (AADTT) - The total volume of truck traffic on a highway segment for
one year, divided by the number of days in the year.
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Backhaul - The process of a transportation vehicle (typically a truck) returning from the original destination
point to the point of origin. A backhaul can be with a full or partially loaded trailer.
Barge - The cargo-carrying vehicle that inland water carriers primarily use. Basic barges have open tops,
but there are covered barges for both dry and liquid cargoes.
Belly Cargo - Air freight carried in the belly of passenger aircraft.
Bill of Lading - A transportation document that is the contract of carriage containing the terms and
condition between shipper and carrier.
Bottleneck - A section of a highway or rail network that experiences operational problems such as
congestion. Bottlenecks may result from factors such as reduced roadway width or steep freeway grades
that can slow trucks.
Boxcar - An enclosed railcar, typically 40 or more feet long, used for packaged freight and some bulk
commodities.
Breakbulk Cargo - Cargo of non-uniform sizes, often transported on pallets, sacks, drums, or bags. These
cargoes require labor-intensive loading and unloading processes. Examples of breakbulk cargo include
coffee beans, logs, or pulp.
Broker - A person whose business it is to prepare shipping and customs documents for international
shipments. Brokers often have offices at major freight gateways, including border crossings, seaports, and
airports.
Bulk Cargo - Cargo that is unbound as loaded; it is without count in a loose unpackaged form. Examples
of bulk cargo include coal, grain, and petroleum products.
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Cabotage - A national law that requires costal and intercostal traffic to be carried in its own nationally
registered, and sometimes built and crewed ships.
Capacity - The physical facilities, personnel and process available to meet the product of service needs of
the customers. Capacity generally refers to the maximum output or producing ability of a machine, a
person, a process, a factory, a product, or a service.
Cargo Ramp - A dedicated load/unload facility for cargo aircraft.
Carload - Quantity of freight (in tons) required to fill a railcar; amount normally required to qualify for a
carload rate.
Carrier - A firm which transports goods or people via land, sea or air.
Centralized Dispatching - The organization of the dispatching function into one central location. This
structure often involves the use of data collection devices for communication between the centralized
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dispatching function, which usually reports to the production control department and the shop
manufacturing departments.
Chassis - A trailer-type device with wheels constructed to accommodate containers, which are lifted on
and off.
Claim - Charges made against a carrier for loss, damage, delay, or overcharge.
Class I Carrier - A classification of regulated carriers based upon annual operating revenues-motor carrier
of property greater than or equal to $5 million; railroads: greater than or equal to $50 million: motor carriers
of passengers; greater than or equal to $3 million.
Class II Carrier - A classification of regulated carriers based upon annual operating revenues-motor carrier
of property $1- $5 million; railroads: $10-$50 million: motor carriers of passengers; less than or equal to $3
million.
Class III Carrier - A classification of regulated carriers based upon annual operating revenues-motor
carrier of property less than or equal to $1 million; railroads: greater than or equal to $10 million.
Classification Yard - A railroad terminal area where railcars are grouped together to form train units.
Coastal Shipping - Also known as short-sea or coastwise shipping, describes marine shipping operations
between ports along a single coast or involving a short sea crossing.
Contract Carrier - A carrier that does not serve the general public, but provides transportation for hire for
one or a limited number of shippers under a specific contract.
Commodity - An Item that is traded in commerce. The term usually implies an undifferentiated product
competing primarily on price and availability.
Common Carrier - Any carrier engaged in the interstate transportation of persons/property on a regular
schedule at published rates, whose services are for hire to the general public.
Consignee - The receiver of a freight shipment, usually the buyer.
Consignor - The sender of a freight shipment, usually the seller.
Container - A "box"' typically ten to forty feet long, which is used primarily for ocean freight shipment. For
travel to and from ports, containers are loaded onto truck chassis' or on railroad flatcars.
Container on Flatcar (COFC) - Containers resting on railway flatcars without a chassis underneath.
Containerization - A shipment method in which commodities are placed in containers, and after initial
loading, the commodities per se are not re-handled in shipment until they are unloaded at destination.
Containerized Cargo - Cargo that is transported in containers that can be transferred easily from one
transportation mode to another.
Contract Carrier - Carrier engaged in interstate transportation of persons/property by motor vehicle on a
for-hire basis, but under continuing contract with one or a limited number of customers to meet specific
needs.
Cubage - Cubic volume of space being used or available for shipping or storage.
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Deadhead - The return of an empty transportation container back to a transportation facility. Commonlyused description of an empty backhaul.
Detention Fee - The carrier charges and fees applied when rail freight cars, ship and carriers are retained
beyond a specified loading or unloading time.
Demurrage - The carrier charges and fees applied when rail freight cars and ships are retained beyond a
specific loading or unloading time.
Direct to store - Process of shipping direct from a manufacturer’s plant or distribution center to the
customer’s retail store, thus bypassing the customer’s distribution center.
Dispatcher - An individual tasked to assign available transportation loads to available carriers.
Distribution Center (DC) - The warehouse facility which holds inventory from manufacturing pending
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distribution to the appropriate stores.
Dock - A space used or receiving merchandise at a freight terminal.
Double-stack - Railcar movement of containers stacked two high.
Drayage - Transporting of rail or ocean freight by truck to an intermediate or final destination; typically a
charge for pickup/delivery of goods moving short distances (e.g., from marine terminal to warehouse).
Drop - A situation in which an equipment operator deposits a trailer or boxcar at a facility at which it is to be
loaded or unloaded.
Durable Goods - Generally, any goods whose continuous serviceability is likely to exceed three years.
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Exempt Carrier - A for-hire carrier that is free from economic regulation. Trucks hauling certain
commodities are exempt from Interstate Commerce Commission economic regulation. By far the largest
portion of exempt carrier transports agricultural commodities or seafood.
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Flatbed - A trailer without sides used for hauling machinery or other bulky items.
For-hire Carrier - Carrier that provides transportation service to the public on a fee basis.
Freight All Kinds (FAK) - Goods classified FAK are usually charged higher rates than those marked with a
specific classification and are frequently in a container that includes various classes of cargo.
Freight Forwarder - A person whose business is to act as an agent on behalf of a shipper. A freight
forwarder frequently consolidates shipments from several shippers and coordinates booking reservations.
Free Trade Zone (FTZ) - An area or zone set aside at or near a port or airport, under the control of the
U.S. Customs Service, for holding goods duty-free pending customs clearance.
Fuel-Taxed Waterway System - Eleven thousand miles of the U.S. waterway system designated by the
Water Resources Development Act of 1986. Commercial users of this system pay a per gallon fuel tax
which is deposited in the Inland Waterways Trust Fund and used to fund inland navigation projects each
year.
Four P's - Set of marketing tools to direct the business offering to the customer. The four P's are product,
price, place and promotion.
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Gross Vehicle Weight (GVW) - The combined total weight of a vehicle and its freight.
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Hazardous Material - A substance or material which the Department of Transportation has determined to
be capable of posing a risk to health, safety, and property when stored or transported in commerce.
Hours of Service - Ruling that stipulates the amount of time a driver is allotted to work.
Hub - A common connection point for devices in a network. Referenced for a transportation network as in
"hub and spoke" which is common in the airline and trucking industry.
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In-bond Shipment - A shipment status in which goods are permitted to enter a country and temporarily
stored for transport to a final destination where the duty will be paid.
Inbound Logistics - The movement of materials from shippers and vendors into production processes or
storage facilities.
Interline Freight - Freight moving from point of origin to destination over the lines of two or more
transportation lines.
Intermodal terminal - A location where links between different transportation modes and networks
connect. Using more than one mode of transportation in moving persons and goods. For example, a
shipment moved over 1000 miles could travel by truck for one portion of the trip, and then transfer to rail at
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a designated terminal.
Inventory - The number of units and/or value of the stock of good a company holds.
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Just-in-Time (JIT) - Cargo or components that must be at a destination at the exact time needed. The
container or vehicle is the movable warehouse.
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Lead-time - The total time that elapses between an order's placement and it receipt. It includes the time
required for order transmittal, order processing, order preparation, and transit.
Less-Than-Containerload/Less-Than-Truckload (LCL/LTL) - A container or trailer loaded with cargo
from more than one shipper; loads that do not by themselves meet the container load or truckload
requirements.
Level of Service (LOS) - A qualitative assessment of a road's operating conditions. For local government
comprehensive planning purposes, level of service means an indicator of the extent or degree of service
provided by, or proposed to be provided by, a facility based on and related to the operational
characteristics of the facility. Level of service indicates the capacity per unit of demand for each public
facility.
Lift-on/Lift-off (lo/lo) Cargo - Containerized cargo that must be lifted on and off vessels and other vehicles
using handling equipment.
Line Haul - The movement of freight over the road/rail from origin terminal to destination terminal, usually
over long distances.
Liquid Bulk Cargo - A type of bulk cargo that consists of liquid items, such as petroleum, water, or liquid
natural gas.
Live Load - As situation in which the equipment operation stays with the trailer or boxcar while being
loaded or unloaded.
Lock - A channel where the water rises and falls to allow boats to travel a dammed river.
Logbook - A daily record of the hours an interstate driver spends driving, off duty, sleeping in the berth, or
on duty not driving.
Logistics - All activities involved in the management of product movement; delivering the right product
from the right origin to the right destination, with the right quality and quantity, at the right schedule and
price.
Lumpers - Individuals that assist a motor carrier owner operator in the unloading of property; quite
commonly used in the food industry.
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Neo-bulk Cargo - Shipments consisting entirely of units of a single commodity, such as cars, lumber, or
scrap metal.
Node - A fixed point in a firm's logistics system where goods come to rest; includes plants, warehouses,
supply sources, and markets.
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OS&D - Over, short and damaged. Report is issued at warehouse when goods are damaged; claim is
usually filed with the carrier.
On-dock Rail - Direct shipside rail service. Includes the ability to load and unload containers/breakbulk
directly from rail car to vessel.
Outbound Logistics - The process related to the movement and storage of products from the end of the
production line to the end user.
Operating Ratio - A measure of operation efficiency defined as: (Operating Expenses/Operation
Revenues) x 100.
Owner-operator - Trucking operation in which the owner of the truck is also the driver.
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Placard - A label that identifies a hazardous material shipment and the hazards present.
Piggyback - A rail/truck service. A shipper loads a highway trailer, and a carrier drives it to a rail terminal
and loads it on a flatcar; the railroad moves the trailer-on-flatcar combination to the destination terminal,
where the carrier offloads the trailer and delivers it to the consignee.
Pool/Drop Trailers - Trailer that are staged at a facilities for preloading purposes.
Point of Sale (POS) - The time and place at which a sale occurs, such as a cash register in a retail
operation, or the order confirmation screen in an on-line session. Supply chain partners are interested in
capturing data at the POS because it is a true record of the sale rather than being derived from other
information such as inventory movement.
Port Authority - State or local government that owns, operates, or otherwise provides wharf, dock, and
other terminal investments at ports.
Private Carrier - A carrier that provides transportation service to the firm that owns or leases the vehicles
and does not charge a fee.
Private Warehouse - A company owned warehouse.
Prepaid - A freight term, which indicates that charges are to be paid by the shipper. Prepaid shipping
charges may be added to the customer invoice, or the cost may be bundled into the pricing of the product.
Proof of Delivery - Information supplied by the carrier containing the name of the person who signed for
the shipment, the time and date of delivery, and other shipment delivery related information.
Pull Logistics System - "Just in time" logistics system driven by customer demand and enabled by
telecommunications and information systems rather than by manufacturing process and inventory
stockpiling.
Purchase Order (PO) - The purchaser's authorization used to formalize a purchase transaction with a
supplier. The physical form or electronic transaction a buyer uses when placing an order for merchandise.
Push Logistics System - Inventory-based logistics system characterized by regularly scheduled flows of
products and high inventory levels.
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Rail Siding - A very short branch off a main railway line with only one point leading onto it. Sidings are
used to allow faster trains to pass slower ones or to conduct maintenance.
Reefer Trailer - A refrigerated trailer that is commonly used for perishable goods.
Regional Railroad - Railroad defined as line-haul railroad operating at least 350 miles of track and/or
earns revenue between $40 million and $266.7 million.
Reliability - Refers to the degree of certainty and predictability in travel times on the transportation system.
Reliable transportation systems offer some assurance of attaining a given destination within a reasonable
range of an expected time. An unreliable transportation system is subject to unexpected delays, increasing
costs for system users.
Reverse Logistics - A specialized segment of logistics focusing on the movement and management of
products and resources after the sale and after delivery to the customer. Includes product returns and
repair for credit.
Receiving - The function encompassing the physical receipt of material, the inspection of the shipment for
conformance with the purchase order (quantity and damage), the identification and delivery to destination,
and the preparation of receiving reports.
Return to Vendor (RTV) - Material that has been rejected by the customer or buyer's inspection
department and is awaiting shipment back to supplier for repair or replacement.
Radio Frequency (RFID) - A form of wireless communication that lets users relay information via
electronic energy waves from a terminal to a base station, which is linked in turn to a host computer. The
terminals can be placed at a fixed station, mounted on a forklift truck, or carried in the worker's hand. The
base station contains a transmitter and receiver for communication with the terminals. When combined with
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a bar-code system for identifying inventory items, a radio-frequency system can relay data instantly, thus
updating inventory records in so-called "real time".
Roll-on/Roll-off (ro/ro) Cargo - Wheeled cargo, such as automobiles, or cargo carried on chassis that can
be rolled on or off vehicles without using cargo handling equipment.
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Seasonality - Repetitive pattern of demand from year to year (or other repeating time interval) with some
periods considerably higher than others. Seasonality explains the fluctuation in demand for various
recreational products, which are used during different seasons.
Shipper - Party that tenders goods for transportation.
Shipping Manifest - A document that lists the pieces in a shipment.
Short Line Railroad - Freight railroads which are not Class I or Regional Railroads, that operate less than
350 miles of track and earn less than $40 million.
Short-sea Shipping - Also known as coastal or coastwise shipping, describes marine shipping operations
between ports along a single coast or involving a short sea crossing.
Sleeper Team - Two drivers who operated a truck equipped with a sleeper berth; while one driver sleeps in
the berth to accumulate mandatory off-duty time, the other driver operates the vehicle.
Stock Keeping Unit (SKU) - A category of unit with unique combination of form, fit and function.
Stock Outs - Merchandise that is requested by a customer but is temporarily unavailable. Also referred to
as (OOS).
Stop Off Charge - Charge associated with a load that has more than one drop off point. Typically, the first
stop of a multistop load is free, and then the charge applies to the subsequent stops.
Strategic Highway Network (STRAHNET) - A network of highways which are important to the United
States' strategic defense policy and which provide defense access, continuity, and emergency capabilities
for defense purposes.
Strategic Rail Corridor Network (STRACNET) - An interconnected and continuous rail line network
consisting of over 38,000 miles of track serving over 170 defense installations.
Switching and Terminal Railroad - Railroad that provides pick-up and delivery services to line-haul
carriers.
Supply Chain - Starting with unprocessed raw materials and ending with final customer using the finished
goods.
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TEU - Twenty-foot equivalent unit, a standard size intermodal container
Third-party Logistics (3PL) Provider - A specialist in logistics who may provide a variety of
transportation, warehousing, and logistics-related services to buyers or sellers. These tasks were
previously performed in-house by the customer.
Throughput - Total amount of freight imported or exported through a seaport measured in tons or TEUs.
Ton-mile - A measure of output for freight transportation; reflects weight of shipment and the distance it is
hauled; a multiplication of tons hauled by the distance traveled.
Trailer on Flatcar (TOFC) - Transport of trailers with their loads on specially designed rail cars.
Transit time - The total time that elapses between a shipment's delivery and pickup.
Transloading - Transferring bulk shipments from the vehicle/container of one mode to that of another at a
terminal interchange point.
Truckload (TL) - Quantity of freight required to fill a truck, or at a minimum, the amount required to qualify
for a truckload rate.
Twenty-foot Equivalent Unit (TEU) - The 8-foot by 8-foot by 20-foot intermodal container is used as a
basic measure in many statistics and is the standard measure used for containerized cargo.
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Unit Train - A train of a specified number of railcars handling a single commodity type which remain as a
unit for a designated destination or until a change in routing is made.
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Vehicle Miles of Travel (VMT) - A unit to measure vehicle travel made by a private vehicle, such as an
automobile, van, pickup truck, or motorcycle.
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Warehouse - Storage place for products. Principal warehouse activities include receipt of product, storage,
shipment and order picking.
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Freight Glossary Index
Acronyms
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AAPA - American Association of Port Authorities
AASHTO - American Association of State Highway and Transportation Officials
ACE - Automated Commercial Environment
ATA - American Trucking Association
BTS - Bureau of Transportation Statistics
CBP - Customs Border Protection
CDL - Commercial Drivers License
CFS - Commodity Flow Survey
CMAQ - Congestion Mitigation Air Quality Act
CMV - Commercial motor Vehicle
CTPAT - Customs Trade Partnership Against Terrorism
CVISN - Commercial Vehicle Information Systems and Networks (CVISN), a national program administered by the Federal
Motor Carrier Safety Administration designed to improve motor carrier safety and to enhance the efficiency of
administrative processes for industry and government.
CVO - Commercial Vehicle Operations
DOD - Department of Defense
FAST - Free and Secure Trade
FHWA - Federal Highway Administration
FMCSA - Federal Motor Carrier Safety Administration
FPD - Freight Professional Development
FRA - Federal Railroad Administration
GIS - Geo Information Systems
GPS - Global Positioning System
HERS - Highway Economic Requirements Systems
HPMS - Highway Performance Monitoring System
ITE - Institute of Transportation Engineers
ITS - Intelligent Transportation System
MPG - Miles Per Gallon
MUTCD - Manual on Uniform Traffic Control Devices
NAFTA - North American Free Trade Agreement
NHS - Nation Highway System
NVOCC - Non-Vessel Operating Common Carriers
P&D - Pick up and delivery.
POD - Proof of Delivery
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POE - Port of Entry
SED - Shipper's Export Declaration
SCAC - Standard Carrier Alpha Code
SLSC/SLDC - Shipper Load, Shipper Count/Shipper Load, Driver Count
STCC - Standard Transportation Commodity Classification
TRANCAD - Transportation Computer Assisted Design
UFC - Uniform Freight Classification
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RAR April 20, 2010
Railroad Abbreviations from ANRP
Railroad & Intermodal Abbreviations
for New England
& Canadian Maritime Provinces
BCLR
BML
CBNS
CCCR
CCCR
CFQ
CMAQ
CN
CNZR
ConnDOT
CP
CSO
CSRX
CSXI
CSXT
MassDOT
GRS
GTI
GWI
FHWA
FRA
FRTC
FTA
HRRC
MBCR
MBRX
MBTA
MC
MCER
MDOT
MERR
MMA
MPO
MTQ
Bay Colony Railroad
Belfast & Moosehead Lake Railroad
Cape Breton and Central Nova Scotia Ry
Cape Cod Central Railroad
Claremont Concord Railroad
Chemins de fer Quebec System
Congestion-mitigation/air quality (money from the US
federal government for these purposes)
Canadian National Railway
Central New England Railroad
Connecticut Department of Transportation
Canadian Pacific Railway
Connecticut Southern Railroad
Conway Scenic Railroad
CSX Intermodal
CSX Transportation (Railroad)
Massachusetts Department of Transportation
Guilford Rail System (see Pan Am)
parent to GRS
Genesee & Wyoming Inc.
Federal Highway Administration
Federal Rail Administration
Fore River Transportation Co
Federal Transit Administration
Housatonic Railroad
Massachusetts Bay Commuter Railroad
Milford-Bennington Railroad
Massachusetts Bay Transportation Authority
Massachusetts Costal Railroad
Massachusetts Central Railroad
Maine Department of Transportation
Maine Eastern Railroad
Montreal, Maine and Atlantic Railway
Metropolitan Planning Organization
Quebec Ministry of Transport
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NAUG
NBDOT
NBSR
NECR
NEGS
NHCR
NHDOT
NHN
NNEPRA
NS
NSDOT
Pan Am Railways
ST
PAS
Seaview
SLQ
SLR
TIRR
TEU
VAOT
VRS
WHRC
Naugatuck Railroad
New Brunswick Department of Transportation
New Brunswick Southern Railway
New England Central Railroad
New England Southern Railroad
New Hampshire Central Railroad
New Hampshire Department of Transportation
New Hampshire Northcoast Railroad
Northern New England Passenger Rail Authority
Norfolk Southern Railway
Nova Scotia Department of Transportation
parent of Maine Central Railroad, Portland Terminal
Railroad, Boston & Maine, all leased by ST
Springfield Terminal Railway
Pan Am Southern Railway, joint Island Department of
Transportation
Seaview Transportation Company
St. Lawrence & Atlantic Railway (Quebec)
St. Lawrence & Atlantic Railroad
Turner’s Island LLC
20-foot equivalent (measure of container traffic, equal to
a 20x8x8 foot box)
Vermont Agency of Transportation
Vermont Rail System (Green Mt. Railroad Company
GMRC + Vermont Railway VTR +Clarendon & Pittsford
Railroad CLP + Washington County RR WACR)
Windsor and Hantsport Railway
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Central Massachusetts Regional Planning Commission
2 Washington Square, 2nd Floor
Worcester, MA 01604-4016
Voice: (508) 756-7717
Fax: (508) 792-6818
Email: [email protected]