Analyst: Truckers Might Gain From West Coast Ports Dispute

The potential closure of West Coast ports over a labor dispute would leave in its wake a raft of winners and losers in the transportation sector, an analyst said Tuesday. Deutsche Bank's Robert Salmon put the chances of an extended shutdown at 50-50. Resulting volatility in supply chains is good news for truckers and truck brokers, Salmon said. The analyst suggested adding to holdings in FedEx Corp.

, Swift Transportation Co.

YRC Worldwide Inc.

and XPO Logistics Inc.

. At risk are J B Hunt Transport Services Inc.

and Union Pacific Corp.,

according to Salmon. Salmon added, however, that "much of the bad news is already priced into Union Pacific." The Pacific Maritime Association may balk over fresh demands from longshoremen's union for unilateral veto power over arbitrators assigned to solve labor disputes. To underline its position, the management group shut down West Coast ports over the weekend, reopening operations Monday. The sticking point could derail contract negotiations that commenced nearly 10 months ago, Salmon said.