Fritz Holzgrefe: Yes. Well, it’s all about what the opportunities are. So, if the macro environment is favorable, we’ve seen that we’re pretty good at accelerating. If things are maybe a little bit softer, more tepid, we’ll slow it down and be judicious about how we open it. I know there are lots of outcomes that could come up in the real estate market, industrial real estate market in the next six months to a year. And so there are infinite number of variables there and we’ll see how it plays out and what the opportunity looks like.
Tom Wadewitz: Okay. Thanks.
Fritz Holzgrefe: And you see that in this year’s activity as well, right? We’ve opened six terminals year-to-date, and we’ll have a seventh one open next week. And we’ve got a couple more that we could probably push over the fence, and they’re kind of, in our view, new share opportunity markets, and we could probably get them over the fence in December, but we’ll push them out into Q1. So, we read the tea leaves, and we see what we have going on in our business and then we kind of flow them in as we think we can do it most smoothly. So, we should have a pretty exciting year next year in terms of openings.
Tom Wadewitz: Okay, great. Yes, that makes sense. Thank you.
Operator: Thank you. Your next question comes from the line of Stephanie Moore with Jefferies. Please go ahead.
Stephanie Moore: Hi, good morning.
Fritz Holzgrefe: Good morning.
Stephanie Moore: Good morning. I think pretty much every topic has been well addressed here. So I’m going to ask you kind of one bigger picture question here. Maybe with just the benefit of hindsight now as you kind of navigated this major disruption for the industry in terms of how everything has panned out over the last couple of months. Maybe that’s in terms of volume acceleration month-over-month, pricing, capacity additions, service performance, is there anything that has surprised you?
Fritz Holzgrefe: One of the things about the LTL business, I would say, is that there’s never two days in a row that be the same. I think we all saw kind of what was going to come – potentially come in the early part of the year is read the news in the marketplace. The pace at which the competitor exited was probably – it was a little bit maybe surprising, but what was exciting about it is having lived through the last few years with the pandemic and all the challenges that came along with that, our team was ready to go, and we executed on taking care of the customer. So the pace probably surprised me and my kind of experience, but I was thrilled to see how we responded to it. So, we’ll see how the opportunity unfolds over the next several months to a year.
Stephanie Moore: And just as a follow-up, the pace of meaning the amount of volumes initially is what you’re saying?
Fritz Holzgrefe: Yes. We basically – we went from sort of slow growth, no growth, limited growth in total. Then all of a sudden, we have a 10%, 11%, 12% increase in shipments in a matter of days. And to watch our team respond to that was, frankly, was awesome. And so that was the exciting part.
Stephanie Moore: Got it. Thank so much.
Operator: Thank you. Your final question comes from the line of Chris Kuhn with The Benchmark Company. Please go ahead.
Doug Col: Hi operator.
Operator: Sorry, go ahead.
Doug Col: No, it doesn’t look like Chris is able to join. Is there anything else?
Operator: That concludes…
Fritz Holzgrefe: Somebody there?
Doug Col: Yes, go ahead. sorry.
Chris Kuhn: Hi Doug, Fritz, it’s Chris. Can you hear me?
Fritz Holzgrefe: Yes. Got it, Chris.
Chris Kuhn: Thanks guys. Sorry. Just bigger picture, with the shipments up and the costs up in the short term, just given the higher step-up in volume, if I just – if you think longer term, once things sort of settle in and get to normal seasonality, do you think you can get to that 70% OR hand faster than you might have thought? I know you didn’t give a time frame on it, but just curious, just given the higher volume and maybe the increased density?
Fritz Holzgrefe: Yes. No, I think it’s very much in play. And you’re going to need a little bit of a favorable macro environment. But I think that the pace at which we can get there is absolutely in play. I think that the ability to maintain this stepped-up volume at a high level of service is going to be critical to that. And I’m excited to see where we are right now.
Chris Kuhn: Appreciate you guys. Thanks.
Operator: Thank you. Your next question comes from the line of Bascome Majors with Susquehanna. Please go ahead.
Bascome Majors: Fritz, I wanted to follow up on Tom’s question about the terminal option. But from an industry perspective, from – for Saia in the broader industry and you guys eyes, what is a good outcome for the LTL industry on where these terminals end up and how they’re redeployed? What is a bad outcome? And how are you kind of operationally preparing for a lot of different ways. This can go as you’ve already noted, and a lot of different things can happen over the next six months with how this capacity is brought back into the market? Thank you.
Fritz Holzgrefe: Yes. My guess is what will happen. It’s a pretty big footprint, and there will probably – it will be dispersed to the market to other all LTL operators will probably have some potential opportunity either in the kind of how that process plays out or the secondary part of that process is people maybe repositioned their networks to match what’s available and what the new facilities are. So – and there’s going to be some cases that some of those don’t get returned to the LTL business, because maybe it’s – the economics are – make more sense for that to turn into a warehouse or industrial real estate property of some kind. So I think it remains to be seen what’s going to happen to all of them. My guess is, is that even if one player gets them all, but I think that I’m not sure how likely of an outcome that is.
