Our first priority for our cash flow is to reinvest in the business, which we continued to do in 2007. In addition, we are always looking for acquisition opportunities. Although we are extremely selective and we do not rely on acquisitions to attain our long–term growth targets, we will acquire high quality companies with strong people and that are a good cultural fit.

     We were also able to return more capital to our shareholders in 2007, increasing our quarterly dividend over 22 percent to $0.22 per share from $0.18 per share. We have paid a regular quarterly dividend for nearly 30 years. We also increased our share repurchase activity.

…While energized by what’s on the horizon…

     While we focus primarily on gross profits as the indicator of the value we bring to the marketplace, our $7.3 billion in gross revenues is also an important measure of our position in the transportation and logistics industry. The transportation industry is extremely fragmented. Our size makes us one of the largest third party providers in the world, yet the growth opportunities still ahead of us are tremendous. Industry market size estimates vary, but by any measure we still represent a small portion of the hundreds of billions of dollars that are spent on transportation and logistics in North America, and trillions worldwide.

     Key trends continue to drive growth in third party transportation, making our flexible, non–asset based model more and more strategically advantageous to the shipping community. Globalization and just–in–time inventory practices continue to lengthen and complicate supply chains, resulting in greater volatility and increased transportation and logistics challenges. Companies today need visibility, innovation, and efficiency in their supply chains to be competitive and manage their business. Increased invest-ments in technology and information reporting are instrumental to effective transportation management. For all of these reasons, the need for flexibility, high service, and better information are increasing the demand for our services.