The first graph below traces performance of the Class 3-4 Cabover and Class 6 Conventional segments in the auction environment for each month of 2011. Data is adjusted for mileage.

The second graph compares auction price of 3-6 year old trucks for the third quarter of 2011 vs. the third quarter of 2010. Trucks included are 2009-2006 model year for calendar year 2011, and 2008-2005 model year for calendar year 2010. Average mileage for each group is listed above its column.

The graphs paint a mixed picture of each segment. We don’t see much movement in 2011, but year-over-year comparisons look favorable. Considering the higher mileage for both segments in the 2011 period, the higher selling prices are encouraging.

The Class 3-4 Cabover segment plays mainly in the urban delivery market, which is heavily dependent on retail consumer activity. That activity has been flat to slightly improving, which could partially explain a price increase. The Class 6 Conventional segment is exposed to a much more varied set of applications – everything from rental to extra-urban delivery to light construction - so it is difficult to draw any conclusions there.

The bottom line is we will continue to monitor these and other segments closely to stay on top of market shifts. Your comments and observations are always welcome below.