Core Viewpoint - Hub Group, Inc. has entered a long-term logistics partnership with Essendant to enhance delivery efficiency and reliability across the U.S. market, leading to a positive impact on its stock price [1][2]. Group 1: Partnership Details - The collaboration aims to implement Essendant's Managed Delivery model, which is central to its supply chain overhaul [2]. - The agreement utilizes Hub Group's truckload, less-than-truckload (LTL), and final mile networks to facilitate two-day warehouse deliveries across nearly all major U.S. markets [2][3]. - The new hub-and-spoke system is designed to improve route efficiency and achieve a consistent 95% on-time performance nationwide [3]. Group 2: Operational Efficiency - Essendant will integrate Hub Group's logistics infrastructure with its national distribution network to streamline multi-stop shipments, reduce costs, and enhance reliability [3][4]. - The Managed Delivery model employs over 200 final mile facilities to support warehouse shipments within 48 hours for 98% of the U.S. population [4][5]. - The partnership is set to launch on November 1, 2025, under a three-year agreement, focusing on improving customer service through efficient, data-driven logistics operations [5]. Group 3: Company Background - Essendant is a century-old wholesale distributor providing various supplies to thousands of resellers across the nation, emphasizing service reliability and cost discipline in its supply chain transformation [6]. - Hub Group's stock was reported to be up 2.08% at $35.90 at the time of publication, reflecting positive market sentiment following the announcement [6].