PPort of Stockton · acquired this wonderful facility that ... China and Thailand,its cement is sold ... major north/south highways,Interstate

2 0 0 0 A N N U A L R E P O R T

Port of Stockton C A L I F O R N I AP

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2000 Annual ReportNEW MILLENNIUM AT

THE PORT OF STOCKTON

lContentsBoard Message............................................................2

Highlights ..................................................................3

Commercial Hub ........................................................6

Exports ......................................................................8

Imports ....................................................................11

Warehousing ............................................................14

Community ..............................................................15

Statistics ..................................................................16

Team 2000................................................................18

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Acquisition of Rough and ReadyIsland from the U.S. Navy is truly abenchmark in the history of the Portof Stockton. Now renamed the WestComplex, the island comes with manyassets including more than 1,400 acresof land, five million square feet ofwarehousing, one full mile of docks,42 miles of railroad track and nearlyone million square feet of docksidetransit sheds.

This important acquisition did nothappen on its own or overnight, butonly after years of hard work by manypeople. We particularly appreciate theforesight of Senator Dianne Feinstein,who wrote the legislation authorizingthe transfer; Senator Barbara Boxer, forher successful efforts to gain supportfrom the U.S. Senate; CongressmanRichard Pombo for his hard work inshepherding the legislation throughthe House of Representatives; the U.S.

Navy personnel, who exhibited theprofessionalism necessary for asmooth transition; and the U.S.Maritime Administration, whosediligence to complete the transfer ofthe property to the Port of Stockton isgreatly appreciated.

We also recognize the outstandingcooperation and support of MayorGary Podesto, the Stockton CityCouncil, the San Joaquin County Boardof Supervisors and their staffs, all ofwhom made this transfer possible.

Finally, we would be remiss if we didnot also thank our own Port ofStockton staff, the now-retired portdirector, Alexander Krygsman, andprevious Port commissioners whoworked for many years to completethis transfer.

With this acquisition, the Port ofStockton has the foundation tobecome one of the major ports in

Board Message2000: BENCHMARK YEAR

FOR THE PORT OF STOCKTON

2000 Port Commissioners

and PortDirector

The future is bright forthe Port of Stockton,and we are confidentthat with the supportof the community, wewill create a majorPort of internationaltrade that will be avital component of theemerging and diverseeconomic foundation ofthe San Joaquin Valley.

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Edmund “Ed” CoyChairman

W. Ronald CoaleVice Chairman

Sam L.“Butch”ToccoliCommissioner

Gary ChristophersonCommissioner

Robert V.“Bob” KavanaughCommissioner

Joseph H. JohnsonCommissioner

Steven A. HerumCommissioner

Richard AschierisPort Director

2000 STOCKTON PORT DISTRICT BOARD OF PORT COMMISSIONERS

California. We are now laying theinfrastructure that will createhundreds of new jobs. For the WestComplex to reach its highest potential,we must provide additional access tothe island and improve utilities, roadand rail systems.

The future is bright for the Port ofStockton, and we are confident thatwith the support of the community,we will create a major Port ofinternational trade that will be a vitalcomponent of the emerging anddiverse economic foundation of theSan Joaquin Valley.


On July 1, 2000 the Port of Stocktoninstantly became one of the largestports in California.

At that time, the U.S. Navytransferred more than 1,400 acres tothe Port to be developed into a vitalpart of the economic foundation ofthe San Joaquin Valley. To develop thisproperty into a valuable tradingcenter, the Port is exploring expansionopportunities with its current tenantswhile seeking new customers.

Just 60 nautical miles east of SanFrancisco Bay, the Port’s new additionis known as the West Complex. It isdirectly linked to both transcontinentalrailroads and national highways.Theproperty, located on the StocktonDeep Water Channel, has more than

one mile of dock space with 10berths, 42 miles of railroad tracks, fivemillion square feet of warehousingand another three million square feetof paved open storage and docksidetransit sheds. Several warehouses haveskylights, specialized high ceilingcranes and extra electrical services.

In July, the Port received a $40,000grant from the U.S. EconomicDevelopment Administration, which,coupled with $10,000 of Port funds,will be used to develop a master planfor Rough and Ready Island.

“The Port of Stockton is placing ahigh priority on the commercialdevelopment of this island.Recognizing the value of properfacility and environmental planning, itis our intention to move ahead rapidly.We must use this important new assetto create hundreds of jobs for thecitizens of Stockton and San JoaquinCounty,” says Port CommissionChairman, Edmund “Ed” Coy.

The West Complex also has morethan 500 acres of clear land. The goal isto market the area for maritime,industrial, distribution and otherrevenue producing enterprises.

While potential tenants are eagerlyinspecting the facility for their specificuses, the Port has already signed leaseswith the U.S. General ServicesAdministration, Door Fabrication

HighlightsGLOBAL OPPORTUNITY:

PORT ACQUIRES ROUGH AND READY ISLAND

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Company, Cost Plus World Market andSQM North America.

“This is the beginning of a brightnew future for the Port of Stockton. Asthe original port properties werenearing capacity, we have nowacquired this wonderful facility thatwill ultimately ensure hundreds of newjobs in our community. I believe this isthe single most exciting thing tohappen to the Port of Stockton inrecent history,” says Port Director,Richard Aschieris.

On July 1, 2000 thePort of Stocktoninstantly became one of the largest ports in California.

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After years of searching for the rightplant site, California’s largest cementproducer, California Portland Cement,has located at the Port of Stockton.

The outstanding highway and railconnections, the proximity of theStockton ship channel and the Port’sapproach to customer service givesthem the amenities necessary to makesuch a significant investment.

California Portland Cement willbuild a five-acre bulk-cementimportation and distribution facility,representing an investment of morethan $52 million.

“The agreement between the Port ofStockton and California PortlandCement will create numerous

employment opportunities for plantworkers, truckers, longshore workersand many others involved in thewarehousing, transportation andhandling of cement,” said StocktonPort Commission Vice Chairman,W. Ronald Coale. “We are lookingforward to a close relationship withCalifornia Portland Cement for manyyears to come.”

Founded in 1891, California PortlandCement Company is a subsidiary ofTaiheiyo Cement Corporation ofTokyo, one of the largest cementcompanies in Japan. Imported fromChina and Thailand, its cement is soldto markets in California, Nevadaand Arizona.

HighlightsCALIFORNIA PORTLAND CEMENT

COMPANY’S NEW FACILITY

CEMENT

ANIMAL FEED

LIQUID BULK FERTILIZER

ANHYDROUSAMMONIA

MOLASSES

STEEL PRODUCTS

DRY BULK FERTILIZER

100,000200,000

300,000400,000

546,037

334,568

227,120

196,276

189,168

162,543

73,279

LEADING INBOUND COMMODITIES(Metric Tons)

500,000600,000

The outstandinghighway and railconnections, theproximity of theStockton ship channeland the Port’sapproach to customerservice gives them theamenities necessary tomake such a significantinvestment.

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California Portland CementCompany’s site demolition began inNovember of 2000, and its new facilityis expected to open in 2002.

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Commercial HubPORT OF STOCKTON:

GATEWAY TO THE WORLD

A gateway for internationalcommerce and trade for more than150 years, the Port of Stockton tracesits origins to the California Gold Rush,when, in 1849, ships brought suppliesand miners to the Mother Lode - andsent gold out to the world.

As early as the 1870’s, Stockton’scitizens saw shipping’s future in theform of a deep-water channel and portauthority. Begun in the 1920’s, boththe channel and the Port were readyfor business by 1933.

Today, the Port of Stockton is aninternational deep-water port handlingliquid, dry and break-bulk commodities.Located east of San Francisco Bay, thePort of Stockton is a strategic hub forwarehousing and distribution inCalifornia’s heartland.

Cargoes from around the world suchas cement from China and Turkey,fertilizer from Norway and Chile, andmolasses from Guatemala and Hawaii,as well as steel from Indonesia andThailand, are regularly importedthrough the Port.

In addition, export cargos such asrice heading to Japan, sulfur bound forWest Africa and India and petroleumcoke shipped to Belgium and Mexicoflow through the Port of Stockton.

An outstanding transportationinfrastructure, including railroad,highway and air connections, are

within the Port grounds or justminutes away. More than 200 localand national trucking companies, aswell as Union Pacific and BurlingtonNorthern Santa Fe Railways, provideeasy access to the Port. California’smajor north/south highways, Interstate5 and State Highway 99, are justminutes away from any Port facility,and from them, links to all majornational east/west roadways. Inaddition, the nearby Stockton Airportis playing an emerging role in thetransportation of goods and people.

The Port of Stockton’s WestComplex on newly-acquired Roughand Ready Island provides numeroussites for manufacturing and storage offinished or bulk products. Manywarehouses are complemented bycovered staging areas for easy truckand container loading and unloadingor transfer to rail.

Today, the Port of Stockton offerscompetitive lease rates and anavailable trained labor force. Whencombined with affordable housing inthe greater San Joaquin region, thePort offers outstanding facilities in themiddle of a modern transportation hub.

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Cargoes from aroundthe world such ascement from China andTurkey, fertilizer fromNorway and Chile, andmolasses fromGuatemala and Hawaii,as well as steel fromIndonesia and Thailand,are regularly importedthrough the Port.

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In November 2000, the firstmaritime cargo to move over thedocks of the new West Complex onRough and Ready Island was 12,000metric tons of bagged California ricedestined for Japan. Connell Rice andSugar Company plans several moreshipments for spring 2001, to bringthis season’s export total to 58,000metric tons of bagged rice, roughly15% of California’s exportablerice crop.

“This was an important event forthe Port of Stockton,” said PortCommissioner, Gary Christopherson.

“With the opening of the WestComplex, we see the Port playing anincreasingly important role in theexport of California’s agriculturalproducts, benefiting the economy,creating significant local employmentand helping America’s balance ofpayments.”

The rice, classified as premium shortand medium grain japonica rice, isgrown in the northern SacramentoValley. It is processed and bagged atnearby mills and delivered to the Portof Stockton’s dock sheds to awaitshipment to Japan. These sheds easily

ExportsCALIFORNIA RICE

BOUND FOR JAPAN

passed the tough cleanlinessinspections by both U.S. Departmentof Agriculture and Japanese inspectionservices.

“We are very pleased to earn thisbusiness,” says Port Commissioner, SamL.“Butch” Toccoli. “As bulkcommodities can be easily exportedfrom the West Complex, we expect toattract additional export trade in thefuture.”

“With the opening ofthe West Complex, wesee the Port playing anincreasingly importantrole in the export ofCalifornia’s agriculturalproducts . . .”

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Sulfur is a by-product of the creationof gasoline and other fuel by NorthernCalifornia petroleum refineries. It isvaluable to the agricultural industry asit helps create fertile ground forwalnuts, almonds and other crops.Bulk sulfur produced in NorthernCalifornia is recognized around theworld for its quality.

Bay Sulfur and J.H. Baker & Bro. Inc.,both operating at the Port of Stockton,ship more than 200,000 metric tons ofsulfur to countries in Africa, SouthAmerica and Asia.

These firms receive sulfur fromrefineries in hot liquid form, which isthen converted, or prilled, into brightyellow, dust-free pellets.

Every step involved in handlingsulfur at the Port of Stockton, fromreceiving to prilling to storage andeventual export, is accomplishedwithin stringent state and federalenvironmental standards.

“We feel our future is bright! Weanticipate more sulfur being producedby refineries as new laws require moreof it to be eliminated from gasolineand diesel,” said Dave Wilkey, generalmanager of Bay Sulfur.

ExportsSULFUR,

A LEADING EXPORT

SULPHUR

BULK RICE

BAGGED RICE

PETROLEUM COKE

GRAIN

SAFFLOWER

100,000150,000

200,000250,000

218,059

69,803

36,001

31,162

22,999

4,200

LEADING OUTBOUND COMMODITIES(Metric Tons)

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Bulk sulfur produced inNorthern California isrecognized around theworld for its quality.

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Cement holds our economy together.Each year, more than 600,000 metrictons of cement, imported from China,Turkey and other Asian countries, passthrough the Port of Stockton on theirway to construction projects in thewestern United States. Port tenants,Sunshine Cement Company andCalaveras Cement Company, providecement for highly visible projectsincluding homes, schools, freewaysand earthquake retrofits.

Both Calaveras and Sunshine haveinstalled an environmentally clean, self-enclosed Siwertell mechanical shipunloader. This specialized piece ofequipment lifts the cement from thevessel’s hold and transports it to astorage facility. The cement is thenloaded into trucks and delivered toconstruction sites throughout the area.

The Calaveras Cement facilityincludes seven dockside storagedomes with a storage capacity of morethan 100,000 metric tons. Five ofthese domes have been acquired andmodified this past year. Theyrepresent a significant investment byCalaveras Cement at their Port ofStockton facility. “Our company’scement terminal modernization effortsdemonstrate its understanding of thelong-term needs of a thriving NorthernCalifornia economy,” said Michael Roth,

Calaveras Cement Company’s vice-president for sales and marketing.

The Sunshine Cement Company ofStockton operates the Golden Arrow.Moored at the Port’s docks since 1998,it is a ship that serves as a floatingwarehouse. Originally an oil tanker,the ship was shortened andreconfigured into a self-unloadingcement carrier. Incoming ships tie upalongside the Golden Arrow andunload cement directly into its holds.The cement is then carried byconveyor system to delivery truckswaiting on the docks.

With their imported products,Sunshine and Calaveras Cementcompanies are an integral part of theactivities of the Port of Stockton andmake a significant contribution to theeconomy of Northern California.

ImportsCEMENT BRINGS GROWTH

TO NORTHERN CALIFORNIA

“Our company’scement terminalmodernization effortsdemonstrate itsunderstanding of thelong-term needs of athriving NorthernCalifornia economy.”

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Norway is the home of Norsk HydroASA, the parent company of one of thePort of Stockton’s leading clients,Hydro-Agri North America, Inc.

Hydro-Agri is the largestmanufacturer of petroleum derivedand nitrogen based plant nutrients andmineral fertilizers in the world. Formore than 20 years, Hydro-Agri hasbeen located at the Port of Stockton,leasing several acres, on which it hasinstalled five holding tanks, storingover 75,000 metric tons.

Dry bulk ammonium nitrate is oneof Hydro-Agri imports. Originating inthe North Sea region of the AtlanticOcean, it is refined in Norway. Yearlymore than 100,000 metric tons ofammonium nitrate, sulfate and ureaarrive at the Port of Stockton wherethey are unloaded by longshoreworkers and conveyed into Hydro-

Agri’s 240,000 square feet ofwarehousing before it is sold to SanJoaquin Valley farmers. Row crops,stone fruits and grains are among themany farm commodities Hydro-Agriproducts fertilize that eventually findtheir way into homes across America.

Malaysian urea, another commodityimported by Hydro-Agri, is used asfarm fertilizer as well as an ingredientin glues, shampoos and cattle feed.

Hydro-Agri imports, blends anddistributes liquid agricultural fertilizerssuch as ammonium nitrate and calciumammonium nitrate, both widely usedby San Joaquin Valley farmers.

The Port of Stockton’s outstandinglocation allows Hydro-Agri to handle,transport and distribute theseagricultural products efficiently andprovide better service and costsavings to its customers.

ImportsFERTILIZER

FROM SCANDINAVIA

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Row crops, stone fruitsand grains are amongthe many farmcommodities Hydro-Agri products fertilizethat eventually findtheir way into homesacross America.

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It all goes through warehouses at thePort of Stockton. Whether you buyyour goods from a Cost Plus WorldMarket in Modesto, Reno or any oftheir other 144 retail stores in theUnited States, every item iswarehoused and distributed fromtheir 875,000 square foot facility atthe Port of Stockton.

Cost Plus goods arrive at the Portfrom more than 50 foreign countries.“If you see an African tribal mask inone of our stores, you can bet one ofour buyers flew to Africa, rented afour-wheel vehicle and drove 100miles or more down a dirt road tomake a deal with a village chieftain tocarve masks for Cost Plus WorldMarket,” explains President, CEO andChairman of the Board, Murray Dashe.

A long-time tenant of the Port ofStockton, Cost Plus started withmodest warehouses and fewer than 50employees. As its stores grew innumber and size so did its ware-housing needs. In recent months,Cost Plus added an additional 280,000square feet in the Port’s new West

Complex. Cost Plus also convertedone of the Port’s original 1930’s brickwarehouses to use as a coffee roastingfacility, and the aroma of freshlyroasted coffee permeates the airaround the Port.

Today, Cost Plus’ warehousingoperation employs more than 260Stockton residents in full timepositions, while temporaryemployment increases by about 100during the holiday season.

“We enjoy an excellent relationshipwith the Port of Stockton and lookforward to continuing it well into thefuture,” said Dick Grice, Cost Plus’senior vice-president of logistics.

WarehousingCOST PLUS,

PORT’S LARGEST TENANT

Today, Cost Plus’warehousingoperation employsmore than 260Stockton residents infull time positions,while temporaryemployment increasesby about 100 duringthe holiday season.

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While the Port of Stockton’s docks linkthe Valley to global marketplaces, itsinfluence also has an impact in the localcommunity. Every member of the Port’sfamily is working to be a good neighbor,engaging in activities that enhance theenvironment of the neighboringcommunities and Delta region.

In recent years, the Port has establishedprograms to conserve and enhance theenvironment. Its storm water run offcontrol program prevents any pollutionfrom Port facilities reaching the river andlocal waters, thus avoiding problemsbefore they occur.

As part of its environmental effort, thePort has established an award winningenvironmental awareness training programfor tenant businesses, public entities,private businesses, schools and otherinterested parties. “Through this programof environmental education, we attempt to

make the Port and community a betterplace to live and work,” says Port ofStockton’s Director of Environmental andRegulatory Affairs, Jay R. Jahangiri.

This past year the Port of Stocktonjoined with other public, private andvolunteer groups for several days of Deltaand community cleanup. Armed withtrash bags and gloves, the groups tackledmany projects in Stockton including trashpick up in Smith Canal and the BoggsTract community. During the holidays thePort and its Tenant Association distributedturkeys to families in the nearby BoggsTract neighborhood. When the Sea Scoutdock on the San Joaquin River wasseverely damaged, the Port providedtemporary berthing for its 180-footvessel, Reliance.

The Port is working hand-in-hand withSan Joaquin County, the City of Stockton,the San Joaquin Council of Governments

CommunityTHE PORT IS

YOUR GOOD NEIGHBOR

2000 Boggs Tract Cleanup

and Caltrans to improve access andreduce the impact of traffic on theneighboring community. Theseorganizations are also funding a plan tolook at the future of nearby Boggs Tractneighborhood and surrounding residentialarea.

The Port’s community is larger than justits immediate neighbors. By refurbishingand developing Rough and Ready Island,within the South Stockton RedevelopmentArea, the Port is helping revitalizeStockton’s business community. Replacingand removing dilapidated buildings on theisland and bringing in over $30 million innew investments is just the beginning.

As a landlord, business partner and goodneighbor, the Port plays a variety ofpositive roles in building its communityand creating a better a future for SanJoaquin Valley.

The Port is workinghand-in-hand with SanJoaquin County, theCity of Stockton, theSan Joaquin Council ofGovernments andCaltrans to improveaccess and reduce theimpact of traffic on theneighboringcommunity.

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StatisticsTHE PORT AT A GLANCE

THAILAND

AUSTRALIA

CANADA

CHINA

UNITED STATES

TAIWAN

INDONESIA

100,000200,000

300,000400,000

395,175

267,854

200,419

164,531

119,434

79,263

70,566

LEADING INBOUND TRADING PARTNERS(Metric Tons)

TURKEY

MEXICO

SENEGAL

MOROCCO

BRAZIL

JAPAN

40,00050,000

60,00070,000

69,803

65,774

65,405

54,000

49,814

40,201

LEADING OUTBOUND TRADING PARTNERS(Metric Tons)

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GENERAL CARGO

DRY BULK CARGO

LIQUID BULK CARGO

PROPERTY LEASING

NON-OPERATING

2000 CARGO TYPES & PROPERTY LEASINGTotal $13,916,738

$2,164,873

$1,754,848

$3,873,816

$939,497

$5,183,704

0$1,000,000

$2,000,000$3,000,000

$4,000,000$5,000,000

$6,000,000

TERMINAL

IN-HOUSEWAREHOUSING

PROPERTY LEASING

NON-OPERATING

2000 REVENUE CENTERSTotal $13,916,738

$1,256,215

$3,873,816

$692,302

0

JANUARYFEBRUARY

MARCHAPRIL

MAYJUNEJULY

AUGUST SEPTEMBER

OCTOBERNOVEMBERDECEMBER

2000 IMPORTS & EXPORTSTotal Tonnage by Month

01,000,000

2,000,0003,000,000

4,000,000 5,000,000

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

$9,000,000

335,976

387,890

348,793

432,342

294,507

410,443

401,367

356,364

409,789247,874

265,886

305,158

$8,094,405$8,094,405

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Team 2000PEOPLE MAKE IT HAPPEN

EXECUTIVERichard Aschieris, Port Director LeRoy Hieber, Deputy Port Director of Finance

and AdministrationJ. Gordon Palmer, Deputy Port Director of

Environmental, Planning and FacilitiesMark Tollini, Deputy Port Director of Trade

and OperationsYvonne Ishimoto, Assistant to the Director /

Secretary to the BoardBarbara Snyder, Senior Secretary

ACCOUNTINGDianna Baker, Accounting ManagerMichelle BowlingKaren ChandlerRita HernandezSandy LucasJan PerrymanMelanie Rodriguez

COMMERCIAL EXCHANGE CLUBBeverly McConnell,

Commercial Exchange Club Manager

ENVIRONMENTAL AND REGULATORY AFFAIRSJay Jahangiri, Director of Environment

and Regulatory AffairsRita KoehnenMike Luksic

FACILITIES MAINTENANCE ANDCONSTRUCTIONGary Gentry, Director of Facilities Maintenance

and ConstructionTim Loveland, Facilities Maintenance

and Construction Manager / Safety OfficerFred Klumpp, Maintenance CoordinatorJuan Villanueva, Facilities MaintenanceTechnicianBob BelmontGary CapehartSteve CookerlyLarry Crain

*

*2000 Employee of the Year18


Bodie GonsalesKazuo HigashiMike HolmesGary JohnstonBob LangJoe LukeRobert MeyersNorman MurrayScott NicelerJay PenberthyCharles PiggeeVern RagsdalePete RamirezJoe RhoddDavid Zendejas

INFORMATION SYSTEMSJim Cooper, Information Systems ManagerMyra LangDennis LeClert

HUMAN RESOURCESChristeen Ferree, Human Resources ManagerNan ChavezPaulette Smith

MARKETING AND PUBLIC RELATIONSHarold J. (Hal) Hilliard, Director of Marketing

and Public RelationsGeorge Lester,Traffic ManagerErin Hall, Information and Public

Relations ManagerLarry LockmillerKyle MoutrayAl Reft

OPERATIONSMike Tyler, Operations ManagerGeorge CervantesGuadalupe CisnerosDavid Del Barba, Sr.David Del Barba, Jr.Leonard FaborCecilio GomezNick JonesMichael LopezMike MillerRaul MontanezChris MountjoyDavid Rodriguez

PORT POLICERobert Wingo, Chief of PoliceNeil Weiman, LieutenantSteve Nichols, SergeantWarren Spurgeon, SergeantLynne Zimmerman, SergeantMike ArchibequeBilly HuttonRichard LeChugaJames MayJames MitchellTyler MouaKerry NicholasTony NovaresiAllen Standley

PROPERTYCharlene Wall, Property ManagerDebbie CalliMisty EscobarNicole Mamorno

PURCHASING AND GENERAL SERVICESRoy Page, Purchasing and General

Services ManagerJudy BaumannMelissa Honey

SPECIAL PROJECTSHenry McKay, Special Projects Manager

AnnualReport Staff

RememberingHal Hilliard

Harold J. “Hal” Hilliard came to the Portof Stockton as director of marketing inJuly 2000. With more than 30 yearsexperience in the maritime andtransportation industries, Mr. Hilliard waswidely respected by local and nationalbusiness and industry colleagues. He diedJanuary 23, 2001 and is greatly missed. Heis pictured here with his wife Rosemary.

Project Manager: Blythe EganCopywriter: Judith M. HachmanPrinciple

Photographer: Rich TurnerAdditional

Photographers: Craig Sanders, The Record, Stockton,CA

Judith M. HachmanGraphic Designer: Staci L. Osborn,

Snyder LithographPrinting: Snyder Lithograph,

Stockton, California

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PPoorrtt ooff SSttoocckkttoonn2201 W. Washington StreetP.O. Box 2089, Stockton, CA 95201Telephone: (209) 946-0246Facsimile: (209) 465-7244Web Page: www.portofstockton.com

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PPort of Stockton · acquired this wonderful facility that ... China and Thailand,its cement is sold ... major north/south highways,Interstate