Second generation takes reins of K&B Transportation

Transporting refrigerated meat for IBP Inc. since 1987, the South Sioux City-based trucking firm now handles the hauling for IBP Fresh Meats, a new member to the Tyson Foods family.

After last year, when Arkansas-based Tyson Foods completed its buyout of IBP, K&B even began moving products for some of Tyson's chicken plants.

"So far, it's been positive, and in the future it looks to be a positive thing for us," Kory Ackerman, K&B vice president of operations, said of the Tyson-IBP merger in an earlier interview. "We never had Tyson as a customer before. We're starting to haul a little bit for them."

Ackerman said the future of the relationship with Tyson Foods looks good and expects it to grow.

K&B was founded in Sioux City in 1987 by Ackerman's father, Ken. Two years ago, Ken stepped down from his day-to-day management of the company, turning over the reins to his sons, Kory and Brock, who is also a vice president. Though officially retired, Ken continues to hold the title of president.

Starting with 25 trucks, K&B has grown to become one of the region's largest transportation businesses, with 300 trucks, or power units, and 375 trailers. The company regularly hauls meat and other refrigerated foods for a host of companies in a large territory in the upper Midwest, stretching east to Ohio, west to Colorado, south to Texas and north to the Canadian border.

The firm began in 1987 running dedicated routes between IBP plants in West Point, Neb. and Emporia, Kan., and Denison, Iowa and Joslin, Ill. Initially, K&B used its own trailers to haul IBP products. Now, K&B's trucks pull IBP-owned trams. The trucking firm's interplant routes include hauling fresh carcass meat from IBP kill plants in Denison and West Point to processing plants in Dakota City, Norfolk, Neb. and Joslin. K&B also runs over-the-road routes, transporting IBP carcass and boxed beef to various customers.

IBP now accounts for about 65 percent of K&B's business, Kory Ackerman said.

In 1997, K&B moved from Sioux City to South Sioux City to be closer to IBP's Dakota City plant. K&B constructed a 30,000-square-foot facility at 4700 Dakota Ave., just down the road from the IBP beef plant.

K&B also hauls refrigerated products for several other major players in the food industry, including ConAgra, Sara Lee and Hormel.

In recent years, the acquisition of two other local truck lines has helped the transportation company expand. In April 1999, K&B bought Artext Transportation, a 25-truck South Sioux City firm that continues to operate as a separate firm. In May 2001, K&B acquired Marx truck line in Sioux City, adding 30 trucks to the existing K&B operations.

Like many other industries, there has been a wave of consolidation in trucking.

"As you look down the road, we have no choice but to continue to grow," Kory said. "The big companies are going to keep getting bigger, and they don't want to deal with a company that's small. They want to pick up the phone and they want to book 10 loads a day, not one load a day."

K&B now employs more than 350 people, which includes 300 drivers, 35 office personnel and 15 shop workers.

"We have a good team of people who work hard every day," Kory said. "We've been fortunate to surround ourselves with some good people."

Leading by example are Kory and Brock, who regularly put in long hours, working seven days a week, year round, including many holidays.

Kory focuses on operations, the nuts and bolts of keeping trucks moving, while Brock concentrates on the shop, maintenance and buying and selling equipment. Sister Kyle Tadlock also works at K&B in the dispatching.

Brock originally joined the family business in 1989. A Certified Public Accountant, he later left for a job at Ernst & Young in Orlando, Fla. In 1993, he returned to K&B.

Like his brother, Kory was an accounting major in college, but he left school to come to work full time for K&B in 1991. His plans to attend night classes to finish his degree never panned out.

"I was anxious to get home, I told Dad I'll come back and start work and I'll go back and get my education," Kory recalled. "Little did I know I was going to be working 80 hours a week."