Staff Contact: George M. Beck Telephone (703) Item Description Class

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1 Re: Boxes or Chests, NOI, cooling; Coolers, NOI; Ice Buckets; Containers, liquid or beverage serving; or Coolers or Cooling Boxes, beverage, containing refrigerant; hand portable, expanded plastic Staff Contact: George M. Beck Telephone (703) Proponent: Lifoam Industries, LLC, Hunt Valley, Maryland Present Classification Provisions Item Description Class PLASTIC OR RUBBER ARTICLES OR MATERIALS, EXPANDED, GROUP: subject to item Articles, Forms or Materials, viz.: [Articles Listed Not Involved.] In bags, boxes or drums, see Note, item , subject to Items 170 and 171 and having a density in pounds per cubic foot of: Sub 1 Less than Sub 2 1 but less than Sub 3 2 but less than Sub 4 4 but less than Sub 5 6 but less than Sub 6 8 but less than Sub 7 10 but less than Sub 8 12 but less than Sub 9 15 or greater NOTE Not Involved NOTE Not Involved NOTE Not Involved Boxes or Chests, NOI, cooling; Coolers, NOI; Ice Buckets; Containers, liquid or beverage serving; hand portable, with or without components or affixed accessories of other materials, in boxes: Sub 1 With integral refrigerant gel filled lid Sub 2 Other than with integral refrigerant gel filled lid Coolers or Cooling Boxes, beverage, hand portable, containing refrigerant, with or without cloth carrying bag, in boxes, having a density in pounds per cubic foot of 5 or greater, see Note, item NOTE Density must be shown by the shipper on shipping orders and bills of lading at time of shipment. If density is not shown and shipment is inadvertently accepted, charges will initially be assessed under the provisions for 'Expanded Plastic Boxes, cooling, NOI,' per item Upon satisfactory proof of actual density, freight charges will be adjusted accordingly National Motor Freight Traffic Association, Inc. Subject 8, Page 1 of 6

2 Proposed Classification Provisions Item Description Class PLASTIC OR RUBBER ARTICLES OR MATERIALS, EXPANDED, GROUP: subject to item Articles, Forms or Materials, viz.: Boxes or Chests, cooling, NOI, or Coolers, NOI, hand portable; Containers, liquid or beverage serving, hand portable; Ice Buckets; [Other Articles Listed No Change.] In bags, boxes or drums, see Note, item , subject to Items 170 and 171 and having a density in pounds per cubic foot of: Sub 1 Less than Sub 2 1 but less than Sub 3 2 but less than Sub 4 4 but less than Sub 5 6 but less than Sub 6 8 but less than Sub 7 10 but less than Sub 8 12 but less than Sub 9 15 or greater NOTE No Change NOTE No Change NOTE No Change Boxes or Chests, NOI, cooling; Coolers, NOI; Ice Buckets; Containers, etc... Cancel; see item Coolers or Cooling Boxes, beverage, hand portable, etc... Cancel; see item NOTE Cancel; no further application. Analysis This proposal was docketed to address interpretation disputes between the proponent and its various carriers on shipments of the proponent s coolers; in particular, those coolers represented as Koolit Bags. According to the proponent, the carriers are applying four different classification provisions. The CCSB has issued opinions that the applicable classification provisions are in item , as shown in the present provisions herein. History of Provisions The provisions of item were established as a result of action taken on Docket 703, Subject 50 (May 1970), and first appeared, with a class 400, in Supplement 27 to NMFC A- 11, effective May 31, The coolers or cooling chests on that record produced a range in density from 0.37 to 2.18 pcf, with an average density of 1.11 pcf. The ice buckets on that record ranged from 0.81 to 1.31 pcf (two figures), with an average of 1.05 pcf. Subject 8, Page 2 of National Motor Freight Traffic Association, Inc.

3 As a result of action taken on Docket 734, Subject 27 (July 1973), item was amended to add a subprovision for products with integral refrigerant gel-filled lids at class 250, and the class 400 was retained for those products without integral refrigerant gel-filled lids. This change first appeared in Supplement 4 to NMF 100-A, effective June 21, Item was established as a result of action taken on Docket 742, Subject 47 (March 1974), and first appeared in Supplement 1 to NMF 100-B, effective April 1, The involved coolers had densities from 5.70 to 6.60 pcf. About Expanded Plastic Coolers, Ice Buckets, etc. Expanded plastic hand portable cooling boxes or chests, coolers, ice buckets and liquid or beverage serving containers were originally an inexpensive alternative to such products made of other materials. Their light weight made them easy to carry. They are generally used to keep beverages and other items cold. Examples of the coolers and ice buckets embraced by item are shown below: The following is a picture of the cooler with refrigerant core that established item : 2012 National Motor Freight Traffic Association, Inc. Subject 8, Page 3 of 6

4 The proponent s products include the following expanded plastic coolers: The proponent s products are manufactured from expanded plastic with or without components of other materials. As previously mentioned, the proponent s Koolit Bags have been the subject of interpretation questions. They are constructed with a vinyl exterior, a thin layer of expanded plastic, which is the primary construction material and insulating medium, and a non-expanded plastic handle. These coolers are collapsed and folded in inner containers when shipped, as shown below. Subject 8, Page 4 of National Motor Freight Traffic Association, Inc.

5 % of Figures in Interval CCSB DOCKET Transportation Characteristics Density The data furnished by the proponent yields two density figures: 1.07 and 3.93 pcf. In addition, the CCSB Density Study 1 contains 126 density figures for products reported to be moving under items and , ranging from 0.33 to pcf. The average density of all figures is 3.62 pcf. A frequency distribution is shown below. Frequency Distribution 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 7% 14% 43% 27% 5% 4% 1% 0% 0% 0% 0% Density Intervals (pcf) Handling The information of record indicates that the involved articles are generally tendered for shipment in fiberboard boxes of regular size and shape and palletized. No unusual or significant negative handling considerations have been identified. Stowability The information of record does not suggest that stowability of these articles presents any significant negative considerations. However, as with other lightweight and foam plastic products, consideration should be given as to where the articles are stowed to avoid crushing. In this regard, the proponent states that these articles are actually used in many cases as top freight. Liability The proponent s information indicates that the average value per pound for these products is between $5.00 and $5.35. Proponent also states that claims for these products are less than 0.05% a year. 1 The Density Study is part of an ongoing effort by the CCSB to collect information on actual shipments; it is not tied to any particular research project, nor does it target any particular product category. Carriers that choose to participate in the study periodically submit shipment data captured through their respective freight auditing programs. The data is identified by NMFC item, and only verifiable data points, which include the weight and the dimensions and/or cube of the shipping unit involved, are used National Motor Freight Traffic Association, Inc. Subject 8, Page 5 of 6

6 Relationship to CCSB Policies and Guidelines This proposal would cancel items and and name the involved commodities in item , which provides classes based on the CCSB s standard nine-subprovision density scale that ranges from class 400 for densities of less than 1 pcf to class 70 for densities of 15 pcf or greater 2. CCSB policy calls for provisions to reflect a commodity s known transportation characteristics. Information of record for items and indicates a range in density from 0.33 to pcf, with an average density of 3.62 pcf. Under CCSB policy, commodities exhibiting a wide range in density may be assigned density-based classes; especially when there are no unusual handling, stowability or liability characteristics. Canceling items and and incorporating these commodities in item , as proposed, is consistent with the aforementioned CCSB policy. The proponent also believes this would eliminate interpretation disputes as to the proper classification of the involved commodities, consistent with CCSB policy. 2 The CCSB s standard nine-subprovision density scale includes reference to Item (Rule) 170, the inadvertence clause, and Item (Rule) 171, the bumping privilege. Subject 8, Page 6 of National Motor Freight Traffic Association, Inc.