LISTED ABOITIZ TRANSPORT SYSTEMS Corp. (ATS) is merging with one of its subsidiaries in an effort to cut costs and streamline operations.

In a disclosure on Friday, the company said its board had approved its merger with Zoom In Packages Inc. (ZIP), a logistics firm ATS owns.

?This merger is expected to further improve the effectiveness and efficiency of the delivery of freight services of ATS, as well as reduce cost as people, process and systems are integrated,? the company said.

ZIP is engaged in the business of moving loose cargo. It provides integrated logistics solutions, which include all cost effective activities from point of origin to point of destination for the purpose of meeting customer requirements.

Services ZIP offers include door-to-door pick-up and delivery of goods, warehousing and storage, distribution, supply chain management, and loading and re-loading of cargo on any air, land or sea carrier.

ATS, owned by the Cebu-based Aboitiz family, operates under several brands, including 2GO, 2GO Together, SuperFerry, SuperFerry Travel and Leisure, and Cebu Ferries, making it the country?s largest shipping firm.

Earlier this year, ATS reported a net income of P546 million in 2009, up from only P83 million the previous year.