CONSOLIDATED FREIGHTWAYS APPOINTS TURNAROUND SPECIALIST

CONSOLIDATED FREIGHTWAYS APPOINTS TURNAROUND SPECIALIST

   Consolidated Freightways, the struggling less-than-truckload and logistics company, has named a company turnaround manager, John Brincko, as its new president and chief executive officer.

   The company said that it has engaged a proven turnaround professional “to ensure the successful completion of its strategic restructuring.”

   Patrick Blake has stepped down as president and CEO of Consolidated Freightways, after two years holding the top executive position at the company.

   Brincko has managed several turnaround situations, including at Sun World International, Inc., Barney’s New York, Mossimo, Inc., Globe Security and Stroud’s. He has over 30 years of executive, financial and operational management experience, and has served as president and chief executive officer of many businesses.

   William Walsh, chairman of the board of Consolidated Freightways, said that the goal of the company is to complete the restructuring of the company and return it to profitability.

   In the first quarter of this year, Consolidated Freightways suffered a 19-percent fall in revenues, and incurred an operating loss of $30.9 million, as compared with an operating income of $0.2 million for the same period last year.

   The company said that it was also impacted by negative perceptions in the marketplace regarding its liquidity and by the loss of a large customer in the fourth quarter of 2001.