This story has been updated to include a Dec. 5 response from Jack Cooper.
Car hauler Jack Cooper appears to be one step closer to entering the less-than-truckload arena.
FreightWaves previously reported that Jack Cooper was in talks to acquire Standard Forwarding, a Teamsters-staffed LTL carrier. At the time, a spokesperson for Jack Cooper said it was “hopeful” to reach an agreement with the union and Standard Forwarding.
Last week, the Teamsters announced a new five-year deal with more than 350 drivers at Standard Forwarding. FreightWaves has also obtained a copy of a tentative master freight agreement between Jack Cooper Freight, LLC and the International Brotherhood of Teamsters. The 87-page document now appears on TruckingBoards.
The “upon acquisition” agreement spells out employment terms for drivers and dockworkers. It’s presumably in line with the new Standard Forwarding deal, which includes what will amount to a 26% wage increase over the contract term, enhanced overtime, another paid holiday and added sick time.
The acquisition of Standard Forwarding, however, remains unconfirmed.
Illinois-based Standard Forwarding is a 90-year-old regional LTL carrier operating 14 terminals in Illinois, Iowa, Wisconsin, Indiana and Minnesota with a fleet of 350 tractors and 800 trailers. It was acquired by DHL Freight in 2011.
A Jack Cooper-related entity previously made several attempts to buy a portion of defunct Yellow Corp.’s (OTC: YELLQ) network, but the offers were rejected by handlers of Yellow’s estate.
Details of the new LTL company have been sparse other than LinkedIn posts from some former Yellow employees, who now say they work for Jack Cooper’s LTL unit.
The fate of the new venture remains to be seen as Standard Forwarding was rumored to be struggling before Jack Cooper’s interest. Also, Jack Cooper was restructured under bankruptcy protection in 2019.
Jennifer Holdsworth, a spokesperson for Jack Cooper, said the company is not acquiring Standard Forwarding in a Dec. 5 statement. “The Riggs family has always looked for opportunities to save jobs, and will continue to do so in this instance through another endeavor,” Holdsworth said.
The Riggs family owns Jack Cooper.
