MANAGEMENT GROUP BUYS ROADWAY’S ARNOLD TRANSPORTATION SERVICES
A management group, led by Michael S. Walters and private equity firm
Jefferies Capital Partners, will buy Arnold Transportation Services from
Roadway Corp.
Arnold Transportation Services is considered an irregular route and
dedicated truckload motor carrier based in Jacksonville, Fla., specializing
in short-haul regional operations. The company uses more than 800
company-owned tractors, 500 owner-operators and 4,200 trailers to provide
service to the Northeast, Southeast, Midwest and Southeast regions of the
United States.
Roadway acquired Arnold Transportation Services in November 2001 as part
of its purchase of Arnold Industries.
“We have been pleased with the business levels, the profitability and the
quality of management at Arnold Transportation Services,” said Michael W.
Wickham, chairman and chief executive officer of Akron, Ohio-based Roadway.
“It is, however, a truckload carrier, and it does not fit in our strategic
focus (as a less-than-truckload carrier).”
“This sale will allow us to reduce debt levels and pursue additional LTL
opportunities,” Wickham said.
The transaction is expected to be finished by the first quarter of 2003,
subject to regulatory approvals and satisfactory closing conditions. The
transaction is valued at about $55 million.