News broke earlier this week that almost 60 years after his father purchased a gas station in Virginia for $6,000, Jimmy Haslam has entered an agreement expected to be worth billions to sell a controlling share of Pilot Flying J to Warren Buffett’s Berkshire Hathaway.
The Haslam family will retain a 50.1% stake in the company for now, with Buffett’s Berkshire Hathway buying up 38.6% initially. By the end of 2023 however, Buffett is expected to own 80% of the company.
With just of shy of $20 billion in sales each year, Pilot Flying J is the 15th largest private company in the United States. While the exact details of the purchase were not disclosed publicly, the deal is expected to be worth billions of dollars.
Other than a significant bump in their wealth, not a lot is expected to change for Jimmy Haslam or his brother, Tennessee Governor Bill Haslam. As part of the deal, the management team will remain in place.
“He truly wants us to run the company, wants us to maintain the culture,” Haslam said of Buffett according to a report by Reuters. “It’s just a marriage that we thought made a lot of sense.”
When asked about the now infamous fuel rebate scam that led to an FBI raid of Pilot Flying J headquarters and the arrest of numerous executives including former President Mark Hazelwood, Buffett stated “I know about it, but it’s not going to affect the future of the company,” according to The Tennessean.
“I think our comment has been all along that as long there’s an investigation going on that we would not comment, but this transaction has nothing to do with the government investigation,” added Jimmy Haslam.
Some have questioned why Buffett would be interested in purchasing Pilot Flying J with the looming threat of autonomous and electric vehicles. But according to Forbes, Pilot Flying J is well positioned to add new infrastructure to its truck stops that could serve electric vehicles. Then, when drivers stop to recharge, they’d have up to 45 minutes (on a fast charging battery) to spend money on goods and services.
As for autonomous vehicles, Buffett doesn’t seem to concerned.
“Trucks are going to be around for a very long time. Who knows when driverless trucks are going to come along and what level of penetration they have,” Buffett told Bloomberg News. “There is nothing that we own that doesn’t have something in the future that might affect it.”
Source: truckinginfo, fleetowner, overdrive, forbes, reuters, tennessean, bloomberg, fortune, knoxnews
Hello. Get your fleets in a row, he may soon be knocking on your front door.
At least there’s a man of integrity who will be running this company now.
Didn’t you read the article? Obviously not.
“Rich men are evil because they have more money than me! They should give some to me.”
Why? Research shows that people who win the lottery or obtain large sums of money generally lose it within 5 years.
Not me. I am an EXPERIENCED POOR PERSON.
Yeaaaah but I can travel around the world twice and have a WANG DANG DOODLE in those five years! Oh and plus a inframe and a new set of tall Michellins on my truck so it’ll be ready to roll when I fk up awwwwl that money…lmao…dammit driver!😋
Work for it like they did..You make your own choices.A lot of people do not know how to handle money..
Money is simple and complex at the same time, because its tied to many different things firstly mathematics and of course human emotions make it seem indivisible with our own interests but can devour an entire world with the worst intentions.
Ahhh, the logic of a simple mind.
Not all people of great wealth are crooks.
I was mocking CW with that comment, hence the quote marks
Cw next time you meet this buffet on street run away fust. Sores and buffet brings all wars and unfairness to this world Alex Jones
Jimmy Haslam will still be the CEO! He still owns 50.1%. Don’t you read?
Ummm, who would that be? The Haslams?
I always thought these places were always over priced. No wonder they are worth Billions. Highway robbers!!! SMH funny it take our industry to make them loads of cash. While we only make pennies on the dollar.
Well, not really, Mike. They have undercut prices on all the independent truck stops, driving them out of business, which is why the wonderful world of truck stop restaurants has pretty well disappeared. Once they had accomplished their first goal, however, yeah, they raised prices.
I see restaurants at every truck stop I’ve been to.
Not real home cooked restraints like it used to be now most flying j have Denny’s way over priced or pilots have Macdonald a or subway
Then you haven’t been to many Pilot/Lyin J’s. I haven’t seen a “restaurant” in ANY in MANY years. If you call Taco bell a restaurant, you probably believe yourwelf to be a truck driver, as well.
Dear Plum
That is a brilliant comeback, especially the last line! 🙂
Heh! Good one!
Apparently you weren’t around 15-20 years ago when we had actual truck stops not glorified gas stations/convenience stores.
Taco bell, SubWay, these places close dont offer breakfast, Truckstops in general are a joke, the J got rid of its own restraunt but at least has a Dennys.
Sorry but it is not just the Pilot Flying J that did that. Every single one of the mega truck stops Petro TA and a Loves has done it. They are for the most part responsible for the demise of the Mom N Pop truck stops.
Im just a single truck O/Op but here’s my 2 cents worth.
Mom and Pops just about always have the better prices, they don’t have all the flash and dash of the modern travel plazas, but you can save $100 a fill-up versus the big chains… I have my own credit so no fuel card, and my debit card works nicely to get the cash discount…Pilot doesn’t even let you do that you need cold hard cash.. where as Mom and Pops don’t require it most of the time and they will even fill up your thermos for free usually to gain your business..
Yeah driver, and yes LITERALLY pennies per mile…lol
This industry has always fed on its own!! Everyone in this business makes good money and it all comes right out of your and my pockets!
Mike, fj is also working on pennies. It just hsppens ti be lots if them.
Years ago pilot used to be a cheap fuel stop but they have gotten so big now that they are like the rest. I refuse to go into either one because of that fact. 😡
They all are like that . You still go to TA Petro? They are the worst of the bunch.
Massive overhead,mass volume sales.Survival of the fittest.All those parking spots generating zero revenue but consuming property tax and maintenance costs.It’s a tough biz.Living on the road as a trucker is very expensive.Make sure an accountant specializing in the industry recovers all that you are entitled to come tax time.If you’re a company driver it’ll cost about $175 a year for the service.
I got some good stuff,cheap,from truck stop blow out sales.I’m looking at a travel bag,right now,that I bought years ago at the J in Black River Falls,Wi.not long after the J aquired that truck stop from the independent owner.It’s still in perfect condition.
The showers aren’t really free
Do you tell yourself that so you can ride another 2100 miles locked in your own special stink tank?
Buffets’ quite a capitalist for being a communist..
I guess Pilot / Flying J has not changed their opinion of drivers or the public.. “F… em”
When driverless trucks take over, I am pretty sure we will get better replies.
I like that one “quote” driver, referring to 15-20 years ago how good it was, 20 years ago the cookie cutter truck stops had already taken over
There is millions of people out of job and some starving while Buffet apperently going to live forever and need a few more billions on top of his empire.
The more money investors make, the more money they have to invest in other companies to hire more people. He isn’t sitting around on a pile of 20 billion $1 bills you know… He owns companies that many of your friends and family work for. America also doesn’t have a “starving” problem, it has an obesity epidemic. “Poor” people these days are getting paid by the government to sit around and eat Doritos and McDonald’s while watching HBO all day. 32% of middle age Americans are obease. 79% of people between 20 and 74 are over weight, yet only 49% of the population is Employed. Why work when the government is so good at creating dependents? But, you can always vote for the Ds because they like spending your money more than you do.
I still won’t fuel at one now or in the future
Seriously going to do that simply because of Buffet? “Oh no! A rich man is buying a company from another rich man! I’m going to stop patronizing the store because the Democrats say he’s an evil man!”
Why not stop listening to the Democrats and do your own thing.
Right on! Or the Repubs either.
RESPECT..it seems there isnt any for one another in trucking any more…damn shame
.
So your going to pull your trailer with a 20 horse hitch loves is just as bad along with ta and petro all the same
Would you need EOBR for that?
Wow how convenient for both parties here. Government in private business. And now private business in with government. Sounds like a cover up coming
Ya think? Try govment helping poor old Omnitracs make another couple a billion, so their chillin don’t go hungry. All on our nickle o course
I cant believe truckers continue to use pilot or flyin js..this FAMILY if thieves even have been able to swindle themselves into a gov role. Money is made inside those store and you are just helping their family survive..they even price gouged during hurricane katrina..if you dont stand for something you fall for anything. .
“Truckers” don’t have a choice. Their companies give them a book of approved fuel stops and generally those are the only stops where the card works without an override from dispatch/fuel dept/etc.
Somethin is missing. Their not telling the full story. No reason to sell off a big piece of a profit makin buisness unless some trouble is on the wa y.
I assume that when it is sold the Haslams will not be suffering the criminal charges looming over their heads. They will probably get a clean bill of health after the sale. I see the Pilot FJ perks being either drastically changed or done away with entirely. Fuel will be sold ,business as usual on the outside. A multi billion dollar tax break.
isn’t Buffet known for buying out distressed businesses?
Uh, just who does he or Buffet think controls the market share of this company and it’s valuation??????
We do. The Truckers and Motoring public do
If we decided tomorrow to fuel exclusively at Love’s instead. Just what would FlyingPilot actually be worth. Not a whole heck of a lot I think
I only fuel at loves myself but if need be I will go to TA or petro.
you got it. but it would have to be action from the independents cause the carriers get rebates. we fuel at many independent fuel stops just trying to help our bottom line and theirs too.
Mike, fj is also working on pennies. It just happens to be lots if them.
Maybe Buffet will clean the filthy places up
why would he do that? he is keeping the Haslams in charge
I’m nervous about a man who wants freight to move mostly on his railroad buying up a major portion of the trucking industries fuel sources. If he gets controlling interest and closes them down, using some B.S. excuse, that will put a major strain on the trucking industries infrastructure. Meanwhile, he welcomes shippers to his Intermodal industry with open arms.
Interesting. Connect the dots. Follow the money. You are probably on to something. If he tries to buy Loves and Petro, we’ll know for sure. Buffet may talk like an ethical man, but he isn’t, of course. He didn’t obtain what he has by being ethical. None of them in that financial tier have. LEGAL, yes. ETHICAL, no.
Im not usually an conspiracy theorist but that’s twice in less than a week conspiracist make more sense than the story being told.
You be one smart trucker
I be smart too, but didn’t get to that conclusion, just wondering why a railroad man would make this move.
Maybe he is trying to profit on both ends. He can’t add more track to his RR, but he can drive out more mom and pops on our end.
Ah, the smoke and mirrors are multiplying faster than the speed of…..
Glad you guys read between the lines. Yes Buffett will be going after loves and ta..he is n the rails through a partner. And fellas not a damn thing we can do..trains took over the cattle drives and freight bye bye horse & cowboy . now bye bye iron cowboy
Remember that he can make the Truck stop business a paying profitable business no different than the RRs he has. All in good business sense ,and having the right people to run it. Who knows, he make make it better for truckers and that will bring in even more business. He is not a stupid man by any stretch of the imagination. I seriously doubt he will shut down the company. The huge layoff and unemployment would tarnish his image and damage many states and towns financially.
All we can do is hide and watch.
I don’t think that with a gatrillion billion dollars his reputation matters a whit
Hey Ya’ll,
We have to remember, this guy & his company are crooks now! Berkshire Hathaway has a reputation for being fair,but ruthless! They MAY be able to fix this company, if they decide too! I still find SOME “Ma & Pa” places around! But of course, their few & very far between! I personally, when I drive, go to anybody I can OTHER THAN Pilot/Flying J. Unless the company I’m Contracted with gets some Huge Discount ! But overall, I avoid them like the plague! I started avoiding them when it came out they were stealing money from carriers! Yes I know a lot of carriers are crooks too! We all know it’s just Pilot/Flying J got caught!!!
But U know, I had left this business, back in the 80’s! So when I came back to it, I was like a rookie again, not as driving goes, but as far as the business is concerned. I got taken for a ride, by Transam and about lost my shirt!!! Everybody in this Business today, I ever talked to who’s been in it for awhile, knows about those crooks!!! That’s why their getting sued in that huge Class Action & loosing I understand! But I digress! Anyway, for all we REALLY know, TA, Petro & Loves could all be crooks too! They just haven’t got caught yet!!! Now look, we all know Trucking as ALWAYS been a rough Business in the US. The rest of the world, not so much! But here, in the states, I think back to the 1950’s! But OVERALL, it was really a “small percentage” compared to today!! But back in the 1980’s Trucking had a fairly OVERALL, decent Image, at least in the early 80’s, when I was involved! There literally still were, “Millionaire Truckers” most from left out of the late 70’s! Not saying there was a lot. But I know, I had an Uncle that WAS ONE!! In fact, until I went in the military, he was showing me the “Ropes”, in this Business!! Cause when I was a kid, I wanted to be like Claude Atkins & those guys in “Movin On” or like Greg Evigan in BJ & the Bear!! He was teaching me, that trucking wasn’t like TV of course! But surprisingly, at the time, driving the Rigs was actually really similar ! But he always said, “there’s crooks in this business like anything else son! SO you have to be careful” The difference was, there were a bloody hell of a lot LESS OF THEM, THEN THERE ARE TODAY!!! The dumb ass crazy regulations from the government claim “safety and crap”! What a bunch of Bull. We all know the saying “Ya can’t fix stupid!” Well the majority of us drivers, that been around awhile, ARE NOT STUPID, IT’S WHY WE’VE BEEN AROUND AWHILE!!! Duh!!! If people would listen to us for awhile,instead of the dumbasses & crooks, we could get this industry back on it’s feet. We also need to get rid of some of the stupid ass laws, some of these individual states have come up with too! The people us Truckers have to look out for are the crazy 4 wheelers, some of which I don’t believe EVER learned to drive! But I digress! Bottom Line here, is these are just a bunch of crooks, albeit rich, but still crooks!!! Let’s clean up this industry, get rid of all these crooks! (Govt Regs. too!) Then MAYBE just MAYBE, Good Hard Working Truckers can be proud of what we do! We might even get “fuzzy cheek kids” to actually look at Trucking the way some of us did, when we all were kids & the Industry may just start to grow, bringing pay, working conditions and everything else, up with it! Just something to think about people!:) Be safe out there!! 🙂
The book ” Free Lunch” by David CayJohnston provides an interesting anecdote or two about how rich people like Warren Buffet obtain their wealth. And it does not paint a very pretty picture.
How much money does any billionaire have to make before it’s enough?? How about giving some of that money back to the drivers that have had to sacrifice everything to make the multimillionaires & billionaires what they are today??
Barney, You just reminded me of that movie Wall Street, when the man that owns one of the big brokerage houses on Wall Street is asked by a young broker that he is trying to get to come over to work for him. Young broker says, “What’s your number?” The owner says, “What do you mean, ‘What’s my number?’ ” The young broker says, “Well, everybody has a figure, when they are worth a certain amount of money they say, “That’s enough.” Older guy says, “My figure is MORE!” They will never have enough. It’s a never ending game of greed with them.
Give it back? Give? And lose the chance to make even more multimillions ? Surely you jest.
And I am confused when you say you sacrifice everything. We are business operators and that description does not include sacrifice. I am sorry if that is the paradigm from which you work.
Despite thoughts elsewhere, this is a good thing. Buffett is looking at the potential steady long term income possible and its definitely there. Although BNSF has taken some hits (oil and coal losses, big wrecks, bad weather) he has reinvested billions in the railroad. Without having to throw billions out the window to greedy Wall Street types, there is great potential to improve the properties. More stops, more parking will help us and them in the long run.
BNSF: Big Nasty Stinkin’ Farts.
of course you mean that now they will spend the money to expand? It’s more likely they will just buy more of those handy dandy reserved parking signs. just went thru the parking lot of the Mt Vernon IL TA and both sides of the main aisle are paid parking. you think he will throw that easy money away just because he is looking to help us? Nay nay!
If it changes for the worse ill go to ta or petro
please see comment above about TA increasing the paid parking
Bunch of whiners!! Nobody forces you to drive a truck! Go get underpaid in a factory, and ripped off at the local grocery store.
I think we all should find a nice Amish family and ask them to adopt us. I’m sure I could learn to milk chickens or pluck goats, tho the britches they wear could stand some improvement, I’d be willing to work at it. They’re good people and their morals are a lot better than the profiteers.
All kidding aside, it is what you make of it, from finding the right company to standing your ground on the law.
We gotta put our big boy pants on and eat more dessert, particularly when it is a choice between carrots and chocolate. (there’s that kidding again lol)
I thought Berkshire Hathaway only bought into well-run, stable, ethical companies. Either they haven’t done “due diligence,” or Buffett hasn’t read the news or talked to any truck drivers.
Well I guess that’s the end of my and PJ. Won’t be giving Buffet any $
Instead of ranting about rich men & listening to right wing conspiracies all day while blowing your $ on useless gadgets & finding excuses not to work, you could save some money and buy Berkshire Hathaway stock. As a Berkshire shareholder, I continue to be amazed with Buffet’s genius. And I continue to profit from it. If you aren’t participating in the capital side of capitalism, you have no one to blame but you. This is a great country for those of us who aren’t listening to Alex Jones crap all day. We live in the real world and it’s a beautiful place.
While you are correct in much of your statement,the problem that arises from a purchase/merger such as this is giving one man/entity the power to become a monopoly. You really need to look deeper into things about Buffet and what’s been going on with the Freight in general out of the Illinois,northern Indiana,Michigan and Wisconsin since his purchase of the BNSF. Where there used to be multiple loads per truck there’s lucky to average 2 per truck. The west coast runs are way less amongst other things.
now if pilot and flying j could only improve their sorry customer service skills, and quit price gouging us drivers…oh, thats not going to happen? oh, darn…
The real money at Pilot comes from “property” …The rent on the Popeye’s chicken or Wendy’s. Or whatever pile of fast food garbage rents. That’s what Buffet is buying. Now and for the future. He’s not spending billions so some bunk monkey has a nice place to dump or leave their piss bottle. Or some homeless 72 inch parking lot condo dweller has a spot to walk their sick half blind dog.
One thing the new owner should do is make the truck stops more than a 7/11 with diesel pumps.
I guess his recent shenanigans caused a little heat.
To Lisa Hooper,smartest post on this board.I too profit on stocks,some weeks make more on stocks than driving.So it is what it is.