Celadon stock loses 67% on $10m loss and multiple lawsuits

It's been said that leasing and renting only amounts to "renting a job" which essentially is true. Why the hell would you do that? So you can go home when you want to? You can't afford to park that rented truck more than maybe 3-4 days/month. Most any employee driving job will give you at least that, without all the headaches and sleepless nights.

 

The stock did not react with a dead cat bounce is a heads up and with lawyers trying to round up participants for a class action for those whose losses exceed $100K I think there is some value left to scrap over. Interesting story to see how it unfolds.

 

Well you, but Ise a BIDNESS MAN now!

 

Natural selection.

Hurst

 

it looks like the suits who run celedon are now qualified to run for president lol

 

As someone else posted on a different thread, who else is deeply into lease/purchase and is using "funny accounting practices" to report false earnings to fool shareholders

 

Thought they were going to run Chelise next?

 

Chelise is ugly as they get but the gal has one hell of a body. Bagger for Prez!

 

Yes, leasing a truck from a carrier and working for them usually ends in disaster for the driver but a company leasing their trucks is a whole different story. Many companies do this and I'd guess they had several accountants crunch the numbers many times and it comes out better for them than actually buying their equipment.

 

I believe ALL fleece purchase programs are set up with a "separate" company that leases the trucks. That "separate" company doesn't buy the trucks, they lease them in quantity and then turn around and lease them to suckers at very high rates. They generate an estimated $3000 profit per truck per month on the difference.

This set up means the carrier doesn't own the asset or have responsibility for maintenance, that's on the suckers. The carrier makes profit on loads.

Oh, and the profit from the "separate" company? Take a wild guess who's pockets get lined.