Central Freight bankrupt

Discussion in 'LTL and Local Delivery Trucking Forum' started by road_runner, Dec 15, 2021.

  1. road_runner

    road_runner Road Train Member

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    Central Freight Lines closes its doors leaving thousands unemployed
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    A Central Texas company that’s lasted for generations is unfortunately closing its doors.

    After 96 years, Central Freight Lines will shut down its business.

    Cassandra Alexander is a single mother of three that’s been a delivery driver for the company for the last four years. However, after scrolling through her phone yesterday afternoon, she found out that she and more than 2,000 other coworkers were without a job.

    “It’s a big shock to all of us and mainly to me because we weren’t told anything,” she said.


    “I found out through social media. I just didn’t know that it would be like this, without any warning right before Christmas. We’re literally less than two weeks from it and it’s just crazy.”

    Central Freight Will officially cease picking up new shipments effective Monday and expects to deliver all freight remaining by December 20, citing too much debt and an inability to pay bills.

    As if it couldn’t come at a worse time, Alexander says she will have to quickly adjust financially just to make ends meet in these next few months.

    “We just now were getting back on our feet,” she said.


    “I was recently diagnosed with Leukemia around two years ago. Everything was back on track and going well with Christmas coming around. Now, with this, Christmas is gonna be affected, bills are gonna be affected and my daughter’s birthdays are next months. It’s just stressful.”

    After reports of the company’s impending closure broke yesterday, Central Freight Lines released the following statement to the public:

    “As we complete the wind-down process, our primary goal will be to offer the smoothest possible transition for all stakeholders while maximizing the amount available to apply toward the Company’s obligations. Central Freight is coordinating with other regional LTL carriers to afford its employees opportunities to apply for other LTL jobs in their area. Discussions are ongoing and no purchase of assets or offer of employment is guaranteed.”

    Moving forward, Alexander is uncertain of where to go next but remains hopeful.


    “I’ll start applying for jobs, that’s all I can do and hope for the best,” she said.

    “I have four years of experience so hopefully I can find someone out there that will hire me. I just hope they do pay us for the unemployment we deserve.”
     
    Last edited: Dec 15, 2021
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  3. 201

    201 Road Train Member

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    Oh, oh,,,, this isn't good, another example of "meltdown in progress". Plenty of jobs, too bad they won't make their $35 bucks an hour( including benes) and you'll see, these crybabies that would never think of stocking soup cans at Walmart, suddenly have no choice. Pretty shallow thinking, and tip of the iceberg, folks. One by one, these companies, strapped with mounting costs, will simply say, ( as a dismal year ends) "that's it, nice knowing ya". Maybe some foreign holding company will step up and buy them out. See what a mess we're in?:biggrin_25513:
     
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  4. Lazer

    Lazer Heavy Load Member

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    Central had been rumored to be in money trouble for a number of years.
    If I recall, Central did a huge expansion 10-12 years ago, opening service terminals in the upper Midwest.
    Was Central part of the Roadway, or Yellow non-Union experiment?
     
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  5. Opus

    Opus Road Train Member

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    The answer to the second question is, yes. They were part of the Roadway non-union regional group.
    They really didn't do any sort of 'expansion', they just bought a few smaller LTL carriers to expand their footprint. Which is what put them in so much debt.
     
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  6. Dave_in_AZ

    Dave_in_AZ Road Train Member

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    I hope wherever they go, they are afforded paid maternity leave, paid insurance, paid holidays, four weeks a year paid sick days, paid lunch, paid breaks, layover and breakdown pay, pension, all whilst having no skin in the game.
     
  7. Opus

    Opus Road Train Member

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    you're mighty generous with other people's money.......and I admire your generosity.
     
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  8. road_runner

    road_runner Road Train Member

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    Their terminals overlap in the Carolinas but they are not associated with YRC.
     
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  9. 201

    201 Road Train Member

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    Ha! Nailed that sucker. It's the same old thing, isn't half a loaf of bread better than none at all? We went through this in Kenosha when Chrysler BEGGED the workers to take a pay cut. Oh, they stood tall, even got the big shot from whatever union that was, "Don't give in, we almost have them",,,Chrysler said, nuts to you, we have a plant in Mexico doing the same thing and paying workers $7.50 an hour, making 4.0 in line 6 cylinders( the last thing produced in Kenosha)why should we pay you, I think it was $30/hr, WITH benefits? They stood tall, all right, as Chrysler pulled the plug and 1500 workers are probably working at Amazon for half that now. The kicker, is these workers, GOT IT MADE, and are so used to their lifestyle, they think EVERYBODY makes $30/hour with dental insurance( you forgot THAT one, a biggie), and they have a rude awakening when they go back into the work field, take what they can get and get a dentist bill for $1200 bucks. Not so happy now, eh?.
     
  10. LPjunior1970

    LPjunior1970 Light Load Member

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    Estes has offered to buy some equipment and hire the drivers.
     
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  11. Radman

    Radman Road Train Member

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    MME was next door to me at Saia sold to Swift. They pull a lot of rocky sets out of there. Seems like small LTL companies are dying or being bought.
     
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