INDIANAPOLIS, Ind. — Celadon Group Inc. has announced that one of its wholly-owned subsidiaries purchased the truckload business and certain tractors and trailers of Warrior Services Inc. for approximately $8.3 million.
According to the sellers unaudited financial statements, the Charles City, Virginia-based transportation company generated approximately $20 million in gross revenue in 2006.
Steve Russell, Chairman and Chief Executive Officer, stated, We are delighted with the Warrior acquisition and expect it to follow the pattern established in our acquisitions of Digby Truck Lines, CX Roberson and Highway Express during the past few years. In those acquisitions, as in this one, our goals are to continue to broaden our customer base with quality customers, add density in our primary traffic lanes, and gain experienced drivers.
In October 2006, Celadon acquired certain assets of Digby Truck Lines.
“Based on our evaluation of the business, we believe Warrior had a core group of quality customers and drivers, but suffered from the excessive cost structure that plagues many mid-sized carriers. We expect to integrate the acquired operations promptly. As part of the integration process, we expect to optimize the combined customer, driver, and equipment base to improve asset productivity. We believe we can enhance the service to Warriors former customers through an upgraded equipment fleet, excellent technology, more available assets for dispatch, and an outstanding safety record.
Celadon Group Inc. (www.celadongroup.com), through its subsidiaries, primarily provides long-haul, full-truckload freight service across the United States, Canada and Mexico. The company also owns TruckersB2B Inc. (www.truckersb2b.com) which provides cost savings to member fleets.
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