Akron, OH-based Roadway
Corp. will sell its subsidiary Arnold Transportation Services, the company
announced Dec. 30.
A management group led
by Michael S. Walters, Arnold's president and CEO, and Jefferies Capital
Partners, a private equity firm, will purchase the division in a $55 million
transaction that is expected to close by the first quarter of 2003.
FL-based ATS uses 500 owner-operators along with its 800 company-owned tractors
and 4,200 trailers. The firm is an irregular route and dedicated truckload
carrier that specializes in short-haul operations in the Northeast, Southeast,
Midwest and Southwest regions of the United States.
The change could be good
news for the owner-operator segment of the industry. A spokesman for Roadway
said ATS was looking to increase the number of owner-operators it works with.
"He (Walters) will be retaining
his current drivers and looking for additional drivers," John Hyre, director
of public relations at Roadway, told Land Line Dec. 30.
Roadway acquired ATS in
November 2001 as part of its purchase of Arnold Industries Inc.
-By Mark Reddig, associate