Alvan Motor Freight of Kalamazoo, MI, ceases operations

| Tuesday, July 01, 2008

A Kalamazoo, Michigan-based trucking company, which has been operating for 67 years, shut its doors and filed Chapter 11 bankruptcy during the weekend. Alvan Motor Freight Inc. employed about 525 people and had terminals in Indianapolis, South Bend, Chicago and several other locations in Michigan and Ohio.

James Van Zoeren, the head of Alvan Motor Freight, said in a press release that the company was quickly becoming a dinosaur.

“Our ability to compete with much larger carriers than ourselves was becoming compromised, said Van Zoeren. “Our costs were higher, and we were struggling to keep up on a technological basis.”

Van Zoeren also said the company was hurt by a three-month strike at American Axle, which deprived Alvan of a lot of freight. A soft economy, high fuel prices and a tight credit market all contributed to the bankruptcy.

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