And a Merry Christmas to YOU!

The trucking “bloodbath” of 2019 is ending on a remarkably sour note.

Celadon, a truckload carrier that grossed $1 billion as recently as 2015, will file for bankruptcy on Dec. 11 or earlier, inside sources told leading industry publication FreightWaves on Dec. 6.

It’s poised to be the largest truckload bankruptcy in history – and its drivers are already getting slammed.

The bankruptcy has the potential to leave more than 3,200 truck drivers stranded and away from home. Sources told Business Insider that Celadon truck drivers’ fuel cards are already getting turned off, which means they’re unable to get home without spending serious cash on gas or arranging their own transport by car, plane, or bus.
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47 Responses to And a Merry Christmas to YOU!

  1. Cederq says:

    I would drop the trailer in some yard that I was delivering too, then bobtail the hell home and then dump the tractor and let them deal with it. They knew they were going tits up and should have given their drivers some way to get home. That is why I never drove national, just a small regional so I could get home fairly easy and economically.

  2. Rayvet says:

    MSN article. Not buying it. I’m going to have to search at other sites to see what’s “really” going on here.

  3. Gordon says:

    If they turned my fuel card off, I wouldn’t spend money to get the truck home. I would abandon the tractor, trailer and load and the only money I would spend is for a Greyhound bus ticket. Mismanagement at the top toppled this house of cards.

  4. capner says:

    Just in time for the election cycle. Got to make Mr. Trump look bad one way or other.

  5. Alan says:

    Huh? I work for a major trucking company and we’re short drivers, trucks, and room in the terminals to move the freight. I know of four or five locations upper management is looking to build on for new facilities and we’re blowing out the ends of that many or more to get more loading dock space. *Every* terminal manager wants more room and more people to move the freight.
    Sorry, having problems understanding this so-called ‘bloodbath’.

    • Winston Smith says:

      Yep. Read the backstory about mgmt. corruption and ineptitude at that company.

      Hope those guys find something even better at one of the companies that need drivers.

  6. Tim in AK says:

    If I was driver and they suddenly shut off my fuel card, I’d park that fucker right there at the pump, and call a friend to come pick me up, or catch a bus home.

  7. Curtis says:

    I was about to say but y’all beat me to it.

  8. LC says:

    Trucker here, been on this story since early Sat morning.

    The cards got shut off Saturday and then they got turned back on at like 10:30pm at night. ( probably because management told the lenders, look you either pay for gas or you have to find the trucks that are buried throughout the country). They are working very hard to get their drivers back to their terminals and not leave anyone stranded. Including paying for bus tickets to drivers who need to get back to their hometown.

    this is a big shutdown and a lot of people lost their jobs (something like 2500 tractors). But they are trying to do this in an orderly fashion and do the right thing as much as they can and not pull an Arrow Trucking (google it).

  9. Trib says:

    Never heard of Celadon. Got to bad management and fuel prices. Do know that trucking companies are looking for drivers. With all the freight being ordered on the internet, imports and factory orders should be up. Do know that the docks are full of China junk waiting to be delivered.

    • Elmo says:

      Fuel prices? I don’t think so. Other than California, increases in diesel prices haven’t even come close to keeping up with the rate of inflation of what I was paying in 1988 when I parked my truck because of the ridiculous regulations I was having to deal with.

      This outfit’s problem is bad management. The two crooks that attempted to get away with Celadon’s scam are a couple of +/- 40 year old shysters with fancy titles looking to get away with fooling the SEC. May they spend time in the joint. But they won’t.

  10. Ed says:

    Buried in the article:
    “…since the 2015 accounting scandal…”, meaning stock values have dropped to $0.41/share from $20.00/share in a four year period, presumably (“scandal”) from some sort of mismanagement/misappropriations/accounting issue and quite possibly having nothing to do with the “bloodbath”.

  11. Back in the seventies the company I worked for called everyone into the office in East Boston. The company had gone under and they took the keys to the trucks. Then they told us to leave the building. In winter. Luckily they didn’t collect the company uniforms.
    We headed to the nearest bar and those men who had wives who drove and had a car, called them.
    They came and spent the rest of the night driving everyone home. Of course, at each house we stopped at everyone stopped for a drink and to grouse about our situation.
    The last man got home after midnight.

    And that was for a workforce within one state.

  12. -jon sr. says:

    I’ve supplied the class 8 market for over 20 years. I’m familiar with this company. You aint seen nothing yet.

    I’ve seen this coming since October. Add in election year. Spicy time is coming.

  13. GI-had Joe says:

    Never heard of them, never seen a trailer with that name. Must be an east coast thing.

  14. SgtBob says:

    Landline media says, “recruiters for rival trucking companies are eagerly trying to hire the company’s drivers.” On the “bloodletting” or whatever, consider the source, MSN, as rayvet said.

  15. nines says:

    I’m sorry. I just don’t get it. People are buying more online than in meatspace and it’s got to get delivered. The population is increasing. Are we all SO poor we are putting this much of a cramp in trucking?

    Are they flying it all instead? What?

    Even if this company is seriously poorly-run, WHY are we having a trucking crisis? I’m old and I am very, very poor, but still have to buy things that need to be trucked, AND every time I’ve been on an interstate highway in the last five years, they’ve been teeming with BIG rigs.

    What’s going on?

    Trying to make Trump look bad? What?

    • Judy says:

      The profit margin in trucking is not that high, if there is any mismanagement, as there appears in this case, you will loose your back-side.

    • Rick says:

      That’s my take. The hopped-up talk of an impending recession did not bear the intended results so now the anti-Trump are targeting specific industries. Everyone is familiar with trucking to some degree and it doesn’t get more blue collar than trucking. It seems like its intended to cause a panic and to hit below the belt. Just in time for the Holiday season. It’s more ‘Burn the country down to save it’ BS.

    • nines says:

      Thank you, Judy and Rick. I thought I’d missed something major.

  16. Bert says:

    Opportunity for “Mike” Bloomberg to pay a few bucks to get all the drivers home then crow about it in his massive television advertising campaign. For a guy who claims to have created 400,000 jobs this one should be a no brainer. Helping the little guy, just like the liberals always do.

    Mike, where are you?

  17. Michigan Doug says:

    Sucks to be them.
    On the plus side it looks like I now have 2 more “storage” trailers.

  18. I know my car deliveries per week have been waaaaaay down for almost a year now. Where I used to get 10 to 12 loads a week averaging 6 to 7 vehicles per load I am now getting about 8 or 9 a week averaging like 3 vehicles per load. Dealership managers swear they are having a record year in sales but then again they always claim that so who knows. Articles online swear there is a bloodbath in new car sales falling and I see that my numbers are down for the year to date as well that I receive in but the big wigs claim differently. I suspect they are making a lot of the new vehicle sales decline back in used vehicles which are usually more lucrative anyway.

    Also where I used to have 5 different trucking companies I worked with I am now down to 2. Makes it easier to handle damage claims anyway :)

  19. Walter Zoomie says:

    I’ve been calling this outfit “SillyDumb” for years. Pound for pound, some of the most idiotic drivers on the road. Anybody with a pulse was qualified to drive for them.

    After 23 years on the road and having quite enough of all the “professional” drivers, I’ve been doing yard switcher work the last six months, and it’s really not much better. I must be “yard policeman” and deal with foreigners and other ‘tards who can’t read and follow our simple, common-sense, and clearly-notated yard procedures. Celadon is among the top 5 outfits who come into our yard and couldn’t pour piss out of a boot.

    The only “shortage” in the trucking industry is the shortage in the number of intelligent, common-sense, courteous men who want to work 60+ hours a week for peanut wages.

    • Wirecutter says:

      Kinda like Swift drivers, huh?
      I have to admit I’d never hear of Celadon before, nor have I ever seen one of their rigs since I moved here, but then again, I haven’t been on a freeway in over a year.
      Good to hear from you, Zoomie. It’s been a while.

  20. Will says:

    Here are 2 good articles from the local paper on this situation (links). Garden variety fraud by the COO/CFO:

    Two former top executives at Indianapolis-based trucking and transportation company Celadon Group Inc. have been indicted for their roles in an alleged fraud scheme that federal prosecutors say cost the publicly traded company’s shareholders more than $60 million.

    Former Chief Operating Officer William Eric Meek, 39, and Chief Financial Officer Bobby Lee Peavler, 40, were arrested Thursday morning on nine counts each that include conspiracy to commit wire and securities fraud and conspiracy to make false statements to the company’s accountants and falsify records. Peavler also is charged with two additional counts of making false statements to the company’s accountants.

    https://www.indystar.com/story/news/2019/12/09/celadon-trucking-what-we-know-bankruptcy-and-federal-fraud-case/2629482001/

    https://www.indystar.com/story/news/crime/2019/12/05/former-celadon-trucking-executives-charged-fraud/2618464001/

    • Nemo says:

      So they’ve been robbing a PUBLICLY TRADED company BLIND for what appears to be years and neither their public audit accountants nor the SEC caught it OR were in on it. SSDD.

      I expect we’re going to see a lot more of this type of theft in the next several years when the economy goes south, as is being predicted.

  21. gamachinist says:

    Small World:
    I just had one of their former drivers come through on the way home to Miami from Forth Worth ( or Fort Wayne, I didn’t pay attention as it wasn’t important). Bad luck on top of loosing a job as their transmission is leaking badly.
    I referred them elsewhere as I don’t work on cars. At least she had a ride home ( I think family drove up to get her). She said she didn’t know when or if she would get paid.

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