NJ Based Motor Carrier Discontinues Operations

[87GTA]

Category: General
Date: 01:27:43 PM, EDT, 05/19/08
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NJ Based Motor Carrier Discontinues Operations
Jevic Transportation Inc Cites Economic Conditions as Final Straw

Delanco, NJ…. Effective Monday May 19th 2008 Jevic Transportation, Inc, a less-than-truckload transportation services provider, is discontinuing operations. They are headquartered in Delanco, NJ.

Although the company will not be making pick-ups, a company spokesperson has said they are running a delivery operation until all freight “in our system is delivered”.

“We owe that to the many loyal customers who have been the backbone of Jevic over the last 27 years,” says Pete Robinson, director of marketing and corporate communications. “Our customers were what drove us and made Jevic the market innovator in freight transportation.”

Since going private two years ago, the company worked diligently to bring the company back to strong profitability.

In April, Jevic aggressively realigned the organization to improve costs and improve efficiencies. The realignment was going as planned and freight delivery costs were improving.

“Sadly, escalating fuel costs, higher insurance costs, a slowing economy and, ultimately a tightening of the credit market were to much for us to overcome, “ Robinson says. “It’s a sad day for everyone here in Delanco and around the country.”

With this action approximately 1,500 employees are no longer employed

The company was founded in 1981 and grew rapidly during the eighties and early 90’s. At one time it had facilities in Delanco NJ; Chicago IL; New England, New York NY; Charlotte NC; Atlanta GA; Houston TX; Cleveland and Cincinnati OH; and Los Angeles CA.

The company was know for its unique operating model which handled freight less than conventional carriers, lowering lost and damaged shipments dramatically, while still delivering to the entire 48 states. This “Breakbulk-Free” model, as it came to be known, was the platform for the myriad innovations, which solidified the carrier’s reputation for customer service.

Jevic was the first nation-wide LTL carrier to offer what has become a standard offering in the industry - time-definite and day definite services, branded “100% Guaranteed”, which provided expedited delivery. They also offered the Jevic “Heat Fleet”, the largest fleet of heated trailers in the United States, used to protect freezable freight en route to destination in cold winter months.

““We are certainly grateful for the emails and calls we are receiving from our customers wishing everyone well.” states Robinson. “Jevic” is more than trucks - it was the people, that’s for sure.”



Quick Fact Sheet

Incorporated May 18 1981 - Opens in Delran and Willingboro NJ
1989 - Chicago, IL Opened - Breakbulk-Free operation begins
1991 - Delran Operation moved to Delanco, NJ
1992 - Charlotte Opened
1993 - Atlanta Opened
1995 - New England Opens
Charlotte moves to larger facility
1997 - Houston
1999 - Cleveland and Cincinnati

1st nationwide carrier to use a satellite system for nationwide communication beginning in 1991.

Lowest Claims ratio @ 1/2 of 1% for over 25 years.

Employees – 1500+

[nj96z28]

ouch , their one of my companie's biggest carriers ...

[BonzoHansen]

Sucks, I saw it in the paper this AM. And oil $130+ a barrel. Damn.

[79CamaroDiva]

I wonder how long this is going to go on for before someone steps up and realizes that diesel engines were MEANT to run on peanut oil. That's what they were invented for (look it up). They shouldn't punish commercial vehicles that try to run on it, they should say "hey! now the united states can support its own farmers, and be totally responsible for its own fuel"

One of my racers was a dispatcher for a smaller trucking company. About a month ago, they let go all of his drivers, and he no longer had a job. People cant afford to be in business anymore.

[slugger27nj]

The business climate in this state certainly isn't helping matters either.

[jims69camaro]

wow. i almost went to work for them when i first got my CDL. they were one of five companies that me and my partner were considering and another company (based in St. Clair MO) won by a few cents per mile. it's messed up that a company has to close its doors (and add to the unemployment roles) because of operating costs, something that was manageable just two years ago.

[foff667]

Originally Posted by BonzoHansen

Sucks, I saw it in the paper this AM. And oil $130+ a barrel. Damn.

$132+ now

[BonzoHansen]

Originally Posted by jims69camaro

wow. i almost went to work for them when i first got my CDL. they were one of five companies that me and my partner were considering and another company (based in St. Clair MO) won by a few cents per mile. it's messed up that a company has to close its doors (and add to the unemployment roles) because of operating costs, something that was manageable just two years ago.

What this might signify is there is too much 'supply', thus the carriers can't really raise their prices to keep up. Reduce the number of carriers and the remaining ones may have an easier time getting increased rates - which gets passed to us in the form of price increases/inflation.

[jims69camaro]

it's more the price of fuel than anything else. and expect prices to go up shortly for everything that is transported by truck (you'd be surprised what rides in on trucks). i know i've brought produce from california, chocolate from hershey PA to the west coast, alcohol (denatured, natch), beer, computer equipment, pillows, you name it.

[firebirdcrazy]

My dad needs a new truck so Anyone know if they will be selling off their fleet of trucks?