Today’s Pickup: Celadon sells flatbed division to PS Logistics

Good day,

Celadon Group has sold its flatbed trucking division to PS Logistics as it seeks regain its footing a leading trucking provider. Terms of the deal were not disclosed.

According to a press release, the flatbed division assets included in the transaction consisted primarily of leased and owned trailers, which were sold in exchange for an assumption or satisfaction of the lease obligations and cash, respectively.

“Under the strategic plan adopted over the past 30 days, our goal is to concentrate our resources on core business lines where we add value to customers and have the opportunity to generate acceptable returns over time,” said Paul Svindland, Celadon’s CEO. “In our portfolio of companies, several are high performers with steady business levels and cash flow, and include dedicated, warehousing and logistics, regional, and other value-added services. Our historical Celadon irregular route NAFTA-focused truckload business has had a difficult year from a profitability perspective but offers a strong niche with longstanding customer relationships.”

PS Logistics is one of the largest flatbed operators in the U.S.

“We are proud to welcome Celadon’s flatbed division to the PS Logistics family,” said Scott Smith, CEO of PS Logistics. “We look forward to working with their great flatbed drivers and operations group.”

Celadon has had a difficult 2017, with an investigation into accounting practices and several executives leaving the company. Svindland was hired in August.

“Our new management team determined that we had neither the expertise nor the critical mass to compete in the flatbed sector,” he said. “Accordingly, we were pleased to offer our people and customers a good home with one of the largest and most successful flatbed operators in the U.S. The remaining CTSI business is undergoing an intense improvement phase with multiple initiatives taking hold into a rapidly improving freight marketplace.  We expect to continue to execute on our strategic plan as we seek to refinance our capital structure.”

PS Logistics provides full-service transportation services, including asset-based transportation, brokerage, 3PL and supply chain services.

Did you know?

According to Navigant Research, there are currently about 1,000 all-electric medium-duty trucks in operation in the U.S. today. That is expected to reach between 2,500 and 3,500 by 2020. 


“The death of the combustion engine is not today, not tomorrow, not 10 years from now, because the combustion engine is the [workhorse of long haul].”

Lars Stengvist, CTO, Volvo Group and EVP, Volvo Group Truck Technology

In other news:

Meritor to sell its interest in Meritor Wabco joint venture

Meritor will sell its 50% stake in the Meritor Wabco joint venture to Wabco Holdings. Meritor will continue to distribute products produced by Wabco. (NASDAQ)

Maritime groups push for delay in carbon emission reductions

A group of shipowners are calling for a slowdown in the reduction of carbon emissions in ships, suggesting it’s best to wait until the second half of the century. (Lloyd’s List)

U.S. talks tough on China trade

The U.S. is ramping up pressure on China, saying the country represents an unprecedented threat to the world’s trading system. (Wall Street Journal)

FedEx Freight to build Milwaukee terminal

FedEx Freight will build a new $32 million terminal outside of Milwaukee, bringing 300 jobs to the area. (Milwaukee Business News)

Tech shortage continues

While everyone continues to talk about the driver shortage in the industry, there is also another shortage that continues to grow – technicians. (Heavy Duty Trucking)

Final Thoughts

New Celadon CEO Paul Svindland told FreightWaves in August he would be evaluating all divisions within the company and some may be sold off if they didn’t fit with the company’s restructuring plan. That started yesterday as Celadon sold its flatbed division to PS Logistics, giving the division new life with a leading flatbed carrier and Celadon a slimmer focus.   

Hammer down everyone!

Show More

Brian Straight

Brian Straight covers general transportation news and leads the editorial team as Managing Editor. A journalism graduate of the University of Rhode Island, he has covered everything from a presidential election, to professional sports and Little League baseball, and for more than 10 years has covered trucking and logistics. Before joining FreightWaves, he was previously responsible for the editorial quality and production of Fleet Owner magazine and Brian lives in Connecticut with his wife and two kids and spends his time coaching his son’s baseball team, golfing with his daughter, and pursuing his never-ending quest to become a professional bowler.