Consolidated Freightways makes final exit from trucking
Consolidated Freightways Corp., which filed for bankruptcy and shut down as one of the four biggest long-haul, less-than-truckload carriers in September 2002, announced it had completed the sale of its Canadian trucking subsidiary to TransForce Income Fund.
TransForce, which owns and operates transportation and logistics companies in Canada, bought Canadian Freightways Ltd. for Can$140 million ($108 million), including Canadian Freightways liabilities. Minus the liabilities, Consolidated Freightways will receive about Can$69.6 million ($54.4 million).
Canadian Freightways operated as an independent subsidiary of Vancouver, Wash.-based Consolidated Freightways and continued to operate despite the financial woes of its parent company. Consolidated Freightways will use the proceeds of the sale to help liquidate its debt.
Canadian Freightways operates LTL and truckload service in Canada, with cross-border service to the United States.
Prior to the sale of its Canadian subsidiary, Consolidated Freightways had raised more than $350 million through the sale of terminals and equipment.