McCown resigns as CEO of Trailer Bridge

McCown resigns as CEO of Trailer Bridge Puerto Rico container carrier Trailer Bridge said John D. McCown has resigned from his position as chief executive officer, but will continue as a director of the company.
   The Jacksonville, Fla.-based company said President and Chief Operating Officer Ralph W. Heim will serve as interim CEO, and that the board will conduct a search of both internal and external candidates to fill the position. It said the change in leadership was made on Monday, Dec. 15.
   Heim, 62, has served as president of the company since November 1995 and COO since January 1992.    From May 1991 until November 1995, Heim served as vice president.   
   Prior to joining Trailer Bridge in 1991, Heim worked at Crowley Maritime Corp. for five years in various operating capacities primarily related to its Puerto Rico service.    His other transportation experience includes more than 15 years with Sea-Land Service, Puerto Rico Marine Management, and U.S. Lines in diverse domestic and international assignments.
   'Going forward, I will be actively involved as a board member and as a large shareholder. My interests continue to be fully aligned with maximizing shareholder value and I will do everything I can to achieve that goal,' McCown said in a statement.
   McCown's employment agreement has been amended so that the company will pay his severance in equal installments over a 24-month period (instead of 50 percent in a lump sum within 30 days after separation from service). Additionally, on Dec. 17, the company purchased 100,000 common shares of the company from McCown at $4.00 per share.
   McCown, 52, has served as CEO since 1995.    He worked with containerization pioneer Malcom McLean, the founder of Trailer Bridge, in various capacities since 1980 and was co-executor of his estate from 2001 to 2004.
   The integrated trucking and shipping company uses barges to move cargo between Jacksonville, Puerto Rico and the Dominican Republic. The service is unusual because it uses 53-foot domestic containers that have more capacity than standard marine boxes.
   The McLean family remains a major shareholder in Trailer Bridge and had announced plans last year to sell its 48.9 percent stake in the carrier, but then suspended those efforts when the U.S. Justice Department opened an antitrust investigation into pricing practices among Puerto Rico carriers and some civil suits were filed against carriers in the trade.
   While five executives from the Puerto Rico carriers Horizon Lines and Sea Star Line agreed to plead guilty and serve jail sentences on charges growing out of the investigation, Trailer Bridge and its executives have not been charged with any crime.
   'We do not engage in illegal pricing practices,' McCown said after the investigation was first announced, and the company said any parallel private lawsuits were 'totally without any merit.' ' Chris Dupin