Roadrunner Transportation Systems Inc. (NYSE: RRTS) announced that its president and chief operating officer, Michael L. Gettle, is leaving the company.
The transportation and asset-light logistics service provider said Gettle will remain with the company over the next few months to assist with the transition of his duties.
“On behalf of the Board of Directors and management team, we thank Mike for his many contributions to the company. Mike joined Roadrunner in 2016 and immediately had a positive impact on integrating our operations, establishing improved metrics and accountability and successfully guiding the company during some challenging times. Without Mike’s commitment and leadership, we would not have successfully completed our recapitalization and restructuring activities. He was also instrumental in setting the course for our strategy to simplify our portfolio by focusing on our value-added logistics and asset-light LTL segments. We wish Mike all the best in his future endeavors,” said Roadrunner CEO Curt Stoelting.
Gettle has been part of the company’s overhaul, which has reached many new milestones since 2019 began.
Earlier in the year, the company completed a recapitalization, materially reducing its outstanding debt by almost $400 million, and executed a 1-for-25 reverse stock split to comply with New York Stock Exchange listing requirements.
In April, former Roadrunner Chief Financial Officer Peter Armbruster joined two of the company’s controllers in an expanded indictment for an accounting scandal, which alleged manipulation of the company’s financial results in order to meet analysts’ estimates.
More recently, the company has been concentrated on narrowing its focus to less capital-intensive offerings like logistics and asset-light LTL as a means of improving return on invested capital and restoring the company’s valuation.
Since September, Roadrunner has cut its dry van operations (Rich Logistics) by more than half, resulting in the closure of five terminals and 450 layoffs, sold its intermodal business (700 power units and 23 terminal locations) for approximately $51 million in cash, and divested its flatbed unit for $30 million in cash.
In third quarter 2019, the company reported a net loss of $2.60 per share, a portion of which was associated with the restructuring. Roadrunner has incurred $267 million in net losses so far in 2019.
Gettle joined Roadrunner as executive vice president in May 2016, promoted to the role of president, chief operating officer and secretary in April 2017. Gettle was named a director in April 2018.
The release provided no succession plans for the position.