Subscribe to our free, weekly email newsletter!

Celadon Trucking Services acquires operating equipment from Teton Transportation

By Jeff Berman, Group News Editor
March 06, 2012

Last week, Celadon Group subsidiary, Celadon Trucking Services Inc., said it purchased a “significant portion” of the operating equipment of Knoxville, Tenn.-based Teton Transportation Inc.

Celadon officials said the deal includes the purchase of roughly 180 tractors and 280 trailers. Financial terms were not disclosed.

“We are excited with the Teton acquisition, as it fits well within the strategy we have executed during similar acquisitions over the last few years,” said Paul Will, Celadon Group president and COO, in a statement. “As with previous acquisitions, our goals are to continue to broaden our customer base with quality customers, add density in our primary traffic lanes, and gain experienced drivers

Will added that based on Celadon’s evaluation of Teton’s business, it felt Teton had a solid, core group of quality customers and drivers.

The acquisition of Teton assets by Celadon follows a December acquisition of a significant portion of the assets of YRC Worldwide’s truckload subsidiary Glen Moore to Celadon. Financial terms of that deal were not disclosed, and YRCW officials declined to disclose how many Glen Moore assets were involved in the transaction.

Celadon Group Inc. Vice President Sales and Marketing Monte Horst told LM that this acquisition is part of Celadon’s long term strategy to add density in its primary traffic lanes, maintain its driver seated count, and provide additional services to its key shippers with respect to dedicated, logistics, TOFC (trailer on flat car), and in this case, an expanded regional offering.

In terms of the biggest benefits of this acquisition, Horst pointed to added density in Celadon’s primary traffic lanes, increased driver seated count, and additional services provided with the expanded southeast regional offering.

When asked if this acquisition and the Glen Moore acquisition are an indication that Celadon is adding capacity, Horst said that Celadon “will see an increase in its capacity offering due to the merger, but the net affect of the acquisition will actually dictate an overall decrease in capacity with respect to Celadon and Teton’s combined pre-deal levels, do to the fact that some Teton drivers will not meet Celadon’s driver/CSA standards and thus were not pre-qualified to receive employment offers.”

Horst said that Teton had a customer base of more than 400 customers and with a few exceptions, Celadon will be taking a strategic approach to focus on the top 90, which are predominantly overlap customers with which Celadon was already doing business.

Teton has roughly 110 customers. Horst said Celadon made employment offers to all drivers that met Celadon pre-employment standards and said that Celadon plans to maintain a small administrative/facility staff in Knoxville. 

About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).

Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Seasonally-adjusted (SA) for-hire truck tonnage in October at 135.7 (2000=100) was up 1.9 percent compared to September’s 133.1, and the ATA’s not seasonally-adjusted (NSA) index, which represents the change in tonnage actually hauled by fleets before any seasonal adjustment was 139.8 in October, which was 0.9 percent ahead of September.

The average price per gallon of diesel gasoline fell 3.7 cents to $2.445 per gallon, according to data issued today by the Department of Energy’s Energy Information Administration (EIA). This marks the lowest weekly price for diesel since June 1, 2009, when it was at $2.352 per gallon.

In its report, entitled “Grey is the new Black,” JLL takes a close look at supply chain-related trends that can influence retailers’ approaches to Black Friday.

This year, it's all about the digital supply network. In this virtual conference, we will define the challenges currently facing supply chain organizations and offer solutions designed to transform linear operations into dynamic, automated networks that offer seamless communication, visibility, and the ability to respond and optimize processes at any given time.

In his opening comments assessing the economy at last week’s RailTrends conference hosted by Progressive Railroading magazine and independent railroad analyst Tony Hatch, FTR Senior analyst Larry Gross said the economy continues to slog ahead at a relatively tepid pace, coupled with some volatility in terms of overall GDP growth. And amid that slogging, Gross said there is currently an economic hand-off occurring between the industrial sector and the consumer sector.

Article Topics

News · Trucking · Celadon · All topics


Post a comment
Commenting is not available in this channel entry.

© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA