Celadon Group makes fourth divestiture in past month

Indianapolis-based Celadon Group Inc. announced Friday that it has sold its intermodal operations to Winnipeg, Manitoba-based Bison Transport.

The operations, which Celadon refers to its “container on flat car” intermodal division, generated about $20.2 million in revenue for Celadon in 2018, the company said. Financial terms of the sale were not disclosed.

The troubled trucking company has been in the news several times this month as it works to correct numerous financial, operational and accounting issues that first came to light in May 2017.

On Thursday, the U.S. Department of Justice announced that Celadon had agreed to pay $42.2 million in restitution to settle securities fraud charges.

In addition,  Danny Williams, former president of Quality Cos.—a Celadon subsidiary that owned trucks and leased them to drivers—has reached a plea agreement with prosecutors after being charged with one count of conspiracy to commit securities fraud, making false statements to a public company’s accountants, and falsifying books, records and accounts of a public company.

Celadon has also announced three other divestitures in recent weeks. 

The company sold its Celadon Logistics division to Texas-based T.A. Services for $60 million, and it sold its Pennsylvania-based A&S Kinard and Buckler Transport subsidiaries to New Brunswick, Canada-based Day & Ross Freight for $139.5 million. 
 

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