Mega Carrier With 4,000 Trucks Goes Bankrupt, Will Sell Five Subsidiaries
Auburndale, FL – One of the nation’s largest privately owned transportation holding companies filed for Chapter 11 bankruptcy over the weekend.
Florida-based Comcar Industries, Inc. (CI), which owns trucking companies such as CT Transportation, MCT Transportation, and Willis Shaw Express, filed Chapter 11 bankruptcy on Sunday, May 17.
According to its website, CI operated more than 50 locations, maintained a fleet of more than 4,000 trucks and employed more than 4,500 employees making it the largest carrier failure, in terms of fleet size, in U.S. history.
According to court documents obtained by Transportation Nation Network (TNN), the CI Board resolved to establish a restructuring committee on April 24.
After consulting with each of CI’s subsidiaries and its respective management teams, the Board unanimously voted on May 15 “that it is in the best interests” of all parties to file Chapter 11.
The company named 32 entities in its petition for relief under.
These companies include:
• Comcar Industries, Inc.
• Comcar Properties, Inc.
• CCC Spotting, LLC
• CCC Transportation, LLC
• Coastal Transport, Inc.
• Coastal Transport Logistics, LLC
• Commercial Carrier Corporation
• Commercial Carrier Logistics, LLC
• Commercial Truck and Trailer Sales Inc.
• CT Transportation, LLC
• CTL Distribution, Inc.
• CTL Distribution Logistics, LLC
• CTL Transportation, LLC
• CTTS Leasing, LLC
• Fleet Maintenance Services, LLC
• MCT Transportation, LLC
• Midwest Coast Logistics, LLC
• Midwest Coast Transport, Inc.
• 9th Place Newberry, LLC
• 16th Street Pompano Beach, LLC
• Charlotte Avenue Auburndale, LLC
• Comcar Logistics, LLC
• Cortez Blvd. Brooksville, LLC
• Detsco Terminals, Inc.
• Driver Services, Inc.
• East Broadway Tampa, LLC
• East Columbus Drive Tampa, LLC
• New Kings Road Jacksonville, LLC
• Old Winter Haven Road Auburndale, LLC
• W. Airport Blvd. Sanford, LLC
• Willis Shaw Logistics, LLC
• WSE Transportation, LLC
CI said the individual companies will continue to operate during the bankruptcy proceedings.
Court documents indicate CI’s assets are estimated between $50-100 million.
Additionally, CI’s liabilities are also estimated between $50-100 million.
Among CI’s most recognizable creditors are Mack Financial Services in the amount of just over $2.2 million; Navistar Leasing Company for almost $2.1 million; Love’s Travel Stops for $908,746; Tri-State Trailers for $360,000; Bridgestone for just over $234,000; and Goodyear Tire & Rubber for $174,000.
Of CI’s top 30 creditors, exactly half of the nature of claims were filed under “litigation,” in an amount almost totaling $123 million.
In its filings, CI disclosed it had secured buyers for CT Transportation (a flatbed subsidiary), CTL Transportation (a liquid bulk chemical subsidiary) and MCT Transportation (a refrigerated and dry van subsidiary).
In addition, it is in negotiations to sell CCC Transportation (a bulk carrier that also includes dry van and intermodal) and Commercial Truck & Trailer Sales.
According to its website, CI’s beginnings date back to 1953 with the creation of CCC.
The company grew over the years, ultimately becoming CI, and was sold to a private group in 2016.
On November 18, 2019, CI announced CEO, Michael Ryan, would be leaving the company for unreported reasons.
The company appointed Randall “Randy” Clark as its new president and CEO, effective December 1.
Two days following the announcement of its CEO change, CI announced plans to “realign some of its operations” from its corporate offices in Auburndale, FL to Jacksonville, FL.
CI boasted 75 jobs would be created in Jacksonville due to the transition.
The company said the transition would begin mid-December and run through the second quarter of 2020.
However, the company was shaken on Sunday, April 5, when Clark unexpectedly passed away.
Clark was 60 years old at the time of his passing.
The company remained mostly quiet following the announcement of Clark’s death until it filed for bankruptcy on May 17.
Stay with TransportationNation.com for the latest developments on this story.
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