“Coronavirus Disaster” Forces Oklahoma Trucking Company to Shut Down After 75 Years
Kiefer, OK – An Oklahoma trucking company specializing in heavy haul is shutting down after 75 years in business.
Stone Trucking Company (STC), owned by Alabama-based Action Carriers, will cease operations and shut down by July 3, according to a recently filed WARN notice.
Stephen Royce, Executive Vice President of Human Resources, said the company has seen a “dramatic downturn in business caused by the coronavirus natural disaster.”
Further, Royce indicated talks with a potential buyer recently fell through.
“We were unable to provide more advance notice of this action because these circumstances were not reasonably foreseeable until recently when the full scope of COVID-19’s impact upon our business became clear and the sale of the business fell through,” Royce wrote.
Transportation Nation Network (TNN) has learned that those talks are actually continuing.
A company executive, who did not wish to be identified, tells TNN employees were notified of the impending closure on Wednesday.
According to the Federal Motor Carrier Safety Administration (FMCSA), STC has 95 trucks and 73 drivers.
However, Royce said a total of 51 employees will be impacted.
Approximately 30 of those are drivers, an executive told TNN.
STC was established in 1945 as a heavy haul carrier and was later acquired by Action in 2009.
The parent company recently rebranded STC as Action Specialized in an effort to move away from the Stone name.
An executive expressed that “major players wouldn’t do business with us” because STC had earned a reputation of having a “cowboy” attitude and operating a bit “recklessly.”
In the last couple of years the company sought to diversify its business away from the oil and gas industry, but was not able to do so.
When the price of oil plummeted amid the pandemic, it dealt a major blow to STC, the executive said.
In addition to its heavy haul division, Action Specialized, the parent company, also operates Action Enterprise Logistics, Action Environmental, Action Resources, and Action Dedicated.
The closure is not expected to impact the remaining divisions.