Roadrunner Transportation Systems Announces Acquisition of Southeast Drayage Division of Transport A
Roadrunner Transportation Systems Announces Acquisition of Southeast Drayage Division of Transport America
CUDAHY, Wis.--(BUSINESS WIRE)-- Roadrunner Transportation Systems, Inc. (NYS: RRTS) announced today that it has acquired certain of the assets of the Southeast drayage division of Transport Corporation of America, Inc. ("TA Drayage"), a provider of intermodal transportation and related services in the Southeast. TA Drayage primarily transports imports and exports for steamship lines and intermodal marketing companies from the ports of Charleston, South Carolina, Norfolk, Virginia and Savannah, Georgia. TA Drayage also services the rail ramps of Atlanta, Georgia, Memphis, Tennessee and Birmingham, Alabama. The purchase price was approximately $1.2 million. The acquisition was financed with Roadrunner's cash on hand.
Ben Kirkland, President of Roadrunner Intermodal Services ("RRIS"), said, "The TA Drayage acquisition enhances the scale and density of our intermodal services in the Southeast, complementing our asset-light service offering with the addition of over 100 independent contractors. We will absorb the TA Drayage operations into our existing Southeast RRIS locations, and we look forward to supporting and expanding TA Drayage's strong customer relationships and service record as we pursue continued growth in the business."
During calendar year 2012, TA Drayage generated approximately $20 million in revenues. TA Drayage is expected to be accretive to Roadrunner's earnings in 2013.
About Roadrunner Transportation Systems, Inc.
Roadrunner is a leading asset-light transportation and logistics service provider offering a full suite of solutions, including customized and expedited less-than-truckload ("LTL"), truckload and logistics ("TL"), transportation management solutions ("TMS"), intermodal solutions, freight consolidation, inventory management, expedited services, international freight forwarding, customs brokerage, and comprehensive global supply chain solutions. For more information, please visit Roadrunner's website, www.rrts.com.
Safe Harbor Statement
This release contains forward-looking statements that relate to future events or performance, including statements regarding the impact of the TA Drayage acquisition on the scale and density of Roadrunner's intermodal services in the Southeast, the growth of TA Drayage's business, and Roadrunner's expectation that TA Drayage will be accretive to Roadrunner's earnings in 2014. These statements reflect Roadrunner's current expectations, and Roadrunner does not undertake to update or revise these forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied in this or other company statements will not be realized. Furthermore, readers are cautioned that these statements involve risks and uncertainties, many of which are beyond Roadrunner's control, which could cause actual results to differ materially from the forward-looking statements. These risks and uncertainties include, but are not limited to, risks related to the integration of acquired companies, competition in the transportation industry, the impact of the current economic environment, Roadrunner's dependence upon recruiting and retaining independent contractors, the unpredictability of and potential fluctuation in the price and availability of fuel, the effects of governmental and environmental regulations, insurance in excess of prior experience levels, and other "Risk Factors" set forth in Roadrunner's most recent SEC filings.
Roadrunner Transportation Systems, Inc.
Chief Financial Officer
Vollrath Associates, Inc.
KEYWORDS: United States North America Alabama Georgia South Carolina Tennessee Virginia Wisconsin
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