92-Year-Old Trucking Company Shuts Down

Arnold Transportation, a Texas-based trucking company that operated for 92 years, has filed for Chapter 7 bankruptcy liquidation. Acquired by Pride Group in 2022, Arnold struggled with profitability, ultimately leading to this decision.

Key Stats:

• Drivers and Trucks: Arnold had 341 drivers and 402 trucks.
• Financial Woes: The company listed assets up to $10 million and liabilities between $10-$50 million.
• Safety Records: Arnold's trucks were inspected 270 times in two years, with a slightly lower-than-average out-of-service rate of 22.2%.

Unplanned Closure:

On April 25, drivers reported being laid off without warning, and medical benefits were canceled. The company then filed a WARN Act notice for laying off 157 workers.

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The trucking industry downturn and Pride Group's financial troubles worsened Arnold's situation. Pride Group filed for creditor protection, struggling with debts over $637 million, impacting Arnold and other affiliates.

Another Company Hit:

Meanwhile, Raven Transport, a Florida-based carrier with over 300 power units, is shutting down its over-the-road and dedicated fleets, laying off 83 employees, including 57 drivers.

Market Context:

Both companies are victims of the freight industry downturn, which has led to excess capacity, plummeting rates, and higher competition. The closures reflect the volatile conditions and challenges in the trucking industry, with many established companies struggling to navigate the current market environment.