Vincent Colistra, the company’s chief restructuring officer, said NEMF worked hard to explore other options.
“Following two years of losses, and with continuing and unsustainable rises in overhead as well as a severe industry shortage of drivers, we have concluded that the Company has no choice but to proceed with an orderly wind-down of operations in a Chapter 11 proceeding,” Colistra said in a statement.
The family-owned company was founded in 1977 and has 40 terminals throughout the Northeast, Midwest and Puerto Rico, according to its website.
In a letter to employees posted online, President Thomas Connery wrote “the costs of running an asset-based trucking company have soared; with labor and benefits consuming an ever large portion of revenue. Add in the high cost of equipment, a severe industry shortage of drivers, ever increasing regulations and tolls, technology investments and the overall risk environment of our business.”
Read more here.