Jevic Transportation Out of Business

Jevic Transportation has closed it's doors. Here is the letter posted on their website.

Dear Valued Jevic Customer:

I regret to inform you that Jevic Transportation Inc. will be discontinuing operations. The current high fuel costs, economic downturn, increasing insurance costs, and tightening credit markets have made this decision necessary. Jevic will stop providing pickup service effective Monday 5/19/08. However, we will continue operating to deliver all freight within our system prior to closing.

Operations and Customer Service:

• Jevic will not be accepting pickup requests after Friday 5/16/08 and the web and EDI pickup functions will be disabled.
• We will continue to provide Customer Service through the wind down period at 888-Go-Jevic. We ask that you please utilize the automated voice response system as much as possible as the number of calls is expected to be high and there will be longer hold times.
• The Jevic website will remain active and will be updated during the period as well and that should be your primary point of contact for tracing and needed documentation.

We greatly appreciate the loyalty of our many Jevic customers. It has been our pleasure to provide solutions to your transportation needs over these many years. We are committed to providing the prompt delivery of your shipments in our system and professional customer service for all your needs during this process. Thank you again.

Sincerely,

David H. Gorman

President and CEO

Sadly there was also a note to their employees.

Dear Jevic Employee,

The group health insurance plans will be discontinued effective May 19, 2008 for all Jevic employees, as the Jevic Transportation Inc. Welfare Benefit Plan has been terminated. This includes the cessation of your medical, prescription, dental, and vision coverage. Any medical, dental, or vision services performed after May 19th, or any prescriptions filled after that date, among other things, that would have previously been covered by the Jevic plans, will not be eligible for reimbursement or coverage.

It goes on but the news is all bad. Jevic was ranked No. 71 in last year's Transport Topics 100 listing of U.S. and Canadian for-hire carriers. Jevic was purchased by a private-equity firm - Sun Capital Partners in 2006 for $40 million. One wonders if they are going out of business to liquidate assets that might be worth more than $40 million.