Roadrunner Transportation Systems Announces Acquisition of G.W. Palmer
CUDAHY, Wis. -- September 11, 2013
Roadrunner Transportation Systems, Inc. (NYSE: RRTS) announced today that it
has acquired all of the outstanding equity of G.W. Palmer Logistics, LLC
(“G.W. Palmer”), a non-asset truckload service provider based in Batesville,
Arkansas. The purchase price was approximately $2.5 million, plus an earn-out
capped at $2.8 million. The acquisition was financed with borrowings under
Roadrunner’s credit facility.
Mark DiBlasi, President and CEO of Roadrunner, said, “The G.W. Palmer
acquisition enhances our truckload service offering in the South due to its
concentration in temperature controlled products. G.W. Palmer’s management
team will remain in place and are excited about the growth opportunities we
collectively envision. We look forward to supporting and expanding G.W.
Palmer’s strong customer relationships and service record as we expand the
During calendar year 2012, G.W. Palmer generated approximately $20 million in
revenues. G.W. Palmer is expected to be accretive to Roadrunner’s earnings in
the near term.
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, truckload and logistics, transportation
management solutions, intermodal solutions, and domestic and international
air. 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 G.W. Palmer
acquisition on Roadrunner’s truckload brokerage operations in the South
region, the growth of G.W. Palmer’s business, and Roadrunner’s expectation
that G.W. Palmer will be accretive to Roadrunner’s earnings in the near term.
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 purchased power, 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.
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