Alvan Motor Freight goes out of business
KALAMAZOO, MI -- The combination of rising fuel costs and the recent strike at American Axle & Manufacturing Holding Inc. have pushed a Kalamazoo-based trucking company into Chapter 11 bankruptcy.
Alvan Motor Freight Inc., which employs 525 people in Michigan, Ohio, Indiana and Illinois, has ceased operations and arranged for another company to deliver its remaining freight, according to a press release from the company.
"They've issued a press release and that's all I know," said Tom Harty, president of the International Brotherhood of Teamsters Local 7, which represents about 30 Alvan workers in Kalamazoo. "We're in meetings with the workers."
The 67-year-old company was founded in Kalamazoo by the family of James Van Zoeren, president and chief executive officer.
No one answered the phones this morning at Alvan, 3600 Alvan Road in Kalamazoo. A recording said the number listed for Van Zoeren's home has been disconnected.
In the company press release, Van Zoeren said he was trying to sell the business.
Van Zoeren told the Kalamazoo Gazette in May that American Axle, which was on strike 87 days, was one of the company's biggest customers.
"The American Axle strike is absolutely killing us because of the trickle-down effect with the closure of General Motors plants and how that impacts our customers who are first- and second-tier auto-parts suppliers," Van Zoeren said.
Gazette News Service contributed to this report.
Contact Gazette Staff Writer Alex Nixon by email or by calling (269) 388-2783.
Original source : http://blog.mlive.com/kzgazette/2008/06/alvan_motor_freight_goes_out_o.html
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