South Jersey's Jevic Transportation closes, employed 1,500

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http://www.jevic.com Date:   08:33:05   AM, EDT, 05/19/08

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

Comments

A year ago I put some of my more valuable equipment up for sale in hopes of purchasing newer equipment. I also stated a number of times that we were in a recession. I know some readers say that telling it like it is and not putting a positive spin on everything is justification for being labeled NEGATIVE.

Although I was being told I was going to get my asking price for my equipment, the price of the new equipment was rising out of control. That coupled with an objective look at future orders for work and the actual cost of ownership and doing business prompted my to cancel my sales and prosective major purchase.

As a result of this voluntary belt tightening my company will be here a year and a half from now when the recession ends. I hope that our governing body and the city employees can understand the importance of solvency and can reach satisfactory negotiated labor agreements. I further hope the governing body exercises prudence in its purchases during the next year and a half. We can get into serious financial trouble during this time.

I have had numerous dealings with the Jevic Company over the years. This short post on CNB will have a large impact on jobs in this area. I'm very sorry to see such a company close its doors.

Respectfully submitted
Rick Gonzales