Intrenet Inc. To Lay Off Employees
MILFORD, Ohio (AP) _ Intrenet Inc. is immediately shutting down, ceasing its trucking operations and laying off most of its 1,700 employees because of financial problems and increasing fuel prices.
Intrenet will keep a minimal staff to close operations and liquidate assets, the company said Wednesday.
The holding company, whose trucking subsidiaries haul machinery and building materials, said it lacked money to carry out its business plan. Intrenet officials said they also had problems keeping drivers and worried whether customers would accept rate increases.
John P. Chandler, chief executive officer, announced the closing from the company’s headquarters in this Cincinnati suburb. He said one subsidiary, INET Logistics, will continue operating pending its sale.
The closing will affect owner-operators of trucks driven for Intrenet, company officials said. All cargo loads that were in transit by Tuesday will be delivered but no more loads will be accepted, officials said.
Intrenet officials said they do not expect that any company assets will be available, after liquidation, for distribution to shareholders. Company managers said it is not known how much of those assets will be left to satisfy claims of unsecured creditors, after the first-lien demand of the company’s primary lender is satisfied.