In an acquisition that moves them into the $100 million volume range, American Trans-Freight LLC (ATF) has purchased the truckload division of Redwood Systems, Inc., a leading full-service third-party contract logistics company based in Alpharetta, GA.
According to Einar Gustavson, vice president and general manager of Redwood Systems (RWS), RWS will focus on the service end of the 3PL market, rather than the transportation side of the operators. RWS is a Consolidated Freightways Company.
By purchasing the RWS truckload operations, ATF expands the agent base of ATF to over eighty locations throughout the U.S., said Thomas S. Tranovich, president of the acquiring firm.
American Trans-Freight is a full-service transportation company with comprehensive capabilities in trucking, intermodal, logistics services and dedicated fleet operations. The increased capacity is well supported by an experienced management team, transportation specialists and a network of business professionals.
"This acquisition fits our company business plan and accelerates our long-term growth strategies of national service through network density with a fluid base of service," stated Tranovich. "Our regular routes are greatly expanded while we achieve important operating efficiencies."
Gustavson said that truckload operations are a key ingredient on the transportation end of logistics and the business requires expertise and know-how that ATF can deliver. "By selling our truckload operations, Redwood can now focus on 3PL logistics services for our 'name brand' clients like Philips, Cisco, HP and Circuit City, Gustavson says.
Addressing the transition, Tranovich stated, "Service to former Redwood clients will remain consistent or increase with ATF's additional capacity" adding that ATF provides "an exceptionally good balance of logistics services." The firm does complete scheduling, routing and shipping by truck, rail, air or ship. Its services can be fully integrated or a la carte. For dedicated private fleets, the ATF approach provides tools for internal control with outsourced capability.
The operations of both ATF and Redwood Systems utilize the same Unix-based software. Without technology compatibility trauma, said Tranovich, "Our management team can focus immediately on cost control, critical timing and creative solutions."
After a smooth transition to second-generation family ownership in 1991, ATF has grown at an average annual rate of more than 20%. Today, the firm offers value-added services to complement a fleet of late-model tractors and trailers.
From a 30,000 square foot corporate complex just outside of Philadelphia, the staff of over 75 professionals provides technical, administrative, accounting and transportation support for the nationwide operation. Client services include computerized load planning, custom information management, international shipments, door-to-door service, expedited service and electronic data interchange (EDI).
ATF provides agents, dedicated fleets and owner/Operations with asset financing, compliance, safety, scheduled maintenance, software and operation capabilities. A virtual Internet connects agents and is capable of increasing capacity for international access.
Solid financial strength has helped ATF build sound strategic partnerships with clients, agents and drivers while it increases capacity. This fourth acquisition in the last three years demonstrates ATF's proven growth capabilities and successful acquisition integration. The combined ATF and Redwood operations are being consolidated into American Trans-Freight's Morrisville, PA headquarters.
American Trans-Freight is a full-service transportation company with comprehensive capabilities in trucking, multi-modal transport, logistic services and dedicated fleet operations with solutions by transportation professionals using high-speed, integrated technology. ATF's aggressive growth strategy includes acquisitions, agency and owner-operator development and internal customer expansion.
