Wabash refinances loans, gets more credit

April 16, 2002
Trailer maker Wabash National Corp. has restructured its line of credit and debts, extending the term of a $125-million and $192-million loan until 2004. Another $63-million line of credit has been extended to 2005, said Wabash, adding that it has gained a new, two-year $110-million receivables facility with GE Capital. Those developments give Lafayette, IN-based Wabash some breathing room as it tries
Trailer maker Wabash National Corp. has restructured its line of credit and debts, extending the term of a $125-million and $192-million loan until 2004. Another $63-million line of credit has been extended to 2005, said Wabash, adding that it has gained a new, two-year $110-million receivables facility with GE Capital.

Those developments give Lafayette, IN-based Wabash some breathing room as it tries to dig itself out of deep financial trouble. The company lost $232.2 million last year, with half of its loses, $134.9 million, occurring in the fourth quarter of 2001 alone. It also said sales of new trailers dropped by over 33%.

Wabash said its losses last year were due to restructuring charges, layoffs, the sale of its international division and efforts to reduce used trailer inventories, along with the fallout from Sept. 11 and the recession. The company also took a charge in 2001 because it was not in compliance with rules of its line of credit.

About the Author

Sean Kilcarr | Editor in Chief

Sean reports and comments on trends affecting the many different strata of the trucking industry -- light and medium duty fleets up through over-the-road truckload, less-than-truckload, and private fleet operations Also be sure to visit Sean's blog Trucks at Work where he offers analysis on a variety of different topics inside the trucking industry.

Sponsored Recommendations

Tackling the Tech Shortage: Lessons in Recruiting Talent and Reducing Turnover

Discover innovative strategies for recruiting and retaining tech talent in the trucking industry at our April 16th webinar, where experts will share insights on competitive pay...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

Stop Sweating Temperature Excursions

Advanced chemical indicators give you the peace of mind that comes from reliable insights into your supply chains. Compromised shipments can be identified the moment they arrive...

How Electric Vehicles Help You Prolong the Life of Your Fleet

Before adopting electric vehicles for commercial/government fleets, prioritize cost inquiries. Maintenance is essential; understand the upkeep of EV fleets. Here’s what you need...

Voice your opinion!

To join the conversation, and become an exclusive member of FleetOwner, create an account today!