In two separate moves related to Flying J’s Chapter 11 bankruptcy reorganization, the truckstop chain has moved from its proprietary scanning service to Transflo Express at 164 locations and received approval for its plan to repay creditors in full. Just last week, the company announced that it was merging operations with Pilot Travel Centers, but would retain the Flying J name at its 275 locations.
In a sale of non-core assets to help refinance the Flying J debt, Pilot sold the Flying J Scan & Go business last week to Pegasus TransTech, the owner of the Transflo Express scanning network. In addition to the 164 converted locations, Pegasus said that by the end of the month it will install its system in 50 more Flying J locations that did not have the Scan & Go service.
Transflo Express is now the largest truckstop scanning network with over 700 locations in the U.S. and Canada, including all Pilot Travel Centers, Love’s Travel Stops and many independent truck stops, according to the company.
Flying J’s reorganization plan, which included provisions to repay in full $1.4 billion owed to creditors, has been confirmed by the U.S. Bankruptcy Court for the District of Delaware, according to the company. Payment of allowed claims is expected to begin before the end of the month.
“We have had to make some very difficult decisions over the past 18 months to maximize value and pay back our creditors,” said Flying J CEO Crystal Maggelet. “Like many companies in today’s economy, this meant job loss for some employees, many of whom have been with us a very long time. Impact on employees has been the most difficult part of the restructuring process. We are now poised for a bright future. Moreover, I am very happy that the Flying J brand will not just survive, but thrive into the future.”
