Simon Transportation announced Monday that it and its subsidiary, Dick Simon Trucking Inc., filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code.
Simon Transportation's financial and operational stability going forward were enhanced through the granting of the following motions: affirmation of its insurance coverage at least through the next hearing on March 6, retention of legal and financial professionals to support its reorganization cases; payment of pre-petition employee wages, salaries, business expenses and benefits, including medical, for current employees, during the Company's voluntary restructuring under Chapter 11; and to authorize the existing use of cash management systems and accounts.
