Patriot Transportation dissolves subsidiary
Jacksonville, FL-based trucking company Patriot Transportation Holding, Inc. has discontinued the operations of its third-party agent/owner-operator subsidiary, Patriot Transportation, Inc. The company said it expects to take a fourth quarter charge of approximately $2.1 million for the shutdown.
For the nine months ending June 30, 2001, Patriot said its subsidiary had revenues of $18.3 million and pre-tax losses of $1.5 million. Patriot attributed the decision to close to declining margins from the continuing administrative costs that would be required to support the start-up business, sharply higher liability insurance costs and an adverse economic climate.