Allied narrows losses in 3Q

Allied Holdings posted a $6.5 million loss in the third quarter on $2213 million in revenues, down from $12.6 million in losses on $204 million in revenue in the same period last year. Allied said its revenues increased 4.4% primarily due to higher automotive production in the third quarter. For the first nine months of 2002, Decatur, GA-based Allied lost $9.6 million on revenues of $665.2 million,
Oct. 30, 2002
Allied Holdings posted a $6.5 million loss in the third quarter on $2213 million in revenues, down from $12.6 million in losses on $204 million in revenue in the same period last year.

Allied said its revenues increased 4.4% primarily due to higher automotive production in the third quarter.

For the first nine months of 2002, Decatur, GA-based Allied lost $9.6 million on revenues of $665.2 million, down significantly from the $37.2 million it lost on revenues of $672.4 million in the first nine months of 2001.

The continuing losses do not bode well for Allied. Which narrowly avoided being de-listed from the New York Stock Exchange last year, despite falling below the exchange's listing standards of $50 million in total market capitalization.

Allied worked out a deal where it would remain listed with the NYSE, subject to quarterly monitoring, as long as it gets over the $50 million mark by November 29 of this year.

Still, Allied has managed to get more than 85% of its clients to pay an extra 8.5% "administrative fee" imposed last year to help the conglomerate's sagging balance sheet. The fee is generating an aditional $40 to $50 million in annual for the company, it said.

About the Author

Sean Kilcarr

Editor in Chief

Sean Kilcarr is a former longtime FleetOwner senior editor who wrote for the publication from 2000 to 2018. He served as editor-in-chief from 2017 to 2018.

 

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