Central Transport | Vitran secures new line of credit for 33 million from Cohen Finan, 15 yr amortization

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Knew something was up when we were hearing about folks visiting all the company owned facilites. Commitment from Cohen Financial to lend Vitran 33 million ( pending due diligence approval) , to be paid back over the next 15 year at 4.875% interest. Check it out on Vitran.com and click on Investor relations.
Thoughts everyone ?
 
gaetz and keylon get their xmas bonus. lol.

This ain't about a Christmas bonus for Keylon or Gaetz, it is about keeping Vitran in business and having cash flow to pay vendors and employees. Since Vitran has no cash on hand, they must borrow against what they own. No biggie there, no diff than you and I back in the day doing a refi on the home and taking out cash. Problem is you cannot continue to do that if you cannot stop the cash burn and your credit rating continues to decline. The interest rate is very reasonable but let's wait and see what the 4th Q results are, they should be out early to mid February.

Heard the CSA score came in just terrible, low enough to cause large customers to shake and shimmer.
 
Knew something was up when we were hearing about folks visiting all the company owned facilites. Commitment from Cohen Financial to lend Vitran 33 million ( pending due diligence approval) , to be paid back over the next 15 year at 4.875% interest. Check it out on Vitran.com and click on Investor relations.
Thoughts everyone ?
Maybe they should hire Zollars he is terrific burning cash! Just look at YRCW.My gut feeling is the rank and file will wind up paying for this.
 
So, use lower interest credit to repay higher interest credit..... smart move (just surprised anyone gave you credit) "Proceeds from the real estate term facility will be used to repay existing debt which will allow for additional borrowing capacity under our existing revolving credit facility." Do a Google search for "real estate term facility" and nothing shows up, or Wikipedia, so, do not know what that term is actually saying, sounds like a line of credit using owned terminals as collateral, but, cannot say so for sure.
 
did'nt their previous loan include them putting their canadian assets up? maybe they pay off that debt, shutdown u.s. and let lending institution keep u.s. property while going back to canada and lick their wounds. lol. google vitran 2011 loan.
 
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Its really easy to see whats going on. They want to give Keylon a chance to turn things around in 2013..And they need the money. They have not given up on the U.S....And really it would be stupid to. They have invested to much money...I do believe this is it however...Its make or break time in 2013. The 2nd quarter will tell it all...If we could just get the claims in line...Thats all it would take...We could make it. Why they can't see that baffles me totally. I strip inbound trailers on a regular basis to get my city freight to deliver. I can't believe my eyes..I just shake my head in digust. Like I said...Hire someone to address that problem and we really could thrive. A claims control specialist..pay him the big bucks...It would be worth it. Something has got to change in regards to claims for us to ever be successful.
 
they're burning through approx 5 mil a month, so it gives them about 6 months of operation as soon as they receive it. the 3 mil will be given in bonuses for their hard work in obtaining this loan. lmfao.
 
Its really easy to see whats going on. They want to give Keylon a chance to turn things around in 2013..And they need the money. They have not given up on the U.S....And really it would be stupid to. They have invested to much money...I do believe this is it however...Its make or break time in 2013. The 2nd quarter will tell it all...If we could just get the claims in line...Thats all it would take...We could make it. Why they can't see that baffles me totally. I strip inbound trailers on a regular basis to get my city freight to deliver. I can't believe my eyes..I just shake my head in digust. Like I said...Hire someone to address that problem and we really could thrive. A claims control specialist..pay him the big bucks...It would be worth it. Something has got to change in regards to claims for us to ever be successful.

You are correct but simply resolving the claims ratio won't make the V profitable. Must remember that claims filed by customers does not mean claims paid. Claims come right off the bottom line so a claim not paid is money in the bank. Used to be policy to simply deny and delay claims and if customer left over it so be it. In regards to reducing damages , it all starts with accountability and there is none on the docks at too many facilities. Air bags, load tables and plywood sits gathering dust.
 
You are correct but simply resolving the claims ratio won't make the V profitable. Must remember that claims filed by customers does not mean claims paid. Claims come right off the bottom line so a claim not paid is money in the bank. Used to be policy to simply deny and delay claims and if customer left over it so be it. In regards to reducing damages , it all starts with accountability and there is none on the docks at too many facilities. Air bags, load tables and plywood sits gathering dust.
Overall **** poor management is the problem. Starting at the top. Putting TM'S at key terminal's with very little experience is on Keylon. Regional manager's not being held accountable...And when they are they quit. See not much has really changed, as long as TM'S stay in their office stroking the computer to make the numbers look good. Stroking their ego's and no telling what else, things will not change much. They must be pro-active and stay on the dock to oversee daily operations. The only reason this company has survived is they run lean by not operating lots of terminals and maintenence facilities. In cost them in other ways, but to this point it has kept their heads above water. Treading water just like a dog....Yes Brothers ....Just like a dog. Tangible Evidence...Those words by Keylon will be hard to swallow if he fails. I find it funny he chose those words...The burden of proof now is on him. It should be evident to Keylon by now that just because you come from FXF doesn't guarantee success. The most successful men have not achieved their distinction by having some new talent or opportunity presented to them. They have developed the opportunity that was at hand.
 
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Overall **** poor management is the problem. Starting at the top. Putting TM'S at key terminal's with very little experience is on Keylon. Regional manager's not being held accountable...And when they are they quit. See not much has really changed, as long as TM'S stay in their office stroking the computer to make the numbers look good. Stroking their ego's and no telling what else, things will not change much. They must be pro-active and stay on the dock to oversee daily operations. The only reason this company has survived is they run lean by not operating lots of terminals and maintenence facilities. In cost them in other ways, but to this point it has kept their heads above water. Treading water just like a dog....Yes Brothers ....Just like a dog. Tangible Evidence...Those words by Keylon will be hard to swallow if he fails. I find it funny he chose those words...The burden of proof now is on him. It should be evident to Keylon by now that just because you come from FXF doesn't guarantee success. The most successful men have not achieved their distinction by having some new talent or opportunity presented to them. They have developed the opportunity that was at hand.

SO you have been to EVN to se Mike Baker then???
 
Why would I need to? Same circus....Different clown.....If your talking about management. You need to be more specific my brother...Most managers are clueless except for the manipulation of the computer...Most of them are lazy in my opinion...They stay on the computer all day..Tweaking the numbers...As long as CK takes those numbers as the gospel he will never gain control of this company. More time on the computer and less time on the dock...They need to get in the trailers and take pictures and call people out on improper loading technique's among other things. See one of the problems has always been accountabilty...They are simply scared to stand up to a man that's twice their size in many cases...Period...Lazy and scared that pretty much sums it up. They are to busy passing the buck...Always blaming someone else...They are not pro-active. They won't do anything about the issues that are destroying this company. I could go on and on....But it's pointless...They hear, but they are not listening....They see, but they are not perceiving. All that I'm saying has been said a thousand times in a thousand different ways...Why I waste my time on here I really don't know. Perhaps my undoing is the fact that I truly care about this company. My downfall I suppose..Going back into the "World of Warcraft" forum men. Then take my game to the next level. Something we can never do here..At least not yet.
 
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in dec 2011, they took out a seven yr loan for $45.7 mil and put up 4 canadian assets. they just got a loan for $33 mil and put up u.s. assets. they have paid on that 2011 loan for a year now (that's roughly $6.5 mil w/o interest). that would leave $39.2 mil or so to pay off canadian loan on assets. hmmm.
 
in dec 2011, they took out a seven yr loan for $45.7 mil and put up 4 canadian assets. they just got a loan for $33 mil and put up u.s. assets. they have paid on that 2011 loan for a year now (that's roughly $6.5 mil w/o interest). that would leave $39.2 mil or so to pay off canadian loan on assets. hmmm.

You get the picture "had enough", many others do not. Vitran is borrowing money, more like pawning assests to borrow money and creating their own "fiscal cliff". How do you pay back all this borrowed money when you have not shown a profit for years? Just asking!
Thank goodness the Wall Street prime rate is still near zero so we can still borrow at reasonable rates , at least for now.
 
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