AP
Con-Way Buying Contract Freighters
Monday July 16, 7:29 am ET
Con-Way Acquires Truckload Carrier Contract Freighters in $750 Million Deal

SAN MATEO, Calif. (AP) -- Trucking company Con-way Inc. said Monday it agreed to buy privately held truckload carrier Contract Freighters Inc. for $750 million.

Con-way will acquire Contract Freighters' parent company Transportation Resources Inc. and all of its subsidiaries.

The boards of both companies approved the deal, which is expected to close in the third quarter.

Contract Freighters, based in Joplin, Mo., operates over 2,600 tractors and more than 7,000 trailers, with more than 3,000 employees.

Con-way said Contract Freighters will join Con-way's existing truckload division, creating a business unit with over $500 million in annual revenues for truckload freight.

Con-way intends to fund the acquisition with existing cash resources together with proceeds from debt financing.