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Major Northeast Carrier Announces Closure Amidst Extreme Winter Storms, Backing Up Supply Chains

Jess Johnson

12 February 2019

Shippers,

New England Motor Freight is going out of business in what they say will be an "orderly wind-down of its operations."

On February 11, 2019, New England Motor Freight (NEMF), the 19th largest LTL carrier in the US, announced plans for a Chapter 11 liquidation and shut down after 101 years in business. FreightWaves reports that "After two years of losses, the company concluded that the combination of high labor costs and a 'severe' driver shortage made it unsustainable to continue as a going concern."

NEMF and its 10 subsidiaries primarily compete in the Northeast region of the US, but they also serve the Mid-Atlantic and Midwestern regions, in addition to two Canadian provinces. Resultantly, the already-tight LTL market has grown more constrained, forcing shippers to shell out even bigger bucks to lock in capacity for their freight. Logistics Management states that, in particular, "Northeast shippers can expect double-digit rate increases as capacity tightens."

Extreme winter weather compounds NEMF closure to tighten capacity even further.

States of emergency have been declared across the US as two, powerful storm systems cover the nation.

Winter Storm Maya has brought heavy snow, sleet, and strong winds to the Midwest and Northeast, and is expected to continue through late tomorrow evening. Ice and snow cover key interstates, making travel dangerous and -- in certain parts of I-95 -- impossible.

Over the weekend, Winter Storm Nadia landed upon the Pacific Northwest, California, and parts of the Mountain West, bringing with it unusually heavy snowfall, rain, and strong winds that are expected to continue through Thursday. Flooding, mudslides, power outages, and debris flows are possible in California.

Because of the extreme winter weather, we ask that you prepare for delayed transit times and increased rates throughout the week.

Here's how Evans can help.

  • Evans has an expansive network of high-quality carriers in the Northeast, ready to pick up where NEMF left off.
  • Evans' expert transportation management team is monitoring the extreme winter storms and is prepared to arrange any alternative logistics solutions that you may require during this time, including partials, LTL-to-TL conversions, expedites, and intercepts.

Contact your dedicated Evans Account Manager or email contactus@evanstrans.com to get your freight back on track. As always, we're here for you!

Your Transportation Team at Evans

Jess Johnson

Jess is the Director of Marketing & Communications at Evans Transportation.

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