Central California Cartage Files for Bankruptcy

Central California Cartage, a freight logistics company, faces bankruptcy with significant debts and a drop in revenue.

Central California Cartage Files for Bankruptcy

Central California Cartage, a drayage company based out of Goshen, California, has officially filed for Chapter 7 bankruptcy. Here's what you need to know:

  • At Closure: The company had 25 power units and 32 drivers.
  • Financial Struggle: Assets listed up to $50,000 against liabilities of $1 million to $10 million.
  • Heavy Debts: Owes over $2.5 million to Ryder Transportation Services and more.

The Downward Spiral

In November of 2023 the company, which hauled general freight, had its authority revoked by the Federal Motor Carrier Safety Administration, leading to a sudden stop in operations. The bankruptcy documents reveal a drastic decline in income, going from $9.6 million in 2022 to about $5.8 million in 2023. By 2024, operations had ground to a halt, indicating an end of business activities.

Safety First?

The inspections tell us everything we have to know.

Surprise Stat: The company's out-of-service rate for trucks was boldly above the national average, spotlighting potential safety and compliance issues that could have contributed to its downfall.

  • With a 25.5% out-of-service rate for trucks and nearly 2% for drivers, the company was struggling to keep up with national averages.

Source: FreightWaves

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