Eddie R. Brown, who was brought in as president of Landair Corp. last year, resigned July 19 as the Tennessee-based truckload carrier announced it would incur significant losses in the second quarter.
Chairman Scott M. Niswonger said he will take over Brown’s duties temporarily and has hired Tim Roach, formerly with Stephens Transport, to assist him while the company searches for a replacement.
The company’s stock price fell 15% on heavy trading the day after the move was announced, from $4.44 to $3.75 a share. As of press time, Landair had not released a statement of its earnings for the second quarter, which ended June 30.
Landair’s truckload business was spun off to shareholders of the former Landair Services a year ago. Landair Services changed its name to Forward Air Corp., which specializes in ground transportation of air freight.
“It’s a disaster,” said ABN-AMRO transportation analyst Thom Albrecht, who downgraded Forward Air on July 20. “If you can’t make money in this freight environment, how can you make it in any environment?”
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