Roadrunner Secures Additional Working Capital, Forbearance Provision
Roadrunner Transportation Systems Inc. reached agreement with its lender group on an interim credit-facility amendment, which provides additional working capital loans and a forbearance provision, while working toward a previously announced long-term loan amendment, the motor carrier said.
Roadrunner ranks No. 16 on the Transport Topics Top 100 list of the largest U.S. and Canadian for-hire carriers.
“We are very pleased with the progress we are making with our lender group,” Roadrunner President Curt Stoelting said in a statement. “The short-term amendment helps us to remain focused on serving our customers and clients and increasing our business as seasonal working capital needs begin to increase.”
In January, the company announced that it must fix quarterly and annual earnings reports from 2014 until the present due to accounting errors, two months after the company admitted to miscalculating the leverage ratio on its debt. At the time, industry analysts were quick to say the news was a significant blow to investor confidence, and it would force them to re-evaluate their recommendations of the stock to clients.
Meanwhile, Roadrunner anticipates its long-term loan amendment will be completed by the end of March, the Cudahy, Wisconsin-based company said.
