(12:45 PM) NEMF Files For Bankruptcy, To Wind Down Operation
ELIZABETH, N.J. — New England Motor Freight Inc. — which has a terminal location in Falconer — announced that it and 10 related entities have voluntarily filed for relief under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the District of New Jersey in Newark.
NEMF intends to use these proceedings to wind down its operations.
Vincent Colistra, a chief restructuring officer for the company, said, “We have worked hard to explore options for New England Motor Freight, but the macro-economic factors confronting this industry are significant. Following two years of losses, and with continuing and unsustainable rises in overhead as well as a severe industry shortage of drivers, we have concluded that the company has no choice but to proceed with an orderly wind-down of operations in a Chapter 11 proceeding.”
Founded in 1977, the company is based in Elizabeth, N.J.
In addition to its Falconer location at 2550 S. Work St., NEMF also has a terminal in Tonawanda.
The Associated Press contributed to this report.