Highway Technologies
Highway Technologies, Inc. was a large, Houston-based[1] US construction company with offices in 33 cities[2] that filed for bankruptcy in May 2013, laying off 740 of its 825 employees.[3] The company was founded 30 years ago.[4]
The company supplied "highway barriers, traffic control devices and rent[ed] barriers for detours and emergency closures."[4]
Liquidation of company assets began in June 2013[5] and continued through November 2013,[6] with some local branches sold in their entirety to new owners.
Locations
The company operated in over 30 US cities,[7] with as many as 50 to 80 employees at some locations:[1]
- Flagstaff, Arizona
- Fort Mohave, Arizona
- Prescott, Arizona (reopened as part of Trafficade Work Zone Services)
- Tempe, Arizona
- Tucson, Arizona
- San Jose, California
- Ventura, California
- Denver, Colorado, reopened as Colorado Barricade in August 2013.[8]
- Loveland, Colorado
- Clearwater, Florida
- Fort Myers, Florida
- Jacksonville, Florida
- Jupiter, Florida
- Orlando, Florida
- Bloomington, Illinois
- Carbondale, Illinois
- East St. Louis, Illinois, reopened as "Warning Lites of Southern Illinois, LLC" in August 2013
- Springfield, Illinois
- Villa Park, Illinois
- Baton Rouge, Louisiana
- Minneapolis, Minnesota
- Springfield, Missouri
- Missoula, Montana
- Richland, New Jersey
- North Las Vegas,Nevada
- Portland, Oregon
- Austin, Texas
- Corpus Christi, Texas
- Fort Worth, Texas
- Houston, Texas
- San Antonio, Texas
Company bankruptcy
The Houston-based company laid off 740 employees, of 825 total, on May 17, 2013, and filed for bankruptcy on May 22.[1] The bankruptcy filing indicated that company assets were between $50 and $100 million while liabilities were between $100 and $500 million.[5]
Disruptions
Event disruptions occurred as a result of the suspension of operations in a number of cities. In Denver, the Colfax Marathon and the American Ninja Warrior competition lost the contracted support services for the provision of traffic barricades for the event.[2] Fifteen active projects were shutdown in Montana by the closure of the Missoula office where 180 employees lost their jobs.[9][10]
Liquidation
"Bankruptcy was seen as the best option to protect the company's assets for its creditors"[1] At the 23 May 2013 bankruptcy court hearing, approval was given "to start to sell any assets below $200,000. The company pursued the sale of its assets both piecemeal and on a turnkey — intact branches — basis through private sales and auctions"[1][11]
Some Highway Technologies local enterprises were sold in their entirety to new owners.[11] In early August, the Denver branch emerged from bankruptcy as Colorado Barricade, sold at a price of US$775,000 plus assumption of certain liabilities pertaining solely to the existing operation, and hired back some 20 of the 50-plus employees of Highway Technologies Denver operation within the first week of operation.[8]
Over 60,000 remaining assets were sold off in auctions held between August and November 2013,[6] including 4700 items sold at one two-day auction in Texas in late August.[12]
References
- 1 2 3 4 5 Highway Technologies' abrupt bankruptcy affects 740 employees nationwide, 28 May 2013, Houston Business Journal.
- 1 2 Traffic-barrier company closes its doors day before Colfax Marathon, 18 May 2013, Denver Post.
- ↑ Construction supply company closes doors, lays off 740, 28 May 2013, Houston Chronicle.
- 1 2 Highway Technologies Lays off 180 Employees, KDAF Dallas nightcap, 29 May 2013.
- 1 2 Highway Technologies, Inc. bankruptcy filing summary at business-bankruptcies.com, accessed 17 Jun 2013. Archived at WebCite: 6HT6Xdq09
- 1 2 "Assets previously owned by Highway Technologies". Auction web announcement. Ritchie Bros. Auctioneers. Retrieved 2013-11-16.
60,000+ lotted assets — No minimum bids on trucks, signs & more. These highway safety products will all be sold to the highest bidders at 13 Ritchie Bros. unreserved auction between Aug & Nov 2013.
- ↑ Hilco Industrial Auction website, accessed 17 June 2013. Archived at WebCite: 6HT6rGjWI
- 1 2 Proctor, Cathy (2013-08-02). "Denver branch of Highway Technologies emerges from closure as Colorado Barricade". Denver Business Journal. Retrieved 2013-11-16.
- ↑ Foster, Emily (2013-06-10). "Hundreds Lose Jobs As Highway Co. Goes Bankrupt". abc Fox Montana. Retrieved 2013-11-16.
- ↑
- 1 2 Brenzel, Kathryn (2013-11-16). "Highway Technologies Seeks To Sell Off Branches For $5M". Law 360. Retrieved 2013-06-06.
- ↑ "Ritchie Bros. sells over US $53 million of industrial asset's at Houston auction: Most items ever sold at a Ritchie Bros. auction in Texas" (PDF). press release. Ritche Bros. Auctioners. Retrieved 2013-11-16.