Matlack Systems of Wilmington, Del., announced the resignation of two of its top executives a day after the company reported a 15.7% drop in revenue and a significant loss on operations in its fiscal third quarter.
Gerard J. Trippitelli, president and chief executive officer, and Eugene C. Bonacci, senior vice president and chief operating officer, resigned on July 29.
The day before, Matlack reported a loss of $1.8 million for the three months that ended June 30 (See Earnings, page 33).
Matlack is one of the nation’s largest chemical haulers. A year ago, the company rejected a $12 a share buyout offer from Apollo Management, a New York-based investment firm that had earlier acquired MTL Inc. of Plant City, Fla. Apollo subsequently purchased Chemical Leaman Corp., Exton, Pa., and merged its chemical hauling companies into a new entity called Quality Carriers.
Over the past year, Matlack’s stock has languished between $4 and $9 a share.
Matlack said its poor financial results in the third quarter reflected softness in bulk trucking and related businesses, and costs related to closed terminals, layoffs, turned-in equipment, higher maintenance and Y2K compliance. The number of loads carried in the quarter was 20% lower than last year, and the rate per mile remained essentially the same, the company said.
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