Con-Way acquires CFI for $750M

SAN MATEO, Calif. — One of the U.S.’s largest trucking carriers, Con-way Inc. announced it has acquired Contract Freighters Inc. (CFI), a privately held North American truckload carrier based in Joplin, Mo.

The acquisition, valued at $750 million, elevates Con-way into a unique position in the freight transportation industry, creating a leading LTL, truckload (TL) and supply chain management enterprise with a broad portfolio of high-value solutions, says Douglas W. Stotlar, Con-way’s president and CEO.

CFI operates more than 2,600 tractors and over 7,000 trailers, with more than 3,000 employees, including 2,500 drivers throughout North America.

CFI will be folded into Con-way’s existing truckload division. Together with the complementary capabilities of LTL carrier Con-way Freight, and global supply chain services provider Menlo Logistics, the group says it will deliver an expanded transportation and logistics platform to North America-based shippers as well as global businesses, from “first-mile” sourcing in Asia or Europe, to “last-mile” delivery in North America.

“We are excited to join the Con-way family of operating companies. CFI will benefit from Con-way’s infrastructure, broad service capabilities and strong brand recognition,” said Herb Schmidt, president and CEO of CFI. “Becoming part of the Con-way organization will allow us to penetrate new markets and provide new services to our customers. In addition, Con-way and CFI share service philosophies and common values such as safety, integrity, commitment, and excellence.”

CFI is currently Con-way Freight’s largest provider of contract services for long-haul transcontinental truckload transportation. The acquisition will enable Con-way to retain margins from this contract business, the company says.

Furthermore, with operations in Mexico for nearly 20 years, CFI is recognized as one of that country’s leading transportation providers, and is among the largest participants in the market for cross-border truckload freight.

Combining CFI’s network with Con-way Freight’s and Menlo’s in-country and border-based logistics operations significantly improves the combined company’s presence and capabilities in Mexico.