Kal Freight Inc., a trucking company based in California, is restructuring under Chapter 11 bankruptcy protection due to financial difficulties.
What's happening: On December 5, 2024, Kal Freight filed for Chapter 11 in the Southern District of Texas. The company faced ongoing liquidity challenges, affecting their ability to pay debts.
The plan: Despite the bankruptcy filing, Kal Freight intends to continue regular operations, keeping employees and suppliers paid through debtor-in-possession financing.
- Services like FTL, Dry Van, and Expedited will continue to be provided, as the company seeks to stabilize during restructuring.
- Kal Freight operates 580 power units with a workforce of 600 drivers.
What's next: Kal Freight aims to emerge stronger post-reorganization and will file initial motions with the Bankruptcy Court to assist in a smooth transition, reported an official press release.
Kal Freight was established in 2014 and operates across various states including California, Texas, and Indiana.