Supply Side: GRS; Hub Group

Written by Marybeth Luczak, Executive Editor
GRS has announced the sale of YSD, its boxcar door subsidiary, to Jaxon (Jackson International, Inc.), effective Oct. 20.

GRS has announced the sale of YSD, its boxcar door subsidiary, to Jaxon (Jackson International, Inc.), effective Oct. 20.

Greenbrier Rail Services (GRS) is selling its Youngstown Steel Doors (YSD) subsidiary, and Hub Group has acquired Choptank Transport, a cold-chain focused third-party logistics company.

GRS has announced the sale of YSD, its boxcar door subsidiary, to Jaxon (Jackson International, Inc.), effective Oct. 20. Jaxon, based in Mineral Ridge, Ohio, provides uncoupling devices and levers, railcar pins, and custom sourcing. Terms of the deal were not disclosed.

In a letter to customers, GRS Senior Vice President Rick Galvan wrote: “Jaxon’s location is near our Youngstown [Ohio] facility, and all of our skilled employees have been transferred. Their management is also familiar with YSD. We expect service will continue uninterrupted. Of course, Greenbrier’s industry-leading new boxcars will continue to be equipped with the patented YSD-designed doors.”

Galvan noted that “[a]ll current orders with GRS will be shipped when ready as per issued purchase orders. All new purchase orders for repair or replacement doors and service parts should be placed directly with Jaxon. We will be assisting our customers and Jaxon through this transition.”

Hub Group announced its acquisition of Choptank Transport on Oct. 19. The move expands its “over-the-road refrigerated transportation solutions offering, and complements its growing fleet of 450 refrigerated intermodal containers.” At the same time, Hub Group reported that it intends to purchase 550 more refrigerated intermodal containers in 2022, bringing its total fleet to 1,000.

“Choptank adds scale to Hub’s brokerage service line, with combined revenue of over $1 billion across dry van, refrigerated and LTL freight expected for 2021,” Hub Group said. “The acquisition is expected to result in numerous complementary cross-selling opportunities for both Hub’s and Choptank’s customer bases. With this transaction, Hub’s non-asset business lines will contribute over 40% of total revenue.”

In addition to its carrier network, Choptank’s 400 employees will join Hub Group.

“We are excited to welcome Choptank’s employees, customers and carriers to Hub Group,” Hub Group Chairman and CEO David Yeager said. “This acquisition delivers on our strategy to provide the industry’s premier supply chain solutions, and will advance our position in the growing cold-chain segment.”

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