Beautifully engraved SPECIMEN certificate from the Consolidated Freightways, Inc.
This historic document was printed by the American Banknote Company and has an
ornate border around it with a vignette of an allegorical man. This item has the printed signatures of the Company’s President and Secretary.
Consolidated Freightways operates one of the world's largest less-than-truckload (LTL) transportation networks. The company's highly skilled 20,000 professionals specialize in long haul freight transportation throughout North America.
CF's vast network of 350 terminals and more than 30,000 over-the-road vehicles, serves virtually every market in the U.S., Canada and Mexico. Shipments typically move between 500 and 3,000 miles and weigh between 300 and 15,000 pounds.
CF's core markets are concentrated in North America and include integrated trucking capabilities to and within Canada, Mexico, Alaska, Hawaii, Puerto Rico and the Caribbean.
In Canada, CF offers intra-Canadian and inter-Canadian long-haul trucking services with seamless border crossings into both the U.S. and Mexico.
In Mexico, Transportes CF Alfri-Loder, commonly known as "CF Mexico" is Mexico's largest and most extensive LTL network. CF Mexico serves both intra-Mexico and inter-Mexico clients without hand-offs or transfers at the U.S.-Mexico border.
VANCOUVER, Washington - September 3, 2002 - Consolidated Freightways Corp. (CFC) today filed Chapter 11 bankruptcy petitions with the United States Bankruptcy Court for the Central District of California.
The company also said one of its immediate goals is to complete in-transit customer deliveries as quickly as possible.
The company yesterday ceased most U.S. operations. However, the CF AirFreight, Canadian Freightways, Ltd. and Grupo Consolidated Freightways, S.A. de RL subsidiaries continue to operate as usual.
The company said it had received commitments for $225 million in debtor-in-possession (DIP) financing from General Electric Capital Corporation (GECC) to provide liquidity during the bankruptcy proceedings. Pending Court approval, the DIP facility will replace an accounts receivable securitization agreement and real estate credit facility previously provided by GECC. After outstanding borrowings and letters of credit under these agreements are rolled over into the DIP facility, approximately $40 million of new financing will be available to the company to proceed with an orderly liquidation.
The company also filed its Form 10-Q and announced its financial results for the period ended June 30, 2002. At the same time, company officers certified as to the accuracy of the financial information contained in the Form 10-Q, in compliance with SEC requirements.
The company reported revenues of $482.4 million and an operating loss of $53.9 million, after a write-off of approximately $11.0 million of internal-use software that the company will not use due to its bankruptcy filing. These results follow the previous quarter's operating loss of $30.9 million on revenues of $463.0 million.
Since the company is no longer considered a going concern, CFC also recorded an additional $62.6 million in valuation allowance against net deferred tax assets, which constituted more than half the quarter's net loss of $123.2 million.
In its Form 10-Q report filed today with the Securities and Exchange Commission, CFC said the bankruptcy petition is necessary because of substantial operating losses in the prior 18 months and the resulting impact on liquidity, letter-of-credit and surety bond requirements to support the company's self-administered insurance programs.
According to the company, a number of recent events created a domino effect that left CFC inadequately capitalized to continue operations. Last month, a surety bond that secured the company's workers compensation and vehicular casualty insurance was cancelled, leading the company to believe that additional bonds would also be cancelled. This negatively impacted pending discussions with all lenders and investors. Ultimately, the company was unable to secure financing and to bridge the surety bond gap.
Faced with continuing losses and without the ability to obtain additional financing, CFC's board of directors reluctantly concluded that the company could not continue to operate outside of Chapter 11 protection.
In its Form 10-Q report, the company reported assets of approximately $783.6 million and liabilities of approximately $791.6 million.
The law firm of Latham & Watkins in Los Angeles acts as legal counsel for the company in its bankruptcy proceedings.
Consolidated Freightways was founded in Portland, Ore. in 1929. The company provides less-than-truckload (LTL) transportation, airfreight forwarding and supply chain management services throughout North America. The company is headquartered in Vancouver, Wash.
Specimen Certificates are actual certificates that have never been issued. They were usually kept by the printers in their permanent archives as their only example of a particular certificate. Sometimes you will see a hand stamp on the certificate that says "Do not remove from file".
Specimens were also used to show prospective clients different types of certificate designs that were available. Specimen certificates are usually much scarcer than issued certificates. In fact, many times they are the only way to get a certificate for a particular company because the issued certificates were redeemed and destroyed. In a few instances, Specimen certificates we made for a company but were never used because a different design was chosen by the company.
These certificates are normally stamped "Specimen" or they have small holes spelling the word specimen. Most of the time they don't have a serial number, or they have a serial number of 00000. This is an exciting sector of the hobby that grown in popularity and realized nice appreciation in value over the past several years.