P.E. BURNSIDE NAMED PRESIDENT AND CEO OF BULK MATERIALS, INC.
CLEVELAND, Nov. 11 /PRNewswire/ -- P. Elliott Burnside, veteran executive of the transportation industry, has been named president and chief executive officer of Bulk Materials, Inc. (BMI), effective immediately, it was announced today by David Gruber, BMI vice chairman. The appointment completes installation of a new permanent management team.
Cleveland-based BMI, with $260 million in revenue last year, is the nation's largest over-the-road hauler of liquid and dry bulk commodities. BMI operates more than 100 terminals in 23 states and employs more than 3,000 people.
Burnside assumes the top executive post at BMI after having served as president and/or chief operating officer of three trucking firms, and held senior posts with a global container shipping operator, including management of its Far East Division.
Previously, Burnside has served as president and chief operating officer of Jones Truck Lines, Inc. Jones, with operations in 23 states and $242 million in annual revenues -- is similar in size to BMI. Under his leadership, the company increased its revenues, dramatically improved on-time delivery performance, and reduced direct terminal costs.
"We have searched very carefully and very deliberately for nearly a year for the right person to permanently lead Bulk Materials. Elliott Burnside is a very strong executive of great integrity. He is extremely knowledgeable about all of the technical aspects of trucking and transportation, but, more important, he is a good marketer, a strong leader, and a compelling spokesman," Gruber said.
"There is no question he is the managerial talent we have been looking for -- the right person at the right time to consolidate our position as the national leader in bulk materials hauling. I consider ourselves very fortunate to have recruited him."
Burnside said he was attracted to BMI not only because of its size and prominence in bulk distribution, but also because of the commitment of its investors, the geographical scope and density of its network, and its ability to meet the present and future requirements of enviornmentally and safety-conscious shippers.
"I see opportunities for BMI to increase its value to customers, improving their profitability as we enchance our own," said Burnside. "We come to the marketplace with the advantage of an employee and independent contractor force that is second to none in this country. In turn, we owe to this workforce the loyalty and support that we have received from customers and vendors at this time. With continuing attention to equipment deployment and service, we will build a stronger carrier while repaying the loyalty and trust shown by our customers, vendors and employees. Above all, we will continually strive to improve upon an already outstanding safety record."
On Aug. 30, BMI filed in New York for protection under Chapter 11 of the Federal Bankruptcy Code, citing the weight of more than $12 million in liabilities neither authorized by nor reported to the board of directors by the previous operating management.
In recent reports on the company's performance, Gruber has drawn attention to the fact that the company's financial position and cash flow have improved since the filing.
"The overwhelming majority of our customers and vendors have stayed with us with the result that we have experienced a positive increase in liquidity," Gruber said. "Our cash flow is positive and ahead of our business plan. We have not had a single service interruption. Now that we have successfully navigated the difficult early stages of the proceeding ahead of schedule and ahead of budget, the prospects for a successful and early reorganization from Chapter 11 are excellent."
Burnside, 45, of Ponte Vedra Beach, Fla., holds a degree in transportation from Mississippi State University. He spent more than seven years with United States Lines, Inc., a worldwide container shipping operator with revenues of $1.2 billion annually. With this firm, he served as operations manager of its European Division and as vice president of both its East Coast and Far East Division.
He has also held important posts with other well-known firms, including a division vice presidency with Spector Freight System, which he joined in 1970 as a trainee.
Burnside is joined at the BMI helm by David E. Southard, a certified public accoutnant and trucking industry veteran, who last month was appointed chief financial officer and senior vice president. Other members of the permanent management team include executive vice presidents: Robert S. Amos, Jeffrey A. Collins, John Gollan, and Rex. R. Molder.
BMI's principal markets are in the Midwest, Southeast and Northeast. Its subsidiaries include: Baywood Express, Inc.; Best Transportation, Inc.; Bulk Leasing, Inc.; Bulk Storage, Inc.; Cryogenic Carriers, Inc.; Fleet Transport Co.; Fleet Transport of VA, Inc.; Gypsum Haulage, Inc.; L.B.S.; Mitchell Transport, Inc.; Northern Ohio Materials, Inc.; Ray Molder Carrier Corp.; Ray Molder Inc.,; and Refiners Transport & Terminal Corp.
/CONTACT: David Eden of William Silverman and Company, 216-696-7750, for BMI/ CO: Bulk Materials, Inc. ST: Ohio IN: TRN SU: PER LC -- CL015 -- 3131 11/11/91 15:45 EST