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NORTH CANTON, OH, March 10, 2010 – The Kenan Advantage Group, Inc. (“KAG”), the nation’s largest bulk transportation and logistics provider to the petroleum and specialty products industries, entered into an agreement to purchase the assets of Don E. Keith Transportation, LLC (“Don E. Keith”). Don E. Keith is a California-based bulk transporter of asphalt, fuel, crude oil and lubricants. KAG has purchased the company’s fleet and will be taking over the delivery of Don Keith’s products to its customers in California, Arizona, Nevada and Utah through its subsidiary, KAG West.
“With the acquisition of Don E. Keith, a company that is steeped with history dating back to the 1940’s, KAG will further diversify its product base on the West Coast to provide more opportunities in an ever changing environment,” said John Jolly, VP of Private Fleet Conversions for KAG. “Historically, our primary focus in this region has been the transportation of fuel. Through the purchase of Don E. Keith’s transportation assets, we will expand our service offering to include the deliver of asphalt, crude oil and lubricants. Combining Don E. Keith’s operational experience with KAG’s size and resources will provide a smooth transition into a new market for our organization on the West Coast,” Jolly continued
According to Bill Keith, Chief Operating Officer of Don E. Keith Transportation, “One of the reasons we decided to join the KAG team was based on their dedication to customer service and their outstanding industry reputation. For 70 years we have been providing our customers with exceptional customer service. This transaction ensures our ability to continue to provide the highest level of service while tapping into KAG’s size and national footprint to better meet our customers growing needs.”
Tim Fahringer with Saint Laurent Capital, Inc., served as the financial advisor for Don E. Keith in the transaction that closed on February 22, 2010. “To bring these two organizations together just made good business sense,” said Fahringer. “The deal will be mutually beneficial to both parties,” Fahringer continued.
Kenan Advantage Group (www.thekag.com) operates nationwide through its subsidiaries: Advantage Tank Lines, BXI, KAG West, Kenan Transport, Klemm Tank Lines, North Canton Transfer, Petro-Chemical Transport, Reinhard Transportation and Transport Service Co. KAG’s fleet consists of more than 3,300 power units and 4,300 trailers. KAG also provides specialized supply chain logistics services through KAG Logistics and KAG Ethanol Logistics (www.kaglogistics.com).
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