Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, June 5, 1990 TAG: 9006050260
SECTION: BUSINESS PAGE: A3 EDITION: METRO
SOURCE: Associated Press
DATELINE: DALLAS LENGTH: Short
Officials said bus service would continue on routes where it hasn't been curtailed because of the strike.
"We have taken this action to enable Greyhound lines to continue operation of its total system," said J. Michael Doyle, senior vice president and chief financial officer.
The petition was filed with the U.S. Bankruptcy Court in Brownsville.
Officials of the Amalgamated Council of Greyhound Local Unions didn't immediately return a call seeking comment on the bankruptcy filing.
Greyhound has been struggling since most of its 6,300 drivers walked out March 2 in a dispute over wages and job security. The company has been operating a reduced schedule with nearly 3,000 newly hired drivers.
After attempts to reopen negotiations collapsed early last month, Chairman Fred Currey said May 7 the strike had become "irrelevant" because the carrier had enough drivers to operate.
Just two weeks later, however, the company acknowledged severe financial difficulties.
The company lost $56 million in the first quarter. It has missed more than $16 million in loan, interest and lease payments since the end of April, putting it in default on numerous agreements with creditors. No immediate layoffs were planned.
by CNB