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11 June 2012
Atlanta
Reporter Georgina Lavers

Captive insurance escapes Allied restructuring

Captive insurance was one of the few divisions that escaped significant restructuring at Allied Systems Holdings, a US automotive transportation companies.

On 10 June 2012 Allied and 18 subsidiaries, including Allied Automotive Group, Axis Group, and Allied's Canadian units, implemented a financial restructuring through Chapter 11 of the US Bankruptcy Code in the District of Delaware.

The court process does not include captive insurance company Haul Insurance Limited or any of the company's Mexican or Bermudan subsidiaries.

"We believe the financial restructuring will strengthen Allied's balance sheet and position the company for a long and profitable future," said Mark Gendregske, president and chief executive officer.

"All of our customers can be sure that the filing will have no impact on our ability to maintain our best in class service levels. We understand the trust our customers place in us and we are committed to serving them without interruption."

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