Menlo Logistics To Lay Off 400
CNF subsidiary Menlo Logistics will lay off 400 people after one of its customers went out of business
CNF subsidiary Menlo Logistics will lay off 400 people after one of its customers went out of business.
The customer, Homelife, a retail furniture business that was formerly a unit of Sears, has announced that it has closed its stores nationwide. Menlo Logistics had a contract for supply chain management services with Homelife.
Menlo Logistics also announced that it would lay off, effective immediately, approximately 400 full-time employees who worked on the Homelife account in various locations around the country.
CNF Inc., Palo Alto, Calif., will take a $23 million write-off over two quarters because of the Homelife closing.
"Our project with Homelife was an end-to-end supply chain management system that was efficient and well run," said John H. Williford, president and chief executive officer of Menlo Logistics. "Hundreds of Menlo employees devoted their efforts to this for more than a year. We are extremely disappointed that Homelife became another victim of this economic downturn."
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