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Hathaway Invests in Pilot Flying J
to continue as CEO;
J headquarters to remain in Knoxville, Tennessee
TN & Omaha, NE – October 2017 / Newsmaker Alert / Berkshire
Hathaway Inc. (NYSE: BRK.A; BRK.B) (“Berkshire”) and Pilot
Flying J jointly announced that Berkshire has made a significant minority
investment in Pilot Travel Centers LLC, d/b/a Pilot Flying J (“the Company”).
The Haslam family will continue to own a majority of Pilot Flying J and
Jimmy Haslam will remain as chief executive officer. Pilot Flying J President
Ken Parent and the Company’s management team will also remain in place.
The Company will continue to be headquartered in Knoxville, TN.
Flying J is the largest operator of travel centers in North America, with
more than 27,000 team members, 750 locations across the U.S. and Canada,
and more than $20 billion in revenues. The investment will expand Pilot
Flying J’s opportunities for growth, as the Company remains committed to
delivering outstanding service for the trucking industry, professional
drivers, local communities and interstate travelers across North America.
the terms of the agreement, Berkshire will acquire a 38.6 percent equity
stake in Pilot Flying J. The Haslam family will continue to hold a majority
interest with 50.1 percent ownership in the Company and FJ Management,
Inc., owned by the Maggelet family, will retain 11.3 percent ownership
until 2023. In 2023, Berkshire will become the majority shareholder by
acquiring an additional 41.4 percent equity stake and the Haslam family
will retain 20 percent ownership in the Company and remain involved with
Pilot Flying J.
Flying J is built on a longstanding tradition of excellence and an unrivaled
commitment to serving North America’s drivers,” said Warren Buffett, chairman,
president and CEO of Berkshire Hathaway. “Jimmy Haslam and his team have
created an industry leader and a key enabler of the nation’s economy. The
Company has a smart growth strategy in place and we look forward to a partnership
that supports the trucking industry for years to come.”
the impeccable reputation of Warren Buffett’s Berkshire Hathaway, and our
shared vision and values, we decided this was an ideal opportunity,” said
Jimmy Haslam, CEO of Pilot Flying J. “As a family business that has evolved
and prospered over the last six decades, we knew that any potential partner
would need to share our commitment and have a proven track record as a
long-term investor. We have that in Berkshire Hathaway – they believe in
our strategy, support our team and are excited to see Pilot Flying J grow.
We are honored and humbled to partner with them.”
Haslam II, founder and chairman, Pilot Travel Centers LLC said, “Berkshire
Hathaway’s investment in Pilot Flying J is a testament to our exceptional
team members and their dedication that has made Pilot Flying J the great
company it is today. Berkshire Hathaway’s commitment to keep Pilot Flying
J in Knoxville was most important to us. The Knoxville community is an
integral part of our company and our family. We are committed to continuing
to make a difference in Tennessee, supporting and giving back to our communities
here at home.”
investment by Berkshire Hathaway reflects the success of a series of transformational
milestones that have allowed the Company to evolve and strengthen its capabilities
and market position over the last several decades.
milestones include the merger of Pilot with Flying J to create today’s
company, as well as transactions with Marathon Ashland Petroleum, Williams,
Speedway, Mr. Fuel and Speedway-Wilco that have grown the Company’s network.
& Company, LLC advised the Company and, as part of the transaction,
BDT Capital Partners, LLC exited its minority equity investment in Pilot
b-roll of Pilot Flying J and additional sound bites from Jimmy Haslam view
Pilot Flying J
Flying J, the largest operator of travel centers in North America, is committed
to connecting people and places with comfort, care and a smile at every
stop. Headquartered in Knoxville, Tennessee, Pilot Flying J has more than
750 retail locations in 44 states, more than 100 roadside assistance trucks
and growing as part of its Truck Care Program, 44 Goodyear Commercial Tire
and Service Centers, and 35 Boss Shops. The Pilot Flying J network provides
drivers with access to more than 70,000 parking spaces for trucks, 4,900
showers and more than 5,000 diesel lanes offering Diesel Exhaust Fluid
(DEF) at the pump. Pilot Flying J is currently ranked No. 15 on Forbes’
list of America’s Largest Private Companies. Visit www.pilotflyingj.com
for more information.
Hathaway and its subsidiaries engage in diverse business activities including
property and casualty insurance and reinsurance, utilities and energy,
freight rail transportation, finance, manufacturing, retailing and services.
Common stock of the company is listed on the New York Stock Exchange, trading
symbols BRK.A and BRK.B.
statements contained in this press release are “forward looking” statements
within the meaning of the Private Securities Litigation Reform Act of 1995.
These statements are not guaranties of future performance and actual results
may differ materially from those forecasted.
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