Westport-based Velocity Express Corp., a national provider of ground package-delivery services, today filed for bankruptcy protection from creditors, Bloomberg News reported.
The company listed assets of $94.1 million and debt of $120.6 million as of Sept. 1 in Chapter 11 documents filed today in U.S. Bankruptcy Court in Wilmington, Del., the report said.
Twelve affiliates including CD&L, Click Messenger Service, Silver Star Express, Olympic Courier Systems and Securities Courier System are also seeking protection, according to Bloomberg.
The national provider of regional shipping solutions has its corporate headquarters at 1 Morningside Drive North.
The company said its revenue had dropped 35 percent in the past year as many of its customers cut their shipping expenses.
Velocity added that it was party to 10 class action lawsuits and had received several assessments from state administrative agencies alleging that the company had improperly classified individuals as independent contractors rather than employees.
