STG Logistics, Inc. and forty debtor affiliates are operating under a confirmed Second Amended Joint Plan of Reorganization — confirmed May 18, 2026 in the U.S. Bankruptcy Court for the District of New Jersey — as the estates work toward plan effectiveness. The Debtors, a private-equity-backed port-to-door logistics platform spanning intermodal, drayage, container freight station, and contract logistics operations with roughly $1.6 billion in 2024 revenue, filed for Chapter 11 reliefDkt. 1 on January 12, 2026 with a Restructuring Support Agreement already executed.
The filing was precipitated by what management terms the "Great Freight Recession": a prolonged freight and intermodal downturn that compressed volumes and rates, driving consolidated revenue down an estimated $162 million in 2025 after a $65 million decline in 2024. According to the first-day declaration of CFO Tyler HoltgrevenDkt. 33, the Debtors entered chapter 11 with approximately $34 million in unrestricted cash against roughly $1.159 billion of funded debt — a structure fragmented by an October 2024 liability-management refinancing that split the enterprise into an STG Distribution silo and a Reception Purchaser silo and triggered intercreditor disputes with non-participating lenders. The same declaration anchored the priming DIP request: a $293.75 million superpriority senior secured delayed-draw term loan combining $150 million of new money with $143.75 million of roll-up, backstopped by Consenting Sponsors Wind Point Partners and Oaktree.
The restructuring ran on a compressed timeline. The framed a "toggle" plan allowing the Debtors to elect between a recapitalization transaction — equitizing the DIP and certain first-lien term loan claims — and a sale transaction following a market check, with the bid deadline on April 22, auction on April 29, sale hearing on May 18, and confirmation hearing on May 22. The Debtors ultimately confirmed a twelve-class plan on May 18, 2026 under which the FLSO and FLFO term loan claims were equitized, FLTO term loan claims received no distribution, general unsecured claims (estimated near $29 million) were left at zero recovery in the recapitalization path, and a $975,000 convenience-class pool yielded 20%–30% recoveries on a roughly $4.7 million claim pool.
Post-confirmation, the business continues to operate on narrow gross margins under DIP liquidity. The Debtors' Monthly Operating Report for May 2026Dkt. 1057 reported $107.5 million in consolidated revenue against a $17.4 million operating loss and $36.9 million net loss, with $51.4 million unrestricted cash, $78.6 million restricted cash, $142.6 million of DIP financing drawn, and $146.9 million of rolled-up debt, against roughly $1.24 billion in liabilities subject to compromise. Near-term milestones include the July 7, 2026 omnibus claims-and-administration hearing, a relief-from-stay hearing adjourned to July 21, 2026Dkt. 1058, and the July 16 objection deadline on the Official Committee of Unsecured Creditors' May monthly fee statementDkt. 1059.
