Delco-Based Shipping Company Shuts Down, Lays Off Workforce

MEDIA, PA — A Delaware County-based company that shipped sensitive medical materials for health care providers has ceased operations and laid off its workforce.

American Expediting, headquartered in Media, announced its immediate closure in a June 3 WARN notice that Patch obtained. (See below.)

As a result, the company laid off 86 employees, taking effect through June 30, the notice says.

American Expediting specialized in shipping sensitive health care materials, such as organs, blood samples and lab animals.

Over the last few months, American Expediting sought funding from investors to continue operations. But on June 1, the company's lenders advised that they would no longer provide financing or consent to debt restructuring for outside investment.

Under the federal WARN Act, companies must give laid-off workers 60 days' notice to work before ceasing operations or closing a facility — unless there are "unforeseen circumstances." In this case, the June 1 notice from investors prompted American Expediting to eliminate jobs well-before 60 days.

"The Company has been operating in a challenging environment, marked by reduced healthcare spending and ongoing pressures across the transportation sector," says the company's WARN notice.

Patch's efforts to contact a company representative were unsuccessful.

Here's the WARN Notice: