EVANSVILLE, (Ind.) -- Atlas World Group, Inc. (Atlas) today announced the execution of a definitive agreement for the purchase of Red Ball Corporation of Seattle, Washington, from owners Walter E. ("Wally") Saubert and AliceJo P. Saubert. Notification of the transaction has already been filed with the Federal Trade Commission and closing is expected to occur within the next 30 days. Among the subsidaries of Red Ball Corporation that are a part of the purchases are American Red Ball International, an international freight forwarder headquartered in Seattle, and American Red Ball Transit Co., the nation's 13th largest household goods carrier, which operates out of Indianapolis, Indiana. Atlas is the parent corporation of Atlas Van Lines, Inc., the nation's fifth largest household goods carrier.
According to Norman D. Gee, the chairman and chief executive officer of Atlas, "Atlas is very excited about the acquisition of Red Ball. We believe that this purchase brings into the Atlas family a strong international company and a good domestic van line, with particular expertise in military traffic. It complements the rest of the Atlas family very well." Mr. Saubert, who is and will continue as the chief executive officer at Red Ball Corporation, noted "This sale expands the opportunities for Red Ball management, agents and drivers, with a combination of two very good names in the domestic and international household goods business. We look forward to being a part of Atlas." Immediately following the closing, Saubert will join the Board of Directors of Atlas. Red Ball Corporation will continue to operate as a separate company under its own name.
The purchase will be financed through a credit facility being arranged through NationsBank, N.A. The new credit facility will replace Atlas' existing lending agreements and subordinated debt.
Amreican Red Ball Transit Co. began operating as a household goods carrier in 1939. American Red Ball International was formed in 1968. In 1985, Wally Saubert, who had joined American Red Ball Internatinal in 1972 and moved up the ranks to the position of Vice President and General Manager of that company, joined in forming Red Ball Corporation to purchase the company from its founders, the Hiner family. Atlas Van Lines, Inc. was organized as household goods carrier in 1948. Atlas World Group, Inc. with its headquarters in Evansville, Indiana, was formed in 1994 as the holding company for Atlas Van Lines to provide the flexibility to accomplish acquisitions, such as this one.