NYC School Bus Operator Hoyt Transportation Rises From Ashes to Reorganize With Plan

Hoyt Transportation Corp., the New York City school bus operator, had expected to liquidate. Instead, it’s profitable and on the road to reorganizing with a Chapter 11 plan that pays everyone in full (In re Hoyt Transportation Corp., Bankr. E.D.N.Y., 13-44299, plan filed 4/13/15).

The company filed for Chapter 11 protection in July 2013 after its last contract with the city school system expired. Like some other New York school bus operators, it was unable to make competitive bids to renew its routes because the existing union contract required charging prohibitively high prices.

After negotiating a new ...