TravelCenters of America LLC revealed that it expects to eliminate about 100 positions in its company as well as another 60 positions in Petro Stopping Centers L.P., which it acquired in May, as part of a new reorganization plan.
The company expects to incur $2 million to $3 million in costs related to severance payments and relocation benefits, the hospitality and fuel services provider said in a statement.
TravelCenters estimates that the synergies from the Petro acquisition may amount to about $16 million annually, which includes savings from the reorganization. The company told Reuters that it plans to realign its field management functions and the corporate office, marketing and operations personnel, resulting in the elimination of about 100 positions during September 2007.
TravelCenters went public in January. The company plans to reduce corporate office staffing mainly at Petro’s El Paso, Texas headquarters through June 2008, eliminating about 60 overlapping positions.