48forty Solutions, one of the nation’s largest pallet companies, has just named a new interim CEO and announced new financial restructuring clearing its debt by over 80%.
In a letter to customers, Mike Hachtman, the current CEO, stated, “I have made the decision to step down as CEO. I am pleased to announce that Dave Russell has been appointed interim CEO of 48forty. Having served as a Board observer, Dave is very familiar with the company.” He added, “The Board is currently conducting a search to identify a permanent CEO but until then, Dave and I will work closely together to ensure a smooth transition.”
Russell is a twenty-year industry veteran, having held numerous leadership and advisory roles in companies across the pallet and container solutions industries, including at IFCO Systems North America.
Hachtman is well known and respected as a leader and figure in the U.S. wood pallet sector. He has guided 48forty through a significant growth and acquisition phase of the business. He was instrumental in building Relogistics, which provides Total Pallet Management services to major retailers.
This business was sold to 48forty in 2021, and Hachtman joined 48forty then to lead the company. 48forty announced Hachtman’s retirement who has worked tirelessly to guide the company through significant growth, a challenging pallet market and scaling up the pallet business.
At the same time, 48forty announced the completion of a financial restructuring designed to enhance long-term stability, improve operational efficiency, and support ongoing commercial growth initiatives. This debt for equity swap under the new owners wiped out about a billion dollars’ worth of debt helping to stabilize the company’s finances.
“We are pleased to complete this transaction and to have support from a leading group of investors. We appreciate Mike’s contributions to helping us get to this important moment and wish him the best in his future endeavors,” said Jame Donath, chair of 48forty’s Board of Directors. “Having an industry veteran of Dave’s caliber stepping into the Interim CEO role gives us confidence that 48forty is in the right hands as we search for its next leader.”
Speaking on the company’s new financial position, Dave Russell, the interim CEO noted, “With the restructuring now complete, the business has a more stable financial foundation and greater flexibility to move forward. My focus will be on supporting the team, maintaining continuity for our customers and partners, and helping position the company for its next phase.”
Hachtman did make it clear that the CEO transition won’t affect customers. He said, “Our goal has been to do this with as little disruption to you as possible. The relationships you have built and the trust you have developed will remain the same and your daily interactions with our team will proceed as usual.”
