A private operator of the American side of the Detroit-Windsor Tunnel has announced it is filing for bankruptcy.
Neal Belitsky, CEO of American Roads LLC, says the tunnel has taken actions to implement a “pre-packaged” plan of reorganization by voluntarily filing for Chapter 11 protection in the United States Bankruptcy Court in New York.
“This is a strategic decision to effect a restructuring of our financial obligations,” Belitsky said in a statement. “It is not the result of any operational problems. We fully expect that our operations will continue without interruption during this process, and it will remain business as usual.”
Windsor mayor Eddie Francis says Windsor will not be buying the Tunnel outright because it's not for sale. He says if becomes available, the city is interested in making an offer.
Belitsky says the filing is not expected to negatively affect our employees or customers and tolls are not expected to increase as a result of this action.
Under the prepackaged plan, the tunnel will emerge as a stronger company without any financial debt, says Belitsky.
