Laidlaw
| Company type | Public (before acquisition) |
|---|---|
| Industry | Transportation |
| Founded | 1924 |
| Founder | Robert Laidlaw |
| Defunct | 2007 |
| Fate | Acquired by FirstGroup |
| Headquarters | Naperville, Illinois , United States |
Area served | United States, Canada |
Key people | Michael DeGroote (former CEO), Glen Roberts (MedTrans CEO), Donald Jones (MedTrans COO) |
| Products | Intercity bus service, contracted public transit, paratransit, school bus services, EMS services |
| Parent | FirstGroup (from 2007) |
Laidlaw (), operating as Laidlaw International, Inc. and headquartered in Naperville, Illinois, was recognized as the largest provider of intercity bus service, contracted public transit, paratransit, and school bus services under contract in both the United States and Canada. In February 2007, the UK-based transportation company FirstGroup, which also owns subsidiaries in North America, completed the acquisition of Laidlaw International.[1][2]
The acquisition was finalized on October 1, 2007, with FirstGroup integrating Laidlaw's operations into its corporate structure.[3] This merger united North America's two largest private school bus contractors—Education Services and First Student Inc.—resulting in control of roughly 40% of the school bus contracting market.[4]
Laidlaw’s strategic approach emphasized expansion through acquisitions and taking on contracts formerly managed by public agencies. Its holdings included Laidlaw Transit (later merged into First Transit), Laidlaw Education Services (merged into First Student), Greyhound Lines along with Greyhound Lines of Canada, and multiple Gray Line Sightseeing franchises in key North American metropolitan areas. After the takeover, FirstGroup maintained the Greyhound brand but gradually discontinued the Laidlaw name.
History
Founded in 1924 by Robert Laidlaw in Hagersville, Ontario, Laidlaw initially operated as a trucking company.
Beginning in 1972 under CEO Michael DeGroote, Laidlaw pursued an aggressive acquisition-driven growth strategy. By 1978, it had expanded into Canadian intercity and charter bus services, school bus contracting, and entered the U.S. solid waste sector. The company made its entry into the U.S. school bus market in 1983 by acquiring ARA Transportation, a major contract operator. By 1984, it exited the trucking business to focus on consolidating smaller school bus contractors across North America. In 1988, Canadian Pacific Limited sold its controlling interest to Laidlaw.
During the late 1980s and throughout the 1990s, Laidlaw encountered challenges related to reverse privatization in Virginia, where some school districts reverted to self-operated transportation to cut expenses. This shift resulted in Laidlaw divesting certain urban-suburban bus assets in Norfolk to Virginia Overland Transportation, which ceased operations by 2004; its Norfolk subsidiary now operates as Transquest under Serco.
Throughout the 1990s, Laidlaw accelerated its expansion by acquiring numerous smaller transit and school bus contractors across the U.S. and Canada, including significant competitors like Mayflower Contract Services (1995) and National Bus Service (1996). In 1993, it acquired MedTrans—an EMS provider with operations spanning multiple states—which had grown through more than 130 acquisitions to exceed $1 billion in revenue. At acquisition time, MedTrans was led by CEO Glen Roberts and COO Donald Jones.
In 1998, Laidlaw broadened its EMS portfolio further by purchasing American Medical Response and CareLine, consolidators of ambulance services nationwide. The solid waste division was sold to Allied Waste Industries in 1996 as part of a strategic refocus. Canadian Pacific divested its remaining shares in Laidlaw in 1997.
A significant milestone occurred in 1998 when Laidlaw acquired Greyhound Lines’ U.S. operations, Greyhound Canada, paratransit specialist DAVE Companies, along with emergency management firms EmCare and Spectrum Emergency Care—substantially diversifying its transportation services.
However, substantial losses stemming from investments in Safety-Kleen and Greyhound Lines compelled Laidlaw Inc. to file for Chapter 11 bankruptcy protection in June 2001 after nearly twenty years of expansion. The company restructured and emerged as Laidlaw International, Inc., listing on the New York Stock Exchange (Ticker: LI) in February 2004. Following reorganization, it divested American Medical Response and EmCare EMS contracts to concentrate on its primary operations.
Laidlaw Waste Systems
In 1969, DeGroote diversified Laidlaw's operations by acquiring a company specializing in solid waste management, thereby shifting the company's emphasis from the unpredictable trucking sector to the more stable waste management industry. By 1978, Laidlaw had entered the U.S. solid waste market through its fully owned subsidiary, Laidlaw Waste Systems. The firm's expansion continued in 1986 with the purchase of Genstar Corp (GSX) based in Boston. Nevertheless, in 1996, Laidlaw divested its solid waste division to Allied Waste Industries. The Canadian segment was sold to USA Waste Services, Inc., while U.S. operations were rebranded under different regional names. Following nearly twenty years of expansion, Laidlaw Inc. sought Chapter 11 bankruptcy protection in June 2001.
See also
- First Student (United States) – successor company
- First Student Canada – successor company
- FirstGroup
- Greyhound Lines
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