Panama Transfer was founded in 1954 by Panama, Iowa brothers Jim and Don Kloewer. In early years, the company's business consisted of pickup and delivery of freight to and from Omaha, Nebraska to seven communities in Western Iowa. In 1963, Don was killed in an auto accident and Jim and his wife Rita, assumed ownership of the company, building a successful business over the next two decades.

Deregulation initially curtailed growth

With the beginning of freight industry deregulation in 1980, the decline of future growth for many freight companies began throughout the US Companies not financially sound when deregulation was implemented were soon out of business, which allowed bigger freight companies to expand into rural markets.

Business at Panama Transfer slowly declined over the next few years due to increased competition and the introduction of new carriers to the area. As the companies' growth slowed, layoffs took place and in 1988, Panama Transfer employed only five people down from a company high of twenty.

Expansion begins in the late 1980's

In the fall of 1988, Mark Crall (son-in-law) was hired to manage company sales and that same year Kloewer's son, Dean, began working with the company. Thereafter the company began to grow at a substantial rate and revenues increased form 10 to 30% in succeeding years and they had out grown its original terminal.

Expansion in Panama

In 1991, the company purchased land in the Panama Industrial Park for its new terminal facility. Today, that facility has grown to 36 doors.

Expansion in Northeast Iowa

In 1988, a 7 door terminal was added in Eldora, Iowa, to serve the northeast Iowa and was increased to a 10-door terminal in 2000. Eldora is now closed and a new 12 door terminal in Wellsburg is servicing northeast Iowa.

In the fall of 1998, the company opened a 4 door terminal in Richland, Iowa to serve Southeast Iowa, that facility had now grown into a 7 door terminal.

Second Expansion in Panama

In 2001, construction began on a new 10 door state-of-the-art repair facility with all new equipment to keep the tractors and trailers operating at peek efficiency. The facility will also feature a fully-automated wash bay for tractor trailers allowing them to maintain a strong professional image as these vehicles drive down the road.

Panama Transfer remained as one of the nation's leaders in the application of computer technology to the freight business as their customers could view bill origination and customer verification of delivery over the Internet.

Expansion in South Dakota

In April of 2001, the expansion of a new 4 door terminal with eight additional employees in Sioux Falls, South Dakota was completed. With the addition of the Sioux Falls terminal the company now operates routes in seven Midwestern states with over 60 tractors and over 95 trailers.

Expansion Plans for 2002 and 2004

Currently September of 2002 the construction of a 7,500 square foot , 12 door terminal in Wellsburg, Iowa is finished. This move has result in the closing of the smaller Eldora terminal and will allow for quicker delivery times in northeastern Iowa as they access the soon to be complete four lane expansion of U.S.Hwy 20.