YRC Worldwide

Trying to make sense of the YRC bailout

YRC Freight double in the desert

The claws are coming out already, with some industry onlookers questioning the government’s rationale behind making a huge loan to less-than-truckload (LTL) carrier YRC Worldwide (NASDAQ: YRCW), a perpetually struggling company and one that the government’s own Defense Department alleges overcharged it for services. The loan’s placement under the umbrella of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which is intended to help businesses survive the economic downturn caused...

https://s29755.pcdn.co/news/trying-to-make-sense-of-the-yrc-bailout

YRC gives government 30% stake in its latest financial bailout

YRC Freight triple on highway

YRC Worldwide (NASDAQ: YRCW) unveiled plans of a new $700 million lending agreement with the U.S. Department of the Treasury, which in turn will receive a stake of nearly 30% in the company.

The July 1 press release outlines the latest lifeline for the less-than-truckload (LTL) carrier. The loan comes from a federal lending program under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which is intended to help businesses survive the economic downturn caused by COVID-19 and...

https://www.freightwaves.com/news/yrc-gives-government-30-stake-in-its-latest-financial-bailout

Breaking News: YRC to receive $700 million CARES Act loan

YRC Freight truck

YRC Worldwide (NASDAQ: YRCW) announced it expects to receive a $700 million loan from the United States Department of the Treasury under the CARES Act.

The largest less-than-truckload (LTL) carrier has been facing mounting financial pressure amid the pandemic to fund obligations to its 30,000 employees. The company is delinquent in making health and welfare as well as pension payments to funds that support its union and non-union employees.

The press release said the company plans to use the...

https://www.freightwaves.com/news/breaking-news-yrc-to-receive-700-million-cares-act-loan

All is quiet as YRC health benefits near expiration

YRC truck on highway

As the end of an eight-week extension of healthcare benefits for workers of YRC Worldwide (NASDAQ: YRCW) nears, questions mount on when the company will fund missed benefits payments and what will happen to its workers’ health coverage.

In mid-April, the International Brotherhood of Teamsters informed members that the Overland Park, Kansas-based less-than-truckload (LTL) carrier had been granted a grace period on health and welfare and pension fund contributions due to a “sharp decline” in...

https://s29755.pcdn.co/news/all-is-quiet-as-yrc-health-benefits-near-expiration

Shares of YRC Worldwide sink on weak midquarter report

YRC LTL rig on highway

YRC Worldwide (NASDAQ: YRCW) has provided a brief update on shipping and yield metrics for the first two months of the second quarter of 2020, and the numbers raise concerns.

In a press release, the Overland Park, Kansas-based less-than-truckload (LTL) carrier reported an 18.6% year-over-year tonnage-per-day decline through the first two months of the quarter with revenue per hundredweight, or yield, declining 6.3%.

The carrier reported a 22.6% year-over-year decline in April tonnage with yield...

https://s29755.pcdn.co/news/shares-of-yrc-worldwide-sink-on-weak-midquarter-report

ArcBest sees trends rebound during May

ArcBest double on highway

In a filing with the U.S. Securities and Exchange Commission, ArcBest Corp. (NASDAQ: ARCB) reported sequential improvement during the month of May, supportive of recent industry commentary suggesting that the less-than-truckload (LTL) market may have bottomed in April.

The Fort Smith, Arkansas-based logistics provider reported a 22% year-over-year consolidated revenue decline through the first two months of the 2020 second quarter. The April-May period of 2020 has two less working days compared...

https://s29755.pcdn.co/news/arcbest-sees-trends-rebound-during-may

Less-than-truckload looking up, say analyst and pricing experts

Old Dominion double on highway

Less-than-truckload (LTL) demand improved through May. The acceleration was notable during the 10-day stretch heading into the Memorial Day weekend. However, the improvement comes off of a very low base that developed in April as COVID-19-related shutdown mandates resulted in most LTL carriers reporting year-over-year tonnage declines in the midteen percentage range with revenue declines in the 20% range.

These were some of the comments shared during Deutsche Bank’s call Monday on the LTL...

https://s29755.pcdn.co/news/less-than-truckload-looking-up-says-analyst-and-pricing-experts

YRCW Teamsters members still getting benefits in 8-week extension

YRCW employees are starting the third week of healthcare being paid for by the Teamsters’ benefits provider as if they were out of work, even though not all of them are. 

The healthcare situation for YRCW employees is just one manifestation of the fiscal problems at the less-than-truckload (LTL) carrier, a slide that has taken the company’s stock price down to $1.40 from a 52-week high of just under $5.

On May 8, TeamCare, an operating unit of the Teamsters-affiliated Central States Health Fund,...

https://s29755.pcdn.co/news/yrcw-teamsters-members-still-getting-benefits-in-8-week-extension

Over the hedge: Ups & downs in logistics as in marriage – APMM, Hapag, WTC, Danaos et al

In business and investing like in marriage, there are times when you just do things that are completely detached from rational and objective planning, let alone behaviour.
The involvement of human beings makes it more difficult to maintain mutual respect than if you are just looking at a pretty dry – for some – index or a chart.
And I’d love to tell you that I wholeheartedly believe that the emotional cycle of …

The post Over the hedge: Ups & downs in logistics as in marriage – APMM, Hapag, WTC,...

https://theloadstar.com/over-the-hedge-ups-downs-in-logistics-as-in-marriage-apmm-hapag-wtc-danaos-et-al/

Speculation on YRC’s survival ramps up

YRC double on road

One sell-side analyst has thrown in the towel on YRC Worldwide (NASDAQ: YRCW).

Following a mixed bag first quarter 2020, in which the carrier reported better-than-expected results, announced it was unlikely to meet future financial covenants and opted out of taking questions from analysts on its earnings call, Stifel Financial (NYSE: SF) equity research analyst David Ross has tapped out.

In a Tuesday report to clients, Ross announced that he has suspended his rating and estimates for the...

https://s29755.pcdn.co/news/speculation-on-yrcs-survival-ramps-up

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