YRC Worldwide posts $158.7 million loss for 3rd quarter
YRC, based in Overland Park, Kan., lost $158.7 million, or $2.67 per share compared with a loss of $720.9 million, or $12.58 per share, a year ago. The prior-year period included sizable one-time costs related to the falling value of the company's assets.
By SAMANTHA BOMKAMP
The Associated Press
10/30/2009
NEW YORK — YRC Worldwide said Friday it lost money in the third quarter, but the financially fragile trucking company is still working with lenders to stay out of bankruptcy.
The company said it is currently in discussions with some bondholders that would allow the company to access more cash.
YRC, based in Overland Park, Kan., lost $158.7 million, or $2.67 per share compared with a loss of $720.9 million, or $12.58 per share, a year ago. The prior-year period included sizable one-time costs related to the falling value of the company's assets.
Revenue sank 45 percent to $1.31 billion as shipments plunged across the company's network. At the company's national transportation unit, shipments were down about 40 percent per day in the third-quarter.
A Chapter 11 filing for YRC has been rumored for months as it struggles to integrate two of its units and suffers through a dramatic falloff in freight demand due to the recession.
CEO Bill Zollars said earlier this month he believes the company should have "a long-term solution with its lenders in the very near term." YRC has been given about a dozen reprieves from its creditors on certain financial benchmarks that have allowed it to stay in business.
As of Sept. 30, the company had about $1.69 billion in liabilities, but only about one billion in assets.
YRC shares fell about 5 percent in premarket trading, to $3.86.
Kevin Jones of The Trucker staff can be contacted to comment on this article at kevinj@thetrucker.com.
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