Friday, January 19, 2018

YRC lays off 200 in midst of restructuring


Tuesday, March 2, 2010
According to Reuters, experts are worried that the job cuts, together with voluntary employee departures, might leave the YRC in the lurch though YRC chief Bill Zollars says the company is more stable, now.
According to Reuters, experts are worried that the job cuts, together with voluntary employee departures, might leave the YRC in the lurch though YRC chief Bill Zollars says the company is more stable, now.

YRC has laid off at least 200 people in February from its Overland Park headquarters location and a campus in Akron, Ohio, Reuters news service reported.

More than 4,500 employees were fired last year as YRC battled to stay afloat and out of the bankruptcy undertow as customers lost confidence in the mega company.

According to Reuters, experts are worried that the job cuts, together with voluntary employee departures, might leave the YRC in the lurch.

The layoffs include 90 people, or about 25 percent, in YRC's information technology division, according to Reuters sources.

YRC stated in February that it was getting its financial balance and was moving on a $70 million private placement of unsecured notes after a $470 million debt-for-equity swap to keep credit open in December.

YRC Chairman Bill Zollars stated in February that customers were returning to YRC due to the company's improved financial stability, and the lion’s share of the employee cuts were over.

On February 23, YRC completed the sale of $49.8 million of its 6 percent convertible senior notes due 2014. YRC has been working to restructure for more than a year.

Analysts have predicted that YRC would continue to struggle.

"We believe YRCW will continue to struggle as tonnage levels are not substantially improving and the company continues to burn through cash," Hatfield's note said.

At mid-morning on Monday, YRC shares were off nearly 5 percent at 44 cents.

Kevin Jones of The Trucker staff may be reached to comment at kevinj@thetrucker.com.

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