Skip to content
Search AI Powered

Latest Stories

newsworthy

YRC gets financing to pay off debt

Deal clears way for carrier to remain financially and operationally viable throughout 2010.

YRC Worldwide Inc. said yesterday it has raised enough capital to pay off a $45 million unsecured loan by an April 15 deadline. The announcement removes one of the last short-term obstacles to the troubled less-than-truckload (LTL) carrier's remaining financially and operationally viable throughout 2010.

YRC said investors have agreed to buy $70 million of bonds in what is known as a "private placement." Providing the company meets certain conditions of December's successful debt-for-equity swap—where YRC's bondholders agreed to exchange $530 million in debt for 1 million newly issued equity shares—it will have an estimated $20 million in proceeds available for general corporate uses.


The financing agreement is negative news for YRC's competitors in that it reduces the chances of a tightening in LTL supply as a result of a possible bankruptcy.

However, one analyst, Satish Jindel, president of Pittsburgh-based SJ Consulting, said there is currently 31 percent overcapacity in the LTL marketplace, about double YRC's market share of roughly 15 percent. If Jindel's estimates are accurate, the market would still face a capacity glut even if YRC were to completely exit the market.

The Latest

More Stories

Logistics economy continues on solid footing
Logistics Managers' Index

Logistics economy continues on solid footing

Economic activity in the logistics industry expanded in November, continuing a steady growth pattern that began earlier this year and signaling a return to seasonality after several years of fluctuating conditions, according to the latest Logistics Managers’ Index report (LMI), released today.

The November LMI registered 58.4, down slightly from October’s reading of 58.9, which was the highest level in two years. The LMI is a monthly gauge of business conditions across warehousing and logistics markets; a reading above 50 indicates growth and a reading below 50 indicates contraction.

Keep ReadingShow less

Featured

iceberg drawing to illustrate supply chain threats

GEP: six factors could change calm to storm in 2025

The current year is ending on a calm note for the logistics sector, but 2025 is on pace to be an era of rapid transformation, due to six driving forces that will shape procurement and supply chains in coming months, according to a forecast from New Jersey-based supply chain software provider GEP.

"After several years of mitigating inflation, disruption, supply shocks, conflicts, and uncertainty, we are currently in a relative period of calm," John Paitek, vice president, GEP, said in a release. "But it is very much the calm before the coming storm. This report provides procurement and supply chain leaders with a prescriptive guide to weathering the gale force headwinds of protectionism, tariffs, trade wars, regulatory pressures, uncertainty, and the AI revolution that we will face in 2025."

Keep ReadingShow less
supply chain workers counting boxes in warehouse

US Bank tracks top three supply chain impacts for 2025

Freight transportation sector analysts with US Bank say they expect change on the horizon in that market for 2025, due to possible tariffs imposed by a new White House administration, the return of East and Gulf coast port strikes, and expanding freight fraud.

“All three of these merit scrutiny, and that is our promise as we roll into the new year,” the company said in a statement today.

Keep ReadingShow less
maersk dual fuel containership

Maersk orders 20 dual-fuel container vessels

The Danish ocean freight and logistics giant A.P. Moller – Maersk has signed agreements with three shipyards to build a total of 20 container vessels equipped with dual-fuel engines capable of running on either methanol or liquified natural gas.

The move delivers on its August announcement of a fleet renewal plan that will allow the company to proceed on its path to decarbonization, according to a statement from Anda Cristescu, Head of Chartering & Newbuilding at Maersk.

Keep ReadingShow less
chart of business concerns from descartes

Descartes: businesses say top concern is tariff hikes

Business leaders at companies of every size say that rising tariffs and trade barriers are the most significant global trade challenge facing logistics and supply chain leaders today, according to a survey from supply chain software provider Descartes.

Specifically, 48% of respondents identified rising tariffs and trade barriers as their top concern, followed by supply chain disruptions at 45% and geopolitical instability at 41%. Moreover, tariffs and trade barriers ranked as the priority issue regardless of company size, as respondents at companies with less than 250 employees, 251-500, 501-1,000, 1,001-50,000 and 50,000+ employees all cited it as the most significant issue they are currently facing.

Keep ReadingShow less