Rocket homes sign up9/24/2023 On Thursday, Yellow said it was in talks with multiple parties about selling its third-party logistics organization.Įven if Yellow was able to sell its logistics firm, it would “not generate a sufficient amount of cash to keep them operational on any sort of permanent basis,” Chan said. “The likelihood of them surviving and remaining solvent diminishes really by the day,” added Bruce Chan, a research director at investment banking firm Stifel. With customers leaving - as well reports of Yellow stopping freight pickups last week - bankruptcy would “be the end of Yellow,” Jindel told The Associated Press, noting increased risk for liquidation. Last week, he estimated that number was down to between 10,000 and 15,000 daily shipments. In a statement, a company official said the Teamsters “refused to negotiate for nine months” and accused the union of trying to “destroy” Yellow.Īccording to Satish Jindel, president of transportation and logistics firm SJ Consulting, Yellow handled an average of 49,000 shipments per day in 2022. When reached by The Associated Press, Yellow did not comment directly to the bankruptcy reports, but addressed the negotiations. The bankruptcy reports have renewed attention around Yellow’s $700 million pandemic-era loan from the government, among other bills the trucker has racked up over time, and heated contract negotiations with unionized workers. The company’s reported closure puts 30,000 jobs at risk. Yellow, formerly known as YRC Worldwide Inc., is one of the nation’s largest less-than-truckload carriers, which move freight that doesn't require a full truck, allowing multiple shippers to share one. No bankruptcy filings had gone live as of Tuesday afternoon. “This is a sad day for workers and the American freight industry.” Yellow has historically proven that it could not manage itself despite billions of dollars in worker concessions and hundreds of millions in bailout funding from the federal government,” Teamsters general president Sean O’Brien said in a statement. “Today’s news is unfortunate but not surprising. In an announcement early Monday, the Teamsters said that the union received legal notice confirming Yellow was ceasing operations and filing for bankruptcy. Yellow shut down operations on Sunday, according to the Wall Street Journal, following the layoffs of hundreds of nonunion employees on Friday. has shut down operations and is headed for a bankruptcy filing, according to the Teamsters Union and multiple media reports.Īfter years of financial struggles, reports of Yellow preparing for bankruptcy emerged last week - as the Nashville, Tennessee-based trucker saw customers leave in large numbers. Use of Rocket Lawyer is subject to our Terms of Service and Privacy Policy.NEW YORK – Trucking company Yellow Corp. The Utah Supreme Court has authorized Rocket Lawyer to provide legal services, including the practice of law, as a nonlawyer-owned company further information regarding this authorization can be found in our Terms of Service. Please note that Rocket Lawyer is not a "lawyer referral service," "accountant referral service," accounting firm, or law firm, does not provide legal or tax advice or representation (except in certain jurisdictions), and is not intended as a substitute for an attorney, accountant, accounting firm, or law firm. Legal information and other services are delivered by or through Rocket Lawyer via. Rocket Lawyer has helped over 20 million businesses, families and individuals make legal documents, get attorney advice, and confidently protect their futures. Rocket Lawyer is an online legal technology company that makes the law simpler and more affordable for businesses, families and individuals.
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