Saturday, November 28, 2009

Chicago Locals To Be Placed Under NMFA

On November 24, 2009, the General Executive Board, after extensive discussion, exercised its authority under the International Union Constitution and passed a resolution which terminates the exceptions or policies that granted Local Unions in the Chicago and vicinity the right to negotiate “white paper” bargaining agreements, rather than participate in national bargaining in the freight industry.

Members covered by white paper contracts will not lose any existing working conditions contained in their contracts that are superior to those in the National Master Freight Agreement and its Supplements. Full Story.....

Thursday, November 26, 2009

Analysts: $34M logistics sale too small to relieve YRC woes

When Kansas-based trucking giant YRC Worldwide Inc. -- owner of two Central Pennsylvania-based firms -- sold a slice of its YRC Logistics business for $34 million, it barely changed the company's precarious financial position, analysts today told the Business Journal.

"The sale of one piece of a business unit for $34 million is news, but it's not going to make or break the company," said Jason Seidl, an analyst for investment firm Dahlman Rose & Co. based in New York.

YRC yesterday sold its dedicated contract transportation business to Greatwide Logistics Services with headquarters in Dallas. Dedicated transportation provides trucking to large companies. Greatwide, which has its Pennsylvania terminal on Industrial Road in Harrisburg, provides trucking for companies including Target, Coca-Cola, Adidas and Walmart. Full Story......

Tuesday, November 24, 2009

YRC Worldwide sells piece of logistics unit for $34M

YRC Worldwide Inc. has sold part of its logistics unit for $34 million, which will help pay down YRC’s credit line.

The Overland Park-based trucking giant said in a Tuesday release that it had sold YRC Logistics’ dedicated contract carriage business, including customer contracts and the trucks and trailers associated with it, to Dallas-based Greatwide Logistics Services LLC. The deal affects about 600 employees, nearly all of whom Greatwide expects to absorb, CEO Raymond Greer said in an e-mail. The deal closed on Monday. Full Story...

Trucking index dips in October

The trucking industry didn’t get any help from the economy in October, though freight tonnages are starting to look more favorable compared with last year, according to the most recent report from the American Trucking Associations.

The trade group said in a Monday release that its seasonally adjusted for-hire truck tonnage index dipped 0.2 percent in October, on the heels of a 0.3 percent drop in September. The industry has been weighed down by a drawn-out freight recession that’s taken a toll on carriers such as trucking giant YRC Worldwide Inc. (Nasdaq: YRCW), based in Overland Park. The company has negotiated with union workers, pension funds and lenders to avoid bankruptcy.

Compared with October 2008, the index dropped 5.2 percent, though that was the best year-to-year comparison since November 2008. In September, the index was 7.3 percent below prior-year levels.

The figures mean the economy still is righting itself, though it’s in better shape than a year ago and should show a trend of modest improvement, ATA Chief Economist Bob Costello said in a release.

“Repeating what I said last month, the trucking industry should not be alarmed by the small decreases in September and October,” Costello said. “The economy is behaving as expected, with starts and stops. This is being reflected in truck tonnage, as well as most economic indicators.”