I don't understand why a competitor would enter in a lease back. Why give them the capital to stay afloat? Do I not see the big picture.
I don't understand why a competitor would enter in a lease back. Why give them the capital to stay afloat? Do I not see the big picture.
OK,
you lost me??? What does your post mean?
ST
ya eastes has a real estate holdings div. they buy the terminals in ? and lease them back to yellow yellow now rights off terminal expense on tax while eastes rights off acquisition fess such as closing extras now if yellow goes out they own the property and can lease or move in no dealing with banks they own it win win for eastes if they have enough capitol to buy it and pay taxs on it a few years down the road they could if the need be sell itI understand the lease back idea. But why would a competitor give you the money. Wouldn't that be like Fedex buying UPS terminals then leasing it back to UPS.
I understand the lease back idea. But why would a competitor give you the money. Wouldn't that be like Fedex buying UPS terminals then leasing it back to UPS.
Because Estes is making money on the deal or feel they will make money in the future on the deal.
It is common practice in the ltl world , they have done this before if you read the article you will see .I don't understand why a competitor would enter in a lease back. Why give them the capital to stay afloat? Do I not see the big picture.
ya they are in bed with each otherIt is common practice in the ltl world , they have done this before if you read the article you will see .
Because Rob who owns estes sees it as an opportunity to have ready made terminals if and I mean IF YRC fails. Estes has outgrown some of the terminals that they are in already so he sees it as an opportunity to purchase bigger terminals rather than build. I personally think it is a real shady deal. Estes is so anti "u" that I cant help to think that he bought these terminals out of greed and possibly push the demize of YRC .. kind of sad if you ask me.
Because Rob who owns estes sees it as an opportunity to have ready made terminals if and I mean IF YRC fails. Estes has outgrown some of the terminals that they are in already so he sees it as an opportunity to purchase bigger terminals rather than build. I personally think it is a real shady deal. Estes is so anti "u" that I cant help to think that he bought these terminals out of greed and possibly push the demize of YRC .. kind of sad if you ask me.
My Teamsters pension was put in my own IRA .wonderring99 :smilie_132:
Maybe it is the other way around.
If Estes is so anti U like you claim, then it would make sense for Estes to help YRCW stay afloat a few more years. Because if and when YRCW shuts down the retirees will starve to death unless the U can take over Estes, ODFL, FXF etc. etc. to keep the pensions going.
mattjm :smilie_132:My Teamsters pension was put in my own IRA .
Their are more funds then the C S F.
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