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Yellow | Yellow Corp financial woes not economy-wide issue -White House adviser

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TC1 said:
Not a Biden fan but he summed it pretty well.
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Except he either does not Understand or doesn’t say that there is no denying this will cause price increases in shipping that will trickle down to what you pay for goods and have an affect on inflation.

Which is what every analyst is saying.

Every trucking company that has spoke on this has said they will only handle Yellow freight at increased rates.
 
Keepingon said:
Except he either does not Understand or doesn’t say that there is no denying this will cause price increases in shipping that will trickle down to what you pay for goods and have an affect on inflation.

Which is what every analyst is saying.

Every trucking company that has spoke on this has said they will only handle Yellow freight at increased rates.
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Yep, say good bye to cheap freight.
 
Keepingon said:
Except he either does not Understand or doesn’t say that there is no denying this will cause price increases in shipping that will trickle down to what you pay for goods and have an affect on inflation.

Which is what every analyst is saying.

Every trucking company that has spoke on this has said they will only handle Yellow freight at increased rates.
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Seems ABF got the Walmart account nationwide as of last week. Not sure what they were paying Yellow but ABF is never cheap. Not sure we will hold onto it..
 
slavenomore said:
finance.yahoo.com

Yellow Corp financial woes not economy-wide issue -White House adviser

White House economic adviser Jared Bernstein on Monday said the reported impending bankruptcy of cash-strapped U.S. trucking company Yellow Corp does not indicate an economy-wide problem. The company, through a string of mergers, appeared to take on more debt than it could handle, Jared...
finance.yahoo.com finance.yahoo.com
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Well, duh.
Did anyone think Yellow folding was anything more than a ripple, if that?
 
Off topic I'm sure but I'm gonna say it. This is a bad day for every LTL city guy and line driver currently working. And really it matters not who they are working for. With the biggest union carrier going out, the non union carriers now hold ALL the cards. DFCs are going to be the least of driver's issues in the future. Unless the teamsters with all this new juice go after a major carrier, AND Amazon, future looks not so good.
 
Keepingon said:
Except he either does not Understand or doesn’t say that there is no denying this will cause price increases in shipping that will trickle down to what you pay for goods and have an affect on inflation.

Which is what every analyst is saying.

Every trucking company that has spoke on this has said they will only handle Yellow freight at increased rates.
Click to expand...
I'm sure, in the short term, prices will increase. But overall, everyone priced higher than Yellow has been able to argue that their "service" supported the increased cost. Now, if there is no bottom-barrel pricing, the current LTL carriers won't be able to argue "service" and there will be more competitive pricing and (perhaps) the price would drop down. Not as low as Yellow, but down from current as they want to grow market share.
 
TruckMoney said:
I'm sure, in the short term, prices will increase. But overall, everyone priced higher than Yellow has been able to argue that their "service" supported the increased cost. Now, if there is no bottom-barrel pricing, the current LTL carriers won't be able to argue "service" and there will be more competitive pricing and (perhaps) the price would drop down. Not as low as Yellow, but down from current as they want to grow market share.
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Exactly, that's how a market based free market economy works. Government should never interfere in the market.
 
Too much debt killed them. The 2nd quarter was soft in the economy. SAIA reported revenue was down 6% and fuel surcharges were down 30%. Still pulled and 82 OR. The big difference is they have $200+ million cash on hand and under $25 million in debt.

Yellow made some great moves in the early 2000’s when no one saw the crash of ‘08 coming. Had the economy kept rolling they would be a dominate force today instead of shutting down.
 
Rambler#02 said:
Too much debt killed them. The 2nd quarter was soft in the economy. SAIA reported revenue was down 6% and fuel surcharges were down 30%. Still pulled and 82 OR. The big difference is they have $200+ million cash on hand and under $25 million in debt.

Yellow made some great moves in the early 2000’s when no one saw the crash of ‘08 coming. Had the economy kept rolling they would be a dominate force today instead of shutting down.
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I would agree on the moves, but the price paid was too high.
 
FatChance said:
Yep just a 22,000 family ripple, I'm sure pervert Joe or any of the top scum in this country will hardly feel a thing. Just 22,000 working class families. And we know how much the gvt thinks of them.
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Are you saying taxpayers should have ponied up even more cash to keep yellow afloat?
 
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