Comftblynumb
TB Lurker
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I was listening to the webcast of the meeting YRC had with analysts and some "flagship" customers yesterday and today. It was painfully long to listen to yesterdays as the sound was bad. I also missed most of todays and will have to listen to it when it is posted as an archive. If you don't want to listen to the whole thing, on YRC's site, if you click on the SEC filing it will bring up the slides they used in conjunction with yesterday's presentation. I have a feeling I missed the more informative part in todays webcast as at the end, Bill Z sounded pretty run down and they were answering some hard question explaining why they needed USF in the model for logistics. But they said some things that were interesting.
1. They briefly appologized for the interuptions in service caused by the intergration. They said that freight levels are down by 29% and that a break down of that is about 14% in freight diversion due to intergration and financial concerns. The rest they attribute to the decline they have seen due to the bad economy, a steady 15% from past quarters. That 29%, should it come back, would bring alot of you guys back from layoff. Lets hope the 14% comes back fast followed by an economic turn around.
2. Bad debt. It never occured to me that YRCW is having troubles getting people to pay thier bills. Strange too as companies are no different than we are. When times are tough, it isn't easy to pay sometimes. With some of thier customers in trouble due to the economy, they have some money outstanding. They lumped this figure in with workers comp. Apparently they are going from self insured to a priemium policy. I heard that comp cases went up dramatically just before the merger. Don't have an opinion on that either way. Just be dealing with a 3rd party if you go out on comp.
3. They kept mentioning that they will make better utilization of the utility employee. That makes me nervous as it sound like a COO to me. That is just speculation on my part and should be disregaurded.
4. They said that despite what is being put out there on the street by compeditors, yield for the new national is up steadily. That was probably the biggest reason for this junket, to sift out the rumors from the truth. Alot of negative press out there and they insist that we aren't going anywhere and its high time WE believe that as well and stop helping the competition along by being negative.
5. Some of the analysts were asking about the long term inteligence of the sale of property into lease backs. Hard to deny that it is a short term solution. That was skirted with marginal success and am willing to bet I missed more on that in todays webcast.
Positive feel overall gentlemen. Pray for an economic turn around and stop putting needles in your Bill Z voodoo doll. Hang in there.
1. They briefly appologized for the interuptions in service caused by the intergration. They said that freight levels are down by 29% and that a break down of that is about 14% in freight diversion due to intergration and financial concerns. The rest they attribute to the decline they have seen due to the bad economy, a steady 15% from past quarters. That 29%, should it come back, would bring alot of you guys back from layoff. Lets hope the 14% comes back fast followed by an economic turn around.
2. Bad debt. It never occured to me that YRCW is having troubles getting people to pay thier bills. Strange too as companies are no different than we are. When times are tough, it isn't easy to pay sometimes. With some of thier customers in trouble due to the economy, they have some money outstanding. They lumped this figure in with workers comp. Apparently they are going from self insured to a priemium policy. I heard that comp cases went up dramatically just before the merger. Don't have an opinion on that either way. Just be dealing with a 3rd party if you go out on comp.
3. They kept mentioning that they will make better utilization of the utility employee. That makes me nervous as it sound like a COO to me. That is just speculation on my part and should be disregaurded.
4. They said that despite what is being put out there on the street by compeditors, yield for the new national is up steadily. That was probably the biggest reason for this junket, to sift out the rumors from the truth. Alot of negative press out there and they insist that we aren't going anywhere and its high time WE believe that as well and stop helping the competition along by being negative.
5. Some of the analysts were asking about the long term inteligence of the sale of property into lease backs. Hard to deny that it is a short term solution. That was skirted with marginal success and am willing to bet I missed more on that in todays webcast.
Positive feel overall gentlemen. Pray for an economic turn around and stop putting needles in your Bill Z voodoo doll. Hang in there.