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Reddaway | Black Friday Is Here

YRC to close nearly 30 regional service centers to cut costs
YRC Worldwide today announced the reorganization of its regional operations saying its USF Holland operation would close six service centers and its USF Reddaway will close 21.

The closings are expected to occur Feb. 22.

The trucking company said the closures make up a “significant component of the previously announced $50 million profit improvement plan for YRC Regional Transportation.” It said it expected to take about $10 million in charges in the current quarter to cover costs of shutting down the operations, half for lease terminations and half for severance.

The company did not say how many employees would be affected.

Shares of the company were trading around $17.56, up 10 cents shortly after the annouoncemnt.

The six USF Holland centers are in Albany, Ga.; Jackson, Miss.; Lumberton, N.C.; Little Rock, Ark.; Mobile, Ala. and Metter, Ga. The 21 USF Reddaway centers are in Louisiana, New Mexico, Oklahoma and Texas. YRC said it would serve these states through its other carriers.

The news comes 12 days after the company reported a fourth-quarter net loss of $735.77 million, or $12.99 a share. That compared with earnings of $46.46 million, or 80 cents a share, during the same period in 2006.

When it reported earnings Jan. 28, Chief Executive Bill Zollars had said the company was working on a reorganization of its regional operations.
 
how many terminals does this leave. i feel for the guys closing having gone thru this 3 times. now working at a holland ex redstar will proubly be next?
 
Fthemwithasmile said:
Where did you hear this??? Rumor mill??? Are you a Reddaway Line driver??? If so, many of you start rumors that have no truth to them and everyone gets all up in arms about it. If this is not rumor then I apologize but I get sick of hearing the Reddaway line drivers complaining about things that never happen. It is old!!! Can you show us where this information you heard about is coming from?
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I wished that I had gotten home to reply to this before the big events of today, but today's activities strengthen my argument even more.
If you've noticed, the really good stuff hasn't even started until about 2 weeks ago. But it's real easy to point fingers and poo-poo events that haven't happened yet, when you're the one that sits on the outside of the circle of affected workers.
Maybe if you weren't so secretive, and let us know what was going on, we wouldn't have to make up our fantasy stories that aggravate you so much. Mr. F, my information comes from the workers who started at the bottom as a Red Star employee. And then got their vacation taken away and got knocked back as a Holland employee. And now will get knocked back yet again after today. Those dedicated Teamsters, who have every right to be jaded and cynical, should know a pattern of mistreatment, and what is to come, before anyone else does.
 
Unfortunately we knew it was coming, just didn't know how bad it would be. I never liked the idea of YRC buying USF but here we are. I hope it gets better. This is not looking good. I heard the same 21 terminals.
 
Only two terminals of the 21 that will be closing in the Reddaway system meet the requirements of the W.A.R.N. Act (50+ employees), that is Dallas & Houston. Those employees will all receive 60 days of pay per the WARN Act. The employees at all of the other terminals are out of luck. The employees really don't have any other rights other than receiving any unused vacation/sick pay. If they were to be rehired at another terminal, let's say in California, they would go to the bottom of the board. Unfortunately, with the closing of these terminals and the substantial loss of freight throughout the system, the need for help at other terminals will be significantly diminished.
 
Correct me if I am wrong, but I've been through two company closings. I have never worked at a terminal with over 20 employees.
WE recieved WARN act payments both times.
It is my understanding that WARN act will not be in effect due to the fact that the co. is not closing down it's entire operation,only a portion.
 
Yes Its True, We Are Gone In Texas. Cougar You Are Right. They Knew This For A While. Played Everybody For A Long Time. Oh Well We Know Now I Guess. Better Days Are Ahead.
 
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