Freightmaster1
TB Legend
- Credits
- 603
https://www.freightwaves.com/news/y...its-national-holds-own-while-regionals-suffer
YRC’s regional business goes ugly in quarter: Operating ratio spikes hard in across-the-board weakness
Long-haul unit holds own in weak macro climate
"On the analyst call following the release of the results, YRC executives tried to frame the regionals’ poor results as situational and transitory. Besides suffering from the weak macro trends impacting all LTL carriers, very weak Midwest traffic, lower auto sales, and the impact of the United Auto Workers’ strike against General Motors Corp., (NYSE:GM), all conspired to undermine results, particularly at Holland, the company’s Midwest regional operation, according to executives.
The regional units have also not been able to adequately leverage the operating efficiencies built into the five-year collective bargaining agreement reached earlier this year with the Teamsters union, whereas the long-haul unit has, Darren Hawkins, YRC’s CEO, said on the company’s call with analysts. Hawkins said the benefits of the contract language for regionals was predicated on a top-line growth environment which has yet to materialize."
YRC’s regional business goes ugly in quarter: Operating ratio spikes hard in across-the-board weakness
Long-haul unit holds own in weak macro climate
"On the analyst call following the release of the results, YRC executives tried to frame the regionals’ poor results as situational and transitory. Besides suffering from the weak macro trends impacting all LTL carriers, very weak Midwest traffic, lower auto sales, and the impact of the United Auto Workers’ strike against General Motors Corp., (NYSE:GM), all conspired to undermine results, particularly at Holland, the company’s Midwest regional operation, according to executives.
The regional units have also not been able to adequately leverage the operating efficiencies built into the five-year collective bargaining agreement reached earlier this year with the Teamsters union, whereas the long-haul unit has, Darren Hawkins, YRC’s CEO, said on the company’s call with analysts. Hawkins said the benefits of the contract language for regionals was predicated on a top-line growth environment which has yet to materialize."
