YRC Logistics lays off 50 in St. Louis, 150 in Edwardsville, Ill.

Discussion in 'YRC' started by Cybergal, Oct 13, 2008.

  1. Cybergal

    Cybergal Road Train Member

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    YRC Logistics lays off 50 in St. Louis, 150 in Edwardsville, Ill.
    10/13/08

    http://www.bizjournals.com/stlouis/stories/2008/10/13/daily16.html
     
  2. bloodlan

    bloodlan Bobtail Member

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    Aug 7, 2006
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    I do believe this is going to get much worse for the yrc corporation before it starts to climb back. In the last year yrc has lost a number of its top positions including the cfo, who I believe went to a competitor (conway). The stock has fallin to an all time low of 3.80 a share. This is extremely important to thier cash flow of improvements and equipment, which they will recieve non of. The reports of late have shown yrc is not commiting to their past statements and goals. There changing frantically to stay above water. Now they have started a first round of mass layoffs including one of thier supply chain units. Why yrc decided to dump money in china is another mystery that also needs high cash flow to organize into a competitor. Yrc is now "low balling" thier rates to get some tonnage into the empty trailers moving from east to west. I recently delivered a pallet weighing 800 pounds to an address in washington. The amount on the bill was for only 115.00 dollars. I questioned to amount since it had shipped from florida and traveled 300 miles. The central biller explained to me that we had honored yellows rate. The consignee was tired of thier freight being damaged and wanted to try another company. The price my company charged would have been 455.00 after a discount. He then replied to me that the charge was for 85.00 only and that we added the extra 30.00 for fuel surcharge. Why would yrc charge so little? If thier damaging the freight they would be losing a great deal of money as well. Seems like this was the demise of CF a few years ago. Bill is a good business man and im sure had well thought out plans but didn't equate the recession that hit us so hard. This is driving multiple nails into the yrc coffin. They are a big company and personally I think they will struggle threw this mess, but it will take some serious time. I do believe though that more mass layoffs will occur and that the stock price has yet to hit bottom. Thier credit is shot and they have some healthy loans to repay within a couple years that have high intrest rates. For what its worth to all Yrc employees, if your near the bottom of the senority board you might think seriously about moving yourself to one of the other companies that will be a strong contender through this mess. You'll be better in the long run.
     
    Last edited by a moderator: Oct 22, 2008
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