Freight Waves dated
A Delaware bankruptcy court provided some clarity late Friday regarding $6.5 billion in withdrawal liability claims against Yellow Corp [which filed for Chapter 11 bankruptcy protection on September 2nd]. The total amount the bankrupt less-than-truckload company will actually pay, however, remains to be decided. The mere fact that the estate will have to make good on some portion of the claims sent Yellow’s stock spiraling.
Shares of Yellow (OTC: YELLQ) fell 90% [bold added] on Friday to 50 cents per share as stockholders realized their bet that the company’s asset value would exceed amounts owed to creditors may not come to fruition.
MFN Partners, which acquired a more than 40% equity stake in Yellow in the day’s leading up to a bankruptcy filing last summer, is the largest holder. However, the Boston-based private equity firm provided the company with bankruptcy financing during its liquidation, the interest and fees from which have helped offset its equity exposure.
The U.S. Treasury holds a 30% stake in Yellow. [bold added] The equity was issued as part of a collateral package for a $700 million Covid-relief loan it provided to the company in 2020. More
Waaaay off topic: Does anyone else read the “It Ain’t Holy Water” blog? I went to look at today’s and says it has been removed… Hope it isn’t permanent.
‘Trucking giant Yellow paid execs $4.6M after bankruptcy left 30K jobless’
Yellow Corp. coughed up $4.6 million in bonuses to its top executives for failing to skirt around a sudden Chapter 11 filing, a person familiar with the bankruptcy — which left the trucking giant’s 30,000 employees out of work — told Fortune show.
https://nypost.com/2023/09/15/yellow-paid-execs-4-6m-after-bankruptcy-left-30k-jobless/
many such cases
All Yellow’s trucks are orange colored. A company that dumb deserves bankruptcy.
“Multiemployer pension plans (MEPPs), received more than $40 billion in assistance from the government.”
The bankers, board, and share holders win, we loose.
Sounds like something Mitt Romney, and Bain, would be involved in!
Man Without a Plan
I usually stopped into “It Ain’t Holy Water” in the mornings.
Nothing there, nothing mentioned in other blogs (so far).
“It Ain’t Holy Water”
Irish stated it was taken down…
Silence another conservative voice.
From Chiefnosewetter…. Itain’tholywater Nuked by the overlords…
My blog was deleted by Google.
It had to end some day.
Little old me violating community guidelines.
Stay well,
The Chief Nose Wetter
It’s almost unbelievable how outsiders have used their money, (and ours), to put this country into a tailspin.
If they are not stopped, I hope I get an opportunity to take some of those Satanic, liberal, commie bastards with me.
“Sounds like something Mitt Romney, and Bain, would be involved in!”
You can bet that some pols ARE involved in it somewhere.
Why would a trucking company get a $700 million “CoVid relief loan?”
Pure, unadulterated plunder – follow the money – and who approved this bullshit “loan.”
mortem tyrannis
izlamo delenda est …
Meanwhile, the Yellow CEO took his golden parachute and landed on another lucrative job. WTF?
https://www.freightwaves.com/news/former-yellow-chief-lands-at-chassis-co-op