Mike
Well-Known Member
Trucking company YRC Worldwide Inc. said Friday it has reached definitive agreements with a majority of its lenders, pension funds and the Teamsters union on a restructuring plan.
More than 95 percent of the company's senior secured lenders, and all of the lenders under its asset-backed securitization facility, approved the plan. All of the company's pension funds and the union also signed off, YRC said.
YRC has teetered near bankruptcy after amassing huge debts and struggling with a downturn in the trucking industry during the recession.
The company cut wages, sold real estate and delayed debt payments to avoid bankruptcy and in February reached a restructuring deal with its creditors and the Teamsters union that would give lenders the bulk of new shares and convertible debt.
The restructuring plan anticipates the company would receive $100 million in new capital, as well a new asset-based loan facility.
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More than 95 percent of the company's senior secured lenders, and all of the lenders under its asset-backed securitization facility, approved the plan. All of the company's pension funds and the union also signed off, YRC said.
YRC has teetered near bankruptcy after amassing huge debts and struggling with a downturn in the trucking industry during the recession.
The company cut wages, sold real estate and delayed debt payments to avoid bankruptcy and in February reached a restructuring deal with its creditors and the Teamsters union that would give lenders the bulk of new shares and convertible debt.
The restructuring plan anticipates the company would receive $100 million in new capital, as well a new asset-based loan facility.
Full Story