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YRC to Apply for Bailout Funds, Journal Says
Less-than-truckload carrier YRC Worldwide plans to ask for $1 billion in federal bailout money to help relieve its pension obligations, the Wall Street Journal reported Friday.
The move comes as the company is struggling to shore up its finances, and Chief Executive Officer William Zollars said YRC will seek the money to help cover the cost of its estimated $2 billion pension obligation over the next four years, the paper reported.
By applying to the for money under the federal Troubled Asset Relief Program, Zollars said he hopes to “get the conversation started” with federal officials about reducing YRC’s pension obligations, the Journal said, and YRC could submit an application to the Treasury Department as early as Friday.
YRC Worldwide is ranked No. 4 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.