YRC Worldwide shares surge more than 20 percent
03/18/2013 10:46 PM
05/16/2014 9:33 PM
Shares of YRC Worldwide Inc. surged Monday, climbing above $9 a share for the first time in a year, before trimming their gains.
The price jump followed steps the trucking giant took last week to consolidate its network of freight terminals.
Shares ended the day at $8.70, up $1.18 or 15.7 percent. YRC stock has gained nearly $3 a share since March 7.
On Friday, YRC Worldwide, which is based in Overland Park, filed federal notices of potential layoffs in St. Louis, Cincinnati and Hamilton, Ohio. The filings indicated job cutbacks could come in mid-May after company and union officials expect to meet over proposed changes in YRC’s network of terminals.
In St. Louis, the federal notice covers 491 employees, and in Ohio it covers 541.
The trucking company said that it submitted its proposed network changes to the Teamsters unions and that a hearing on the plan would take place next month.
YRC’s statement said the changes would reduce the number of freight handling and relay locations in its network in order to make its traffic denser.
“Better density means fewer empty miles and less emissions,” it said.
YRC officials on Monday declined to discuss the proposal or the layoff notice filings. The layoff notice means cuts are possible but doesn’t mean they will happen.