Trucking news and briefs for Thursday, July 2, 2020:
YRC to receive $700 million coronavirus bailout from government
YRC Worldwide announced Wednesday that the U.S. Treasury Department intends to loan the fleet $700 million as part of the CARES Act for COVID-19 pandemic assistance. That comes in exchange for nearly 30% ownership stake of YRC by the U.S. government. YRC has been plagued with debt and profitability issues since the recession in 2008-2009.
The fleet says it and its companies Holland, New Penn, Reddaway and YRC Freight “have been significantly impacted by the COVID-19 pandemic.” YRCW plans to use the CARES Act loan to pay for deferred employee healthcare and pension costs and other contractual obligations, as well as to support capital investments.
The Treasury Department will receive 29.6% fully diluted equity ownership in YRCW for the loan. The company will receive the $700 million in two portions:
Convoy, KeepTruckin partner for increased shipment visibility
Digital freight brokerage Convoy and ELD maker KeepTruckin announced a partnership that will integrate KeepTruckin’s location data into Convoy’s system for en-route shipments for increased shipment visibility.
“Carriers will have total control and must consent for their data to be shared between the two companies,” a press release announcing the partnership says.
Convoy users already must use the Convoy mobile app to share their location when on a load for Convoy, but if the driver’s phone battery dies or if they lose cell reception, GPS is unable to send precise location information to Convoy, requiring check-ins with the carrier to confirm the estimated arrival time.
