Yellow Corp sells additional properties for $83 million

Yellow

12/01/2024 22:56

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      Yellow previously sold most of its property for $1.88
billion
    

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      Yellow continues a separate sale of its trucks
    

  
    By Dietrich Knauth
       Jan 12 (Reuters) - A U.S. bankruptcy judge on Friday
approved Yellow Corp's $82.9 million sale of 23 leased shipping
centers to six other trucking companies, one month after the
majority of the company's real estate assets sold for $1.88
billion. 
    U.S. Bankruptcy Judge Craig Goldblatt in Wilmington,
Delaware, approved the sale in a written order on Friday, after
Yellow filed court papers indicating that no one had raised any
objections to the sale. 
    Rival trucking company Estes Express Lines was the largest
buyer in Yellow's latest asset sale, picking up five leased
properties for a price of $35.3 million, according to court
documents. Estes previously purchased 24 properties from Yellow
for $248 million, and it had offered $1.525 billion in an
unsuccessful effort to buy all of Yellow's real estate.
    Yellow chose to break up its business rather than keeping
the company intact for potential buyers. With most of its real
estate assets already sold, the company is focused on a separate
sale of its vehicle fleet. 
    Yellow, formerly known as YRC, filed for Chapter 11
bankruptcy protection in August, blaming a labor dispute with
the International Brotherhood of Teamsters union for its demise.
The union blamed "mismanagement" and called for bankruptcy
reforms that would protect workers "left behind" when big
businesses fail.
    Yellow shut down its operations and fired 30,000 workers,
including 22,000 union-represented employees, in the week before
its bankruptcy filing. Some workers have filed a class action
lawsuit over the company's alleged failure to provide sufficient
notice to fired workers.     
    The case is In re: Yellow Corp, U.S. Bankruptcy Court for
the District of Delaware, No. 23-11069.
For Yellow: Allyson Smith of Kirkland & Ellis; and Laura Davis
Jones of Pachulski Stang Ziehl & Jones

Read more:
 Bankrupt trucking co Yellow approved for $1.88 bln real estate
sale
US trucking firm Yellow files for bankruptcy, blasts Teamsters
    Trucking firm prepares long-shot bid for Yellow, seeks US
Treasury support
  
    

 (Reporting by Dietrich Knauth in New York)