YRC Worldwide to Take 4Q Charge
YRC Worldwide said Wednesday it expects to incur a fourth-quarter charge of $700 million to $800 million before taxes, primarily related to its 2005 acquisition of USF Corp.
YRC said the charge is primarily from an impairment review of “goodwill and other intangible assets” related to the $1.37 billion purchase of USF.
The remainder is due to the anticipated reduction in the fair value of the trade names USF and Roadway, which YRC bought in 2003.
The charges will be about $650 million to $750 million after taxes, the company said in a statement.
“While we are clearly disappointed with this development, it does not change our belief in the future outlook for any of our companies, particularly YRC Regional Transportation,” said Bill Zollars, YRC’s chairman and chief executive officer.
YRC Worldwide is ranked No. 4 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.
