Attorneys for bankrupt Yellow Corp. said on December 6 it rejected an offer to revive the company and rehire thousands of its former workers. The Wall Street Journal reports that the rejection means the prospect of bringing the failed trucker back from the ashes is effectively over, and underscores the difficulty of trying to build what would essentially be a new less-than-truckload operation in the U.S., even with Yellow’s extensive assets.
The lawyers wrote to the group seeking to resurrect the company shortly after an auction in bankruptcy court raised nearly $1.9 billion for a swath of terminals around the country.
A dozen of the company’s rivals have scooped up many of the most prized facilities, with XPO alone putting $870 million on the table for 28 sites. Three others are spending more than $200 million, and truckload carrier Knight-Swift Transportation is putting out $51.3 million to expand its growing LTL business.
