[Stay on top of transportation news: Get TTNews in your inbox.]
Less-than-truckload carrier Yellow Corp. announced leadership changes April 13.
Darrel Harris has been named president just six months after joining the Overland Park, Kan., company as executive vice president of strategic initiatives.
Officials say Harris has been charged with not only instituting a companywide transformation to modernize the way freight is delivered, but also to expand and enhance the services available to Yellow’s 200,000 customers.
“Darrel is well-positioned to help drive Yellow toward a vibrant future. He brings innovative, exciting ideas and leadership to his new role,” CEO Darren Hawkins said. “He started his trucking career working the docks, and few are better positioned to understand this industry than those who have worked at all levels. I’m proud to see him in this expanded role.”
Harris, 46, has been in trucking for 25 years. Before joining Yellow, he was CEO of Xpress Global Systems in Chattanooga, Tenn., and he was in sales and operations in the LTL sector, including FedEx Freight.
Harris will assume some of the responsibilities of former Chief Operating Officer T.J. O’Connor, who recently announced his retirement, and former Chief Network Officer Scott Ware, who left the company.
“I would like to thank T.J. and Scott for their many years of dedicated service to the company,” Hawkins said. “Each worked tirelessly on behalf of Yellow. We are grateful for their leadership, and we wish them the best.”
There may be an industry-wide driver shortage, but we’re responding to it in our own entrepreneurial way. Darren Hawkins reveals how: pic.twitter.com/nxQdvq08Wz— Yellow (@Yellow_Trucking) April 8, 2021
Yellow, which dates to 1906, is reinventing itself and in the midst of a financial and business turnaround. In February, Yellow announced plans to hire 1,500 new drivers and train them at several company locations nationwide.
“We are growing our own CDL drivers,” Hawkins said. “2021 is going to be a growth year for us.”
Yellow also is upgrading its fleet. The company announced during its fourth-quarter earnings call Feb. 4 that it purchased 300 new tractors and 1,200 trailers last year. In the first quarter of this year, it planned to buy 1,110 tractors, 1,900 trailers, and 250 containers.
Yellow is funding these acquisitions with $700 million in loans it received in 2020 from the CARES Act, a stimulus program to shore up what the government considered essential businesses. Yellow provides freight services for the military. As part of the agreement with the U.S. Treasury, the government gained a nearly 30% equity stake in the company.
Previously known as YRC Worldwide, Yellow introduced its new name Feb. 4. It began trading on the Nasdaq exchange Feb. 8 using the symbol YELL. The company’s LTL brands include Holland, New Penn, Reddaway and YRC Freight. It also has HNRY Logistics.
In the fourth quarter of 2020, Yellow reported that its financial losses increased somewhat, even as its full-year financial picture improved.
For the quarter, Yellow reported a loss of $18.7 million, or minus 37 cents a share, compared with a loss of $15.3 million, minus 46 cents, in 2019. The company’s Q4 revenue inched up to $1.164 billion from $1.159 billion a year earlier. For the full year, Yellow’s net loss narrowed to $53.5 million, minus $1.28, compared with a loss of $104 million, minus $3.13, in 2019. The company’s previous-year results included an $11.2 million loss on what it said was the extinguishment of debt associated with the refinancing of the company’s term loan agreement.
Full-year revenue fell 7.3% last year to $4.51 billion compared with $4.87 billion in 2019. Full-year operating revenue was $4.514 billion, and operating income was $56.5 million, which included a $45.3 million net gain on property disposals. This compares with full-year 2019 operating revenue of $4.871 billion and operating income of $16.2 million, which included a $13.7 million net gain on property disposals and $8.2 million for a non-cash impairment charge related to the write-down of an intangible asset. Yellow is expected to announce 2021 first-quarter earnings in early-to-mid May.
Yellow ranks No. 6 on the Transport Topics Top 100 list of the largest for-hire carriers in North America.
Want more news? Listen to today's daily briefing below or go here for more info: