Yellow Truck Headed to Bankruptcy – Potential Flood of Trucks in the Secondary Market and Semi-Truck Appraisals
Yellow Truck Headed To Bankruptcy
Semi-Truck Appraisals are being affected. News has come out that the trucking company Yellow Corp (YRC) is headed to bankruptcy after mounting debt and a labor deal that has not been completed. Yellow Corp is one of the oldest and largest trucking companies in the country. Employing over 30,000 people and having a fleet that has 8,400 semi-trucks and over 34,000 trailers.
Massive Implications to the Secondary Market
With such a large fleet of over 8,400 semi-trucks and 34,000 trailers. The potential for a massive influx to the secondary market is a possibility. Yellow Corp’s debt will play a large role in how a potential liquidation may play out.
- Yellow Corp received large amounts of Federal Assistance to stay afloat over the past several years. The government takes possession of some of the fleet and sells via auction to attempt to recoup funds.
- Look for regional auctions to hold fleet auctions. Yellow Corp is based in Overland Park, Kansas, but has over 25 terminals across the country. Look for trucks stationed at terminals to potentially be liquated at auction houses near the terminals.
- With such a large employment base. The potential for further government bailouts is possible. But this would potentially involve a slim downed operation, with some of the fleet being auctioned off, but some capital equipment kept for the slimmed-down operations.
Semi-Truck Appraisals Affect
Truman Mox is following these developments. As one of the leaders in appraisals for the Trucking Industry and Semi-Truck Appraisals. We hold an interest to see how these developments affect the supply of a secondary market that has seen some large ups and downs in the past few years. Contact us for further details on the Semi-Truck secondary market.July 31, 2023 8:06 pm