YRC closes logistics unit sale, forms partnership

NEW YORK

YRC Worldwide Inc. said Monday it completed the $38.7 million sale of its logistics unit, the latest step in the beleaguered trucking company's turnaround effort.

YRC, one of the country's largest trucking companies, received $33.6 million at the initial closing, with the remaining placed in escrow. The company said it will keep its two China-based joint ventures, and will continue to offer logistics services through a strategic partnership with Austin Ventures.

YRC's business is starting to show signs of improvement after a year in which it was believed to be teetering toward bankruptcy protection. When demand was at its worst, YRC sold real estate and asked employees to take massive pay cuts to keep the company out of Chapter 11.

Shares rose a penny to 30 cents in morning trading.