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Dive Brief:
- Yellow Corp.’s competitors agreed to spend $82.9 million on the leases of another 23 properties in a follow-up round of bidding, the company said in bankruptcy court filings Wednesday.
- Estes Express Lines and FedEx Freight spent the most, with Estes putting down $35.3 million and FedEx bidding $22.5 million. But Saia is poised to walk away with the most properties, nearly a dozen.
- Yellow sold 128 properties and two leases in an initial round of bidding that began in late November. More than 100 other owned and leased properties have not yet been auctioned, according to another filing.
Yellow property lease bids
Dive Insight:
Carriers XPO, Estes, Saia and Knight-Swift previously picked up over a dozen Yellow properties each, receiving court approval this month.
But the leases acquired in this round are poised to further expand LTL providers’ networks, especially in the northwestern U.S. and Midwest.
For Saia, these leased terminals are spread across Montana, Wyoming, the Dakotas, Utah, Nevada and California.
Meanwhile, in FedEx Freight’s only pickup in the auction so far, the company’s LTL arm spent the entire $22.5 million on a single terminal in Sparks, Nevada.
The latest bids bring the total amount offered for Yellow’s property to $1.96 billion, more than enough to repay the carrier’s more than $1 billion in debt.
