Thursday, May 14, 2009

Jaw Dropper

I don't know why I am suprised but somehow I am. According to the WSJ YRC Worldwide (one of the biggest trucking companies in the nation) is going to apply for federal bailout money. WHEN DOES THIS STOP??????????? My guess is they will get rebuffed but who knows. Can't rule anything out these days. I thought this stuff was only going to be for bank holding companies. GOOD GRIEF.

YRC Worldwide Inc., one of the nation's largest trucking companies, will seek $1 billion in federal bailout money to help relieve pension obligations, the chief executive said Thursday.

The move comes as the trucking giant struggles to shore up its finances. The company's ability to weather the recession will have significant implications for the trucking industry and large customers across the country.


By applying to the U.S. Treasury for money under the Troubled Asset Relief Program, Mr. Zollars said he hopes to "get the conversation started" with federal authorities about reducing the company's pension obligations. He said YRC will submit an application to the Treasury Department as early as Friday.

Experts say the company's odds of actually getting TARP money appear to be slim. A Treasury spokesman didn't return a call seeking comment.


Mrs. Watanabe said...

Sounds retarded. YRC is not a bank (as far as I can tell).

Non-banks should rape the taxpayer by using TALF. So, you know, they need to securitize some worthless, I mean, AAA-rated trucking receivables and let FRBNY buy them.

Credit card loans, car loans, student loans, even motorcycle loans are in TALF. Unbelievable. Of all the programs, TALF bothers me the most.

Mrs. Watanabe said...

BTW, if you didn't recognize the sarcasm, Mrs. Watanabe = Mikey.

Market Seer said...

Lol - nice!!

Agree on TALF. It is the same policy that goes us into this mess. Nothing is allowed to fail. Everything is propped up. It is why capacity utilization is the lowest is has been since WWII. If nothing is allowed to fail you destroy one of the underpinnings of capitalism. Self regulation.