Yellow (YELLQ) 8-K Regulation FD Disclosure

Bill Zollars

Chairman, President & CEO

Stephens’

Fall Investment Conference

Bill Zollars

Chairman, President & CEO

Stephens’

Fall Investment Conference

November 19, 2008

Exhibit 99.1

2

Brand Recognition

Brand Recognition

YRC

Worldwide

generates

more

than

$9

billion

of

revenue

through

global

transportation

services,

transportation

management

solutions,

and

logistics

management

under

a

portfolio

of

successful

brands.

3

YRC Worldwide Strategy

YRC Worldwide Strategy

One operating company with a combined

national network

Further opportunities for growth

Teamster collaboration

Competitive opportunity to leverage scale for

broader array of services

Accelerating Our National Integration

De-levering & Liquidity Initiatives

Early note redemptions

Sale-leaseback strategies for core operating

facilities

Cash proceeds from sales of excess facilities

Additional debt reduction opportunities

Strategic Global Growth

YRC Regional Network Optimization

Further network optimization

Continued focus on YRC Regional opportunities

to improve efficiencies

Additional phases planned at Holland to improve

growth and further efficiencies

Reddaway has made significant progress since

realigning its territory

One integrated global network

China is the world’s fastest growing

economy for three decades

Completed acquisition of Shanghai Jiayu

Logistics

Global shipment visibility via technology

solution

4

Accelerating Our Integration

Accelerating Our Integration

•

What does it mean?

Yellow

and

Roadway

networks

will

be

combined,

significantly

reducing

fixed

costs

and

enhancing

service

performance

Local

sales

teams

join

forces

to

sell

services

of

both

brands

•

Why now?

Economic

downturn

has

created

enough

capacity

in

the

networks

to

integrate

without

interrupting

our

customers’

supply

chains

Positive

customer

response

from

combined

corporate

sales

•

What

are

the

benefits?

Increased

network

scale

and

efficiencies

Improved

reliability,

enhanced

service

and

simplified

customer

experience

Projected

annual

operating

income

improvement

in

excess

of

$200

million

5

Integration Approach

Integration Approach

Planning Stage

Combined numerous

physical locations

Dedicated team

working on data

conversion for 2 years

Formed one National

leadership team

Pilot consolidations in

Canada

First Wave

Smaller end-of-line

facilities

Focus on P&D and

dock functions

Full process complete

within two weeks

Lower risk and smaller

portion of savings

Second Wave

Larger facilities &

distribution centers

Focus on P&D and

linehaul functions

Learning curve benefit

lowers risk

Larger portion of

expected savings

6

What Makes Our Integration Different?

What Makes Our Integration Different?

Combined back-offices, exchanged

technology & best practices

Immediately

combined

networks

and

migrated

technology

into

one

Previous LTL Integrations

Yellow + Roadway

Reduced

significant

headcount

&

encountered

union

resistance

Combined corporate sales team

Negotiated key labor flexibilities &

aligned National networks

Phased-in approach to integrate

operations and local sales teams

Teamster collaboration and

customer support

Created a common

management team

7

National Networks

National Networks

Yellow Terminals

Roadway Terminals

YRC Inc. Terminals

Yellow and Roadway

networks before integration

National network

after integration

8

Customer Support for Integration

Customer Support for Integration

•

Many

of

our

larger

customers

have

expressed

support

for

the

benefits

of

the

integration,

including

among

others:

Wal-Mart

Tomkins

Hallmark

Levitron

General Electric

L’Oreal

Siemens

Embarq

Wolseley-Ferguson

9

Integration Financial Targets

Integration Financial Targets

•

As

of

now,

we

have

over

60

consolidations

either

done

or

in

process

•

At

the

time

of

the

acquisition,

total

facilities

between

Yellow

and

Roadway

were

704. 

After

integration

and

upon

further

optimization,

we

expect

around

400

facilities.

•

Annual

cost

base

of

Yellow

and

Roadway

is

$6.5

billion;

$200

million

of

savings

is

3% 

Amounts are cumulative

4Q08

1Q09

2Q09

3Q09

4Q09

Consolidated Operations

80

120

150

330

450

Facilities Eliminated

(30)

(70)

(90)

(130)

(150)

*

Annual Run Rate Savings

(millions)

-

$    

10

$  

50

$  

120

$

200

$

* After initial integration is complete, we will continue to optimize the network and remove additional facilities.

10

Integration Example

Wichita, KS

Integration Example

Wichita, KS

KANSAS

KANSAS

Before Integration                         

(2 Facilities, 2 Operations)

After Integration                            

(1 Facility, 1 Operation)

Y

R

YRC

Kansas

City

Kansas

City

•

Current

labor

cost

opportunity

for

P&D,

dock

and

linehaul

is

around

$3

billion

annually

Linehaul

Linehaul

11

MISSOURI

Integration Example

Kansas City Metro

Integration Example

Kansas City Metro

KANSAS

Kansas

City

R

Y

YRC

Kansas

City

KANSAS

MISSOURI

YRC

Before Integration                         

(Large, overlapping coverage areas)

After Integration                 

(Condensed, strategic coverage areas)

12

Other Cost Savings Initiatives

Other Cost Savings Initiatives

•

$50

million

improvement

at

the

Regional

companies

3Q08

operating

income

improved

by

$23

million

compared

to

1Q08

When

accounting

for

contractual

rate

increases

of

$15

million

and

volume/yield

reductions

of

$12

million,

the

Regional

companies

improved

by

at

least

$50

million

•

$50

million

savings

in

the

remainder

of

the

organization

Well

exceeded

the

goal,

though

further

decline

in

the

economy

has

masked

the

significant

savings

Reduction

of

more

than

500

nonunion

positions

and

alignment

of

retirement

benefits

have

yielded

an

annual

run

rate

savings

of

more

than

$70

million

Reduced

nearly

$10

million

in

costs

related

to

marketing

sponsorships

and

other

employee

related

expenses

13

De-Levering Initiatives

De-Levering Initiatives

12/31/2005

12/31/2006

12/31/2007

9/30/2008

12/31/08E

•

Continual reduction in debt

•

Reduced

net

debt

by       

$95

million

since

year

end

•

Expect

at

least

an

additional

$100

million

in

fourth

quarter

•

Evaluating

other

opportunities

•

Sale/leaseback

packages

•

Debt-for-debt

exchanges

•

Debt-for-equity

exchanges

•

No

significant

debt

maturities

until

April

2010

$1.49

$1.28

$1.23

$1.18

<$1.08

Total debt

(in billions)

14

Leverage Ratio

Leverage Ratio

Leverage Ratio

4Q07

1Q08

2Q08

3Q08

2.50x

2.79x

2.99x

3.18x

Bank Limit

•

Bank

limit

drops

to

3.5x

as

of

December

31

and

we

expect

to

remain

within

that

limit

•

Non-cash

impairment

charges

are

excluded

from

EBITDA

and

do

not

impact

liquidity

a

Amortization

of

debt

issuance

costs,

imputed

interest

for

sale/leasebacks

and

4Q07

executive

stock

comp;

b

Unamortized

debt

premium

and

NPV

of

sale/leasebacks

3.75x

LTM as of

9/30/08

(in millions)

Book EBITDA*

(1,243.5)

$          

Adjustments:

Impairment

1,604.9

Reorganization**

20.0

Property gains

(16.3)

Other

7.5

a

Bank EBITDA

372.6

Total Book Debt

1,183.7

Adjustments

2.1

b

Bank Debt

1,185.8

$           

Bank Debt/Bank EBITDA

3.18

*Non-GAAP measure; refer to 8K filing for reconciliation

**maximum $20 million on a LTM basis

15

Summary

Summary

•

Despite

the

downturn

in

the

economy,

YRC

has

unique

levers

to

enhance

its

market

position

and

improve

its

financial

condition

•

National

integration

is

underway

and

proceeding

very

well

We

continually

evaluate

the

timeline

and

accelerate

where

it

makes

sense

Customer

response

has

been

very

favorable

Teamster

collaboration

has

been

unprecedented

•

Balance

sheet

remains

solid

and

opportunities

exist

to

improve

Significant

debt

reduction

Remain

in

compliance

with

bank

covenants

Future

capital

expenditure

requirements

much

lower

due

to

National

integration

16

Forward-Looking Statements

Forward-Looking Statements

•

This

presentation

contains

forward-looking

statements

within

the

meaning

of

Section

27A

of

the

Securities

Act

of

1933,

as

amended,

and

Section

21E

of

the

Securities

Exchange

Act

of

1934,

as

amended.

The

words

"expect,"

“expected,”

"will,”

“projected,”

and

similar

expressions

are

intended

to

identify

forward-looking

statements.

It

is

important

to

note

that

the

company's

actual

future

results

could

differ

materially

from

those

projected

in

such

forward-looking

statements

because

of

a

number

of

factors,

including

(among

others)

inflation,

inclement

weather,

price

and

availability

of

fuel,

sudden

changes

in

the

cost

of

fuel

or

the

index

upon

which

the

company

bases

its

fuel

surcharge,

competitor

pricing

activity,

expense

volatility,

including

(without

limitation)

expense

volatility

due

to

changes

in

rail

service

or

pricing

for

rail

service,

ability

to

capture

cost

reductions,

including

(without

limitation)

those

cost

reduction

opportunities

arising

from

the

combination

of

sales,

operations

and

networks

of

Yellow

Transportation

and

Roadway,

changes

in

equity

and

debt

markets,

a

downturn

in

general

or

regional

economic

activity,

effects

of

a

terrorist

attack,

labor

relations,

including

(without

limitation),

the

impact

of

work

rules,

work

stoppages,

strikes

or

other

disruptions,

any

obligations

to

multi-employer

health,

welfare

and

pension

plans,

wage

requirements

and

employee

satisfaction,

and

the

risk

factors

that

are

from

time

to

time

included

in

the

company's

reports

filed

with

the

Securities

and

Exchange

Commission

(the

"SEC"),

including

the

company's

Annual

Report

on

Form

10-K

for

the

year

ended

December

31,

2007.

•

The

company's

expectations

regarding

the

impact

of,

and

its

operating

income

improvement

due

to,

the

integration

of

Yellow

Transportation

and

Roadway

and

the

timing

of

achieving

that

improvement

could

differ

materially

from

those

projected

in

forward-looking

statements

based

on

a

number

of

factors,

including

(among

others)

the

factors

identified

in

the

immediately

preceding

paragraphs,

the

ability

to

identify

and

implement

cost

reductions

in

the

time

frame

needed

to

achieve

these

expectations,

the

success

of

the

company's

operating

plans,

the

need

to

spend

additional

capital

to

implement

cost

reduction

opportunities,

including

(without

limitation)

to

terminate,

amend

or

renegotiate

prior

contractual

commitments,

the

accuracy

of

the

company's

estimates

of

its

spending

requirements,

changes

in

the

company's

strategic

direction

and

the

need

to

replace

any

unanticipated

losses

in

capital

assets.

•

The

company's

expectations

regarding

its

debt

reduction,

liquidity,

and

leverage

ratio

are

only

the

company's

expectations

regarding

these

items.

The

company's

actual

debt

reduction,

liquidity

and

leverage

ratio

could

be

affected

by

a

number

of

factors,

including

(among

others)

the

factors

identified

in

the

preceding

paragraphs,

the

accuracy

of

the

company’s

forecasts,

the

company’s

ability

to

further

reduce

costs,

the

timing

of

the

company's

cash

receipts

and

expenditures,

the

lack

of

any

unanticipated

liabilities

maturing,

contingent

or

otherwise,

the

company's

retirement

of

existing

debt

obligations

at

less

than

par,

the

ability

of

the

company

to

timely

sell

and

receive

the

proceeds

from

sales

of

assets

(in

particular

and

without

limitation)

sales

of

real

property

and

sale

leaseback

arrangements

for

real

property,

and

the

ability

of

the

company

to

sell

equity,

exchange

equity

for

debt,

or

enter

into

other

capital

market

transactions

and

the

availability

of

markets

for

these

kinds

of

transactions.

If

the

company

does

not

execute

one

or

more

of

the

above,

some

of

which

are

not

entirely

within

the

company’s

control,

the

risk

exists

that

the

company

would

not

be

in

compliance

with

the

covenants

in

the

credit

and

ABS

facilities.

•

The

company's

expectations

regarding

its

asset

sales

are

only

its

expectations

regarding

asset

sales.

Actual

asset

sales

could

differ

materially

based

on

a

number

of

factors,

including

(among

others)

the

factors

identified

in

the

preceding

paragraphs.