Yellow Corporation · OTC:YELLQ
Yellow — Investor Presentation (February 2022)
23 slides from Yellow's investor presentation, Feb 8, 2022
Slide 1: Yellow Corporation Investor Presentation First Quarter 2022
Yellow Corporation Investor Presentation First Quarter 2022 Exhibit 99.1
Slide 2: Forward-looking statements and non-GAAP disclaimer
The information in this presentation is summary in nature and may not contain all information that is important to you. The Recipient acknowledges and agrees that (i) no representation or warranty regarding the material contained in this presentation is made by Yellow Corporation (the “Company” or “
Slide 3: Yellow At a Glance
Yellow At a Glance Premium LTL transportation & Logistics Services Provider 2nd largest 5th largest $5.1 billion 17.2 million ~32,000 316 ~14,200 ~42,000 LTL Carrier in North America Trucking Company in North America 2021 Revenue 2021 Shipments Employees Terminals Tractors Trailers
Slide 4: Roadmap to One Yellow
Pre-Transformation Super-Regional Carrier Integrated nationwide LTL service YELLOW Service Centers Border Gateway Legend Roadmap to One Yellow Simplify Sales Team Streamline enterprise-wide sales team to provide customers a single point of contact for all brands Realign Operational Leadership Struct
Slide 5: Next Step: Pick Up & Delivery
Next Step: Pick Up & Delivery In the Northeast, we have 60 terminal operations in the “Shared Space” between New Penn (regional service) and YRC Freight (longhaul service) Future state will streamline operations and reduce duplicity in pickup and delivery operations Customer benefit is one driver ca
Slide 6: Example of Network Optimization (continued)
New Penn Billerica (regional) and YRC Freight Boston (longhaul) scenario. Terminals are 11.3 miles from each other Once optimization is complete, efficiencies are gained through improved asset utilization and lower overall miles Yellow Billerica, MA Current State After P&D Optimization Yellow Boston
Slide 7: Expanded Regional Next-Day Service
San Antonio Little Rock Richmond Moving to a super-regional network includes expanding regional next-day service that leverages YRC Freight’s national coverage Offers customers faster transit times and a more streamlined supply chain Expanded Regional Next-Day Service
Slide 8: Financial Results
Financial Results Revenue Operating Income (in millions) (in millions) $5,122 $104
Slide 9: Financial Results
Financial Results Adjusted EBITDA Cash and Cash Equivalents and (in millions) Managed Accessibility (in millions) $440 $359 $211 $192 ; [ = 2019 2020 2021 12/31/2019 412131/2020 42/31/2021
Slide 10: Reinvesting in the Business
CapEx Equivalent as a percentage of revenue 2020 CapEx Equivalent includes less than $1M of capital value of leases (a) (a) (b) Nearly $600 million invested in capital expenditures from the beginning of 4Q 2020 through the end of 2021 Investments included investments in tractors, trailers, technolog
Slide 11: CARES Act Funding
Equity U.S. Treasury received 15.94 million shares of common stock and is the Company’s largest shareholder with approximately 30% of outstanding shares Debt U.S. Treasury loan provided two tranches totaling $700 million in aggregate principal commitments Tranche A for $300 million covered deferred
Slide 12: Capital Structure Overview
Term Loan Lease Financing Obligations CDA Notes UST Tranche A UST Tranche B (in millions) UST Tranche A carries a variable interest rate based on the Eurodollar rate, which is currently determined by the 1, 2, 3 or 6-month USD Libor with a floor of 1.0%, plus a fixed margin of 3.5%. 1.5% is paid in
Slide 13: Multi-Employer Pension Plans
Approximately 80% of employees are represented by the International Brotherhood of Teamsters and covered by collective bargaining agreements 2022 total annual cash contributions expected to be approximately $112 million Contributions made to 29 multi-employer pension plans with various levels of und
Slide 14: Single-Employer Pension Plans (Non-Union)
Certain employees not covered by collective bargaining agreements Plans closed to new participants effective January 1, 2004 with benefit accrual for active employees frozen effective July 1, 2008 In 2021, the non-union pension plans entered into a contract for a group annuity to transfer an obligat
Slide 15: Yellow Value Proposition
Strong industry position with one of the largest, most comprehensive logistics and LTL networks in North America with local, regional, national and international capabilities Multi-year enterprise transformation to One Yellow on schedule for completion in 2022, expected to create operational efficie
Slide 16: Appendix
(YELLOW / Appendix
Slide 17: Cash Flow
(d) Free cash flow = operating cash flow less acquisitions of property and equipment, net of cash proceeds from disposals During FY 2019, the Company recognized cash proceeds on the sale of terminals of approximately $22 million During FY 2020, the Company recognized cash proceeds on the sale of ter
Slide 18: Capital Structure and Labor Timeline
Largest debt instruments and the labor agreement mature at various dates in 2024 IBT March ABL Facility January Term Loan June CDA Notes December UST Loan September Capital Structure and Labor Timeline
Slide 19: LTM Adjusted EBITDA Covenant
(in millions) LTM Adjusted EBITDA Covenant $306 LTM as of 4Q21
Slide 20: Operating Statistics – Fourth Quarter
(a) Percent change based on unrounded figures and not the rounded figures presented Operating Statistics – Fourth Quarter
Slide 21: Operating Statistics – Year End
(a) Percent change based on unrounded figures and not the rounded figures presented Operating Statistics – Year End
Slide 22: Adjusted EBITDA Reconciliation
(in millions) Adjusted EBITDA Reconciliation
Slide 23: Investor Relations Contact
www.myyellow.com Tony Carreño Vice President - Investor Relations (913) 696-6108 investor@myyellow.com