Yellow Corporation · OTC:YELLQ
Yellow — Investor Presentation (August 2021)
22 slides from Yellow's investor presentation, Aug 24, 2021
Slide 1: Yellow Corporation Investor Presentation August 2021
Yellow Corporation Investor Presentation August 2021 Exhibit 99.1
Slide 2: Statements & Disclaimers
Statements & Disclaimers 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 Corpor
Slide 3: Second-largest LTL carrier in North America
We are the second-largest LTL carrier and the fifth largest transportation company in North America. When you combine our regional capabilities with YRC Freight’s national coverage, you get an expansive shipping footprint that only one of the largest LTL companies in North America can provide. ~30,0
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: Network Optimization through terminal consolidation
Focused on gaining efficiencies and cost reductions through terminal cohabitation and consolidation Divisional, regional, and area operational reporting structure for Holland, New Penn, Reddaway, and YRC Freight are combined under a single leadership team CONSOLIDATION SCENARIO TERMINAL B Company 2
Slide 6: 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 7: Multi-employer pension plans (IBT)
Approximately 79% of employees are represented by the IBT and covered by collective bargaining agreements 2021 total annual cash contributions approximately $134 million Contributions made to 29 multi-employer pension plans with various levels of underfunding. Multiemployer Pension plans are separat
Slide 8: 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. As of December 31, 2020 the net funded status is fully funded, meaning aggregate fair value of the ass
Slide 9: Financial Results
Financial Results Revenue Operating Income (in millions) (in millions) $4,871 $4,859 $57 | | i 2019 2020 LTM 2020 2Q21LTM 2019 2Q20LTM 2020 2021 LTM aC
Slide 10: Financial Results
Financial Results Adjusted EBITDA Cash and Cash Equivalents and (in millions) Managed Accessibility any (in millions) $2 $423 $440 $192 $303 $183 ] = 2019 2020 LIM 2020 2021 LTM 12/31/2019 6/30/2020» «12/31/2020 6/30/2021
Slide 11: Reinvesting in the Business
$480 - $530 CapEx Equivalent as a percentage of revenue 2020 CapEx Equivalent includes less than $1M of capital value of leases (a) (a) (a) (b) Updated 2021 capital expenditures guidance range of $480 million - $530 million includes investments in tractors, trailers, technology, box trucks, containe
Slide 12: 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 provides two tranches totaling $700 million in aggregate principal commitments Tranche A for $300 million is to cover defer
Slide 13: 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 14: Investment Summary
Investment Summary 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, will create operati
Slide 15: Appendix
(YELLOW / Appendix
Slide 16: Cash Flow
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 termina
Slide 17: Capital Structure and Labor Timeline
Largest debt instruments and the labor agreement mature at various dates in 2024 IBT March ABL Facility Jan. Term Loan June CDA Notes December UST Loan Sept. Capital Structure and Labor Timeline
Slide 18: LTM Adjusted EBITDA Covenant
(in millions) LTM Adjusted EBITDA Covenant $216 LTM as of 2Q21 COVENANT WAIVER THROUGH 3Q21
Slide 19: Operating Statistics – Second Quarter
(a) Percent change based on unrounded figures and not the rounded figures presented Operating Statistics – Second Quarter
Slide 20: Operating Statistics – Year-To-Date
(a) Percent change based on unrounded figures and not the rounded figures presented Operating Statistics – Year-To-Date
Slide 21: Adjusted EBITDA Reconciliation
(in millions) Adjusted EBITDA Reconciliation
Slide 22: Investor Relations contact
www.myyellow.com NASDAQ: YELL Tony Carreño Vice President - Investor Relations (913) 696-6108 investor@myyellow.com