Yellow Corporation · OTC:YELLQ
Yellow — Yellow Roadway — Baird Industrial Conference 2005
13 slides from Yellow's conference presentation, Nov 8, 2005
Slide 1: Baird Industrial Conference
Baird Industrial Conference November 9, 2005 Baird Industrial Conference November 9, 2005 Exhibit 99.1
Slide 2: Yellow Roadway is a global transportation services company
Yellow Roadway is a global transportation services company focused on large shipments We offer our clients expansive resources: 70,000 employees Over 1,000 locations worldwide Nearly 27,000 trucks Nearly 90,000 trailers Over 600 technology professionals All dedicated to the Yellow Roadway core purpo
Slide 3: Independent Recognition
Ranked #1 in our industry 3 years in a row by Fortune Magazine Named to Forbes Platinum 400 List of America’s Best Big Companies Independent Recognition
Slide 4: Strategic Actions
Strategic Actions April 2002 Follow-on equity offering (net proceeds of $94 million) September 2002 Spin-off of SCS Transportation (operating companies of Saia and Jevic) December 2003 Acquisition of Roadway Corporation ($1.1 billion, 50% cash / 50% stock) May 2005 Acquisition of USF Corporation ($1
Slide 5: Service Portfolio
Service Portfolio Comprehensive next-day nationwide Extensive national networks Truckload Logistics capabilities Next Day 29% 2 Days 29% 4+ Days 20% 3 Days 22% Based on actual shipments delivered
Slide 6: Combined Synergies from Roadway and USF Acquisitions
Combined Synergies from Roadway and USF Acquisitions $50 $158 $300 $410 $450 2004A 2005E 2006E 2007E 2008E Calendar Year Benefit (in millions) Full synergy benefit of $450 million equals about $4.50 of earnings per share We expect to exit 2005 with a $200 million run-rate from the Roadway acquisitio
Slide 7: Synergy Areas
Synergy Areas Pick-up & delivery planning Dock layout Manpower planning Digital dispatch Implement planning & optimization tools Exchange of best practices & technology Operations Optimization Purchasing card Forms Accounts payable volume Expense management Capture significant buying power Use of ad
Slide 8: Record Results in the Third Quarter
Adjusted Operating Income* (in millions) Adjusted EPS* 3Q03 3Q04 3Q05 3Q03 3Q04 3Q05 $0.75 Highest quarterly EPS in company history; 11% growth over prior year Consolidated operating ratio of 93.3% Record Results in the Third Quarter $39.1 $119.7 $167.6 $1.38 $1.53 *Adjustments were related to prope
Slide 9: Full Year 2005 Consolidated Guidance
57 million Diluted shares $63 million Interest expense $8.7 billion Revenue $5.18 - $5.23 per share EPS Our full year EPS has increased over 400% in the last four years Our consolidated operating ratio has improved from 97.9% in 2002 to the upper 93% range in 2005 $1.03 $3.96 $5.18 - $5.23 Full Year
Slide 10: Capital Structure/Credit Ratings
Capital Structure/Credit Ratings Debt to Capital (net of cash) Stable BBB- Fitch Stable Ba1 Moody’s Stable BBB- S&P Credit Ratings: We expect our debt-to-cap to be within our targeted range of around 35% by the end of 2006 9/30/05 12/31/05 12/31/06 45.4% ~44% ~35%
Slide 11: Future Opportunities
Future Opportunities Growth Significant resources, capabilities and market reach Large customer bases with limited overlap Continued penetration of premium services Expansive service offerings Global expansion Leverage our strong brands Continued investments in our distinct brands Operate networks s
Slide 12: Forward-looking statements
This presentation, and oral statements made regarding the subjects of 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,” “projected
Slide 13: Yellow Roadway Corporation
Yellow Roadway Corporation THUOW) roapway QS eM Ay meridian 1. Making global commerce work by connecting people, places and information yellowroadway.com —