(Reuters) - U.S. trucking firm Yellow is preparing to file for bankruptcy, the Wall Street Journal reported on Wednesday, as customers abandon the company amid a cash crunch and union negotiations. The company could seek bankruptcy court protection as soon as this week, though no decision has been made, the report said, citing people familiar with the matter. "As previously stated, in keeping with the fiduciary responsibility of the company's executives, the company continues to prepare for a range of contingencies," a Yellow official told Reuters on Wednesday. On Sunday, the third-biggest U.S. trucking company averted a threatened strike by 22,000 Teamsters-represented workers after compensating more than $50 million it owed in worker benefits and pension accruals. In 2020, the Donald Trump led government rescued the company with a $700 million pandemic relief loan in exchange for a 30% stake.

Source: Wall Street Journal July 27, 2023 04:46 UTC