As you may have read in the news today, YRC successfully executed a reverse stock split to raise its stock price above $1 to comply with NASDAQ listing rules. This reverse split has lowered authorized and outstanding common equity shares from 12 billion to approximately 40 million. In connection with the reverse split, from December 2, 2011 through January 2, 2012, YRC shares will trade under the symbol “YRCWD.” Shares will revert to “YRCW” on January 3, 2012.
For those who received shares of YRC stock following the completion of the restructuring in July, today’s actions will not affect the value of your shares, but they will lower the total number of shares in your account by the same ratio (for example, if you received 1,200 shares following the restructuring, you will now have 4 shares of YRC stock). Again the total value of all your shares at the time of the split will be the same (if the per share value pre-split was $.03 and you had 1,200 shares your total value was $36; immediately post-split the per share value was $9.00 and with 4 shares your total value is still $36).
No fractional shares will be issued in connection with the split; any fractional shares you may own following the split will be pooled by the Company’s transfer agent and sold on the open market with the cash proceeds deposited pro rata in your accounts. No action is necessary on the part of YRC Teamster members in connection with today’s reverse split.
Please see the following press release from the Company containing additional details: http://investors.yrcw.com/releasedetail.cfm?ReleaseID=628907