YRC Worldwide continues to make progress when it comes to refinancing its debt, following a preliminary agreement that was secured last month.
It announced Friday that it has reached an agreement with its lenders to extend the deadline to repay the 6% convertible notes to Feb. 13, 2014 and to permit repayment of the Series A and B Notes with the cash equity proceeds from the equity transaction previously announced on Dec. 23, 2013.
The company also announced that it obtained approval from 100% of its pension fund noteholders to amend and extend its obligation to December 2019 subject to closing the equity transaction.
"We appreciate the support of our lenders and pension fund trustees and believe that we are on target to close the equity transaction and the amendment and extension of the pension fund note soon," said Jamie Pierson, chief financial officer of YRC Worldwide. "Once these interdependent transactions close, we will continue moving forward with our global refinancing and plan to refinance our existing senior debt facilities by mid to late February."
The news follows YRC Worldwide securing an agreement with its Teamsters Union employees extending their current labor agreement, which was needed in order to get this round of refinancing.
This story has been updated.