YRC Worldwide 8-K 2006
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): January 25, 2006
YRC Worldwide Inc.
(Exact name of registrant as specified in its charter)
(Registrants telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Item 1.01. Entry into a Material Definitive Agreement.
On January 25, 2006, YRC Worldwide Inc. (the Company) entered into an Employment Agreement and an Executive Severance Agreement with William D. Zollars, the Companys Chairman of the Board, President and Chief Executive Officer. The Companys press release announcing the signing of the Employment Agreement is filed as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference.
The Employment Agreement, which is filed as Exhibit 10.2 to this Current Report on Form 8-K and incorporated herein by reference, includes, among others, the following terms:
difference between the net present values of the benefits that he would have received under the Companys pension plan if the benefit would have commenced as of his normal retirement date (as defined under the pension plan) and would have been paid in a single life annuity over the longer of his life or his spouses life, using his actual years of service plus 16 years and his compensation if it were not limited by the Internal Revenue Code of 1986, as amended. Mr. Zollars was vested in the supplemental retirement benefit under his prior agreement; therefore, Mr. Zollars will remain vested under the new employment agreement.
The Executive Severance Agreement is filed as Exhibit 10.3 to this Current Report on Form 8-K and incorporated herein by reference. The Executive Severance Agreement, which replaces and supercedes Mr. Zollars prior Executive Severance Agreement, covers situations where there is a change of control of the Company. However, Mr. Zollars may not receive payments for termination upon a change of control under both the Employment Agreement and the and Executive Severance Agreement, but must choose which under which agreement he prefers to receive payments. The Executive Severance Agreement includes, among others, the following terms:
Item 9.01. Financial Statements and Exhibits.
(a) Financial statements of businesses acquired.
(b) Pro forma financial information.
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: January 26, 2006
INDEX TO EXHIBITS