Somewhat lost in this holiday season, buried under the avalanche that has become the Arrow Trucking disaster, is another story with far-reaching consequences that is putting the livelihoods of 30,000-plus people at stake.

YRC Worldwide (YRCW), for the better part of the past year, has been struggling under the weight of enormous debt and low freight. According to numerous reports, the company is in danger of not making a $19 million interest and fees payment due Dec. 31, the consequence of which could be bankruptcy proceedings.

To keep itself viable, YCRW has struck numerous agreements to revise credit accounts, conducted layoffs, received nearly $2 billion in concessions from its union workers, and sold off divisions of the company. Now, it is trying to execute a debt-for-equity swap which would allow it to postpone that payment and also gain access to more than $100 million in a revolving credit account to help keep it liquid.

Terms of the swap, according to Dow Jones Newswires, state that bondholders would gain a 95% stake in YRC in exchange for forgoing debt. There would also be a change in the Board of Directors. But, as of this morning, several holdouts still remain and YRC has extended the deadline for the swap several times already, the latest being midnight tonigh.

Now, to put pressure on the holdouts, the Teamsters plan a protest for this afternoon outside the Manhattan offices of Brigade Capital Management, one of the hedge funds the Union believes is delaying the process.

“All bondholders need to recognize that the livelihoods of 30,000 Teamster members depend on their willingness to take part in the exchange,” said Teamsters General President Jim Hoffa. “The workers, the pension funds, the secured lenders, a majority of bondholders and other stakeholders have made sacrifices and contributed to the restructuring. Now it is time for the remaining bondholders to recognize what is at stake and do their part. The company’s customers need to know there is a light at the end of this tunnel.”

The Teamsters identified Brigade Capital Management and JMB Capital Partners, and banks UBS, Barclays and TD Bank as holdouts.

“It is unconscionable that these bondholders are playing chicken with tens of thousands of lives for minimal financial reward, either hoping for a better deal or they have derivative coverage,” said Teamsters Freight Division Director Tyson Johnson. “They need to recognize the sacrifices already made by these workers and the devastating affect a bankruptcy would have on their lives.”

According to Dow Jones, as of Tuesday night, nearly 59% of 2010 notes had been converted and 94% of two other series notes. To meet the terms of the swap, YRC needs 70% of the 2010 notes converted and 85% of the other notes.

It’s not an ideal situation, of course. Banks don’t want to run businesses, especially trucking companies, but let’s hope for once that the bondholders recognize what is the lesser of two evils and secure the tens of thousands of jobs at stake this holiday season.

Update: As of mid-afternoon, the Teamsters had called off their protest of Brigade Capital Management after the hedge fund, along with fellow fund JMB Capital Partners, said they’d tendered all their bonds, according to FIN Alternatives, which covers hedge funds and private equity news.

When Tulsa, OK-based Arrow Trucking suddenly shut down last week, hundreds of truck drivers were left to wonder whether they would see their families at Christmas. Probably, that was the least of their worries as fears about where paychecks would come from, how many bills would pile up and whether the mortgage would get paid quickly crept in.

Now is not the time to be unemployed. Especially if you are a trucker. But that’s what happened. And now others are left to pick up the pieces.

Daimler Truck Financial spokesman James Ryan told me that the company has not received any more requests for help from drivers, ultimately a good sign. That means everyone is likely home and with family. Daimler provided the financing for Arrow’s equipment. The company paid for about 100 Greyhound bus tickets for drivers to get home in time for Christmas. Ryan also said the company is trying to help customers that may have cargo that has been stranded somewhere throughout the U.S. Daimler was not ultimately responsible to do anything for the drivers or customers, yet it did it anyway. Ryan said it was just the right thing to do.

It’s one thing for a deep-pocketed company to offer help, it’s another when total strangers pitch in. That’s what happened on a Facebook group that formed. With nearly 6,000 fans of the page, other drivers posted their routes, offering to pick up stranded Arrow drivers along the way. In some cases, “chains” were created where some drivers provided rides part of the way before another driver took the Arrow employee home.

The page has also served as an unofficial jobs board with companies posting openings they have. Maybe some of the affected drivers will be able to quickly find work. I sure hope so. I encourage everyone to visit the Facebook page, located here, and offer help if you can.

Another angle that is being pursued is a lawsuit by Attorney Charles Ercole of the Philadelphia-based firm Klehr Harrison Harvey Branzburg LLP. His contention is Arrow violated the Federal Worker Adjustment and Retraining Notification (WARN) Act. The act stipulates that a company with a certain number of employees (I’m not sure off-hand of the actual number, but based on my knowledge, Arrow would certainly qualify) must by law notify employees of any potential shutdown at least 60 days in advance.

Based on all the stories we’ve heard of drivers learning of the company’s fate when they tried to fuel their rigs, that certainly didn’t happen in this case. In fact, Ercole told me “we have information from employees that their last couple of paychecks bounced.” Arrow employed about 1,400.

Ultimately, it will be up to a court to decide whether the law was violated and what punishment, if any, there should be. What was missed, though, was an opportunity to save the jobs of these employees, if in fact Arrow was aware of the coming predicament.

I learned about the WARN act when a national newspaper chain in my state of Connecticut announced it was shutting down two daily newspapers in the state. Despite the angst the employees felt with the announcement, it turned out to be a blessing. An investor stepped forward and struck a deal to save the papers and the jobs. If the company had just shut down those papers without following the law, a hundred people would have been out of work.

Could this have happened for Arrow? Sure. Perhaps someone would have stepped forward, seen the potential for Arrow Trucking, and struck a deal. Given the economy, it’s equally likely that would not have happened. But those employees never had a chance.

Who’s to blame in this whole mess? I have no real idea. But that’s not really important right now, and eventually will be sorted out in a courtroom. What is important is that these 1,400 people don’t have their lives turned upside down anymore.

In an interview with Bloomberg News, Isuzu Motors president Susumu Hosoi said the company is exploring options that may include pulling out of its joint venture with General Motors to produce the Duramax diesel engine.

The venture, DMAX Ltd., builds the engines at the Morraine, Ohio, plant. GM owns 60% of the venture with Isuzu holding the rest. The popular Duramax engine powers GM’s Silverados. It also was the powerplant of choice in GM’s medium-duty truck line, which the company shuttered this year when it couldn’t find a buyer.

A GM spokesperson told Bloomberg “there are no plans to change the relationship with Isuzu in regard to the DMAX plant.”

Hosoi, though, may see differently. “Our venture in North America serves large-size vehicles, and there is definitely a question mark on that market,” he told Bloomberg. “I want to ask GM what their thinking is.”

Silverado sales have dropped 34% this year and without a medium-duty line needing engines, Isuzu may not see value in continuing the venture.

This hiccup is just the latest in the long history between Isuzu and GM. The companies first joined forces in the early 1970s when GM invested in Isuzu. In 2000, the companies formed the General Motors Isuzu Commercial Truck LLC to merge medium-duty sales, service and marketing functions. That venture formally ended in 2007.

At one point, though, GM owned 37.5% of Isuzu. Earlier this year, as GM was reportedly shopping its medium-duty business, Isuzu was a rumored buyer. At the time, Hosoi said. “If working further with GM can give us that incremental [sales] volume, then we will consider a new form of alliance with them.”

A deal, though, never came together for various reasons. Eventually, GM shut down its medium-duty business this past summer.

In a most unusual arrangement, and hopefully one that will not catch on, the city of Stockton, California has sold naming rights to a fire truck.

The story, according to News 10 KXTV in Sacramento, is that the city received dependent on $200,000 in matching funds from the city. Like most of America, Stockton is struggling, so Mayor Ann Johnston came up with a plan.

“We’re trying to find people for naming rights to the arena and the ballpark,” Johnston said, according to the TV station’s web site. “So why not fire trucks?”

And that’s what Stockton did. The city sold the naming rights to the new engine to Food 4 Less. Food 4 Less donated the $200,000 needed in exchange for having its logo displayed on the sides and back of the truck.

Hopefully this doesn’t catch on. Can you imagine the possibilities? Envision a local news article that begins with this sentence: “Three people escaped serious injury when a kitchen fire was quickly extinguished by the Food 4 Less Engine 1.”

Or, how about this: “The Food 4 Less Engine 1 responded to the scene, extinguished the fire, and offered discounted coupons for organic vegetables to the displaced residents.”

Really, does anyone at Food 4 Less really feel comfortable having their name show up whenever tragedy strikes? Is that such a good idea?

But the way this society is going, eventually everything will be sponsored. That crash I passed on the way to work, it was sponsored by Doug’s Bait and Tackle. I can’t wait.

But, hey, if someone wants to sponsor my ramblings here, I’m all for it. As long as it’s not disaster related.

The Owner-Operator Independent Drivers Association (OOIDA) is sponsoring a FMCSA poster contest for kids between the ages of 5 and 12. The contest, entitled “Be Ready. Be Buckled. Ready for the Road Ahead,” is designed to heighten awareness of the need for truck and bus drivers to fasten their seat belt.

FMCSA is asking eligible children to design a poster expressing their feelings on the following questions:

• Why is it important to buckle up while driving a truck, bus or other large vehicle?

• What does it mean to you for truck and bus drivers to buckle up while on the job?

• What would happen if a truck or bus driver did not buckle up while on the job?

Entries can be a painting, drawing, collage or other two-dimensional work and must be postmarked by Feb. 14, 2010. The winning kid will be recognized by OOIDA at the American Society of Safety Engineers North American Occupational Safety and Health Week in May 2010.

Winners, 12 in all including the first-place winners, will be chosen in two categories, K thru second grade and third through sixth grades.

If you have a child at home, this is a great opportunity to not only allow them to express their creative side, but also a teaching opportunity on the importance of wearing safety belts. A 2008 study found that only 72% of commercial motor vehicle operators wear safety belts. Frankly, in today’s society, that number is unacceptable.

Many people say that they are only putting themselves at risk by not wearing a seat belt. That’s baloney. They may be OK with putting their own life at risk, but the other people involved in a fatal crash, be they the driver or passengers, have to live with the fact that someone died in a crash in which they were involved. That is a life-changing moment that can tear a family apart.

But by teaching our kids to buckle up, we can prevent future families from going through the emotion and tragedy that a death brings. This contest is an excellent way to do that.

To enter, click here.

The California Air Resources Board has decided to “adjust” its stance on the diesel truck and bus rule which requires truck owners to begin installing diesel exhaust filters on their vehicles by Jan. 1, 2011 with almost the entire fleet of trucks within California upgraded by 2014.

The rule was voted into place in December 2008 and set to go into effect on Jan. 2, 2010, and has received some criticism to date. It will still go into effect as planned, although the CARB board has voted to redo the report that was used as a basis for the rule. Initially, the report was written by Hien Tran, who it was later learned, falsified his credentials. Board member John Telles requested the rule be set aside until the report could be verified.

CARB, at its meeting on Wednesday night, voted to redo the report, although it declined Telles’ request to set aside the rule.

“With today’s set of actions, we confidently set out to revalidate the science supporting our rules and set up a process to allow for more flexibility for small businesses in the regulation given the down economy,” CARB chairman Mary D. Nichols said in a press release. “We take the employee misconduct very seriously but it should not affect an extremely important public health measure that has been extensively reviewed throughout the scientific community. We have tightened up our procedures to ensure an incident like this never happens again.”

In addition, the organization has “directed its staff … to return to the Board next April with a new provision that would provide truck fleets more flexibility in cleaning up their diesel emissions.” That decision was made due to the negative effect the recession has had on the industry, the organization said.

It is unlikely a new report will change the findings that led to the rule in the first place, as even Telles didn’t question the science behind the report. It is a little troublesome, although not unexpected given human nature, that Nichols is now saying CARB takes “employee misconduct very seriously” when, according to a story in the Fresno Bee, members of the organization knew Tran had misstated his credentials before the CARB board ever took up the rule in the first place.

Now CARB is trying to cover all its bases, which it should have done previously.

As the National Transportation Safety Board recommends companies test their drivers for sleep apnea, the ability to do just that can create a logistical nightmare for managers. A new program from Sleep HealthCenters is trying to change that.

The formation of SleepPartners, a nationwide network of accredited sleep centers with board-certified sleep specialists, offers sleep medicine services under one network, the company says. In addition, the network will offer corporate wellness and payer disease management programs.

According to a press release from the company, SleepPartners can custom design and implement a sleep testing program for companies.

“Corporate wellness programs educate employees on the importance of sleep, screen employees for sleep disorders, diagnose those screened as high-risk and then provide treatment options and follow-up care. The SleepPartners network members provide the flexibility and responsiveness critical to offering these services nationally,” said Paul Valentine, CEO of Sleep HealthCenters.

Sleep apnea is a major problem for Americans in all walks of life, but particularly professional drivers. The condition disrupts sleep patterns, causing interrupted sleep. As anyone knows, a driver who has not gotten a good night’s sleep cannot fully focus on the task of driving, putting safety of others, and themselves, at risk.

Identifying sleep apnea can allow medical professionals to treat it. The group pulls together almost 100 centers throughout the U.S and each is accredited through the American Academy of Sleep Medicine or the Joint Commissions, board-certified sleep specialists. Each center can provide evaluation, diagnostics, treatment and long-term management for sleep disorders of all kinds.

“The SleepPartners network allows our centers to be connected to other sleep centers in the country who share a unified approach to sleep medicine,” said Joseph M. Ojile, MD, Medical Director of the Clayton Sleep Institute in St. Louis. “This ensures consistent care and a high level of quality is maintained, whether a patient or employer is in Boston, St. Louis, or Phoenix.”

For partnership inquires, contact Rosellen Sullivan, Director of Business Development, at 781-340-3336 ext. 123 or visit http://www.sleeppartners.com.

Just when everyone thought we were all set to move forward with the California Air Resources Board’s (CARB) pollution rules set to go into effect next year, a wrinkle has been thrown into the plans.

CARB member Dr. John Telles, a cardiologist, has requested the rule that requires the installation of diesel particulate filters on trucks operating in the state be revisited after he learned that one of the authors of the report CARB used to create the rule “misrepresented his credentials,” according to a story this week in the Fresno Bee.

According to the story, Hien Tran did not have a doctorate degree from the University of California at Davis, but rather an online degree from Thornhill University. The story goes on to say that board chairwoman Mary Nichols was aware of the discrepancy, but did not tell other members before the vote in December 2008.

The Bee article quoted a note Telles sent to Ellen Peter, the board’s chief counsel. “Failure to reveal this information to the board prior to the vote not only casts a doubt upon the legitimacy of the truck rule but also upon the legitimacy of [the California Air Resources Board] itself,” he wrote.

Telles is not calling for the rule to be overturned, but believes the board should suspend the regulation until such time that a new set of researchers can review and verify the legitimacy of the findings. Telles himself told the Bee he “doesn’t dispute the science” of the report.

I have no reason to doubt whether the rule is needed. But with all the problems in society today regarding the falsification of credentials, from football coaches to executives, the prudent course of action would be for CARB to hire outside experts to review the report to eliminate any possible problems down the road, and from that perspective, Telles is right.

In what can only be considered a positive move, OEM powerhouses Peterbilt and Kenworth have decided to attend the Mid-America Trucking Show in Louisville in 2010. What’s the big deal, you say?

Last year’s show in Louisville saw a decrease in foot traffic, according to my colleague David Cullen, who attended the show. Not only that, but participation by manufacturers also appeared to be down, including the notable absences of Peterbilt and Kenworth among others. For many, given the economic conditions of the time, the choice not to attend MATS in 2009 was certainly understandable.

Peterbilt’s and Kenworth’s decisions to return are good news for everyone involved – including the two truck makers. Is it a sign of the improving economy? Possibly. Is it an indication that the decision makers at both companies view their participation this year as vital? Certainly.

The show, to be held March 25-27, will also be the showcase for Paccar, parent of both OEMs, to display its new engines, new trucks, and new services from Paccar Financial and Paccar Parts.

Why Peterbilt and Kenworth didn’t attend in 2009 is irrelevant at this point. What is important is that they are back. Let’s hope that other companies follow suit and 2010 MATS serves as a springboard to a profitable 2010 and beyond for the industry.