Brigade Capital Management says it has tendered all of its YRC Worldwide bonds, so the International Brotherhood of Teamsters has cancelled its planned protest at the hedge fund’s Manhattan office. For now.
The Teamsters union had scheduled a midday protest outside Brigade’s office after accusing the hedge fund, along with another hedge fund and three banks, of refusing to participate in YRC’s debt-for-equity swap. The union said 30,000 jobs would be lost if the debt swap failed.
But both Brigade and fellow hedge fund JMB Capital Partners say they’ve tendered all of their bonds in the trucking company. So with nothing to protest, the Teamsters called off the picket line.
The union did warn that it would “monitor the situation” and “will plan future protests at these institutions and others if contrary evidence surfaces.”
"There is too much at risk for bondholders to sacrifice the livelihood of 30,000 workers for the marginal profits they might realize by their continued inaction," said Teamsters General President James Hoffa. "It's a simple choice—help a good, U.S. company recover and protect 30,000 jobs or allow our struggling economy to take another devastating hit. I think the choice is clear—bondholders must now do their part."