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YRC Worldwide says union approves new contract

NEW YORK (AP) -- Shares of YRC Worldwide rose Monday after a union approved a five-year extension of the trucking company's collective bargaining agreement.

YRC employees represented by the Teamsters approved an extension of the collective bargaining agreement that will expire in March 2019. The company said the contract will provide more job security and will help it secure the financing it needs to recapitalize and improve its capital structure.

The International Brotherhood of Teamsters said the new deal will allow YRC to reduce its debt and refinance to protect jobs. It said the proposal received 66 percent of the vote from about 18,600 union employees.

Earlier this month the union rejected a different proposal from YRC Worldwide. The company said in December that it had agreed to cut $300 million in debt, but that announcement was made after many union members had already turned in their ballots.

Shares of YRC Worldwide Inc. gained 69 cents, or 3.7 percent, to $19.48 in morning trading.