Moody's affirms U.S. Xpress

Moody's Investors Service said it has affirmed the B3 corporate family and probability of default ratings of U.S. Xpress Enterprises, Inc.

The outlook remains negative.

The B3 corporate family rating affirmation reflects a view that volume pressures affecting the truckload sector will cause revenue declines, but the company's efforts to lower fixed costs and dramatically scale back capital expenditures should enable funds from operation for debt reduction, the agency said.

According to Moody's, the B3 rating incorporates a view that U.S. Xpress' liquidity profile should remain adequate, as expected debt reduction and margin preservation should decrease the risk of near-term covenant breach.

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