WASHINGTON, D.C.  20549
                                   FORM 8-K
                                CURRENT REPORT
                    Pursuant to Section 13 or 15(d) of the
                       Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)      June 8, 1995           

                              YELLOW CORPORATION
            (Exact name of registrant as specified in its charter)

          Delaware                   0-12255                    48-0948788      
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(State or other jurisdiction       (Commission              (IRS Employer
    of incorporation)               File Number)             Identification No.)

    10777 Barkley, P. O. Box 7563,       Overland Park, Kansas      66207   
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(Address of principal executive offices)                          (Zip Code)

Registrant's telephone number, including area code         (913) 967-4300

                                  No Changes.
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         (Former name or former address, if changed since last report.)


Item 5.  Other Events

        On June 8, 1995, Yellow Corporation (the company) announced that it
expects to report in the range of a small profit to a small loss for the second
quarter.  Consensus estimates from analysts who follow the company have recently
been lowered for the second quarter and for the year, but current company
experience suggests that results will be below those estimates.

        Profits at the company's largest subsidiary, Yellow Freight System,
remain under pressure due to an increase in competitive price discounting,
significant softening in the economy resulting in lower business volumes and the
loss of about 2% of tonnage following last year's labor strike.  Also, effective
April 1, union wages and benefits increased by approximately 3.2%.

        The company's second largest subsidiary, Preston Trucking Company, is
also experiencing profit pressure due to soft revenue levels and competitive
price discounting.  Expenses at that company are under tight control but are
impacted by the union wage increase combined with a step-down in the wage
reduction program that netted a 5% increase in labor costs on April 1.

        Despite the weakened earnings environment, the company is committed to
investing in service improvements, the expansion of new technology at its
subsidiaries and maintaining its strong balance sheet.


Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                                    YELLOW CORPORATION    

        Date:  June 12, 1995                   /s/ Phillip A. Spangler  
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                                               Phillip A. Spangler 
                                               Vice President and Treasurer