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YRC Worldwide Inc. (NASDAQ:YRCW) represented Avenue Capital’s fourth-largest position at the end of the second quarter, accounting for 9.88% of the 13F portfolio value. The fund held  4.80 million shares worth $42.20 million at the end of June. A total of 20 funds tracked by us held $76.21 million worth of YRC Worldwide shares at the end of the June quarter, accounting for 26% of the total outstanding shares, and compared to 23 funds holding $90.66 million worth of shares a quarter earlier. YRC Worldwide Inc. (NASDAQ:YRCW) is scheduled to release its third-quarter results on October 27 and analysts expect the company to report third-quarter earnings of $0.43 per share on revenue of $1.22 billion.

Houghton Mifflin Harcourt Co (NASDAQ:HMHC) accounted for 11.55% of Avenue Capital’s portfolio at the end of the second quarter, with the fund holding 3.16 million shares, the market value of which stood at $49.16 million. During the quarter, Avenue Capital did not add or reduce to its position. The number of investors we track long Houghton Mifflin at the end of the second quarter stood at 24, holding $715.81 million worth of shares, compared to 22 funds holding $848.2 million worth of shares a quarter earlier. Houghton Mifflin Harcourt Co (NASDAQ:HMHC) reported its second-quarter results last month, posting a loss of $0.23 per share, compared to consensus forecast of a loss of $0.02 per share, while revenue for the quarter came in at $392.04 million, missing the estimates by $39.25 million.

Finally, Avenue Capital’s largest holding at the end of the June quarter was in Dynegy Inc.  (NYSE:DYN), in which the fund held 6.73 million shares, after having added 654,683 during the second quarter. The stake was worth $116.07 million and amassed 27.17% of Avenue Capital’s total portfolio. Overall, 43 funds from our database held $1 billion worth of Dynegy shares at the end of the second quarter, accounting for 49.60% of the total outstanding shares. At the end of the first quarter, 41 funds held $689 million worth of shares. Last month, Dynegy Inc. (NYSE:DYN) reported a loss of $6.73 per share in its second quarter. The second-quarter loss though is not comparable to the consensus forecast of a loss of $0.64 per share. The company reported second-quarter revenue of $904 million, missing consensus forecast by $126 million.

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