* YRC announces tentative deal with Teamsters

* Terms of deal should be available next week

* YRC stock doubles

CHICAGO, July 9 (Reuters) - Struggling No. 1 U.S. trucking company YRC Worldwide Inc (YRCW.O: Quote, Profile, Research) said on Thursday it has reached a tentative deal with the Teamsters union on a modified labor contract that will help cut costs and preserve operating capital, doubling the value of YRC stock.

"We appreciate the ongoing willingness of the Teamsters leadership to work with the company to identify ways to improve the financial position of YRC Worldwide during this severe economic recession," YRC Chief Operations Officer Mike Smid said in a statement.

The new deal must be approved in a vote by the Overland Park, Kansas-based company's Teamsters-represented workers.

YRC said details of the modified agreement should be available next week.

This is the second cost-cutting deal struck by YRC with the Teamsters. In the first, approved in January, the company's unionized workers agreed to a 10 percent wage cut in return for a 15 percent stake in the company.

YRC is a less-than-truckload company. Less-than-truckload operators consolidate smaller loads into a single truck.