Old Dominion Freight Line (ODFL) 10-Q 9 Nov 15 2015 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 06, 2015
Document And Entity Information [Abstract]
Entity Registrant Name	OLD DOMINION FREIGHT LINE INC/VA
Entity Central Index Key	878,927
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Trading Symbol	ODFL
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		84,584,328

Condensed Balance Sheets

Condensed Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 11,412	$ 34,787
Customer receivables, less allowances of $9,237 and $9,069, respectively	337,706	303,170
Other receivables	20,090	44,730
Prepaid expenses and other current assets	30,352	21,085
Deferred income taxes	36,646	29,371
Total current assets	436,206	433,143
Property and equipment:
Revenue equipment	1,361,513	1,158,108
Land and structures	1,158,683	1,088,372
Other fixed assets	362,740	321,310
Leasehold improvements	7,394	6,982
Total property and equipment	2,890,330	2,574,772
Accumulated depreciation	(919,120)	(831,527)
Net property and equipment	1,971,210	1,743,245
Goodwill	19,463	19,463
Other assets	47,606	40,386
Total assets	2,474,485	2,236,237
Current liabilities:
Accounts payable	58,258	45,314
Compensation and benefits	144,770	106,200
Claims and insurance accruals	46,356	42,271
Other accrued liabilities	24,411	26,139
Current maturities of long-term debt	90,377	35,714
Total current liabilities	364,172	255,638
Long-term liabilities:
Long-term debt	95,000	120,000
Other non-current liabilities	149,130	145,752
Deferred income taxes	218,770	220,783
Total long-term liabilities	462,900	486,535
Total liabilities	$ 827,072	$ 742,173
Commitments and Contingencies
Shareholders' equity:
Common stock - $0.10 par value, 140,000,000 shares authorized, 84,967,313 and 86,094,297 shares outstanding at September 30, 2015 and December 31, 2014, respectively	$ 8,496	$ 8,609
Capital in excess of par value	134,401	134,401
Retained earnings	1,504,516	1,351,054
Total shareholders' equity	1,647,413	1,494,064
Total liabilities and shareholders' equity	$ 2,474,485	$ 2,236,237

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Customer receivables, allowances	$ 9,237	$ 9,069
Common stock, par value	$ 0.10	$ 0.10
Common stock, shares authorized	140,000,000	140,000,000
Common stock, shares outstanding	84,967,313	86,094,297

Condensed Statements Of Operati

Condensed Statements Of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Statement [Abstract]
Revenue from operations	$ 779,474	$ 743,586	$ 2,237,870	$ 2,066,849
Operating expenses:
Salaries, wages and benefits	406,592	363,420	1,162,457	1,014,910
Operating supplies and expenses	88,669	111,670	270,108	327,881
General supplies and expenses	24,350	21,931	69,175	61,955
Operating taxes and licenses	23,855	21,338	69,667	61,006
Insurance and claims	10,808	10,118	31,171	27,927
Communications and utilities	6,867	6,320	20,143	19,156
Depreciation and amortization	42,561	37,707	121,120	106,920
Purchased transportation	30,297	34,590	93,147	96,883
Building and office equipment rents	2,395	2,880	7,147	7,899
Miscellaneous expenses, net	3,226	7,350	9,417	13,303
Total operating expenses	639,620	617,324	1,853,552	1,737,840
Operating income	139,854	126,262	384,318	329,009
Non-operating expense (income):
Interest expense	1,163	1,463	3,901	5,161
Interest income	(33)	(19)	(187)	(78)
Other expense (income), net	1,866	951	2,544	1,761
Total non-operating expense	2,996	2,395	6,258	6,844
Income before income taxes	136,858	123,867	378,060	322,165
Provision for income taxes	52,490	45,958	145,594	124,520
Net income	$ 84,368	$ 77,909	$ 232,466	$ 197,645
Earnings per share:
Basic	$ 0.99	$ 0.90	$ 2.71	$ 2.29
Diluted	$ 0.99	$ 0.90	$ 2.71	$ 2.29
Weighted average shares outstanding:
Basic	85,247,467	86,164,917	85,645,760	86,164,917
Diluted	85,247,467	86,164,917	85,645,760	86,164,917

Condensed Statements Of Cash Fl

Condensed Statements Of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net income	$ 232,466	$ 197,645
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	121,120	106,920
(Gain) loss on sale of property and equipment	(2,177)	(2,300)
Deferred income taxes	(9,288)	(7,150)
Other operating activities, net	30,153	(17,100)
Net cash provided by operating activities	372,274	278,015
Cash flows from investing activities:
Purchase of property and equipment	(362,015)	(311,993)
Proceeds from sale of property and equipment	19,372	19,485
Net cash used in investing activities	(342,643)	(292,508)
Cash flows from financing activities:
Principal payments under long-term debt agreements	(36,889)	(35,715)
Proceeds From (Repayments Of) Line Of Credit	63,000	28,203
Payments for share repurchases	(79,117)	0
Net cash provided by (used in) financing activities	(53,006)	(7,512)
(Decrease) increase in cash and cash equivalents	(23,375)	(22,005)
Cash and cash equivalents at beginning of period	34,787	30,174
Cash and cash equivalents at end of period	$ 11,412	$ 8,169

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Significant Accounting Policies	Note 1. Significant Accounting Policies Basis of Presentation The accompanying unaudited, interim condensed financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information and, in management’s opinion, contain all adjustments (consisting of normal recurring items) necessary for a fair presentation, in all material respects, of the financial position and results of operations for the periods presented. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. The preparation of condensed financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions. Such estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Our operating results are subject to seasonal trends; therefore, the results of operations for the interim period ended September 30, 2015 are not necessarily indicative of the results that may be expected for subsequent quarterly periods or the year ending December 31, 2015 . The condensed financial statements should be read in conjunction with the financial statements and related notes, which appear in our Annual Report on Form 10-K for the year ended December 31, 2014 . There have been no significant changes in the accounting principles and policies, long-term contracts or estimates inherent in the preparation of the condensed financial statements of Old Dominion Freight Line, Inc. as previously described in our Annual Report on Form 10-K for the year ended December 31, 2014 . Unless the context requires otherwise, references in these Notes to “Old Dominion,” the “Company,” “we,” “us” and “our” refer to Old Dominion Freight Line, Inc. Fair Values of Financial Instruments The carrying values of financial instruments in current assets and current liabilities approximate their fair value due to the short maturities of these instruments. The carrying value of our total long-term debt, including current maturities, and capital lease obligations was $185.4 million and $155.7 million at September 30, 2015 and December 31, 2014 , respectively. The estimated fair value of our total long-term debt and capital lease obligations was $192.4 million and $165.5 million at September 30, 2015 and December 31, 2014 , respectively. The fair value measurement of our senior notes was determined using a discounted cash flow analysis that factors in current market yields for comparable borrowing arrangements under our credit profile. Since this methodology is based upon market yields for comparable arrangements, the measurement is categorized as Level 2 under the three-level fair value hierarchy as established by the Financial Accounting Standards Board (the “FASB”). Earnings Per Share Earnings per share is computed using the weighted average number of common shares outstanding during the period. Stock Repurchase Program On November 10, 2014, we announced that our Board of Directors had approved a stock repurchase program authorizing us to repurchase up to an aggregate of $200.0 million of our outstanding common stock. We may repurchase shares from time-to-time in open market purchases or through privately negotiated transactions. The program expires on November 6, 2016. Shares of our common stock repurchased by us under the repurchase program are canceled at the time of repurchase and are authorized but unissued shares of our common stock. During the three and nine months ended September 30, 2015 , we repurchased 539,396 shares for $36.7 million and 1,126,984 shares for $79.1 million , respectively. As of September 30, 2015 , we had repurchased a total of 1,197,604 shares for $84.6 million , and $115.4 million remained authorized under the program. Supplemental Disclosure of Noncash Investing and Financing Activities Investing and financing activities that are not reported in the Statements of Cash Flows due to their non-cash nature are summarized below: Nine Months Ended September 30, (In thousands) 2015 2014 Acquisition of property and equipment by capital lease $ 3,552 $ — Recent Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU supersedes the previous revenue recognition requirements in Accounting Standards Codification ("ASC") Topic 605—Revenue Recognition and most industry-specific guidance throughout the ASC. The core principle within this ASU is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration expected to be received for those goods or services. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606), which deferred the effective date for ASU 2014-09 by one year to fiscal years beginning after December 15, 2017, while providing the option to early adopt for fiscal years beginning after December 15, 2016. Transition methods under ASU 2014-09 must be through either (i) retrospective application to each prior reporting periods presented, or (ii) retrospective application with a cumulative effect of this update at the date of initial application. We continue to assess the method of application and impact, if any, of the adoption of ASU 2014-09 on our financial position, results of operations and cash flows.

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Long-Term Debt	Note 2. Long-Term Debt Long-term debt consisted of the following: (In thousands) September 30, December 31, Senior notes $ 120,000 $ 155,714 Revolving credit facility 63,000 — Capitalized leases and other obligations 2,377 — Total long-term debt and capital lease obligations 185,377 155,714 Less: Current maturities (90,377 ) (35,714 ) Total maturities due after one year $ 95,000 $ 120,000 We had two outstanding unsecured senior note agreements with an aggregate amount outstanding of $120.0 million at September 30, 2015 . At December 31, 2014 , we had three outstanding unsecured senior note agreements with an aggregate amount outstanding of $155.7 million . Our two remaining unsecured senior note agreements call for periodic principal payments with maturities that range from 2016 to 2021, of which $25.0 million is due in the next twelve months. Interest rates on these notes are fixed and range from 4.00% to 5.85% . The weighted average interest rate on our outstanding senior note agreements was 4.68% and 4.87% at September 30, 2015 and December 31, 2014 , respectively. We have a $200.0 million senior unsecured revolving credit facility pursuant to the terms of a second amended and restated credit agreement dated August 10, 2011, as amended on November 7, 2014 (the “Credit Agreement”), with Wells Fargo Bank, National Association (“Wells Fargo”) serving as administrative agent for the lenders. Our Credit Agreement matures on August 10, 2016 and the amount outstanding at September 30, 2015 is included in Current Maturities of Long-Term Debt on our Condensed Balance Sheets. Of the $200.0 million line of credit commitments, $150.0 million may be used for letters of credit and $20.0 million may be used for borrowings under the Wells Fargo Sweep Plus Loan Program. We utilize the sweep program to manage our daily cash needs, as the sweep program automatically initiates borrowings to cover overnight cash requirements up to an aggregate of $20.0 million . In addition, we have the right to request an increase in our existing line of credit commitments by an additional $100.0 million in minimum increments of $25.0 million . At our option, revolving loans under the facility bear interest at either: (a) the Applicable Margin Percentage for Base Rate Loans plus the higher of Wells Fargo’s prime rate, the federal funds rate plus 0.5% per annum, or the one month LIBOR Rate plus 1.0% per annum; (b) the LIBOR Rate plus the Applicable Margin Percentage for LIBOR Loans; or (c) the LIBOR Market Index Rate (“LIBOR Index Rate”) plus the Applicable Margin Percentage for LIBOR Market Index Loans. The Applicable Margin Percentage is determined by a pricing grid in the Credit Agreement and ranges from 1.0% to 1.875% based upon the ratio of debt to total capitalization. The Applicable Margin Percentage remained at 1.0% during each of the three- and nine-month periods ended September 30, 2015 and 2014 . Revolving loans under the sweep program bear interest at the LIBOR Index Rate. There were $68.1 million and $63.2 million of outstanding letters of credit at September 30, 2015 and December 31, 2014 , respectively. Capital lease obligations are collateralized by property and equipment with a book value of $3.7 million .

Income Taxes Income Taxes

Income Taxes Income Taxes	9 Months Ended
	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Note 3. Income Taxes Our effective tax rate generally exceeds the federal statutory rate of 35% due to the impact of state taxes and, to a lesser extent, certain other non-deductible items. For the three and nine months ended September 30, 2015 , our effective tax rate was 38.4% and 38.5% , respectively, as compared to 37.1% and 38.7% for the same periods in 2014 , respectively. Our effective tax rate for the three months ended September 30, 2014 was lower due to a reduction in state taxes.

Commitments And Contingencies

Commitments And Contingencies	9 Months Ended
	Sep. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments And Contingencies	Note 4. Commitments and Contingencies We are involved in various legal proceedings and claims that have arisen in the ordinary course of our business and have not been fully adjudicated, some of which are covered in whole or in part by insurance. Certain of these claims include class-action allegations. We do not believe that the resolution of any of these legal proceedings or claims will have a material adverse effect upon our financial position, results of operations or cash flows.

Significant Accounting Polici10

Significant Accounting Policies (Policy)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Basis Of Presentation	Basis of Presentation The accompanying unaudited, interim condensed financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") for interim financial information and, in management’s opinion, contain all adjustments (consisting of normal recurring items) necessary for a fair presentation, in all material respects, of the financial position and results of operations for the periods presented. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. The preparation of condensed financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions. Such estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Our operating results are subject to seasonal trends; therefore, the results of operations for the interim period ended September 30, 2015 are not necessarily indicative of the results that may be expected for subsequent quarterly periods or the year ending December 31, 2015 . The condensed financial statements should be read in conjunction with the financial statements and related notes, which appear in our Annual Report on Form 10-K for the year ended December 31, 2014 . There have been no significant changes in the accounting principles and policies, long-term contracts or estimates inherent in the preparation of the condensed financial statements of Old Dominion Freight Line, Inc. as previously described in our Annual Report on Form 10-K for the year ended December 31, 2014 . Unless the context requires otherwise, references in these Notes to “Old Dominion,” the “Company,” “we,” “us” and “our” refer to Old Dominion Freight Line, Inc.
Fair Value of Financial Instruments	Fair Values of Financial Instruments The carrying values of financial instruments in current assets and current liabilities approximate their fair value due to the short maturities of these instruments. The carrying value of our total long-term debt, including current maturities, and capital lease obligations was $185.4 million and $155.7 million at September 30, 2015 and December 31, 2014 , respectively. The estimated fair value of our total long-term debt and capital lease obligations was $192.4 million and $165.5 million at September 30, 2015 and December 31, 2014 , respectively. The fair value measurement of our senior notes was determined using a discounted cash flow analysis that factors in current market yields for comparable borrowing arrangements under our credit profile. Since this methodology is based upon market yields for comparable arrangements, the measurement is categorized as Level 2 under the three-level fair value hierarchy as established by the Financial Accounting Standards Board (the “FASB”).
Earnings Per Share	Earnings Per Share Earnings per share is computed using the weighted average number of common shares outstanding during the period.
Stockholders' Equity	Stock Repurchase Program On November 10, 2014, we announced that our Board of Directors had approved a stock repurchase program authorizing us to repurchase up to an aggregate of $200.0 million of our outstanding common stock. We may repurchase shares from time-to-time in open market purchases or through privately negotiated transactions. The program expires on November 6, 2016. Shares of our common stock repurchased by us under the repurchase program are canceled at the time of repurchase and are authorized but unissued shares of our common stock. During the three and nine months ended September 30, 2015 , we repurchased 539,396 shares for $36.7 million and 1,126,984 shares for $79.1 million , respectively. As of September 30, 2015 , we had repurchased a total of 1,197,604 shares for $84.6 million , and $115.4 million remained authorized under the program.
Schedule of Cash Flow, Supplemental Disclosures	Investing and financing activities that are not reported in the Statements of Cash Flows due to their non-cash nature are summarized below: Nine Months Ended September 30, (In thousands) 2015 2014 Acquisition of property and equipment by capital lease $ 3,552 $ —
New Accounting Pronouncements	Recent Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update ("ASU") 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU supersedes the previous revenue recognition requirements in Accounting Standards Codification ("ASC") Topic 605—Revenue Recognition and most industry-specific guidance throughout the ASC. The core principle within this ASU is to recognize revenues when promised goods or services are transferred to customers in an amount that reflects the consideration expected to be received for those goods or services. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606), which deferred the effective date for ASU 2014-09 by one year to fiscal years beginning after December 15, 2017, while providing the option to early adopt for fiscal years beginning after December 15, 2016. Transition methods under ASU 2014-09 must be through either (i) retrospective application to each prior reporting periods presented, or (ii) retrospective application with a cumulative effect of this update at the date of initial application. We continue to assess the method of application and impact, if any, of the adoption of ASU 2014-09 on our financial position, results of operations and cash flows.

Significant Accounting Polici11

Significant Accounting Policies Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2015
Accounting Policies [Abstract]
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block]	Investing and financing activities that are not reported in the Statements of Cash Flows due to their non-cash nature are summarized below: Nine Months Ended September 30, (In thousands) 2015 2014 Acquisition of property and equipment by capital lease $ 3,552 $ —

Long-Term Debt (Tables)

Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2015
Debt Disclosure [Abstract]
Schedule Of Long-Term Debt	Long-term debt consisted of the following: (In thousands) September 30, December 31, Senior notes $ 120,000 $ 155,714 Revolving credit facility 63,000 — Capitalized leases and other obligations 2,377 — Total long-term debt and capital lease obligations 185,377 155,714 Less: Current maturities (90,377 ) (35,714 ) Total maturities due after one year $ 95,000 $ 120,000

Significant Accounting Polici13

Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2015	Dec. 31, 2014
Accounting Policies [Abstract]
Debt and Capital Lease Obligations	$ 185,377	$ 185,377	$ 155,714
Long-term Debt, Fair Value	192,400	192,400	$ 165,500
Stock Repurchase Program, Authorized Amount	$ 200,000	$ 200,000
Stock Repurchased and Retired During Period, Shares	539,396	1,126,984
Stock Repurchased and Retired During Period, Value	$ 36,700	$ 79,100
Total Stock Repurchased And Retired Shares	1,197,604	1,197,604
Total Stock Repurchased And Retired Value	$ 84,600	$ 84,600
Stock Repurchase Program, Remaining Authorized Repurchase Amount	$ 115,400	$ 115,400

Significant Accounting Polici14

Significant Accounting Policies Significant Accounting Policies (Supplemental Schedule of Non-Cash Activities) (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Accounting Policies [Abstract]
Noncash or Part Noncash Acquisition, Fixed Assets Acquired	$ 3,552	$ 0

Long-Term Debt (Narrative) (Det

Long-Term Debt (Narrative) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Debt Instrument [Line Items]
Senior Notes	$ 120,000		$ 120,000		$ 155,714
Line of Credit Facility, Amount Outstanding	63,000		63,000		0
Debt Instrument, Collateral Amount	3,700		3,700
Letter of Credit [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Amount Outstanding	$ 68,100		68,100		$ 63,200
Senior Notes [Member]
Debt Instrument [Line Items]
Periodic principal payments			$ 25,000
Fixed interest rate, minimum			4.00%
Fixed interest rate, maximum			5.85%
Effective average interest rate	4.68%		4.68%		4.87%
Sweep Program [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Capacity Available for Specific Purpose Other than for Trade Purchases	$ 20,000		$ 20,000
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Current borrowing capacity	200,000		200,000
Line Of Credit, Additional Capacity	$ 100,000		100,000
Minimum increments under the additional borrowings			$ 25,000
Interest Rate Spread added to Rate	1.00%	1.00%	1.00%	1.00%
Revolving Credit Facility [Member] | Maximum [Member]
Debt Instrument [Line Items]
Interest Rate Spread added to Rate			1.875%
Revolving Credit Facility [Member] | Minimum [Member]
Debt Instrument [Line Items]
Interest Rate Spread added to Rate			1.00%
Letter of Credit [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Capacity Available for Specific Purpose Other than for Trade Purchases	$ 150,000		$ 150,000
Federal Funds Effective Swap Rate [Member] | Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Interest Rate Spread added to Rate			0.50%
London Interbank Offered Rate (LIBOR) [Member] | Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Interest Rate Spread added to Rate			1.00%

Long-Term Debt (Schedule Of Lon

Long-Term Debt (Schedule Of Long-Term Debt) (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Senior notes	$ 120,000	$ 155,714
Revolving credit facility	63,000	0
Capital Lease Obligations	2,377	0
Total long-term debt	185,377	155,714
Less: Current maturities	(90,377)	(35,714)
Total maturities due after one year	$ 95,000	$ 120,000

Income Taxes Income Taxes (Deta

Income Taxes Income Taxes (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Tax Disclosure [Abstract]
Tax provision at the 35% statutory rate	35.00%	35.00%	35.00%	35.00%
Effective tax rate	38.40%	37.10%	38.50%	38.70%