EXHIBIT 99.1
FOR IMMEDIATE RELEASE
ARKANSAS BEST CORPORATION
ANNOUNCES SECOND QUARTER RESULTS;
ABF(R)'S OPERATING INCOME INCREASES 17%
(Fort Smith, Arkansas, July 18, 2003) -- Arkansas Best Corporation
(Nasdaq: ABFS) today announced second quarter 2003 net income of $15.2 million,
or $0.60 per diluted common share. For the second quarter of 2002, net income
was $6.5 million, or $0.26 per diluted common share. This year's second quarter
net income includes a $12.1 million pre-tax gain ($8.4 million after-tax, or
$0.33 per diluted common share) on the sale of its 19% interest in Wingfoot
Commercial Tire Systems, LLC and a $1.2 million charge ($0.03 per diluted common
share) related to the company's interest rate swap. Arkansas Best's revenue,
during the second quarter of 2003, was $377.9 million.
ABF FREIGHT SYSTEM, INC.(R)
ABF Freight System, the company's largest subsidiary, had second
quarter 2003 revenues of $337.2 million, a per-day increase of 9.4% compared to
second quarter 2002 revenue of $308.1 million. Billed LTL revenue per
hundredweight, including fuel surcharge, was $23.49, an increase of 7.6% over
last year's second quarter figure of $21.83. Billed LTL revenue per
hundredweight, excluding fuel surcharge, was $22.71, an increase of 6.1% over
last year's second quarter figure of $21.41. Approximately one-half of the yield
increase, net of fuel surcharge, was a result of changes in the profile of
additional freight hauled since September 2002. "Despite the lack of meaningful
changes in the soft economy, we continue to be encouraged by the pricing
environment," said Robert A. Young III, Arkansas Best President and Chief
Executive Officer. "ABF's increases on contracts and deferred pricing agreements
have been favorable by historical standards and the prospects for retention of
the July 14 general rate increase are good."
ABF's second quarter LTL tonnage per day increased 2.0% compared to the
same period last year. This increase is generally what we would expect, given
normal, seasonal trends from
the first quarter to the second quarter. "ABF remains focused on individual
account profitability when evaluating new business opportunities and when
reviewing freight being handled for existing customers," said Mr. Young.
ABF's second quarter 2003 operating ratio of 95.7% was adversely
affected by increased non-union health, pension and other fringe costs. "ABF
experienced increases in the severity of large, non-union medical claims
compared to last year. Non-union pension costs increased due to lower interest
rates and market losses occurring in previous years," said Mr. Young. "The
increase in these costs over the second quarter of 2002 added approximately one
percentage point to ABF's second quarter 2003 operating ratio."
"Productivity measures at ABF were very near levels for the same period
last year despite additional shipment handling associated with ABF's transit
time improvements and premium services provided at pickup and delivery," said
Mr. Young. "These measures did show improvement over the first quarter of this
year."
"To grow, ABF will continue to emphasize expense control in order to
hold down customer costs while providing shippers with value-added services. ABF
will continue to develop niche markets that provide compensatory prices and
reasonable profit margins," said Mr. Young. "ABF will continue to improve
shipment transit times within its traditional markets. For example, ABF has
reduced shipment transit times on two-thirds of its lanes during the last few
years and further improvements are underway. ABF is actively exploring
opportunities to be more effective in shorter-haul lanes by utilizing provisions
in the new labor contract for flexible, premium service employees.
"Last week, Yellow Corporation announced that it had entered into a
definitive agreement to acquire Roadway Corporation. This development will have
a significant impact on the long-haul, LTL industry," said Mr. Young. "The
combining of these two competitors could, over time, result in opportunities for
additional business for ABF and improved pricing due to eventual reductions in
industry capacity."
CLIPPER
For the second quarter of 2003, Clipper had revenues of $33.0 million
compared to $30.4 million in the second quarter of 2002, an increase of 8.6%.
Clipper's second quarter 2003 operating ratio was 97.8% versus 97.3% during the
same period last year. "In the second quarter, Clipper experienced increases in
its dry freight, full-load business with significant improvements in the
revenues and margins of its intermodal division. At Clipper's
temperature-controlled division, revenues and profits were below expectations
due to a lack of produce moving off the West Coast and some decline in demand
from East Coast consumers," said Mr. Young. "Clipper anticipates that much of
the produce normally hauled in the second quarter will be handled in the third
quarter this year, as an unusually wet spring caused many crops to be
replanted."
COMMON STOCK PURCHASE
During the second quarter of 2003, Arkansas Best made open market
purchases, totaling 100,000 shares, of its common stock. The total purchase
price for these transactions was $2.5 million. This was a part of Arkansas
Best's previously announced program to repurchase up to a maximum of $25 million
of its common stock. These common shares were added to the company's treasury
stock.
In total, as a part of Arkansas Best's stock repurchase program, the
company has purchased 200,000 shares, totaling $4.8 million, during 2003.
PENSION STATUS
Arkansas Best Corporation has revised its 2003 pension expense estimate
to $11.1 million, including $9.6 million for ABF. This compares to its previous
pension expense estimate of $10.0 million. At the end of 2002, Arkansas Best's
pension plan assets were $127.4 million, which exceeded plan accumulated benefit
obligations by $6.8 million. During the second quarter of 2003, Arkansas Best
made $15.0 million of tax-deductible contributions, further improving the plan's
funded status.
CREDIT RATINGS IMPROVEMENT
On May 28, Standard & Poor's upgraded Arkansas Best's corporate credit
rating to BBB+ from BBB. The upgrade represents a rise to a higher investment
grade rating. In its press release announcing these changes, Standard & Poor's
stated that the rating upgrade was driven by "the company's strong operating
results and decreasing debt levels, which support solid credit measures, despite
the continued weak economic environment."
RUSSELL 2000(R) INDEX
On July 9, the Frank Russell Company announced that for the fourth year
in a row, Arkansas Best will be included in the Russell 2000(R) Index. This
index measures the performance of the smallest 2,000 securities included in the
Russell 3000(R) Index, which measures the performance of the 3,000 largest U.S.
companies based on total market
capitalization. As described by the Frank Russell Company, the Russell 2000(R)
Index is America's best-known benchmark of small-stock performance.
CONFERENCE CALL
Arkansas Best Corporation will host a conference call with company
executives to discuss the 2003 second quarter results. The call will be today,
Friday, July 18, at 11:00 a.m. EDT. Interested parties are invited to listen by
calling (877) 275-1257. Following the call, a recorded playback will be
available through the end of July. To listen to the playback, dial (800)
642-1687. The conference call ID for the playback is 1361150. The conference
call and playback can also be accessed, through Thursday, July 31, on Arkansas
Best's Internet Web site at www.arkbest.com.
COMPANY DESCRIPTION
Arkansas Best Corporation, headquartered in Fort Smith, Arkansas, is a
diversified transportation holding company with two primary operating
subsidiaries. ABF Freight System, Inc., in continuous service since 1923,
provides national transportation of less-than-truckload ("LTL") general
commodities throughout North America. Clipper is an intermodal marketing company
that provides domestic freight services utilizing rail and over-the-road
transportation.
FORWARD-LOOKING STATEMENTS
THE FOLLOWING IS A "SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES
LITIGATION REFORM ACT OF 1995: Statements contained in this press release that
are not based on historical facts are "forward-looking statements." Terms such
as "estimate," "forecast," "expect," "predict," "plan," "anticipate," "believe,"
"intend," "should," "would," "scheduled," and similar expressions and the
negatives of such terms are intended to identify forward-looking statements.
Such statements are by their nature subject to uncertainties and risk,
including, but not limited to, union relations; availability and cost of
capital; shifts in market demand; weather conditions; the performance and needs
of industries served by Arkansas Best's subsidiaries; actual future costs of
operating expenses such as fuel and related taxes; self-insurance claims and
employee wages and benefits; actual costs of continuing investments in
technology, the timing and amount of capital expenditures; competitive
initiatives and pricing pressures; general economic conditions; and other
financial, operational and legal risks and uncertainties detailed from time to
time in the Company's Securities and Exchange Commission ("SEC") public filings.
The following tables show financial data and operating statistics on
Arkansas Best Corporation and its subsidiary companies.
ARKANSAS BEST CORPORATION
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
- --------------------------------------------------------------------------------
<Table>
<Caption>
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
--------------------------- ---------------------------
2003 2002 2003 2002
------------ ------------ ------------ ------------
($ THOUSANDS, EXCEPT SHARE AND PER SHARE DATA)
OPERATING REVENUES $ 377,875 $ 345,137 $ 737,452 $ 665,335
OPERATING EXPENSES AND COSTS 364,335 331,880 714,058 647,260
------------ ------------ ------------ ------------
OPERATING INCOME ................................................ 13,540 13,257 23,394 18,075
OTHER INCOME (EXPENSE)
Net gains on sales of property and other ..................... 6 -- 6 --
Gain on sale - Wingfoot ...................................... 12,060 -- 12,060 --
Fair value changes and payments on interest rate swap (1) .... (1,245) -- (10,281) --
Interest expense ............................................. (566) (2,006) (2,506) (4,054)
Other, net ................................................... (192) (207) (304) (512)
------------ ------------ ------------ ------------
10,063 (2,213) (1,025) (4,566)
------------ ------------ ------------ ------------
INCOME BEFORE INCOME TAXES ...................................... 23,603 11,044 22,369 13,509
FEDERAL AND STATE INCOME TAXES
Current ...................................................... 4,035 3,005 3,861 (1,984)
Deferred ..................................................... 4,378 1,545 4,052 7,550
------------ ------------ ------------ ------------
8,413 4,550 7,913 5,566
------------ ------------ ------------ ------------
INCOME BEFORE CUMULATIVE EFFECT OF
CHANGE IN ACCOUNTING PRINCIPLE ............................... 15,190 6,494 14,456 7,943
------------ ------------ ------------ ------------
CUMULATIVE EFFECT OF CHANGE IN ACCOUNTING
PRINCIPLE, NET OF TAX BENEFITS OF $13,580 (2) ................ -- -- -- (23,935)
------------ ------------ ------------ ------------
NET INCOME (LOSS) FOR COMMON STOCKHOLDERS ....................... $ 15,190 $ 6,494 $ 14,456 $ (15,992)
============ ============ ============ ============
NET INCOME (LOSS) PER COMMON SHARE
BASIC:
Income before cumulative effect of change in accounting
principle .................................................. $ 0.61 $ 0.26 $ 0.58 $ 0.32
Cumulative effect of change in accounting principle, net of
tax ........................................................ -- -- -- (0.97)
------------ ------------ ------------ ------------
NET INCOME (LOSS) PER SHARE ..................................... $ 0.61 $ 0.26 $ 0.58 $ (0.65)
------------ ------------ ------------ ------------
AVERAGE COMMON SHARES
OUTSTANDING (BASIC): ......................................... 24,796,726 24,760,978 24,866,803 24,673,329
============ ============ ============ ============
DILUTED:
Income before cumulative effect of change in accounting
principle .................................................. $ 0.60 $ 0.26 $ 0.57 $ 0.32
Cumulative effect of change in accounting principle, net of
tax ........................................................ -- -- -- (0.95)
------------ ------------ ------------ ------------
NET INCOME (LOSS) PER SHARE ..................................... $ 0.60 $ 0.26 $ 0.57 $ (0.63)
------------ ------------ ------------ ------------
AVERAGE COMMON SHARES
OUTSTANDING (DILUTED) ........................................ 25,262,013 25,311,665 25,332,358 25,324,727
============ ============ ============ ============
CASH DIVIDENDS PAID PER COMMON SHARE ............................ $ 0.08 $ -- $ 0.16 $ --
============ ============ ============ ============
</Table>
(1) The second quarter 2003 includes the following pre-tax charges: $1.3
million in payments on the interest rate swap, a positive change in fair
value of $414,000, and a $400,000 non-cash charge due to no longer
forecasting interest rate payments on $110.0 million of borrowings. The six
months ended June 30, 2003 include a non-cash charge of $8.9 million, due
to no longer forecasting interest payments on $110.0 million of borrowings.
(2) In the first quarter of 2002, the Company recognized a non-cash impairment
loss of $23.9 million, net of taxes, due to the write-off of Clipper
goodwill.
ARKANSAS BEST CORPORATION
CONSOLIDATED BALANCE SHEETS
- --------------------------------------------------------------------------------
<Table>
<Caption>
JUNE 30 DECEMBER 31
2003 2002
----------- -----------
(UNAUDITED) NOTE
($ THOUSANDS)
ASSETS
CURRENT ASSETS
Cash and cash equivalents .............................................. $ 2,954 $ 39,644
Accounts receivable, less allowances (2003 - $2,929; 2002 - $2,942) .... 134,919 130,769
Prepaid expenses ....................................................... 12,815 7,787
Deferred income taxes .................................................. 25,076 26,443
Other .................................................................. 3,403 3,729
-------- --------
TOTAL CURRENT ASSETS ................................................ 179,167 208,372
PROPERTY, PLANT AND EQUIPMENT
Land and structures .................................................... 225,627 223,107
Revenue equipment ...................................................... 359,561 343,100
Service, office and other equipment .................................... 95,787 91,054
Leasehold improvements ................................................. 12,383 12,983
-------- --------
693,358 670,244
Less allowances for depreciation and amortization ...................... 349,296 330,841
-------- --------
344,062 339,403
INVESTMENT IN WINGFOOT .................................................... -- 59,341
PREPAID PENSION COSTS ..................................................... 38,452 29,017
OTHER ASSETS .............................................................. 61,302 53,225
ASSETS HELD FOR SALE ...................................................... 3,063 3,203
GOODWILL, less accumulated amortization (2003 and 2002 - $32,037) ......... 63,859 63,811
-------- --------
$689,905 $756,372
======== ========
</Table>
Note: The balance sheet at December 31, 2002 has been derived from the audited
financial statements at that date, but does not include all of the information
and footnotes required by generally accepted accounting principles for complete
financial statements.
ARKANSAS BEST CORPORATION
CONSOLIDATED BALANCE SHEETS - CONTINUED
- --------------------------------------------------------------------------------
<Table>
<Caption>
JUNE 30 DECEMBER 31
2003 2002
----------- -----------
(UNAUDITED) NOTE
($ THOUSANDS)
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Bank overdraft and drafts payable ...................................... $ 4,504 $ 7,808
Accounts payable ....................................................... 68,049 58,442
Federal and state income taxes ......................................... 2,001 5,442
Accrued expenses ....................................................... 128,200 123,294
Current portion of long-term debt ...................................... 336 328
--------- ---------
TOTAL CURRENT LIABILITIES ........................................... 203,090 195,314
LONG-TERM DEBT, less current portion ...................................... 19,714 112,151
FAIR VALUE OF INTEREST RATE SWAP .......................................... 9,022 9,853
OTHER LIABILITIES ......................................................... 63,023 59,938
DEFERRED INCOME TAXES ..................................................... 27,352 23,656
FUTURE MINIMUM RENTAL COMMITMENTS, NET
(as of June 30, 2003 - $42,456) ......................................... -- --
OTHER COMMITMENTS AND CONTINGENCIES ....................................... -- --
STOCKHOLDERS' EQUITY
Common stock, $.01 par value, authorized 70,000,000 shares;
issued 2003: 25,020,681; 2002: 24,972,086 shares .................... 250 250
Additional paid-in capital ............................................. 212,048 211,567
Retained earnings ...................................................... 164,935 154,455
Treasury stock, at cost, 2003: 259,782 shares; 2002: 59,782 shares ... (5,807) (955)
Accumulated other comprehensive loss ................................... (3,722) (9,857)
--------- ---------
TOTAL STOCKHOLDERS' EQUITY .......................................... 367,704 355,460
--------- ---------
$ 689,905 $ 756,372
========= =========
</Table>
Note: The balance sheet at December 31, 2002 has been derived from the audited
financial statements at that date, but does not include all of the information
and footnotes required by generally accepted accounting principles for complete
financial statements.
ARKANSAS BEST CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
- --------------------------------------------------------------------------------
<Table>
<Caption>
SIX MONTHS ENDED
JUNE 30
2003 2002
--------- ---------
($ THOUSANDS)
OPERATING ACTIVITIES
Net income (loss) ............................................... $ 14,456 $ (15,992)
Adjustments to reconcile net income (loss) to net cash
provided by operating activities:
Change in accounting principle, net of tax ................... -- 23,935
Depreciation and amortization ................................ 24,453 24,574
Other amortization ........................................... 173 102
Provision for losses on accounts receivable .................. 760 779
Provision for deferred income taxes .......................... 4,052 7,550
Fair value of interest rate swap ............................. 9,022 --
Loss on sales of assets and other ............................ 190 85
Gain on sale of Wingfoot ..................................... (12,060) --
Changes in operating assets and liabilities:
Receivables ............................................... (4,835) (14,859)
Prepaid expenses .......................................... (5,028) (5,935)
Other assets .............................................. (18,105) 1,504
Accounts payable, bank drafts payable, taxes payable,
accrued expenses and other liabilities .................. 12,438 12,646
--------- ---------
NET CASH PROVIDED BY OPERATING ACTIVITIES .......................... $ 25,516 $ 34,389
--------- ---------
INVESTING ACTIVITIES
Purchases of property, plant and equipment,
less capitalized leases and notes payable ..................... (28,718) (26,621)
Proceeds from asset sales ....................................... 1,320 2,814
Proceeds from sale of Wingfoot .................................. 71,309 --
Capitalization of internally developed software and other ....... (1,803) (2,707)
--------- ---------
NET CASH PROVIDED (USED) BY INVESTING ACTIVITIES ................... 42,108 (26,514)
--------- ---------
FINANCING ACTIVITIES
Borrowings under revolving credit facilities .................... 100,300 60,500
Payments under revolving credit facilities ...................... (192,500) (60,500)
Payments on long-term debt ...................................... (229) (11,214)
Retirement of bonds ............................................. -- (4,983)
Net increase (decrease) in bank overdraft ....................... (3,539) 1,889
Dividends paid on common stock .................................. (3,977) --
Purchase of treasury stock ...................................... (4,852) --
Other, net ...................................................... 483 1,765
--------- ---------
NET CASH USED BY FINANCING ACTIVITIES .............................. (104,314) (12,543)
--------- ---------
NET DECREASE IN CASH AND CASH EQUIVALENTS .......................... (36,690) (4,668)
Cash and cash equivalents at beginning of period ................ 39,644 14,860
--------- ---------
CASH AND CASH EQUIVALENTS AT END OF PERIOD ......................... $ 2,954 $ 10,192
========= =========
</Table>
ARKANSAS BEST CORPORATION
FINANCIAL STATEMENT OPERATING SEGMENT DATA
AND OPERATING RATIOS (UNAUDITED)
- --------------------------------------------------------------------------------
<Table>
<Caption>
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
2003 2002 2003 2002
--------- --------- --------- ---------
($ THOUSANDS)
OPERATING REVENUES
ABF Freight System, Inc.(1)
LTL ............................ $ 310,562 $ 282,656 $ 610,741 $ 547,506
TL ............................. 26,591 25,404 50,629 49,195
--------- --------- --------- ---------
Total .......................... 337,153 308,060 661,370 596,701
--------- --------- --------- ---------
Clipper ........................... 32,974 30,366 61,466 56,235
Other revenues and
eliminations .................... 7,748 6,711 14,616 12,399
--------- --------- --------- ---------
Total consolidated
operating revenues .............. $ 377,875 $ 345,137 $ 737,452 $ 665,335
========= ========= ========= =========
OPERATING EXPENSES AND COSTS
ABF FREIGHT SYSTEM, INC. (1)
Salaries and wages ............. $ 224,287 66.5% $ 208,893 67.8% $ 442,230 66.9% $ 408,424 68.4%
Supplies and expenses .......... 44,478 13.2 38,840 12.6 88,226 13.3 74,205 12.4
Operating taxes and
licenses ..................... 10,045 3.0 9,990 3.2 19,728 3.0 19,853 3.3
Insurance ...................... 6,049 1.8 5,212 1.7 11,642 1.8 11,146 1.9
Communications and
utilities .................... 3,658 1.1 3,295 1.1 7,469 1.1 6,738 1.1
Depreciation and
amortization ................. 10,215 3.0 10,307 3.3 20,672 3.1 20,746 3.5
Rents and purchased
transportation ............... 22,681 6.7 18,437 6.0 43,829 6.6 36,165 6.1
Other .......................... 1,085 0.4 736 0.3 1,703 0.3 1,597 0.3
(Gain) loss on sale of
equipment .................... 74 -- (158) (0.1) 201 -- (224) --
--------- ------- --------- ------- --------- ------- --------- --------
322,572 95.7% 295,552 95.9% 635,700 96.1% 578,650 97.0%
--------- ------- --------- ------- --------- ------- --------- --------
CLIPPER
Cost of services ............... 28,210 85.6% 25,672 84.5% 53,188 86.5% 48,487 86.2%
Selling, administrative
and general .................. 4,041 12.2 3,824 12.6 8,043 13.1 7,616 13.6
(Gain) loss on sale of
equipment .................... (3) -- 59 0.2 (4) -- 64 0.1
--------- ------- --------- ------- --------- ------- --------- --------
32,248 97.8% 29,555 97.3% 61,227 99.6% 56,167 99.9%
--------- ------- --------- ------- --------- ------- --------- --------
Other expenses and
eliminations .................... 9,515 6,773 17,131 12,443
--------- --------- --------- ---------
Total consolidated operating
expenses and costs .............. $ 364,335 $ 331,880 $ 714,058 $ 647,260
========= ========= ========= =========
OPERATING INCOME (LOSS)
ABF Freight System, Inc. (1) ...... $ 14,581 $ 12,508 $ 25,670 $ 18,051
Clipper ........................... 726 811 239 68
Other income (loss) and
eliminations .................... (1,767) (62) (2,515) (44)
--------- --------- --------- ---------
Total consolidated
operating income ................ $ 13,540 $ 13,257 $ 23,394 $ 18,075
========= ========= ========= =========
</Table>
(1) Includes U.S., Canadian, and Puerto Rican operations of ABF affiliates.
ARKANSAS BEST CORPORATION
FINANCIAL STATISTICS (UNAUDITED)
- --------------------------------------------------------------------------------
<Table>
<Caption>
ROLLING TWELVE MONTHS
ENDED
JUNE 30, 2003
---------------------
FINANCIAL STATISTICS
After-Tax Return on Stockholders' Equity (net income / average equity)............ 13.63%
Debt to Equity Ratio ............................................................. 0.05:1
After-Tax Return on Capital Employed (1).......................................... 13.19%
</Table>
(1) (Net income + interest after tax) / (average total debt + average equity)
ABF FREIGHT SYSTEM, INC.
OPERATING STATISTICS
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2003
- --------------------------------------------------------------------------------
<Table>
<Caption>
THREE MONTHS ENDED JUNE 30 SIX MONTHS ENDED JUNE 30
2003 2002 % CHANGE 2003 2002 % CHANGE
----------- ----------- -------- ---------- ---------- --------
Billed Revenue* / CWT LTL $ 23.49 $ 21.83 7.6% $ 23.54 $ 21.61 9.0%
TL $ 8.41 $ 7.62 10.4% $ 8.39 $ 7.65 9.7%
Total $ 20.58 $ 18.92 8.8% $ 20.68 $ 18.78 10.1%
Billed Revenue* / CWT LTL $ 22.71 $ 21.41 6.1% $ 22.63 $ 21.30 6.2%
(without fuel surcharge) TL $ 8.26 $ 7.54 9.6% $ 8.20 $ 7.59 8.0%
Total $ 19.92 $ 18.57 7.3% $ 19.91 $ 18.52 7.5%
Billed Revenue* / Shipment LTL $ 229.23 $ 217.28 5.5% $ 228.78 $ 215.92 6.0%
TL $ 1,371.05 $ 1,244.05 10.2% $ 1,360.20 $ 1,247.33 9.0%
Total $ 245.35 $ 233.15 5.2% $ 244.34 $ 231.72 5.4%
Billed Revenue* / Shipment LTL $ 221.62 $ 213.08 4.0% $ 219.90 $ 212.83 3.3%
(without fuel surcharge) TL $ 1,345.54 $ 1,230.72 9.3% $ 1,329.92 $ 1,237.22 7.5%
Total $ 237.48 $ 228.81 3.8% $ 235.16 $ 228.52 2.9%
Tonnage LTL 663,275 650,390 2.0% 1,302,472 1,272,494 2.4%
(tons) TL 158,608 167,379 (5.2)% 303,026 322,975 (6.2)%
----------- ----------- ----------- -----------
Total 821,883 817,769 0.5% 1,605,498 1,595,469 0.6%
Shipments** LTL 1,359,585 1,306,740 4.0% 2,680,678 2,546,955 5.3%
TL 19,463 20,512 (5.1)% 37,377 39,616 (5.7)%
----------- ----------- ----------- -----------
Total 1,379,048 1,327,252 3.9% 2,718,055 2,586,571 5.1%
</Table>
* Billed Revenue does not include revenue deferral required for financial
statement purposes under the Company's revenue recognition policy. Prior to
the third quarter 2002, the Company reported revenue per hundredweight
statistics using financial statement revenue recognized on a relative
transit time basis.
** LTL and total shipment counts for the three and six months ended June 30,
2002 reflect the correction of an insignificant reporting error that
appeared in the second quarter 2002 earnings press release.
There were 64 workdays in the three months ended June 30, 2003 and in the three
months ended June 30, 2002. There were 127 workdays in the six months ended June
30, 2003 and in the six months ended June 30, 2002. Includes U.S., Canadian and
Puerto Rican operations of ABF affiliates.
Contact: Mr. David E. Loeffler, Vice President, Chief Financial Officer
and Treasurer
Telephone: (479) 785-6157
Mr. David Humphrey, Director of Investor Relations
Telephone: (479) 785-6200
END OF RELEASE