UNITED STATES SECURITIES AND EXCHANGE COMMISSION 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 16, 2005 CENTRAL FREIGHT LINES, INC. (Exact name of registrant as specified in its charter) Nevada 000-50485 74-2914331 (State or other jurisdiction (Commission (IRS Employer of incorporation) File Number) Identification No.) 5601 West Waco Drive, Waco, TX 76710 (Address of principal executive offices) (Zip Code) (254) 772-2120 (Registrant's telephone number, including area code) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) <Page> Item 1.01 Entry into a Material Definitive Agreement. On June 16, 2005, Central Freight Lines, Inc. (the "Company") accelerated the vesting of substantially all stock options outstanding under the Company's Incentive Stock Plan that have exercise prices per share higher than the closing price of the Company's stock on June 16, 2005, which was $2.49. Options to purchase approximately 594,000 shares of the Company's common stock became exercisable immediately. The primary purpose of the accelerated vesting was to eliminate future compensation expense (approximately $1,700,000 beginning in 2006 and ending in 2013) the Company would otherwise recognize in its statement of operations with respect to these accelerated options upon the adoption of Financial Accounting Standards Board Statement of Financial Accounting Standards No. 123 (Revised 2004), Share-Based Payment ("SFAS 123R"). SFAS 123R will require that compensation expense associated with stock options be recognized in the statement of operations, rather than as a footnote disclosure in the Company's consolidated financial statements. The acceleration of the vesting of these options did not result in a charge based on generally accepted accounting principles. SIGNATURE 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. CENTRAL FREIGHT LINES, INC. Date: June 22, 2005 By: /s/ Jeff Hale Jeff Hale Senior Vice President and Chief Financial Officer