CHATTANOOGA, Tenn., April 07, 2021 (GLOBE NEWSWIRE) — Covenant Logistics Group, Inc. (NASDAQ/GS: CVLG) (“Covenant”) announced today key changes to the executive leadership team.
Chairman and Chief Executive Officer, David R. Parker, commented: “Based on the successful execution of our strategic plan during 2020 and the rate of improvement in 2021, we are accelerating the planned evolution of our management team. We have great confidence in the next generation of leaders, and it is time for them to enhance their contribution. To this end, I am excited to announce the creation of the Office of the CEO. I will remain Chairman and CEO, Joey Hogan will be President and Paul Bunn has been promoted to Senior Executive Vice President and Chief Operating Officer, both reporting to me.
Paul Bunn will assume daily responsibility for all operations, sales and operational improvement of Covenant. He has been with the company for 12 years and has excelled as a leader within the financial and administrative side of Covenant, particularly leading the due diligence and transition team for the Landair acquisition. The respect and relationships already built with the sales and operations teams will allow a quick and seamless transition for Paul, keeping our team focused on our strategic plan.
Joey Hogan will continue focusing on mentoring our leadership team while leading the financial and administrative side of Covenant. During his almost 24 years at Covenant, Joey has led where needed and has accumulated much experience in many areas. Joey will become our Principal Financial Officer.
John Tweed will step back from the Co-President position and transition to a short-term consulting role effective July 3, 2021. He will continue to focus on improving legacy dedicated contracts, expanding the Warehousing segment, and refining our new FP&A process, as well as providing support and leadership to the next generation of leaders in sales and operations.
I appreciate the full support of Joey, John, Paul and our Board in facilitating this change and preparing Covenant for the next step in generating sustained excellence.”
Covenant Logistics Group, Inc., through its subsidiaries, offers a portfolio of transportation and logistics services to customers throughout the United States. Primary services include asset- based expedited, dedicated, and irregular route truckload capacity, as well as asset-light warehousing, transportation management, and freight brokerage capability. In addition, Transport Enterprise Leasing is an affiliated company providing revenue equipment sales and leasing services to the trucking industry. Covenant’s Class A common stock is traded on the NASDAQ Global Select market under the symbol, “CVLG.”
This
press
release
contains
certain
statements
that
may
be
considered
forward-looking
statements
within
the
meaning
of
Section
27A
of
the
Securities
Act
of
1933,
as
amended, and
Section
21E
of
the
Securities
Exchange
Act
of
1934,
as
amended, and such statements are subject to the safe harbor created by those sections and the Private Securities
Litigation Reform Act of 1995, as amended.
Such statements may be identified by their use of terms or phrases such
as
“expects,”
“estimates,”
“projects,”
“believes,”
“anticipates,”
“plans,”
“could,”
“would,”
“may,”
“will,”
“intends,”
“outlook,”
“focus,”
“seek,”
“potential,”
“mission,”
“continue,”
“goal,”
“target,”
“objective,”
derivations thereof, and similar terms and phrases.
Forward-looking statements are based upon the current beliefs
and expectations of our management and are inherently subject to risks and uncertainties, some of which cannot be
predicted
or
quantified,
which
could
cause
future
events
and
actual
results
to
differ
materially
from
those
set
forth
in,
contemplated by, or underlying the forward-looking statements.
In this press release, the statements relating to
expectations for our realigned management team and our ability to execute our strategic plan are forward-looking
statements. The following factors, among others could cause actual results to differ materially from those in the
forward-looking statements: elevated experience in the frequency and severity of claims relating to accident, cargo,
workers’ compensation, health, and other claims, increased insurance premiums, erosion of available limits in our
aggregate insurance policies and additional expenses to reinstate insurance policies due to liability claims, higher
self-insured
retentions,
reduced
insurance
coverage,
fluctuations
in
claims
expenses
that
result
from
our
self-insured
retention
amounts,
including
in
our
excess
layers
and
in
respect
of
claims
for
which
we
commute
policy
coverage,
and
the requirement that we pay additional premiums if there are claims in certain of those layers, differences between
estimates used in establishing and adjusting claims reserves and actual results over time, adverse changes in claims
experience and loss development factors, or additional changes in management’s estimates of liability based upon
such
experience
and
development
factors
that
cause
our
expectations
of
insurance
and
claims
expense
to
be
inaccurate
or
otherwise
impacts
our
results;
government
regulations
imposed
on
our
captive
insurance
companies;
changes
in t
he market condition for used revenue equipment and real estate that impact our capital expenditures and our ability
to dispose of revenue equipment and real estate on the schedule and for the prices we expect; increases in the prices
paid
for
new
revenue
equipment
that
impact
our
capital
expenditures
and
our
results
generally;
changes
in
management’s estimates of the need for new tractors and trailers; the effect of any reduction in tractor purchases on
the number of tractors that will be accepted by manufacturers under tradeback arrangements; our inability to generate
sufficient cash from operations and obtain financing on favorable terms to meet our significant ongoing capital
requirements;
our
ability
to
respond
to
changes
in
our
industry
or
business
in
light
of
our
indebtedness
and
operating
lease obligations; our ability to improve profitability in the future; our ability to maintain compliance with the
provisions of our credit agreements, particularly financial covenants in our revolving credit facility; excess tractor
or trailer capacity in the trucking industry; decreased demand for our services or loss of one or more of our major
customers; our ability to renew Dedicated service offering contracts on the terms and schedule we expect; surplus
inventories,
recessionary
economic
cycles,
and
downturns
in
customers’
business
cycles;
strikes,
work
slowdowns,
or
work stoppages at the Company, customers, ports, or other shipping related facilities; armed conflicts or terrorist
attacks; deterioration of U.S. transportation infrastructure and reduced investment in such infrastructure; increases
or rapid fluctuations in fuel prices, as well as fluctuations in hedging activities and surcharge collection, including,
but not limited to, changes in customer fuel surcharge policies and increases in fuel surcharge bases by customers;
the volume and terms of diesel purchase commitments and hedging contracts; increases in compensation for and
difficulty in attracting and retaining qualified drivers and independent contractors; our ability to retain our key
employees;
the
risks
associated
with
engaging
independent
contractors
to
provide
a
portion
of
our
capacity;
seasonal
factors
such
as
harsh
weather
conditions
that
increase
operating
costs;
competition
from
trucking,
rail,
and
intermodal competitors; our dependence on third-party providers, particularly in our Managed Freight segment;
regulatory
requirements
that
increase
costs,
decrease
efficiency,
or
impact
the
availability
or
effective
driving
time
of
our
drivers
and
other
drivers
in
the
industry,
including
the
terms
and
exemptions
from
hours-of-service
and
electronic
log
requirements
for
drivers
and
the
Federal
Motor
Carrier
Safety
Administration’s
Compliance,
Safety,
Accountability program applicable to driver standards and the methodology for determining a carrier’s Department
of Transportation safety rating; compliance with environmental laws and regulations; developments in labor and
employment
law;
changes
to
trade
regulation,
quotas,
duties,
or
tariffs;
the
proper
functioning
and
availability
of
our
management
information
and
communication
systems
and
other
information
technology
assets;
volatility
of
our
stock
price; impairment of goodwill and other intangible assets; future outcomes of litigation; the ability to reduce, or
control
increases
in,
operating
costs;
changes
in
the
Company’s
business
strategy
that
require
the
acquisition
of
new
businesses,
the
disposition
of
businesses,
and
the
ability
to
identify
acceptable
acquisition
candidates
and
appropriate
assets or businesses to be disposed, consummate acquisitions and dispositions, and integrate acquired operations;
our ability to achieve our strategic plan; fluctuations in the results of Transport Enterprise Leasing, which are
included as equity in income (loss) of affiliate in our financial statements; additional charges in connection with the
disposition of substantially all of the operations and assets of TFS; our Chairman of the Board and Chief Executive
Officer
and
his
wife
control
a
large
portion
of
our
stock
and
have
substantial
control
over
us,
which
could
limit
other
stockholders’ ability to influence the outcome of key transactions, including changes of control; provisions in our
charter documents or Nevada law which may inhibit a takeover and could limit the price of our stock; failure to
maintain effective internal controls over financial reporting; future share repurchases, if any; and the impact of the
recent
coronavirus
outbreak
or
other
similar
outbreaks.
Readers
should
review
and
consider
these
factors
along
with
the various disclosures by the Company in its press releases, stockholder reports, and filings with the Securities and
Exchange Commission. We disclaim any obligation to update or revise any forward-looking statements to reflect
actual
results
or
changes
in
the
factors
affecting the forward-looking
information.
For further information contact:
Joey Hogan, President
[email protected]
Tripp Grant, Chief Accounting Officer
[email protected]
For copies of Company information contact:
Brooke McKenzie, Executive Administrative Assistant
[email protected]