Impact on Condensed Consolidated Statements of Operations

The net effect of the restatement described above on the Company's previously issued condensed consolidated statements of operations for the three and six month periods ended June 30, 2016 and 2015 is as follows (in thousands, except per share data):



	Three Months Ended June 30, 2016
	As Previously Reported		Receivables & Related Reserves			Unrecorded Charges & Contingent Liabilities			Insurance Reserves & Related Receivables			Capital Improvements & Aircraft Spare Parts			Income Taxes & Debt Reclassification			As Restated
Revenues	$	483,432	$	(15	)	$	—		$	—		$	—		$	—		$	483,417
Operating expenses:
Purchased transportation costs	317,455		—			(1,794		)	—			—			—			315,661
Personnel and related benefits	71,556		—			134			—			—			—			71,690
Other operating expenses	76,261		1,635			6,101			(494		)	2,158			—			85,661
Depreciation and amortization	9,531		—			—			—			(352		)	—			9,179
Total operating expenses	474,803		1,635			4,441			(494		)	1,806			—			482,191
Operating income	8,629		(1,650		)	(4,441		)	494			(1,806		)	—			1,226
Interest expense	5,695		—			—			—			—			—			5,695
Income (loss) before provision for income taxes	2,934		(1,650		)	(4,441		)	494			(1,806		)	—			(4,469		)
Provision for (benefit from) income taxes	1,136		—			—			—			—			(2,866		)	(1,730		)
Net income (loss)	$	1,798	$	(1,650	)	$	(4,441	)	$	494		$	(1,806	)	$	2,866		$	(2,739	)
Earnings (loss) per share:
Basic	$	0.05																$	(0.07	)
Diluted	$	0.05																$	(0.07	)
Weighted average common stock outstanding:
Basic	38,319																	38,319
Diluted⁽¹⁾	38,368																	38,319

⁽¹⁾ As restated amounts for diluted weighted average common stock outstanding have been corrected for the effects of the restatement, which resulted in a net loss.



	Six Months Ended June 30, 2016
	As Previously Reported		Receivables & Related Reserves			Unrecorded Charges & Contingent Liabilities			Insurance Reserves & Related Receivables			Capital Improvements & Aircraft Spare Parts			Income Taxes & Debt Reclassification			As Restated
Revenues	$	949,064	$	1,899		$	(1,000	)	$	—		$	—		$	—		$	949,963
Operating expenses:
Purchased transportation costs	625,929		—			(2,229		)	—			—			—			623,700
Personnel and related benefits	139,157		—			882			—			—			—			140,039
Other operating expenses	145,676		2,188			6,135			785			4,750			—			159,534
Depreciation and amortization	19,067		—			—			—			(679		)	—			18,388
Total operating expenses	929,829		2,188			4,788			785			4,071			—			941,661
Operating income	19,235		(289		)	(5,788		)	(785		)	(4,071		)	—			8,302
Interest expense	11,303		—			—			—			—			—			11,303
Income (loss) before provision for income taxes	7,932		(289		)	(5,788		)	(785		)	(4,071		)	—			(3,001		)
Provision for (benefit from) income taxes	3,069		—			—			—			—			(4,231		)	(1,162		)
Net income (loss)	$	4,863	$	(289	)	$	(5,788	)	$	(785	)	$	(4,071	)	$	4,231		$	(1,839	)
Earnings (loss) per share:
Basic	$	0.13																$	(0.05	)
Diluted	$	0.13																$	(0.05	)
Weighted average common stock outstanding:
Basic	38,302																	38,302
Diluted⁽¹⁾	38,371																	38,302

⁽¹⁾ As restated amounts for diluted weighted average common stock outstanding have been corrected for the effects of the restatement, which resulted in a net loss.



	Three Months Ended June 30, 2015
	As Previously Reported		Receivables & Related Reserves			Unrecorded Charges & Contingent Liabilities			Insurance Reserves & Related Receivables			Capital Improvements & Aircraft Spare Parts			Income Taxes & Debt Reclassification			As Restated
Revenues	$	517,930	$	(307	)	$	—		$	—		$	—		$	—		$	517,623
Operating expenses:
Purchased transportation costs	346,073		—			(648		)	—			—			—			345,425
Personnel and related benefits	65,794		—			309			—			—			—			66,103
Other operating expenses	67,286		1,656			4,113			1,454			2,501			—			77,010
Depreciation and amortization	7,535		—			—			—			(101		)	—			7,434
Total operating expenses	486,688		1,656			3,774			1,454			2,400			—			495,972
Operating income	31,242		(1,963		)	(3,774		)	(1,454		)	(2,400		)	—			21,651
Interest expense	4,373		—			—			—			—			—			4,373
Income before provision for income taxes	26,869		(1,963		)	(3,774		)	(1,454		)	(2,400		)	—			17,278
Provision for income taxes	10,398		—			—			—			—			(3,691		)	6,707
Net income	$	16,471	$	(1,963	)	$	(3,774	)	$	(1,454	)	$	(2,400	)	$	3,691		$	10,571
Earnings per share:
Basic	$	0.43																$	0.28
Diluted	$	0.42																$	0.27
Weighted average common stock outstanding:
Basic	38,170																	38,170
Diluted	39,524																	39,524



	Six Months Ended June 30, 2015
	As Previously Reported		Receivables & Related Reserves			Unrecorded Charges & Contingent Liabilities			Insurance Reserves & Related Receivables			Capital Improvements & Aircraft Spare Parts			Income Taxes & Debt Reclassification			As Restated
Revenues	$	1,006,900	$	(443	)	$	—		$	—		$	—		$	—		$	1,006,457
Operating expenses:
Purchased transportation costs	674,564		—			(1,762		)	—			—			—			672,802
Personnel and related benefits	127,849		—			1,218			—			—			—			129,067
Other operating expenses	132,031		3,635			6,145			2,827			3,584			—			148,222
Depreciation and amortization	14,412		—			—			—			(171		)	—			14,241
Total operating expenses	948,856		3,635			5,601			2,827			3,413			—			964,332
Operating income	58,044		(4,078		)	(5,601		)	(2,827		)	(3,413		)	—			42,125
Interest expense	8,982		—			—			—			—			—			8,982
Income before provision for income taxes	49,062		(4,078		)	(5,601		)	(2,827		)	(3,413		)	—			33,143
Provision for income taxes	18,987		—			—			—			—			(6,235		)	12,752
Net income	$	30,075	$	(4,078	)	$	(5,601	)	$	(2,827	)	$	(3,413	)	$	6,235		$	20,391
Earnings per share:
Basic	$	0.79																$	0.54
Diluted	$	0.76																$	0.52
Weighted average common stock outstanding:
Basic⁽¹⁾	38,090																	38,091
Diluted⁽¹⁾	39,432																	39,425

⁽¹⁾ As restated amounts for basic and diluted weighted average common stock outstanding have been corrected for a computational error identified.

Impact on Condensed Consolidated Balance Sheets

The net effect of the restatement described above on the Company's previously issued condensed consolidated balance sheets as of June 30, 2016 and December 31, 2015 is as follows (in thousands):



	June 30, 2016
	As Previously Reported ⁽¹⁾		Receivables & Related Reserves			Unrecorded Charges & Contingent Liabilities			Insurance Reserves & Related Receivables			Capital Improvements & Aircraft Spare Parts			Income Taxes & Debt Reclassification			As Restated
ASSETS
Current assets:
Cash and cash equivalents	$	7,792	$	—		$	(1,693	)	$	—		$	—		$	—		$	6,099
Accounts receivable	273,554		(10,880		)	—			—			—			—			262,674
Deferred income taxes	3,264		—			—			—			—			16,015			19,279
Income tax receivable	11,261		—			—			—			—			13,632			24,893
Prepaid expenses and other current assets	42,645		(1,139		)	(12,308		)	(2,721		)	(2,882		)	—			23,595
Total current assets	338,516		(12,019		)	(14,001		)	(2,721		)	(2,882		)	29,647			336,540
Property and equipment	193,104		—			302			—			(5,093		)	—			188,313
Other assets:
Goodwill	691,687		(2,136		)	(1,896		)	—			(9,626		)	3,984			682,013
Intangible assets, net	72,407		—			(1,000		)	—			—			—			71,407
Other noncurrent assets	6,603		(326		)	1,704			—			415			—			8,396
Total other assets	770,697		(2,462		)	(1,192		)	—			(9,211		)	3,984			761,816
Total assets	$	1,302,317	$	(14,481	)	$	(14,891	)	$	(2,721	)	$	(17,186	)	$	33,631		$	1,286,669

LIABILITIES AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Current maturities of debt	$	15,000	$	—		$	—		$	—		$	—		$	391,378		$	406,378
Accounts payable	118,850		11,379			3,194			—			—			—			133,423
Accrued expenses and other current liabilities	40,088		467			13,928			18,113			—			108			72,704
Total current liabilities	173,938		11,846			17,122			18,113			—			391,486			612,505
Long-term debt, net of current maturities	391,378		—			—			—			—			(391,378		)	—
Long-term deferred tax liabilities	104,767		—			—			—			—			688			105,455
Other long-term liabilities	13,400		—			45			—			—			—			13,445
Total liabilities	683,483		11,846			17,167			18,113			—			796			731,405
Commitments and contingencies (Note 10)
Stockholders’ investment:
Common stock	383		—			—			—			—			—			383
Additional paid-in capital	397,917		—			—			—			—			—			397,917
Retained earnings	220,534		(26,327		)	(32,058		)	(20,834		)	(17,186		)	32,835			156,964
Total stockholders’ investment	618,834		(26,327		)	(32,058		)	(20,834		)	(17,186		)	32,835			555,264
Total liabilities and stockholders’ investment	$	1,302,317	$	(14,481	)	$	(14,891	)	$	(2,721	)	$	(17,186	)	$	33,631		$	1,286,669

⁽¹⁾As previously reported balances have been revised to separate taxes receivable from prepaid expenses and other current assets and long-term deferred tax liabilities from other long-term liabilities.



	December 31, 2015
	As Previously Reported ⁽¹⁾		Receivables & Related Reserves			Unrecorded Charges & Contingent Liabilities			Insurance Reserves & Related Receivables			Capital Improvements & Aircraft Spare Parts			Income Taxes & Debt Reclassification			As Restated
ASSETS
Current assets:
Cash and cash equivalents	$	8,664	$	—		$	(734	)	$	—		$	—		$	—		$	7,930
Accounts receivable	272,176		(12,147		)	—			—			—			—			260,029
Deferred income taxes	4,876		—			—			—			—			16,015			20,891
Income tax receivable	11,262		—			—			—			—			9,401			20,663
Prepaid expenses and other current assets	50,839		(112		)	(10,464		)	(2,405		)	(807		)	—			37,051
Total current assets	347,817		(12,259		)	(11,198		)	(2,405		)	(807		)	25,416			346,564
Property and equipment	197,744		—			302			—			(2,682		)	—			195,364
Other assets:
Goodwill	691,118		(2,136		)	(530		)	—			(9,626		)	3,984			682,810
Intangible assets, net	76,694		—			(1,000		)	—			—			—			75,694
Other noncurrent assets	6,183		(230		)	1,368			—			—			—			7,321
Total other assets	773,995		(2,366		)	(162		)	—			(9,626		)	3,984			765,825
Total assets	$	1,319,556	$	(14,625	)	$	(11,058	)	$	(2,405	)	$	(13,115	)	$	29,400		$	1,307,753

LIABILITIES AND STOCKHOLDERS’ INVESTMENT
Current liabilities:
Current maturities of debt	$	15,000	$	—		$	—		$	—		$	—		$	417,830		$	432,830
Accounts payable	104,357		11,125			684			—			—			—			116,166
Accrued expenses and other current liabilities	48,657		288			15,225			17,644			—			108			81,922
Total current liabilities	168,014		11,413			15,909			17,644			—			417,938			630,918
Long-term debt, net of current maturities	417,830		—			—			—			—			(417,830		)	—
Long-term deferred tax liabilities	104,400		—			—			—			—			688			105,088
Other long-term liabilities	16,005		—			(697		)	—			—			—			15,308
Total liabilities	706,249		11,413			15,212			17,644			—			796			751,314
Commitments and contingencies (Note 10)
Stockholders’ investment:
Common stock	383		—			—			—			—			—			383
Additional paid-in capital	397,253		—			—			—			—			—			397,253
Retained earnings	215,671		(26,038		)	(26,270		)	(20,049		)	(13,115		)	28,604			158,803
Total stockholders’ investment	613,307		(26,038		)	(26,270		)	(20,049		)	(13,115		)	28,604			556,439
Total liabilities and stockholders’ investment	$	1,319,556	$	(14,625	)	$	(11,058	)	$	(2,405	)	$	(13,115	)	$	29,400		$	1,307,753

Impact on Condensed Consolidated Statements of Cash Flows

The net effect of the restatement described above on the Company's previously issued condensed consolidated statements of cash flows for the six months ended June 30, 2016 and 2015 is as follows (in thousands):



	Six Months Ended June 30, 2016
	As Previously Reported			Adjustments			As Restated
Cash flows from operating activities:
Net income (loss)	$	4,863		$	(6,702	)	$	(1,839	)
Depreciation and amortization	20,439			(678		)	19,761
Gain on disposal of property and equipment	(1,556		)	1,320			(236		)
Provision for bad debts	974			476			1,450
Deferred tax provision	367			—			367
Share-based compensation	1,126			—			1,126
Tax deficiency on share-based compensation	285			—			285
Changes in:
Accounts receivable	(2,352		)	(1,743		)	(4,095		)
Income tax receivable	—			(4,230		)	(4,230		)
Prepaid expenses and other assets	8,316			4,606			12,922
Accounts payable	14,493			2,764			17,257
Accrued expenses and other liabilities	(7,189		)	164			(7,025		)
Net cash provided by operating activities	39,766			(4,023		)	35,743
Cash flows from investing activities:
Capital expenditures	(13,766		)	3,135			(10,631		)
Proceeds from sale of property and equipment	5,082			—			5,082
Net cash used in investing activities	(8,684		)	3,135			(5,549		)
Cash flows from financing activities:
Net cash used in financing activities	(31,954		)	(71		)	(32,025		)
Net decrease in cash and cash equivalents	(872		)	(959		)	(1,831		)
Cash and cash equivalents:
Beginning of period	8,664			(734		)	7,930
End of period	$	7,792		$	(1,693	)	$	6,099



	Six Months Ended June 30, 2015
	As Previously Reported			Adjustments			As Restated
Cash flows from operating activities:
Net income	$	30,075		$	(9,684	)	$	20,391
Depreciation and amortization	15,511			(172		)	15,339
Loss on disposal of property and equipment	50			1,650			$	1,700
Provision for bad debts	1,044			1,021			2,065
Deferred tax provision	1,366			—			1,366
Share-based compensation	1,621			—			1,621
Adjustment to contingent purchase obligations	—			(191		)	(191		)
Excess tax benefit on share-based compensation	(1,191		)	—			(1,191		)
Changes in:
Accounts receivable	(27,968		)	987			(26,981		)
Income tax receivable	—			(6,235		)	(6,235		)
Prepaid expenses and other assets	2,392			3,158			5,550
Accounts payable	(5,502		)	1,865			(3,637		)
Accrued expenses and other liabilities	2,565			6,107			8,672
Net cash provided by operating activities	19,963			(1,494		)	18,469
Cash flows from investing activities:
Acquisition of business, net of cash acquired	(87		)	—			(87		)
Capital expenditures	(27,714		)	1,779			(25,935		)
Proceeds from sale of property and equipment	1,996			—			1,996
Net cash used in investing activities	(25,805		)	1,779			(24,026		)
Cash flows from financing activities:
Net cash provided by financing activities	960			(263		)	697
Net decrease in cash and cash equivalents	(4,882		)	22			(4,860		)
Cash and cash equivalents:
Beginning of period	11,345			(536		)	10,809
End of period	$	6,463		$	(514	)	$	5,949