|
|
|
Delaware
|
|
20-2454942
|
(State or Other Jurisdiction of
Incorporation or Organization)
|
|
(I.R.S. Employer
Identification No.)
|
|
|
|
1431 Opus Place, Suite 530
Downers Grove, Illinois
|
|
60515
|
(Address of Principal Executive Offices)
|
|
(Zip Code)
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
Common Stock, par value $.01 per share
|
RRTS
|
The New York Stock Exchange
|
Large accelerated filer
|
|
o
|
|
Accelerated filer
|
|
x
|
Non-accelerated filer
|
|
o
|
|
Smaller reporting company
|
|
x
|
|
|
|
|
Emerging growth company
|
|
o
|
|
|
|
|
ITEM 1.
|
FINANCIAL STATEMENTS.
|
(In thousands, except par value)
|
June 30,
2019 |
|
December 31,
2018 |
||||
ASSETS
|
|
|
|
||||
Current assets:
|
|
|
|
||||
Cash and cash equivalents
|
$
|
4,896
|
|
|
$
|
11,179
|
|
Accounts receivable, net of allowances of $8,260 and $9,980, respectively
|
243,457
|
|
|
274,843
|
|
||
Income tax receivable
|
2,366
|
|
|
3,910
|
|
||
Prepaid expenses and other current assets
|
50,103
|
|
|
61,106
|
|
||
Total current assets
|
300,822
|
|
|
351,038
|
|
||
Property and equipment,
net of accumulated depreciation of $153,335 and $130,077, respectively
|
212,945
|
|
|
188,706
|
|
||
Other assets:
|
|
|
|
||||
Operating lease right-of-use asset
|
114,523
|
|
|
—
|
|
||
Goodwill
|
171,900
|
|
|
264,826
|
|
||
Intangible assets, net
|
37,144
|
|
|
42,526
|
|
||
Other noncurrent assets
|
5,987
|
|
|
6,361
|
|
||
Total other assets
|
329,554
|
|
|
313,713
|
|
||
Total assets
|
$
|
843,321
|
|
|
$
|
853,457
|
|
LIABILITIES AND STOCKHOLDERS’ INVESTMENT (DEFICIT)
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Current maturities of debt
|
$
|
2,566
|
|
|
$
|
13,171
|
|
Current maturities of indebtedness to related party
|
9,133
|
|
|
—
|
|
||
Current finance lease liability
|
21,799
|
|
|
13,229
|
|
||
Current operating lease liability
|
35,373
|
|
|
—
|
|
||
Accounts payable
|
132,549
|
|
|
160,242
|
|
||
Accrued expenses and other current liabilities
|
89,889
|
|
|
110,943
|
|
||
Total current liabilities
|
291,309
|
|
|
297,585
|
|
||
Deferred tax liabilities
|
3,225
|
|
|
3,953
|
|
||
Other long-term liabilities
|
3,339
|
|
|
7,857
|
|
||
Long-term finance lease liability
|
72,150
|
|
|
37,737
|
|
||
Long-term operating lease liability
|
85,223
|
|
|
—
|
|
||
Long-term debt, net of current maturities
|
134,830
|
|
|
155,596
|
|
||
Long-term indebtedness to related party
|
31,848
|
|
|
—
|
|
||
Preferred stock
|
—
|
|
|
402,884
|
|
||
Total liabilities
|
621,924
|
|
|
905,612
|
|
||
Commitments and contingencies (Note 12)
|
|
|
|
||||
Stockholders’ investment (deficit):
|
|
|
|
||||
Common stock $.01 par value; 44,000 and 4,200 shares authorized, respectively; 37,637 and 1,556 shares issued and outstanding, respectively
|
376
|
|
|
16
|
|
||
Additional paid-in capital
|
847,383
|
|
|
405,243
|
|
||
Retained deficit
|
(626,362
|
)
|
|
(457,414
|
)
|
||
Total stockholders’ investment (deficit)
|
221,397
|
|
|
(52,155
|
)
|
||
Total liabilities and stockholders’ investment (deficit)
|
$
|
843,321
|
|
|
$
|
853,457
|
|
(In thousands, except per share amounts)
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
June 30,
|
|
June 30,
|
||||||||||||
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Revenues
|
$
|
480,688
|
|
|
$
|
558,026
|
|
|
$
|
987,836
|
|
|
$
|
1,128,010
|
|
Operating expenses:
|
|
|
|
|
|
|
|
||||||||
Purchased transportation costs
|
317,785
|
|
|
380,072
|
|
|
660,560
|
|
|
781,035
|
|
||||
Personnel and related benefits
|
81,686
|
|
|
75,838
|
|
|
160,901
|
|
|
151,725
|
|
||||
Other operating expenses
|
95,939
|
|
|
99,712
|
|
|
185,553
|
|
|
197,211
|
|
||||
Depreciation and amortization
|
14,788
|
|
|
9,124
|
|
|
30,330
|
|
|
18,189
|
|
||||
Operations restructuring costs
|
—
|
|
|
4,655
|
|
|
—
|
|
|
4,655
|
|
||||
Impairment charges
|
108,331
|
|
|
—
|
|
|
109,109
|
|
|
—
|
|
||||
Total operating expenses
|
618,529
|
|
|
569,401
|
|
|
1,146,453
|
|
|
1,152,815
|
|
||||
Operating loss
|
(137,841
|
)
|
|
(11,375
|
)
|
|
(158,617
|
)
|
|
(24,805
|
)
|
||||
Interest expense:
|
|
|
|
|
|
|
|
||||||||
Interest expense - preferred stock
|
—
|
|
|
31,609
|
|
|
—
|
|
|
38,724
|
|
||||
Interest expense - debt
|
4,632
|
|
|
2,623
|
|
|
8,514
|
|
|
5,051
|
|
||||
Total interest expense
|
4,632
|
|
|
34,232
|
|
|
8,514
|
|
|
43,775
|
|
||||
Loss on debt restructuring
|
—
|
|
|
—
|
|
|
2,270
|
|
|
—
|
|
||||
Loss before income taxes
|
(142,473
|
)
|
|
(45,607
|
)
|
|
(169,401
|
)
|
|
(68,580
|
)
|
||||
Benefit from income taxes
|
(524
|
)
|
|
(3,652
|
)
|
|
(453
|
)
|
|
(2,982
|
)
|
||||
Net loss
|
$
|
(141,949
|
)
|
|
$
|
(41,955
|
)
|
|
$
|
(168,948
|
)
|
|
$
|
(65,598
|
)
|
Loss per share:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
(3.77
|
)
|
|
$
|
(27.24
|
)
|
|
$
|
(6.39
|
)
|
|
$
|
(42.62
|
)
|
Diluted
|
$
|
(3.77
|
)
|
|
$
|
(27.24
|
)
|
|
$
|
(6.39
|
)
|
|
$
|
(42.62
|
)
|
Weighted average common stock outstanding:
|
|
|
|
|
|
|
|
||||||||
Basic
|
37,603
|
|
|
1,540
|
|
|
26,442
|
|
|
1,539
|
|
||||
Diluted
|
37,603
|
|
|
1,540
|
|
|
26,442
|
|
|
1,539
|
|
|
Common Stock
|
|
|
|
|
|
|
|||||||||||
(In thousands, except shares)
|
Shares
|
|
Amount
|
|
Additional Paid-In Capital
|
|
Retained Deficit
|
|
Total Stockholders'
Investment (Deficit)
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||
BALANCE, December 31, 2018
|
1,555,868
|
|
|
$
|
16
|
|
|
$
|
405,243
|
|
|
$
|
(457,414
|
)
|
|
$
|
(52,155
|
)
|
Issuance of restricted stock units, net of taxes paid
|
5,664
|
|
|
—
|
|
|
(8
|
)
|
|
—
|
|
|
(8
|
)
|
||||
Issuance of common stock
|
36,000,000
|
|
|
360
|
|
|
449,640
|
|
|
—
|
|
|
450,000
|
|
||||
Common stock issuance costs
|
—
|
|
|
—
|
|
|
(11,985
|
)
|
|
—
|
|
|
(11,985
|
)
|
||||
Share-based compensation
|
—
|
|
|
—
|
|
|
1,599
|
|
|
—
|
|
|
1,599
|
|
||||
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(26,999
|
)
|
|
(26,999
|
)
|
||||
BALANCE, March 31, 2019
|
37,561,532
|
|
|
$
|
376
|
|
|
$
|
844,489
|
|
|
$
|
(484,413
|
)
|
|
$
|
360,452
|
|
Issuance of restricted stock units, net of taxes paid
|
75,590
|
|
|
—
|
|
|
(175
|
)
|
|
—
|
|
|
(175
|
)
|
||||
Share-based compensation
|
—
|
|
|
—
|
|
|
3,069
|
|
|
—
|
|
|
3,069
|
|
||||
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(141,949
|
)
|
|
(141,949
|
)
|
||||
BALANCE, June 30, 2019
|
37,637,122
|
|
|
$
|
376
|
|
|
$
|
847,383
|
|
|
$
|
(626,362
|
)
|
|
$
|
221,397
|
|
|
Common Stock
|
|
|
|
|
|
|
|||||||||||
(In thousands, except shares)
|
Shares
|
|
Amount
|
|
Additional Paid-In Capital
|
|
Retained Deficit
|
|
Total Stockholders'
Investment (Deficit)
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||
BALANCE, December 31, 2017
|
1,536,925
|
|
|
$
|
15
|
|
|
$
|
403,535
|
|
|
$
|
(292,703
|
)
|
|
$
|
110,847
|
|
Issuance of restricted stock units, net of taxes paid
|
3,272
|
|
|
—
|
|
|
(75
|
)
|
|
—
|
|
|
(75
|
)
|
||||
Share-based compensation
|
—
|
|
|
—
|
|
|
523
|
|
|
—
|
|
|
523
|
|
||||
Cumulative effect of change in accounting principle
|
—
|
|
|
—
|
|
|
—
|
|
|
886
|
|
|
886
|
|
||||
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(23,643
|
)
|
|
(23,643
|
)
|
||||
BALANCE, March 31, 2018
|
1,540,197
|
|
|
$
|
15
|
|
|
$
|
403,983
|
|
|
$
|
(315,460
|
)
|
|
$
|
88,538
|
|
Issuance of restricted stock units, net of taxes paid
|
93
|
|
|
—
|
|
|
(1
|
)
|
|
—
|
|
|
(1
|
)
|
||||
Share-based compensation
|
—
|
|
|
—
|
|
|
372
|
|
|
—
|
|
|
372
|
|
||||
Net loss
|
—
|
|
|
—
|
|
|
—
|
|
|
(41,955
|
)
|
|
(41,955
|
)
|
||||
BALANCE, June 30, 2018
|
1,540,290
|
|
|
$
|
15
|
|
|
$
|
404,354
|
|
|
$
|
(357,415
|
)
|
|
$
|
46,954
|
|
(In thousands)
|
Six Months Ended
|
||||||
|
June 30,
|
||||||
|
2019
|
|
2018
|
||||
Cash flows from operating activities:
|
|
|
|
||||
Net loss
|
$
|
(168,948
|
)
|
|
$
|
(65,598
|
)
|
Adjustments to reconcile net loss to net cash used in operating activities:
|
|
|
|
||||
Depreciation and amortization
|
30,720
|
|
|
18,552
|
|
||
Change in fair value of preferred stock
|
—
|
|
|
37,663
|
|
||
Amortization of preferred stock issuance costs
|
—
|
|
|
1,061
|
|
||
Loss on disposal of property and equipment
|
355
|
|
|
1,972
|
|
||
Share-based compensation
|
4,668
|
|
|
895
|
|
||
Loss on debt restructuring
|
2,270
|
|
|
—
|
|
||
Provision for bad debts
|
491
|
|
|
2,030
|
|
||
Deferred tax benefit
|
(729
|
)
|
|
(3,544
|
)
|
||
Impairment charges
|
109,109
|
|
|
—
|
|
||
Changes in:
|
|
|
|
||||
Accounts receivable
|
30,895
|
|
|
27,156
|
|
||
Income tax receivable
|
1,544
|
|
|
911
|
|
||
Prepaid expenses and other assets
|
30,676
|
|
|
6,900
|
|
||
Accounts payable
|
(29,879
|
)
|
|
(23,852
|
)
|
||
Accrued expenses and other liabilities
|
(30,718
|
)
|
|
(5,052
|
)
|
||
Net cash used in operating activities
|
(19,546
|
)
|
|
(906
|
)
|
||
Cash flows from investing activities:
|
|
|
|
||||
Capital expenditures
|
(13,043
|
)
|
|
(11,391
|
)
|
||
Proceeds from sale of property and equipment
|
1,882
|
|
|
927
|
|
||
Net cash used in investing activities
|
(11,161
|
)
|
|
(10,464
|
)
|
||
Cash flows from financing activities:
|
|
|
|
||||
Borrowings under revolving credit facilities
|
523,478
|
|
|
—
|
|
||
Payments under revolving credit facilities
|
(526,643
|
)
|
|
—
|
|
||
Term debt borrowings
|
52,592
|
|
|
557
|
|
||
Term debt payments
|
(39,714
|
)
|
|
(11,846
|
)
|
||
Debt issuance costs
|
(2,005
|
)
|
|
—
|
|
||
Payments of debt extinguishment costs
|
(693
|
)
|
|
—
|
|
||
Proceeds from issuance of common stock
|
450,000
|
|
|
—
|
|
||
Common stock issuance costs
|
(10,514
|
)
|
|
—
|
|
||
Proceeds from issuance of preferred stock
|
—
|
|
|
34,999
|
|
||
Preferred stock issuance costs
|
—
|
|
|
(1,061
|
)
|
||
Preferred stock payments
|
(402,884
|
)
|
|
—
|
|
||
Issuance of restricted stock units, net of taxes paid
|
(183
|
)
|
|
(76
|
)
|
||
Payments on insurance premium financing
|
(9,957
|
)
|
|
—
|
|
||
Payment of capital lease obligation
|
(9,053
|
)
|
|
(1,267
|
)
|
||
Net cash provided by financing activities
|
24,424
|
|
|
21,306
|
|
||
Net (decrease) increase in cash and cash equivalents
|
(6,283
|
)
|
|
9,936
|
|
||
Cash and cash equivalents:
|
|
|
|
||||
Beginning of period
|
11,179
|
|
|
25,702
|
|
||
End of period
|
$
|
4,896
|
|
|
$
|
35,638
|
|
|
Six Months Ended
|
||||||
(In thousands)
|
June 30,
|
||||||
|
2019
|
|
2018
|
||||
Supplemental cash flow information:
|
|
|
|
||||
Cash paid for interest
|
$
|
8,125
|
|
|
$
|
4,966
|
|
Cash (refunds from) paid for income taxes, net
|
$
|
(787
|
)
|
|
$
|
144
|
|
Non-cash finance leases and other obligations to acquire assets
|
$
|
52,456
|
|
|
$
|
10,451
|
|
Capital expenditures, not yet paid
|
$
|
2,814
|
|
|
$
|
—
|
|
|
Approximate Percent Change in Estimated Fair Value
|
||
|
+/- 50 bps Discount Rate
|
|
+/- 50bps Growth Rate
|
|
|
|
|
Domestic and International Logistics reporting unit
|
(2.5%) / 2.5%
|
|
1.5% / (1.8%)
|
Warehousing & Consolidation reporting unit
|
(2.2%) / 2.2%
|
|
1.6% / (1.9%)
|
|
|
|
Active
|
|
|
|
|
|
|
||||||||||
|
Ascent
|
|
On-Demand
|
|
LTL
|
|
TL
|
|
Total
|
||||||||||
Balance as of December 31, 2018
|
$
|
171,900
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
92,926
|
|
|
$
|
264,826
|
|
Goodwill impairment charges
|
—
|
|
|
—
|
|
|
—
|
|
|
(92,926
|
)
|
|
(92,926
|
)
|
|||||
Balance as of June 30, 2019
|
$
|
171,900
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
171,900
|
|
|
|
|
Active
|
|
|
|
|
|
|
||||||||||
|
Ascent
|
|
On-Demand
|
|
LTL
|
|
TL
|
|
Total
|
||||||||||
Balance as of December 31, 2018
|
$
|
46,763
|
|
|
$
|
—
|
|
|
$
|
197,312
|
|
|
$
|
132,408
|
|
|
$
|
376,483
|
|
Goodwill impairment charges
|
—
|
|
|
—
|
|
|
—
|
|
|
92,926
|
|
|
92,926
|
|
|||||
Balance as of June 30, 2019
|
$
|
46,763
|
|
|
$
|
—
|
|
|
$
|
197,312
|
|
|
$
|
225,334
|
|
|
$
|
469,409
|
|
|
June 30, 2019
|
|
December 31, 2018
|
||||||||||||||||||||
|
Gross
Carrying Amount |
|
Accumulated
Amortization |
|
Net Carrying
Value |
|
Gross
Carrying Amount |
|
Accumulated
Amortization |
|
Net Carrying
Value |
||||||||||||
Ascent
|
$
|
27,152
|
|
|
$
|
(18,474
|
)
|
|
$
|
8,678
|
|
|
$
|
27,152
|
|
|
$
|
(17,248
|
)
|
|
$
|
9,904
|
|
Active On-Demand
|
31,547
|
|
|
(12,424
|
)
|
|
19,123
|
|
|
31,547
|
|
|
(11,139
|
)
|
|
20,408
|
|
||||||
LTL
|
2,498
|
|
|
(2,008
|
)
|
|
490
|
|
|
2,498
|
|
|
(1,925
|
)
|
|
573
|
|
||||||
TL
|
20,261
|
|
|
(11,408
|
)
|
|
8,853
|
|
|
23,461
|
|
|
(11,820
|
)
|
|
11,641
|
|
||||||
Total
|
$
|
81,458
|
|
|
$
|
(44,314
|
)
|
|
$
|
37,144
|
|
|
$
|
84,658
|
|
|
$
|
(42,132
|
)
|
|
$
|
42,526
|
|
|
June 30,
2019 |
||
Assets:
|
|
||
Finance lease assets, net (included in property and equipment)
|
$
|
94,308
|
|
Operating lease right-of-use asset
|
114,523
|
|
|
Total lease assets
|
$
|
208,831
|
|
Liabilities:
|
|
||
Current finance lease liability
|
$
|
21,799
|
|
Current operating lease liability
|
35,373
|
|
|
Long-term finance lease liability
|
72,150
|
|
|
Long-term operating lease liability
|
85,223
|
|
|
Total lease liabilities
|
$
|
214,545
|
|
|
|
|
|
Three months ended
|
|
Six months ended
|
||||
Lease component
|
|
Classification
|
|
June 30,
2019 |
|
June 30,
2019 |
||||
|
|
|
|
|
|
|
||||
Rent expense - operating leases
|
|
Other operating expenses
|
|
$
|
16,833
|
|
|
$
|
33,771
|
|
Amortization of finance lease assets
|
|
Depreciation expense
|
|
$
|
4,871
|
|
|
$
|
9,202
|
|
Interest on finance lease liabilities
|
|
Interest expense
|
|
$
|
1,430
|
|
|
$
|
2,630
|
|
Year Ending:
|
|
Operating leases
|
|
Finance leases
|
|
Total
|
||||||
Remainder of 2019
|
|
$
|
21,736
|
|
|
$
|
14,144
|
|
|
$
|
35,880
|
|
2020
|
|
34,676
|
|
|
26,916
|
|
|
61,592
|
|
|||
2021
|
|
25,108
|
|
|
30,292
|
|
|
55,400
|
|
|||
2022
|
|
20,831
|
|
|
15,307
|
|
|
36,138
|
|
|||
2023
|
|
17,640
|
|
|
12,854
|
|
|
30,494
|
|
|||
Thereafter
|
|
17,406
|
|
|
11,156
|
|
|
28,562
|
|
|||
Total
|
|
$
|
137,397
|
|
|
$
|
110,669
|
|
|
$
|
248,066
|
|
Less: Interest
|
|
(16,801
|
)
|
|
(16,720
|
)
|
|
(33,521
|
)
|
|||
Present value of lease liabilities
|
|
$
|
120,596
|
|
|
$
|
93,949
|
|
|
$
|
214,545
|
|
Year Ending:
|
|
|
||
2019
|
|
$
|
45,713
|
|
2020
|
|
34,920
|
|
|
2021
|
|
25,536
|
|
|
2022
|
|
21,413
|
|
|
2023
|
|
17,920
|
|
|
Thereafter
|
|
17,556
|
|
|
Total
|
|
$
|
163,058
|
|
|
June 30,
2019 |
|
December 31,
2018 |
||||
ABL credit facility
|
$
|
131,367
|
|
|
$
|
—
|
|
Term loan credit facility
|
50,211
|
|
|
—
|
|
||
Prior ABL Facility:
|
|
|
|
||||
Revolving credit facility
|
—
|
|
|
134,532
|
|
||
Term loans
|
—
|
|
|
37,333
|
|
||
Total debt
|
$
|
181,578
|
|
|
$
|
171,865
|
|
Less: Debt issuance costs and discount
|
(3,201
|
)
|
|
(3,098
|
)
|
||
Total debt, net of debt issuance costs and discount
|
178,377
|
|
|
168,767
|
|
||
Less: Current maturities
|
(11,699
|
)
|
|
(13,171
|
)
|
||
Total debt, net of current maturities
|
$
|
166,678
|
|
|
$
|
155,596
|
|
•
|
$200.0 million
asset-based revolving line of credit, of which
$20.0 million
could be used for swing line loans and
$30.0 million
could be used for letters of credit;
|
•
|
$56.8 million
term loan facility; and
|
•
|
$35.0 million
asset-based facility available to finance future capital expenditures, which was subsequently terminated before being utilized.
|
|
December 31,
2018 |
||
Preferred stock:
|
|
||
Series B Preferred
|
$
|
205,972
|
|
Series C Preferred
|
102,098
|
|
|
Series D Preferred
|
900
|
|
|
Series E Preferred
|
47,367
|
|
|
Series E-1 Preferred
|
46,547
|
|
|
Total Preferred stock
|
$
|
402,884
|
|
|
Series B
|
Series C
|
Series D
|
Series E
|
Series E-1
|
Shares at $0.01 Par Value at Issuance
|
155,000
|
55,000
|
100
|
90,000
|
35,728
|
Shares Outstanding at December 31, 2018
|
155,000
|
55,000
|
100
|
37,500
|
35,728
|
Price / Share
|
$1,000
|
$1,000
|
$1.00
|
$1,000
|
$1,000/$960
|
Dividend Rate
|
Adjusted LIBOR + 3.00% + Additional Rate (4.75-12.50%) based on leverage. Additional 3.00% upon certain triggering events.
|
Adjusted LIBOR + 3.00% + Additional Rate (4.75-12.50%) based on leverage. Additional 3.00% upon certain triggering events.
|
Right to participate equally and ratably in all cash dividends paid on common stock.
|
Adjusted LIBOR + 5.25% + Additional Rate (8.50%). Additional 3.00% upon certain triggering events.
|
Adjusted LIBOR + 5.25% + Additional Rate (8.50%). Additional 3.00% upon certain triggering events.
|
Dividend Rate at December 31, 2018
|
17.780%
|
17.780%
|
N/A
|
16.030%
|
16.030%
|
Redemption Term
|
8 Years
|
8 Years
|
8 Years
|
6 Years
|
6 Years
|
Redemption Rights
|
From Closing Date:
12-24 months: 105% 24-36 months: 103% |
65% premium (subject to stock movement)
|
|
From Closing Date:
0-12 months: 106.5% 12-24 months: 103.5% |
From Closing Date:
0-12 months: 106.5% 12-24 months: 103.5% |
•
|
the Series B Preferred Stock using a lattice model that takes into consideration the Company's call right on the instrument based on simulated future interest rates;
|
•
|
the Series C Preferred Stock using a lattice model that takes into consideration the future redemption value on the instrument, which is tied to the Company's stock price;
|
•
|
the Series D Preferred Stock using a static discounted cash flow approach, where the expected redemption value of the instrument is based on the value of the Company's stock as of the measurement date grown at the risk-free rate; and
|
•
|
the Series E and E-1 Preferred Stock via application of both (i) a static discounted cash flow approach and (ii) a lattice model that takes into consideration the Company's call right on this instrument based on simulated future interest rates.
|
|
Three months ended
|
|
Six months ended
|
||||
|
June 30,
2018 |
|
June 30,
2018 |
||||
Balance, beginning of period
|
$
|
286,874
|
|
|
$
|
263,317
|
|
Issuance of preferred stock at fair value
|
17,499
|
|
|
34,999
|
|
||
Change in fair value of preferred stock
(1)
|
31,606
|
|
|
37,663
|
|
||
Balance, end of period
|
$
|
335,979
|
|
|
$
|
335,979
|
|
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
|
June 30,
|
|
June 30,
|
||||||||||||
|
|
2019
|
|
2018
|
|
2019
|
|
2018
|
||||||||
Revenues:
|
|
|
|
|
|
|
|
|
||||||||
Ascent
|
|
$
|
130,160
|
|
|
$
|
144,630
|
|
|
$
|
261,853
|
|
|
$
|
279,573
|
|
Active On-Demand
|
|
101,492
|
|
|
164,770
|
|
|
244,263
|
|
|
359,536
|
|
||||
LTL
|
|
117,076
|
|
|
117,164
|
|
|
219,898
|
|
|
230,289
|
|
||||
TL
|
|
141,472
|
|
|
145,761
|
|
|
278,483
|
|
|
290,318
|
|
||||
Eliminations
|
|
(9,512
|
)
|
|
(14,299
|
)
|
|
(16,661
|
)
|
|
(31,706
|
)
|
||||
Total
|
|
$
|
480,688
|
|
|
$
|
558,026
|
|
|
$
|
987,836
|
|
|
$
|
1,128,010
|
|
Operating (loss) income:
|
|
|
|
|
|
|
|
|
||||||||
Ascent
|
|
$
|
5,880
|
|
|
$
|
7,314
|
|
|
$
|
11,252
|
|
|
$
|
14,021
|
|
Active On-Demand
|
|
(2,614
|
)
|
|
7,808
|
|
|
583
|
|
|
14,261
|
|
||||
LTL
|
|
(4,440
|
)
|
|
(3,743
|
)
|
|
(10,275
|
)
|
|
(12,427
|
)
|
||||
TL
|
|
(103,506
|
)
|
|
(8,558
|
)
|
|
(110,422
|
)
|
|
(10,611
|
)
|
||||
Corporate
|
|
(33,161
|
)
|
|
(14,196
|
)
|
|
(49,755
|
)
|
|
(30,049
|
)
|
||||
Total
|
|
$
|
(137,841
|
)
|
|
$
|
(11,375
|
)
|
|
$
|
(158,617
|
)
|
|
$
|
(24,805
|
)
|
Interest expense
|
|
4,632
|
|
|
34,232
|
|
|
8,514
|
|
|
43,775
|
|
||||
Loss on debt restructuring
|
|
—
|
|
|
—
|
|
|
2,270
|
|
|
—
|
|
||||
Loss before income taxes
|
|
$
|
(142,473
|
)
|
|
$
|
(45,607
|
)
|
|
$
|
(169,401
|
)
|
|
$
|
(68,580
|
)
|
Depreciation and amortization:
|
|
|
|
|
|
|
|
|
||||||||
Ascent
|
|
$
|
1,616
|
|
|
$
|
1,168
|
|
|
$
|
3,298
|
|
|
$
|
2,356
|
|
Active On-Demand
|
|
2,125
|
|
|
2,036
|
|
|
4,221
|
|
|
4,030
|
|
||||
LTL
|
|
1,085
|
|
|
900
|
|
|
1,723
|
|
|
1,813
|
|
||||
TL
|
|
7,030
|
|
|
4,205
|
|
|
16,121
|
|
|
8,507
|
|
||||
Corporate
|
|
2,932
|
|
|
815
|
|
|
4,967
|
|
|
1,483
|
|
||||
Total
|
|
$
|
14,788
|
|
|
$
|
9,124
|
|
|
$
|
30,330
|
|
|
$
|
18,189
|
|
Capital expenditures
(1)
:
|
|
|
|
|
|
|
|
|
||||||||
Ascent
|
|
$
|
213
|
|
|
$
|
355
|
|
|
$
|
2,050
|
|
|
$
|
709
|
|
Active On-Demand
|
|
1,167
|
|
|
1,322
|
|
|
2,315
|
|
|
2,429
|
|
||||
LTL
|
|
3,248
|
|
|
55
|
|
|
5,020
|
|
|
255
|
|
||||
TL
|
|
2,582
|
|
|
1,618
|
|
|
8,306
|
|
|
3,508
|
|
||||
Corporate
(2)
|
|
24,162
|
|
|
12,510
|
|
|
49,995
|
|
|
14,934
|
|
||||
Total
|
|
$
|
31,372
|
|
|
$
|
15,860
|
|
|
$
|
67,686
|
|
|
$
|
21,835
|
|
|
|
June 30, 2019
|
|
December 31, 2018
|
||||
Assets:
|
|
|
|
|
||||
Ascent
|
|
$
|
302,185
|
|
|
$
|
276,994
|
|
Active On-Demand
|
|
99,127
|
|
|
136,795
|
|
||
LTL
|
|
123,494
|
|
|
73,706
|
|
||
TL
|
|
176,929
|
|
|
244,760
|
|
||
Corporate
|
|
143,967
|
|
|
123,921
|
|
||
Eliminations
(3)
|
|
(2,381
|
)
|
|
(2,719
|
)
|
||
Total
|
|
$
|
843,321
|
|
|
$
|
853,457
|
|
|
Restructuring reserves
|
||
Beginning balance at December 31, 2018
|
$
|
544
|
|
Charges
|
—
|
|
|
Adjustments
(1)
|
(79
|
)
|
|
Payments
|
(327
|
)
|
|
Ending balance at June 30, 2019
|
$
|
138
|
|
ITEM 2.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS.
|
(In thousands)
|
Three Months Ended June 30, 2019
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Revenues
|
$
|
130,160
|
|
|
$
|
101,492
|
|
|
$
|
117,076
|
|
|
$
|
141,472
|
|
|
$
|
(9,512
|
)
|
|
$
|
480,688
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased transportation costs
|
93,182
|
|
|
87,849
|
|
|
80,859
|
|
|
65,407
|
|
|
(9,512
|
)
|
|
317,785
|
|
||||||
Personnel and related benefits
|
13,508
|
|
|
9,166
|
|
|
18,724
|
|
|
30,273
|
|
|
10,015
|
|
|
81,686
|
|
||||||
Other operating expenses
|
15,974
|
|
|
4,966
|
|
|
20,848
|
|
|
46,932
|
|
|
7,219
|
|
|
95,939
|
|
||||||
Depreciation and amortization
|
1,616
|
|
|
2,125
|
|
|
1,085
|
|
|
7,030
|
|
|
2,932
|
|
|
14,788
|
|
||||||
Impairment charges
|
—
|
|
|
—
|
|
|
—
|
|
|
95,336
|
|
|
12,995
|
|
|
108,331
|
|
||||||
Total operating expenses
|
124,280
|
|
|
104,106
|
|
|
121,516
|
|
|
244,978
|
|
|
23,649
|
|
|
618,529
|
|
||||||
Operating income (loss)
|
5,880
|
|
|
(2,614
|
)
|
|
(4,440
|
)
|
|
(103,506
|
)
|
|
(33,161
|
)
|
|
(137,841
|
)
|
||||||
Total interest expense
|
|
|
|
|
|
|
|
|
|
|
|
4,632
|
|
||||||||||
Loss before income taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(142,473
|
)
|
|||||||
Benefit from income taxes
|
|
|
|
|
|
|
|
|
|
|
(524
|
)
|
|||||||||||
Net loss
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(141,949
|
)
|
(In thousands)
|
Three Months Ended June 30, 2018
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Revenues
|
$
|
144,630
|
|
|
$
|
164,770
|
|
|
$
|
117,164
|
|
|
$
|
145,761
|
|
|
$
|
(14,299
|
)
|
|
$
|
558,026
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased transportation costs
|
106,861
|
|
|
141,021
|
|
|
82,318
|
|
|
64,175
|
|
|
(14,303
|
)
|
|
380,072
|
|
||||||
Personnel and related benefits
|
12,465
|
|
|
9,038
|
|
|
17,428
|
|
|
30,756
|
|
|
6,151
|
|
|
75,838
|
|
||||||
Other operating expenses
|
16,822
|
|
|
4,867
|
|
|
20,261
|
|
|
55,183
|
|
|
7,234
|
|
|
104,367
|
|
||||||
Depreciation and amortization
|
1,168
|
|
|
2,036
|
|
|
900
|
|
|
4,205
|
|
|
815
|
|
|
9,124
|
|
||||||
Total operating expenses
|
137,316
|
|
|
156,962
|
|
|
120,907
|
|
|
154,319
|
|
|
(103
|
)
|
|
569,401
|
|
||||||
Operating income (loss)
|
7,314
|
|
|
7,808
|
|
|
(3,743
|
)
|
|
(8,558
|
)
|
|
(14,196
|
)
|
|
(11,375
|
)
|
||||||
Total interest expense
|
|
|
|
|
|
|
|
|
|
|
34,232
|
|
|||||||||||
Loss before income taxes
|
|
|
|
|
|
|
|
|
|
|
(45,607
|
)
|
|||||||||||
Benefit from income taxes
|
|
|
|
|
|
|
|
|
|
|
(3,652
|
)
|
|||||||||||
Net loss
|
|
|
|
|
|
|
|
|
|
|
$
|
(41,955
|
)
|
(In thousands)
|
Three Months Ended June 30, 2019
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Net (loss) income
|
$
|
5,777
|
|
|
$
|
(2,614
|
)
|
|
$
|
(4,494
|
)
|
|
$
|
(104,278
|
)
|
|
$
|
(36,340
|
)
|
|
$
|
(141,949
|
)
|
Plus: Total interest expense
|
95
|
|
|
—
|
|
|
54
|
|
|
772
|
|
|
3,711
|
|
|
4,632
|
|
||||||
Plus: Provision (benefit) for income taxes
|
8
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(532
|
)
|
|
(524
|
)
|
||||||
Plus: Depreciation and amortization
|
1,616
|
|
|
2,125
|
|
|
1,085
|
|
|
7,030
|
|
|
2,932
|
|
|
14,788
|
|
||||||
Plus: Impairment charges
|
—
|
|
|
—
|
|
|
—
|
|
|
95,336
|
|
|
12,995
|
|
|
108,331
|
|
||||||
Plus: Long-term incentive compensation expenses
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,594
|
|
|
4,594
|
|
||||||
Plus: Settlement of contingent purchase obligation
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
360
|
|
|
360
|
|
||||||
Plus: Corporate restructuring and restatement costs
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,242
|
|
|
3,242
|
|
||||||
Adjusted EBITDA
(1)
|
$
|
7,496
|
|
|
$
|
(489
|
)
|
|
$
|
(3,355
|
)
|
|
$
|
(1,140
|
)
|
|
$
|
(9,038
|
)
|
|
$
|
(6,526
|
)
|
(In thousands)
|
Three Months Ended June 30, 2018
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Net (loss) income
|
$
|
7,285
|
|
|
$
|
7,808
|
|
|
$
|
(3,763
|
)
|
|
$
|
(8,566
|
)
|
|
$
|
(44,719
|
)
|
|
$
|
(41,955
|
)
|
Plus: Total interest expense
|
29
|
|
|
—
|
|
|
20
|
|
|
8
|
|
|
34,175
|
|
|
34,232
|
|
||||||
Plus: Benefit from income taxes
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,652
|
)
|
|
(3,652
|
)
|
||||||
Plus: Depreciation and amortization
|
1,168
|
|
|
2,036
|
|
|
900
|
|
|
4,205
|
|
|
815
|
|
|
9,124
|
|
||||||
Plus: Long-term incentive compensation expenses
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
426
|
|
|
426
|
|
||||||
Plus: Operations restructuring costs
|
—
|
|
|
—
|
|
|
—
|
|
|
4,655
|
|
|
—
|
|
|
4,655
|
|
||||||
Plus: Corporate restructuring and restatement costs
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,911
|
|
|
3,911
|
|
||||||
Adjusted EBITDA
(1)
|
$
|
8,482
|
|
|
$
|
9,844
|
|
|
$
|
(2,843
|
)
|
|
$
|
302
|
|
|
$
|
(9,044
|
)
|
|
$
|
6,741
|
|
(In thousands)
|
Six Months Ended June 30, 2019
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Revenues
|
$
|
261,853
|
|
|
$
|
244,263
|
|
|
$
|
219,898
|
|
|
$
|
278,483
|
|
|
$
|
(16,661
|
)
|
|
$
|
987,836
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased transportation costs
|
188,667
|
|
|
210,007
|
|
|
152,450
|
|
|
126,097
|
|
|
(16,661
|
)
|
|
660,560
|
|
||||||
Personnel and related benefits
|
27,252
|
|
|
19,084
|
|
|
36,280
|
|
|
61,118
|
|
|
17,167
|
|
|
160,901
|
|
||||||
Other operating expenses (2)
|
31,384
|
|
|
10,368
|
|
|
39,720
|
|
|
90,233
|
|
|
13,848
|
|
|
185,553
|
|
||||||
Depreciation and amortization
|
3,298
|
|
|
4,221
|
|
|
1,723
|
|
|
16,121
|
|
|
4,967
|
|
|
30,330
|
|
||||||
Impairment charges
|
—
|
|
|
—
|
|
|
—
|
|
|
95,336
|
|
|
13,773
|
|
|
109,109
|
|
||||||
Total operating expenses
|
250,601
|
|
|
243,680
|
|
|
230,173
|
|
|
388,905
|
|
|
33,094
|
|
|
1,146,453
|
|
||||||
Operating income (loss)
|
11,252
|
|
|
583
|
|
|
(10,275
|
)
|
|
(110,422
|
)
|
|
(49,755
|
)
|
|
(158,617
|
)
|
||||||
Total interest expense
|
|
|
|
|
|
|
|
|
|
|
8,514
|
|
|||||||||||
Loss on debt restructuring
|
|
|
|
|
|
|
|
|
|
|
2,270
|
|
|||||||||||
Loss before income taxes
|
|
|
|
|
|
|
|
|
|
|
(169,401
|
)
|
|||||||||||
Benefit from income taxes
|
|
|
|
|
|
|
|
|
|
|
(453
|
)
|
|||||||||||
Net loss
|
|
|
|
|
|
|
|
|
|
|
$
|
(168,948
|
)
|
(In thousands)
|
Six Months Ended June 30, 2018
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Revenues
|
$
|
279,573
|
|
|
$
|
359,536
|
|
|
$
|
230,289
|
|
|
$
|
290,318
|
|
|
$
|
(31,706
|
)
|
|
$
|
1,128,010
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Purchased transportation costs
|
205,374
|
|
|
313,630
|
|
|
164,315
|
|
|
129,423
|
|
|
(31,707
|
)
|
|
781,035
|
|
||||||
Personnel and related benefits
|
24,606
|
|
|
17,711
|
|
|
35,563
|
|
|
61,251
|
|
|
12,594
|
|
|
151,725
|
|
||||||
Other operating expenses (2)
|
33,216
|
|
|
9,904
|
|
|
41,025
|
|
|
101,748
|
|
|
15,973
|
|
|
201,866
|
|
||||||
Depreciation and amortization
|
2,356
|
|
|
4,030
|
|
|
1,813
|
|
|
8,507
|
|
|
1,483
|
|
|
18,189
|
|
||||||
Total operating expenses
|
265,552
|
|
|
345,275
|
|
|
242,716
|
|
|
300,929
|
|
|
(1,657
|
)
|
|
1,152,815
|
|
||||||
Operating income (loss)
|
14,021
|
|
|
14,261
|
|
|
(12,427
|
)
|
|
(10,611
|
)
|
|
(30,049
|
)
|
|
(24,805
|
)
|
||||||
Total interest expense
|
|
|
|
|
|
|
|
|
|
|
43,775
|
|
|||||||||||
Loss before income taxes
|
|
|
|
|
|
|
|
|
|
|
(68,580
|
)
|
|||||||||||
Benefit from income taxes
|
|
|
|
|
|
|
|
|
|
|
(2,982
|
)
|
|||||||||||
Net loss
|
|
|
|
|
|
|
|
|
|
|
$
|
(65,598
|
)
|
(In thousands)
|
Six Months Ended June 30, 2019
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Net (loss) income
|
$
|
11,044
|
|
|
$
|
583
|
|
|
$
|
(10,363
|
)
|
|
$
|
(111,886
|
)
|
|
$
|
(58,326
|
)
|
|
$
|
(168,948
|
)
|
Plus: Total interest expense
|
188
|
|
|
—
|
|
|
88
|
|
|
1,464
|
|
|
6,774
|
|
|
8,514
|
|
||||||
Plus: (Benefit from) provision for income taxes
|
20
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(473
|
)
|
|
(453
|
)
|
||||||
Plus: Depreciation and amortization
|
3,298
|
|
|
4,221
|
|
|
1,723
|
|
|
16,121
|
|
|
4,967
|
|
|
30,330
|
|
||||||
Plus: Long-term incentive compensation expenses
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,325
|
|
|
6,325
|
|
||||||
Plus: Settlement of contingent purchase obligation
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
360
|
|
|
360
|
|
||||||
Plus: Impairment charges
|
—
|
|
|
—
|
|
|
—
|
|
|
95,336
|
|
|
13,773
|
|
|
109,109
|
|
||||||
Plus: Loss on debt restructuring
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,270
|
|
|
2,270
|
|
||||||
Plus: Corporate restructuring and restatement costs
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,674
|
|
|
6,674
|
|
||||||
Adjusted EBITDA
(1)
|
$
|
14,550
|
|
|
$
|
4,804
|
|
|
$
|
(8,552
|
)
|
|
$
|
1,035
|
|
|
$
|
(17,656
|
)
|
|
$
|
(5,819
|
)
|
(In thousands)
|
Six Months Ended June 30, 2018
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
Ascent
|
|
Active On-Demand
|
|
LTL
|
|
TL
|
|
Corporate/ Eliminations
|
|
Total
|
||||||||||||
Net (loss) income
|
$
|
13,962
|
|
|
$
|
14,261
|
|
|
$
|
(12,483
|
)
|
|
$
|
(10,630
|
)
|
|
$
|
(70,708
|
)
|
|
$
|
(65,598
|
)
|
Plus: Total interest expense
|
59
|
|
|
—
|
|
|
56
|
|
|
19
|
|
|
43,641
|
|
|
43,775
|
|
||||||
Plus: Benefit from income taxes
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(2,982
|
)
|
|
(2,982
|
)
|
||||||
Plus: Depreciation and amortization
|
2,356
|
|
|
4,030
|
|
|
1,813
|
|
|
8,507
|
|
|
1,483
|
|
|
18,189
|
|
||||||
Plus: Long-term incentive compensation expenses
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,003
|
|
|
1,003
|
|
||||||
Plus: Operations restructuring costs
|
—
|
|
|
—
|
|
|
—
|
|
|
4,655
|
|
|
—
|
|
|
4,655
|
|
||||||
Plus: Corporate restructuring and restatement costs
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
10,824
|
|
|
10,824
|
|
||||||
Adjusted EBITDA
(1)
|
$
|
16,377
|
|
|
$
|
18,291
|
|
|
$
|
(10,614
|
)
|
|
$
|
2,551
|
|
|
$
|
(16,739
|
)
|
|
$
|
9,866
|
|
•
|
Adjusted EBITDA does not reflect our cash expenditures, future requirements for capital expenditures, or contractual commitments;
|
•
|
Adjusted EBITDA does not reflect changes in, or cash requirements for, our working capital needs;
|
•
|
Adjusted EBITDA does not reflect the significant interest expense or the cash requirements necessary to service interest or principal payments on our debt or dividend payments on our previously outstanding preferred stock;
|
•
|
Although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future and Adjusted EBITDA does not reflect any cash requirements for such replacements; and
|
•
|
Other companies in our industry may calculate Adjusted EBITDA differently than we do, limiting its usefulness as a comparative measure.
|
|
Series B
|
Series C
|
Series D
|
Series E
|
Series E-1
|
Shares at $0.01 Par Value at Issuance
|
155,000
|
55,000
|
100
|
90,000
|
35,728
|
Shares Outstanding at December 31, 2018
|
155,000
|
55,000
|
100
|
37,500
|
35,728
|
Price / Share
|
$1,000
|
$1,000
|
$1.00
|
$1,000
|
$1,000/$960
|
Dividend Rate
|
Adjusted LIBOR + 3.00% + Additional Rate (4.75-12.50%) based on leverage. Additional 3.00% upon certain triggering events.
|
Adjusted LIBOR + 3.00% + Additional Rate (4.75-12.50%) based on leverage. Additional 3.00% upon certain triggering events.
|
Right to participate equally and ratably in all cash dividends paid on common stock.
|
Adjusted LIBOR + 5.25% + Additional Rate (8.50%). Additional 3.00% upon certain triggering events.
|
Adjusted LIBOR + 5.25% + Additional Rate (8.50%). Additional 3.00% upon certain triggering events.
|
Dividend Rate at December 31, 2018
|
17.780%
|
17.780%
|
N/A
|
16.030%
|
16.030%
|
Redemption Term
|
8 Years
|
8 Years
|
8 Years
|
6 Years
|
6 Years
|
Redemption Rights
|
From Closing Date:
12-24 months: 105% 24-36 months: 103% |
65% premium (subject to stock movement)
|
|
From Closing Date:
0-12 months: 106.5% 12-24 months: 103.5% |
From Closing Date:
0-12 months: 106.5% 12-24 months: 103.5% |
•
|
$200.0 million
asset-based revolving line of credit, of which
$20.0 million
may be used for swing line loans and
$30.0 million
may be used for letters of credit;
|
•
|
$56.8 million
term loan facility; and
|
•
|
$35.0 million
asset-based facility available to finance future capital expenditures, which was subsequently terminated before utilized.
|
|
Six Months Ended
|
||||||
|
June 30,
|
||||||
|
2019
|
|
2018
|
||||
Net cash (used in) provided by:
|
|
|
|
||||
Operating activities
|
$
|
(19,546
|
)
|
|
$
|
(906
|
)
|
Investing activities
|
(11,161
|
)
|
|
(10,464
|
)
|
||
Financing activities
|
24,424
|
|
|
21,306
|
|
||
Net change in cash and cash equivalents
|
$
|
(6,283
|
)
|
|
$
|
9,936
|
|
|
Approximate Percent Change in Estimated Fair Value
|
||
|
+/- 50 bps Discount Rate
|
|
+/- 50bps Growth Rate
|
|
|
|
|
Domestic and International Logistics reporting unit
|
(2.5%) / 2.5%
|
|
1.5% / (1.8%)
|
Warehousing & Consolidation reporting unit
|
(2.2%) / 2.2%
|
|
1.6% / (1.9%)
|
ITEM 3.
|
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.
|
ITEM 4.
|
CONTROLS AND PROCEDURES.
|
ITEM 1.
|
LEGAL PROCEEDINGS.
|
ITEM 1A.
|
RISK FACTORS.
|
ITEM 5.
|
OTHER INFORMATION
|
ITEM 6.
|
EXHIBITS
|
Exhibit Number
|
|
Exhibit
|
|
|
|
3.1
|
|
|
|
|
|
10.52(A)+
|
|
|
|
|
|
10.53(A)+
|
|
|
|
|
|
10.57*+
|
|
|
|
|
|
10.58+
|
|
|
|
|
|
31.1
|
|
|
|
|
|
31.2
|
|
|
|
|
|
32.1
|
|
|
|
|
|
32.2
|
|
|
|
|
|
101.INS
|
|
XBRL Instance Document
|
|
|
|
101.SCH
|
|
XBRL Taxonomy Extension Schema Document
|
|
|
|
101.CAL
|
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
|
|
|
101.DEF
|
|
XBRL Taxonomy Extension Definition Linkbase Document
|
|
|
|
101.LAB
|
|
XBRL Taxonomy Extension Label Linkbase Document
|
|
|
|
101.PRE
|
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
|
|
|
|
|
|
ROADRUNNER TRANSPORTATION SYSTEMS, INC.
|
|
|
|
|
Date: August 6, 2019
|
By:
|
|
/s/ Terence R. Rogers
|
|
|
|
Terence R. Rogers
|
|
|
|
Chief Financial Officer
(Principal Financial Officer and Principal Accounting Officer)
|
Date: August 6, 2019
|
|
/s/ Curtis W. Stoelting
|
|
|
Curtis W. Stoelting
|
|
|
Chief Executive Officer (Principal Executive Officer)
|
Date: August 6, 2019
|
|
/s/ Terence R. Rogers
|
|
|
Terence R. Rogers
|
|
|
Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/s/ Curtis W. Stoelting
|
Curtis W. Stoelting
|
Chief Executive Officer (Principal Executive Officer)
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a) or 78o(d)); and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/s/ Terence R. Rogers
|
Terence R. Rogers
|
Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)
|