Jerry Moyes' Retirement

3 Months Ended

Mar. 31, 2017

Restructuring and Related Activities [Abstract]

In conjunction with the Company's September 8, 2016 announcement that Jerry Moyes would retire from his position as Chief Executive Officer effective December 31, 2016, the Company entered into an agreement with Mr. Moyes to memorialize the terms of his retirement. The Company contracted with Mr. Moyes to serve as a non-employee consultant from January 1, 2017 through December 31, 2019, during which time the Company will pay Mr. Moyes a monthly consulting fee of $0.2 million in cash. Additionally, the Company modified the vesting terms and forfeiture conditions of Mr. Moyes' previously-granted equity awards. As a result of the terms of the agreement, the Company incurred a one-time expense in September 2016 of $7.1 million, consisting of $6.8 million in accrued consulting fees and $0.3 million for the impact of the equity award modifications. The amounts were included in "Salaries, wages, and employee benefits" within the non-reportable segments' income statement.

The following schedule is a rollforward of the accrued liability for the consulting fees:



	March 31, 2017
	(In thousands)
Accrued consulting fees – Jerry Moyes, December 31, 2016 ⁽¹⁾	$	6,675
Additions to accrual	—
Less: payments	(600		)
Accrued consulting fees – Jerry Moyes, March 31, 2017 ⁽¹⁾	$	6,075

____________


(1)	The balance is included in "Other liabilities" (noncurrent) and "Accrued liabilities" (current) in the consolidated balance sheet, based on the timing of the expected payment. The $0.3 million impact of the equity award modification is excluded from the accrual balance because it is classified as "Additional paid-in capital" in the consolidated balance sheet.