RESTRUCTURING CHARGES

3 Months Ended

Mar. 31, 2018

RESTRUCTURING CHARGES

RESTRUCTURING CHARGES AND IMPAIRMENT

NOTE K – RESTRUCTURING CHARGES

On November 3, 2016, the Company announced its plan to implement an enhanced market approach to better serve its customers. The enhanced market approach unified the Company’s sales, pricing, customer service, marketing, and capacity sourcing functions effective January 1, 2017, and allows the Company to operate as one logistics provider under the ArcBest brand. As a result of the restructuring, the Company recorded $0.4 million and $1.6 million of restructuring charges in operating expenses during the three months ended March 31, 2018 and 2017, respectively, primarily for employee-related costs.

The Company estimates it will incur restructuring charges of approximately $1.0 million in 2018 primarily for consulting fees related to continued integration of systems and processes to further implement its enhanced market approach.