Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 27, 2017 | Jun. 25, 2016 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | LSTR | ||
Entity Registrant Name | LANDSTAR SYSTEM INC | ||
Entity Central Index Key | 853,816 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 41,839,818 | ||
Entity Public Float | $ 2,790,433,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 26, 2015 |
Current Assets | ||
Cash and cash equivalents | $ 178,897 | $ 114,520 |
Short-term investments | 66,560 | 48,823 |
Trade accounts receivable, less allowance of $5,161 and $4,327 | 463,102 | 462,699 |
Other receivables, including advances to independent contractors, less allowance of $5,523 and $4,143 | 18,567 | 18,472 |
Other current assets | 10,281 | 11,604 |
Total current assets | 737,407 | 656,118 |
Operating property, less accumulated depreciation and amortization of $190,374 and $182,591 | 272,843 | 225,927 |
Goodwill | 31,134 | 31,134 |
Other assets | 55,207 | 78,339 |
Total assets | 1,096,591 | 991,518 |
Current Liabilities | ||
Cash overdraft | 36,251 | 35,609 |
Accounts payable | 219,409 | 223,709 |
Current maturities of long-term debt | 45,047 | 42,499 |
Insurance claims | 26,121 | 19,757 |
Other current liabilities | 53,483 | 47,963 |
Total current liabilities | 380,311 | 369,537 |
Long-term debt, excluding current maturities | 93,257 | 81,793 |
Insurance claims | 26,883 | 21,477 |
Deferred income taxes and other noncurrent liabilities | 53,583 | 52,474 |
Shareholders' Equity | ||
Common stock, $0.01 par value, authorized 160,000,000 shares, issued 67,585,675 and 67,391,616 shares | 676 | 674 |
Additional paid-in capital | 199,414 | 195,841 |
Retained earnings | 1,512,993 | 1,389,975 |
Cost of 25,747,541 and 24,972,079 shares of common stock in treasury | (1,167,437) | (1,116,765) |
Accumulated other comprehensive loss | (3,089) | (3,488) |
Total shareholders' equity | 542,557 | 466,237 |
Total liabilities and shareholders' equity | $ 1,096,591 | $ 991,518 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 26, 2015 |
Allowance on trade accounts receivable | $ 5,161 | $ 4,327 |
Allowance on other receivables | 5,523 | 4,143 |
Accumulated depreciation and amortization on operating property | $ 190,374 | $ 182,591 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, authorized shares | 160,000,000 | 160,000,000 |
Common stock, issued shares | 67,585,675 | 67,391,616 |
Treasury stock, shares | 25,747,541 | 24,972,079 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Revenue | $ 3,167,634 | $ 3,321,091 | $ 3,184,790 |
Investment income | 1,502 | 1,396 | 1,381 |
Costs and expenses: | |||
Purchased transportation | 2,415,663 | 2,551,343 | 2,461,143 |
Commissions to agents | 264,205 | 270,260 | 250,780 |
Other operating costs, net of gains on asset sales/dispositions | 29,702 | 31,618 | 25,771 |
Insurance and claims | 57,280 | 48,754 | 46,280 |
Selling, general and administrative | 143,239 | 149,704 | 150,250 |
Depreciation and amortization | 35,796 | 29,102 | 27,575 |
Total costs and expenses | 2,945,885 | 3,080,781 | 2,961,799 |
Operating income | 223,251 | 241,706 | 224,372 |
Interest and debt expense | 3,794 | 2,949 | 3,177 |
Income before income taxes | 219,457 | 238,757 | 221,195 |
Income taxes | 82,107 | 91,068 | 82,386 |
Net income | $ 137,350 | $ 147,689 | $ 138,809 |
Earnings per common share | $ 3.26 | $ 3.38 | $ 3.09 |
Diluted earnings per share | $ 3.25 | $ 3.37 | $ 3.07 |
Average number of shares outstanding: | |||
Earnings per common share | 42,112,000 | 43,664,000 | 44,956,000 |
Diluted earnings per share | 42,236,000 | 43,813,000 | 45,169,000 |
Dividends per common share | $ 0.34 | $ 0.30 | $ 1.26 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Net income | $ 137,350 | $ 147,689 | $ 138,809 |
Other comprehensive income (loss): | |||
Unrealized holding gains (losses) on available-for-sale investments, net of tax (expense) benefit of ($13), $109 and $76 | 23 | (199) | (139) |
Foreign currency translation gains (losses) | 376 | (2,104) | (1,034) |
Other comprehensive income (loss) | 399 | (2,303) | (1,173) |
Comprehensive income | $ 137,749 | $ 145,386 | $ 137,636 |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Unrealized holding gains (losses)on available-for-sale investments, tax expense (benefit) | $ (13) | $ 109 | $ 76 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
OPERATING ACTIVITIES | |||
Net income | $ 137,350 | $ 147,689 | $ 138,809 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization of operating property | 35,796 | 29,102 | 27,575 |
Non-cash interest charges | 238 | 218 | 218 |
Provisions for losses on trade and other accounts receivable | 5,735 | 5,890 | 5,315 |
Gains on sales/disposals of operating property | (3,477) | (216) | (2,143) |
Deferred income taxes, net | 6,328 | 6,792 | 5,434 |
Stock-based compensation | 2,747 | 6,925 | 6,797 |
Changes in operating assets and liabilities: | |||
(Increase) decrease in trade and other accounts receivable | (6,233) | 20,713 | (60,454) |
Decrease (increase) in other assets | 9,298 | (1,177) | (9,046) |
(Decrease) increase in accounts payable | (9,598) | 3,632 | 62,281 |
Increase (decrease) in other liabilities | 288 | 1,222 | (2,468) |
Increase (decrease) in insurance claims | 11,770 | (4,768) | (70,449) |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 190,242 | 216,022 | 101,869 |
INVESTING ACTIVITIES | |||
Sales and maturities of investments | 41,795 | 38,684 | 34,701 |
Purchases of investments | (43,529) | (44,238) | (36,473) |
Purchases of operating property | (22,645) | (4,804) | (10,539) |
Proceeds from sales of operating property | 10,212 | 1,685 | 7,465 |
NET CASH USED BY INVESTING ACTIVITIES | (14,167) | (8,673) | (4,846) |
FINANCING ACTIVITIES | |||
Increase in cash overdraft | 642 | 980 | 6,849 |
Dividends paid | (14,332) | (57,882) | (27,606) |
Payment for debt issue costs | (1,048) | ||
Proceeds from exercises of stock options | 2,329 | 1,459 | 3,760 |
Taxes paid in lieu of shares issued related to stock-based compensation plans | (3,043) | (2,225) | (4,041) |
Excess tax benefits from stock-based awards | 1,386 | 671 | 2,500 |
Purchases of common stock | (50,516) | (161,152) | (56,393) |
Principal payments on capital lease obligations | (47,492) | (36,520) | (37,416) |
NET CASH USED BY FINANCING ACTIVITIES | (112,074) | (254,669) | (112,347) |
Effect of exchange rate changes on cash and cash equivalents | 376 | (2,104) | (1,034) |
Increase (decrease) in cash and cash equivalents | 64,377 | (49,424) | (16,358) |
Cash and cash equivalents at beginning of period | 114,520 | 163,944 | 180,302 |
Cash and cash equivalents at end of period | $ 178,897 | $ 114,520 | $ 163,944 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock at Cost | Accumulated Other Comprehensive Income (Loss) |
Beginning Balance (in shares) at Dec. 28, 2013 | 67,017,858 | 21,528,693 | ||||
Beginning Balance at Dec. 28, 2013 | $ 454,481 | $ 670 | $ 179,807 | $ 1,173,044 | $ (899,028) | $ (12) |
Net income | 138,809 | 138,809 | ||||
Dividends | (56,479) | (56,479) | ||||
Purchases of common stock (in shares) | 939,872 | |||||
Purchases of common stock | (56,393) | $ (56,393) | ||||
Issuance of stock related to stock-based compensation plans, including excess tax effect (in shares) | 250,959 | 5,766 | ||||
Issuance of stock related to stock-based compensation plans, including excess tax effect | 2,219 | $ 3 | 2,408 | $ (192) | ||
Stock-based compensation | 6,797 | 6,797 | ||||
Other comprehensive income (loss) | (1,173) | (1,173) | ||||
Ending Balance (in shares) at Dec. 27, 2014 | 67,268,817 | 22,474,331 | ||||
Ending Balance at Dec. 27, 2014 | 488,261 | $ 673 | 189,012 | 1,255,374 | $ (955,613) | (1,185) |
Net income | 147,689 | 147,689 | ||||
Dividends | (13,088) | (13,088) | ||||
Purchases of common stock (in shares) | 2,497,748 | |||||
Purchases of common stock | (161,152) | $ (161,152) | ||||
Issuance of stock related to stock-based compensation plans, including excess tax effect (in shares) | 122,799 | |||||
Issuance of stock related to stock-based compensation plans, including excess tax effect | (95) | $ 1 | (96) | |||
Stock-based compensation | 6,925 | 6,925 | ||||
Other comprehensive income (loss) | (2,303) | (2,303) | ||||
Ending Balance (in shares) at Dec. 26, 2015 | 67,391,616 | 24,972,079 | ||||
Ending Balance at Dec. 26, 2015 | 466,237 | $ 674 | 195,841 | 1,389,975 | $ (1,116,765) | (3,488) |
Net income | 137,350 | 137,350 | ||||
Dividends | (14,332) | (14,332) | ||||
Purchases of common stock (in shares) | 773,281 | |||||
Purchases of common stock | (50,516) | $ (50,516) | ||||
Issuance of stock related to stock-based compensation plans, including excess tax effect (in shares) | 194,059 | 2,181 | ||||
Issuance of stock related to stock-based compensation plans, including excess tax effect | 672 | $ 2 | 826 | $ (156) | ||
Stock-based compensation | 2,747 | 2,747 | ||||
Other comprehensive income (loss) | 399 | 399 | ||||
Ending Balance (in shares) at Dec. 31, 2016 | 67,585,675 | 25,747,541 | ||||
Ending Balance at Dec. 31, 2016 | $ 542,557 | $ 676 | $ 199,414 | $ 1,512,993 | $ (1,167,437) | $ (3,089) |
Consolidated Statements of Cha9
Consolidated Statements of Changes in Shareholders Equity (Parenthetical) - $ / shares | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 26, 2015 | Sep. 26, 2015 | Jun. 27, 2015 | Mar. 28, 2015 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Dividends per common share | $ 0.09 | $ 0.09 | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.07 | $ 0.07 | $ 0.34 | $ 0.30 | $ 1.26 |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Significant Accounting Policies | (1) Significant Accounting Policies Consolidation The consolidated financial statements include the accounts of Landstar System, Inc. and its subsidiary, Landstar System Holdings, Inc. (“LSHI”). Landstar System, Inc. and its subsidiary are herein referred to as “Landstar” or the “Company.” Significant intercompany accounts have been eliminated in consolidation. Certain prior year amounts have been reclassified for consistency with current year presentation. Estimates The preparation of the consolidated financial statements requires the use of management’s estimates. Actual results could differ from those estimates. Fiscal Year Landstar’s fiscal year is the 52 or 53 week period ending the last Saturday in December. Revenue Recognition When providing the physical transportation of freight, the Company is the primary obligor with respect to freight delivery and assumes the related credit risk. Accordingly, transportation revenue billed to customers for the physical transportation of freight and the related direct freight expenses are recognized on a gross basis upon completion of freight delivery. Reinsurance premiums of the insurance segment are recognized over the period earned, which is usually on a monthly basis. Fuel surcharges billed to customers for freight hauled by independent contractors who provide truck capacity to the Company under exclusive lease arrangements (the “BCO Independent Contractors”) are excluded from revenue and paid in entirety to the BCO Independent Contractors. Insurance Claim Costs Landstar provides, primarily on an actuarially determined basis, for the estimated costs of cargo, property, casualty, general liability and workers’ compensation claims both reported and for claims incurred but not reported. For commercial trucking claims, Landstar retains liability up to $5,000,000 per occurrence. In addition, for commercial trucking claims incurred on or after May 1, 2016 through April 30, 2017, the Company retains liability up to an additional $700,000 in the aggregate on any claims exceeding its $5,000,000 per occurrence self-insured retention. The Company also retains liability of up to $1,000,000 for each general liability claim, up to $250,000 for each workers’ compensation claim and up to $250,000 for each cargo claim. Tires Tires purchased as part of trailing equipment are capitalized as part of the cost of the equipment. Replacement tires are charged to expense when placed in service. Cash and Cash Equivalents Included in cash and cash equivalents are all investments, except those provided for collateral, with an original maturity of 3 months or less. Financial Instruments The Company’s financial instruments include cash equivalents, short and long-term investments, trade and other accounts receivable, accounts payable, other accrued liabilities, current and non-current non-current Trade and Other Receivables The allowance for doubtful accounts for both trade and other receivables represents management’s estimate of the amount of outstanding receivables that will not be collected. Estimates are used to determine the allowance for doubtful accounts for both trade and other receivables and are generally based on specific identification, historical collection results, current economic trends and changes in payment trends. Following is a summary of the activity in the allowance for doubtful accounts for fiscal years ending December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Balance at Beginning of Period Charged to Costs and Expenses Write-offs, Net of Recoveries Balance at End of Period For the Fiscal Year Ended December 31, 2016 Trade receivables $ 4,327 $ 2,772 $ (1,938 ) $ 5,161 Other receivables 5,555 2,963 (1,969 ) 6,549 Other non-current 238 — 6 244 $ 10,120 $ 5,735 $ (3,901 ) $ 11,954 For the Fiscal Year Ended December 26, 2015 Trade receivables $ 4,338 $ 3,985 $ (3,996 ) $ 4,327 Other receivables 5,103 1,897 (1,445 ) 5,555 Other non-current 230 8 — 238 $ 9,671 $ 5,890 $ (5,441 ) $ 10,120 For the Fiscal Year Ended December 27, 2014 Trade receivables $ 3,773 $ 2,893 $ (2,328 ) $ 4,338 Other receivables 4,994 2,414 (2,305 ) 5,103 Other non-current 222 8 — 230 $ 8,989 $ 5,315 $ (4,633 ) $ 9,671 Operating Property Operating property is recorded at cost. Depreciation is provided on a straight-line basis over the estimated useful lives of the related assets. Buildings and improvements are being depreciated over 30 years. Trailing equipment is being depreciated over 7 to 10 years. Information technology hardware and software included in other equipment is generally being depreciated over 3 to 7 years. Goodwill Goodwill represents the excess of the purchase price paid over the fair value of the net assets of acquired businesses. The Company has one reporting unit within the transportation logistics segment that reports goodwill. The Company reviews its goodwill balance annually for impairment as a single reporting unit, unless circumstances dictate more frequent assessments, and in accordance with Accounting Standards Update (“ASU”) 2011-08, Testing Goodwill for Impairment 2011-08 two-step two-step Income Taxes Income tax expense is equal to the current year’s liability for income taxes and a provision for deferred income taxes. Deferred tax assets and liabilities are recorded for the future tax effects attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to be applied to taxable income in the years in which those temporary differences are expected to be recovered or settled. During fiscal year 2016, the Company retrospectively adopted Accounting Standards Update 2015-17 Balance Sheet Classification of Deferred Taxes 2015-17”), Share-Based Payments The Company’s share-based payment arrangements include restricted stock units (“RSU”), stock options and non-vested non-vested non-vested Earnings Per Share Earnings per common share are based on the weighted average number of shares outstanding, including outstanding non-vested The following table provides a reconciliation of the average number of common shares outstanding used to calculate earnings per common share to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share (in thousands): Fiscal Years 2016 2015 2014 Average number of common shares outstanding 42,112 43,664 44,956 Incremental shares from assumed exercises of stock options 124 149 213 Average number of common shares and common share equivalents outstanding 42,236 43,813 45,169 For the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014, no options outstanding to purchase shares of Common Stock were antidilutive. Outstanding RSUs were excluded from the calculation of diluted earnings per share for all periods because the performance metric requirements or market condition for vesting had not been satisfied. Foreign Currency Translation Assets and liabilities of the Company’s Canadian operation are translated from their functional currency to U.S. dollars using exchange rates in effect at the balance sheet date and revenue and expense accounts are translated at average monthly exchange rates during the period. Adjustments resulting from the translation process are included in accumulated other comprehensive income. Transactional gains and losses arising from receivable and payable balances, including intercompany balances, in the normal course of business that are denominated in a currency other than the functional currency of the operation are recorded in the statements of income when they occur. |
Other Comprehensive Income
Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2016 | |
Other Comprehensive Income | (2) Other Comprehensive Income The following table presents the components of and changes in accumulated other comprehensive income, net of related income taxes, as of and for the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Unrealized Available-for-Sale Foreign Currency Total Balance as of December 28, 2013 $ 244 $ (256 ) $ (12 ) Other comprehensive loss (139 ) (1,034 ) (1,173 ) Balance as of December 27, 2014 105 (1,290 ) (1,185 ) Other comprehensive loss (199 ) (2,104 ) (2,303 ) Balance as of December 26, 2015 (94 ) (3,394 ) (3,488 ) Other comprehensive income 23 376 399 Balance as of December 31, 2016 $ (71 ) $ (3,018 ) $ (3,089 ) Amounts reclassified from accumulated other comprehensive income to investment income due to the realization of previously unrealized gains and losses in the accompanying consolidated statements of income were not significant for the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2016 | |
Investments | (3) Investments Investments include primarily investment-grade corporate bonds and U.S. Treasury obligations having maturities of up to five years (the “bond portfolio”). Investments in the bond portfolio are reported as available-for-sale available-for-sale non-transferability, The amortized cost and fair values of available-for-sale Gross Gross Amortized Cost Unrealized Gains Unrealized Losses Fair Value December 31, 2016 Money market investments $ 12,395 $ — $ — $ 12,395 Asset-backed securities 4,027 3 19 4,011 Corporate bonds and direct obligations of government agencies 70,069 150 239 69,980 U.S. Treasury obligations 23,037 2 6 23,033 Total $ 109,528 $ 155 $ 264 $ 109,419 December 26, 2015 Money market investments $ 7,594 $ — $ — $ 7,594 Asset-backed securities 4,523 1 58 4,466 Corporate bonds and direct obligations of government agencies 76,839 190 270 76,759 U.S. Treasury obligations 19,273 5 13 19,265 Total $ 108,229 $ 196 $ 341 $ 108,084 For those available-for-sale Less than 12 months 12 months or longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss December 31, 2016 Asset-backed securities $ 1,363 $ 6 $ 2,314 $ 13 $ 3,677 $ 19 Corporate bonds and direct obligations of government agencies 28,809 195 1,367 44 30,176 239 U.S. Treasury obligations 12,734 6 — — 12,734 6 Total $ 42,906 $ 207 $ 3,681 $ 57 $ 46,587 $ 264 December 26, 2015 Asset-backed securities $ 4,422 $ 58 $ — $ — $ 4,422 $ 58 Corporate bonds and direct obligations of government agencies 39,276 217 562 53 39,838 270 U.S. Treasury obligations 15,093 13 — — 15,093 13 Total $ 58,791 $ 288 $ 562 $ 53 $ 59,353 $ 341 The Company believes that unrealized losses on investments were primarily caused by rising interest rates rather than changes in credit quality. The Company expects to recover the amortized cost basis of these securities as it does not intend to sell, and does not anticipate being required to sell, these securities before recovery of the cost basis. For these reasons, the Company does not consider the unrealized losses on these securities to be other-than-temporary at December 31, 2016. Short-term investments include $66,560,000 in current maturities of investments held by the Company’s insurance segment at December 31, 2016. The non-current non-current Investment income represents the earnings on the insurance segment’s assets. Investment income earned from the assets of the insurance segment are included as a component of operating income as the investment of these assets is critical to providing collateral, liquidity and earnings with respect to the operation of the Company’s insurance programs. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes | (4) Income Taxes The provisions for income taxes consisted of the following (in thousands): Fiscal Years 2016 2015 2014 Current: Federal $ 68,548 $ 74,289 $ 68,722 State 6,668 9,550 7,031 Canadian 563 437 1,199 Total current $ 75,779 $ 84,276 $ 76,952 Deferred: Federal $ 6,104 $ 6,524 $ 5,234 State 224 268 200 Total deferred $ 6,328 $ 6,792 $ 5,434 Income taxes $ 82,107 $ 91,068 $ 82,386 During fiscal year 2016, the Company adopted Accounting Standards Update 2015-17 2015-17”), Temporary differences and carryforwards which gave rise to deferred tax assets and liabilities consisted of the following (in thousands): Dec. 31, 2016 Dec. 26, 2015 Deferred tax assets: Receivable valuations $ 4,518 $ 3,832 Share-based payments 1,185 2,894 Self-insured claims 6,270 4,132 Other 4,336 3,836 Total deferred tax assets $ 16,309 $ 14,694 Deferred tax liabilities: Operating property $ 59,720 $ 52,547 Goodwill 5,883 5,877 Other 2,851 2,087 Total deferred tax liabilities $ 68,454 $ 60,511 Net deferred tax liability $ 52,145 $ 45,817 The following table summarizes the differences between income taxes calculated at the federal income tax rate of 35% on income before income taxes and the provisions for income taxes (in thousands): Fiscal Years 2016 2015 2014 Income taxes at federal income tax rate $ 76,810 $ 83,565 $ 77,418 State income taxes, net of federal income tax benefit 4,505 7,201 4,532 Meals and entertainment exclusion 958 946 777 Share-based payments (239 ) (61 ) (239 ) Other, net 73 (583 ) (102 ) Income taxes $ 82,107 $ 91,068 $ 82,386 The Company files a consolidated U.S. federal income tax return. The Company or its subsidiaries file state tax returns in the majority of the U.S. state tax jurisdictions. With few exceptions, the Company and its subsidiaries are no longer subject to U.S. federal or state income tax examinations by tax authorities for 2012 and prior years. The Company’s wholly owned Canadian subsidiary, Landstar Canada, Inc., is subject to Canadian income and other taxes. As of December 31, 2016 and December 26, 2015, the Company had $1,829,000 and $1,899,000, respectively, of net unrecognized tax benefits representing the provision for the uncertainty of certain tax positions plus a component of interest and penalties. Estimated interest and penalties on the provision for the uncertainty of certain tax positions is included in income tax expense. At December 31, 2016 and December 26, 2015 there was $547,000 and $727,000, respectively, accrued for estimated interest and penalties related to the uncertainty of certain tax positions. The Company does not currently anticipate any significant increase or decrease to the unrecognized tax benefit during fiscal year 2017. The following table summarizes the rollforward of the total amounts of gross unrecognized tax benefits for fiscal years 2016 and 2015 (in thousands): Fiscal Years 2016 2015 Gross unrecognized tax benefits – beginning of the year $ 2,704 $ 2,620 Gross increases related to current year tax positions 428 482 Gross increases related to prior year tax positions 596 340 Gross decreases related to prior year tax positions (399 ) (195 ) Settlements (133 ) — Lapse of statute of limitations (561 ) (543 ) Gross unrecognized tax benefits – end of the year $ 2,635 $ 2,704 Landstar paid income taxes of $69,067,000 in fiscal year 2016, $74,619,000 in fiscal year 2015 and $98,506,000 in fiscal year 2014. |
Operating Property
Operating Property | 12 Months Ended |
Dec. 31, 2016 | |
Operating Property | (5) Operating Property Operating property is summarized as follows (in thousands): Dec. 31, 2016 Dec. 26, 2015 Land $ 15,259 $ 9,148 Buildings and improvements 56,413 39,532 Trailing equipment 342,813 311,449 Other equipment 48,732 48,389 Total operating property, gross 463,217 408,518 Less accumulated depreciation and amortization 190,374 182,591 Total operating property, net $ 272,843 $ 225,927 Included above is $249,717,000 in fiscal year 2016 and $222,428,000 in fiscal year 2015 of operating property under capital leases, $183,763,000 and $164,501,000, respectively, net of accumulated depreciation and amortization. Landstar acquired operating property by entering into capital leases in the amount of $61,504,000 in fiscal year 2016, $49,491,000 in fiscal year 2015 and $47,232,000 in fiscal year 2014. |
Retirement Plan
Retirement Plan | 12 Months Ended |
Dec. 31, 2016 | |
Retirement Plan | (6) Retirement Plan Landstar sponsors an Internal Revenue Code section 401(k) defined contribution plan for the benefit of full-time employees who have completed one year of service. Eligible employees make voluntary contributions up to 75% of their base salary, subject to certain limitations. Landstar contributes an amount equal to 100% of the first 3% and 50% of the next 2% of such contributions, subject to certain limitations. The expense for the Company-sponsored defined contribution plan included in selling, general and administrative expense was $2,074,000 in fiscal year 2016, $1,901,000 in fiscal year 2015 and $1,718,000 in fiscal year 2014. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt | (7) Debt Other than the capital lease obligations as presented on the consolidated balance sheets, the Company had no outstanding debt as of December 31, 2016 and December 26, 2015. On June 2, 2016, Landstar entered into a credit agreement with a syndicate of banks and JPMorgan Chase Bank, N.A., as administrative agent (the “Credit Agreement”). The Credit Agreement, which matures on June 2, 2021, provides $250,000,000 of borrowing capacity in the form of a revolving credit facility, $50,000,000 of which may be utilized in the form of letter of credit guarantees. The Credit Agreement includes an “accordion” feature providing for a possible increase up to an aggregate borrowing amount of $400,000,000. The Company’s prior credit agreement was terminated on June 2, 2016. Borrowings under the Credit Agreement are unsecured, however, all but two of the Company’s subsidiaries guarantee the obligations under the Credit Agreement. Any future amounts that may become outstanding under the Credit Agreement are payable on June 2, 2021, the maturity date of the Credit Agreement. Depending upon the specific type of borrowing, borrowings under the Credit Agreement bear interest based on either (a) the prime rate, (b) the Federal Reserve Bank of New York rate plus 0.5% or (c) the London Interbank Offered Rate, plus 1.25%. The unused portion of the revolving credit facility under the Credit Agreement carries a commitment fee determined based on the level of the Leverage Ratio. The commitment fee for the unused portion of the revolving credit facility under the Credit Agreement ranges from .15% to .25%, based on achieving certain levels of the Leverage Ratio. As of December 31, 2016 and December 26, 2015, the Company had no borrowings outstanding under the Credit Agreement. The Credit Agreement contains a number of covenants that limit, among other things, the incurrence of additional indebtedness. The Company is required to, among other things, maintain a minimum Fixed Charge Coverage Ratio, as defined in the Credit Agreement, and maintain a Leverage Ratio, as defined in the Credit Agreement, below a specified maximum. The Credit Agreement provides for a restriction on cash dividends and other distributions to stockholders on the Company’s capital stock to the extent there is a default under the Credit Agreement. In addition, the Credit Agreement under certain circumstances limits the amount of such cash dividends and other distributions to stockholders to the extent that, after giving effect to any payment made to effect such cash dividend or other distribution, the Leverage Ratio would exceed 2.5 to 1 on a pro forma basis as of the end of the Company’s most recently completed fiscal quarter. The Credit Agreement provides for an event of default in the event that, among other things, a person or group acquires 35% or more of the outstanding capital stock of the Company or obtains power to elect a majority of the Company’s directors or the directors cease to consist of a majority of Continuing Directors, as defined in the Credit Agreement. None of these covenants are presently considered by management to be materially restrictive to the Company’s operations, capital resources or liquidity. The Company is currently in compliance with all of the debt covenants under the Credit Agreement. The interest rates on borrowings under the revolving credit facility are typically tied to short-term LIBOR rates that adjust monthly and, as such, carrying value approximates fair value. Interest rates on borrowings under capital leases approximate the interest rates that would currently be available to the Company under similar terms and, as such, carrying value approximates fair value. Landstar paid interest of $3,794,000 in fiscal year 2016, $3,012,000 in fiscal year 2015 and $3,229,000 in fiscal year 2014. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2016 | |
Leases | (8) Leases The future minimum lease payments under all noncancelable leases at December 31, 2016, principally for trailing equipment, are shown in the following table (in thousands): Capital Leases Operating Leases 2017 $ 47,860 $ 634 2018 37,654 424 2019 29,431 123 2020 22,054 53 2021 7,572 53 Thereafter — 264 Total future minimum lease payments 144,571 $ 1,551 Less amount representing interest (2.0% to 3.1%) 6,267 Present value of minimum lease payments $ 138,304 Total rent expense/income, net of sublease income, was $1,641,000 income in fiscal year 2016, $318,000 expense in fiscal year 2015 and $587,000 income in fiscal year 2014. |
Share-Based Payment Arrangement
Share-Based Payment Arrangements | 12 Months Ended |
Dec. 31, 2016 | |
Share-Based Payment Arrangements | (9) Share-Based Payment Arrangements As of December 31, 2016, the Company had two employee equity incentive plans, the 2002 employee stock option and stock incentive plan (the “ESOSIP”) and the 2011 equity incentive plan (the “2011 EIP”). No further grants can be made under the ESOSIP. The Company also has a stock compensation plan for members of its Board of Directors, the Amended and Restated 2013 Directors Stock Compensation Plan (as amended and restated as of May 17, 2016, the “2013 DSCP”). 6,000,000 shares of the Company’s Common Stock were authorized for issuance under the 2011 EIP and 115,000 shares of the Company’s Common Stock were authorized for issuance under the 2013 DSCP. The ESOSIP, 2011 EIP and 2013 DSCP are each referred to herein as a “Plan,” and, collectively, as the “Plans.” Amounts recognized in the financial statements with respect to these Plans are as follows (in thousands): Fiscal Years 2016 2015 2014 Total cost of the Plans during the period $ 2,747 $ 6,925 $ 6,797 Amount of related income tax benefit recognized during the period (1,238 ) (2,432 ) (3,171 ) Net cost of the Plans during the period $ 1,509 $ 4,493 $ 3,626 Included in income tax benefits recognized in the fiscal years ended December 31, 2016 and December 26, 2015 were income tax benefits of $451,000 and $383,000, respectively, recognized on disqualifying dispositions of the Company’s Common Stock by employees who obtained shares of Common Stock through exercises of incentive stock options. As of December 31, 2016, there were 86,572 shares of the Company’s Common Stock reserved for issuance under the 2013 DSCP and 5,000,732 shares of the Company’s Common Stock reserved for issuance in the aggregate under the ESOSIP and 2011 EIP. Restricted Stock Units The following table summarizes information regarding the Company’s outstanding restricted stock unit (“RSU”) awards under the Plans: Number of Weighted Average Grant Date RSUs Fair Value Outstanding at December 28, 2013 308,007 $ 49.63 Granted 146,000 $ 53.11 Vested (24,641 ) $ 51.47 Forfeited (3,736 ) $ 49.53 Outstanding at December 27, 2014 425,630 $ 50.72 Granted 111,922 $ 53.30 Vested (91,382 ) $ 51.98 Forfeited (2,013 ) $ 52.81 Outstanding at December 26, 2015 444,157 $ 51.10 Granted 79,948 $ 51.58 Vested (81,344 ) $ 53.08 Forfeited (64,523 ) $ 52.99 Outstanding at December 31, 2016 378,238 $ 50.46 During fiscal years 2014, 2015 and 2016, the Company granted RSUs with a performance condition. During fiscal year 2015, the Company also issued RSUs with a market condition, as further described below. RSUs with a performance condition vest over a 5 year period from the date of grant based on growth in operating income and diluted earnings per share as compared to a base year, being the year immediately preceding the year of grant. RSUs with a performance condition granted on January 29, 2016 may vest on January 31 of 2019, 2020 and 2021 based on growth in operating income and diluted earnings per share from continuing operations as compared to the results from the 2015 fiscal year. At the time of grant, the target number of common shares available for issuance under the January 29, 2016 and January 27, 2015 grants equals 100% of the number of RSUs granted, and the maximum number of common shares available for issuance under the January 29, 2016 and January 27, 2015 grants equals 200% of the number of RSUs granted. In the event actual results exceed the target, the number of shares that will be granted will exceed the number of RSUs granted. The maximum number of common shares available for issuance under grants made prior to 2015 equals 100% of the number of RSUs granted. The fair value of an RSU with a performance condition was determined based on the market value of the Company’s Common Stock on the date of grant, discounted for lack of marketability for a minimum post-vesting holding requirement. The discount rate due to lack of marketability used for RSU award grants with a performance condition for all periods was 7%. With respect to RSU awards with a performance condition, the Company reports compensation expense over the life of the award based on an estimated number of units that will vest over the life of the award, multiplied by the fair value of an RSU. On May 1, 2015, the Company granted 20,000 RSUs that vest based on a market condition. These RSUs may vest on April 30 of 2019, 2020 and 2021 based on the Company’s total shareholder return (“TSR”) compound annual growth rate over the vesting periods, adjusted to reflect dividends (if any) paid during such periods and capital adjustments as may be necessary. The target number of common shares available for issuance under the May 1, 2015 grant equals 100% of the number of RSUs granted, and the maximum number of common shares available for issuance under the May 1, 2015 grant equals 150% of the number of RSUs granted. In the event actual results exceed the target TSR compound annual growth rate, the number of shares that will be granted will exceed the number of RSUs granted. The fair value of this RSU award was determined at the time of grant based on the expected achievement of the market condition at the end of each vesting period. With respect to these RSU awards with a market condition, compensation expense is recognized ratably over the requisite service period under an award based on the fair market value of the award at the time of grant, regardless of whether the market condition is satisfied. Previously recognized compensation cost would be reversed, however, if the employee terminated employment prior to completing such requisite service period. The Company recognized approximately $849,000, $4,943,000 and $4,443,000 of share-based compensation expense related to RSU awards in fiscal years 2016, 2015 and 2014, respectively. As of December 31, 2016, there was a maximum of $27 million of total unrecognized compensation cost related to RSU awards granted under the Plans with an expected average remaining life of approximately 2.6 years. Included in the $27 million of total unrecognized compensation cost is $2.4 million of unrecognized compensation cost related to 54,102 unvested units granted in 2012, which forfeited during the first fiscal quarter of 2017. With respect to RSU awards with a performance condition, the amount of future compensation expense to be recognized will be determined based on future operating results. Stock Options Options granted under the Plans generally become exercisable in either five equal annual installments commencing on the first anniversary of the date of grant or 100% on the fifth anniversary from the date of grant, subject to acceleration in certain circumstances. All options granted under the Plans expire on the tenth anniversary of the date of grant. Under the Plans, the exercise price of each option equals the fair market value of the Company’s Common Stock on the date of grant. The fair value of each option grant on its grant date was calculated using the Black-Scholes option pricing model with the following weighted average assumptions for the grant made in fiscal year 2014: Expected volatility 26.0% Expected dividend yield 0.43% Risk-free interest rate 1.50% Expected lives (in years) 4.0 The Company utilizes historical data, including exercise patterns and employee departure behavior, in estimating the term that options will be outstanding. Expected volatility was based on historical volatility and other factors, such as expected changes in volatility arising from planned changes to the Company’s business, if any. The risk-free interest rate was based on the yield of zero coupon U.S. Treasury bonds for terms that approximated the terms of the options granted. The weighted average grant date fair value of stock options granted during fiscal year 2014 was $12.70 per share. The following table summarizes information regarding the Company’s outstanding stock options under the Plans: Options Outstanding Options Exercisable Number of Options Weighted Average Exercise Price per Share Number of Options Weighted Average Exercise Price per Share Options at December 28, 2013 1,454,816 $ 44.55 693,516 $ 42.29 Granted 1,000 $ 58.06 Exercised (615,077 ) $ 41.27 Forfeited (66,900 ) $ 47.51 Options at December 27, 2014 773,839 $ 46.92 379,389 $ 44.61 Exercised (133,518 ) $ 45.25 Forfeited (3,100 ) $ 52.91 Options at December 26, 2015 637,221 $ 47.24 415,121 $ 45.12 Exercised (257,460 ) $ 45.63 Forfeited (7,200 ) $ 53.63 Options at December 31, 2016 372,561 $ 48.24 282,461 $ 46.39 The following tables summarize stock options outstanding and exercisable at December 31, 2016: Options Outstanding Range of Exercise Prices Per Share Number Outstanding Weighted Average Remaining Contractual Term (years) Weighted Average Exercise Price per Share $35.64 - $40.00 48,719 2.6 $ 36.96 $40.01 - $45.00 95,888 3.5 $ 41.76 $45.01 - $58.06 227,954 5.3 $ 53.37 372,561 4.5 $ 48.24 Options Exercisable Range of Exercise Prices Per Share Number Exercisable Weighted Average Remaining Contractual Term (years) Weighted Average Exercise Price per Share $35.64 - $40.00 48,719 2.6 $ 36.96 $40.01 - $45.00 95,888 3.5 $ 41.76 $45.01 - $56.40 137,854 5.1 $ 52.94 282,461 4.1 $ 46.39 At December 31, 2016, the total intrinsic value of options outstanding was $13,809,000. At December 31, 2016, the total intrinsic value of options outstanding and exercisable was $10,991,000. The total intrinsic value of stock options exercised during fiscal years 2016, 2015 and 2014 was $7,427,000, $2,954,000 and $14,573,000, respectively. As of December 31, 2016, there was $365,000 of total unrecognized compensation cost related to non-vested non-vested Non-vested The 2011 EIP provides the Compensation Committee of the Board of Directors with the authority to issue shares of Common Stock of the Company, subject to certain vesting and other restrictions on transfer (“restricted stock”). The following table summarizes information regarding the Company’s outstanding non-vested Number of Weighted Average Grant Date Outstanding at December 28, 2013 38,193 $ 46.75 Granted 7,124 $ 63.17 Vested (19,196 ) $ 41.85 Forfeited (2,768 ) $ 54.20 Outstanding at December 27, 2014 23,353 $ 54.90 Granted 1,197 $ 62.46 Vested (6,490 ) $ 57.79 Outstanding at December 26, 2015 18,060 $ 54.36 Granted 26,033 $ 58.53 Vested (15,684 ) $ 53.03 Outstanding at December 31, 2016 28,409 $ 58.91 The fair value of each share of non-vested non-vested As of December 31, 2016, there was $953,000 of total unrecognized compensation cost related to non-vested non-vested Directors’ Stock Compensation Plan Commencing as of the 2016 annual meeting of the stockholders of the Company (an “Annual Meeting”), Directors of the Company who are not employees of the Company (each an “Eligible Director”) are entitled under the 2013 DSCP to receive a grant of such number of restricted shares of the Company’s Common Stock equal to the quotient of $110,000 divided by the fair market value of a share of Common Stock on the date immediately following the date of each Annual Meeting. With respect to the 2016 Annual Meeting only, each Eligible Director who was designated as a Class III director instead received a number of shares equal to the quotient of $35,000 divided by the fair market value of a share of Common Stock. Prior to the 2016 Annual Meeting, upon election or re-election re-election |
Equity
Equity | 12 Months Ended |
Dec. 31, 2016 | |
Equity | (10) Equity On May 19, 2015, the Landstar System, Inc. Board of Directors authorized the Company to increase the number of shares of the Company’s Common Stock that the Company is authorized to purchase from time to time in the open market and in privately negotiated transactions under a previously announced purchase program to 3,000,000 shares. As of December 31, 2016, the Company has authorization to purchase 1,036,125 shares of its Common Stock under this program. No specific expiration date has been assigned to the May 19, 2015 authorization. During fiscal year 2016, Landstar purchased a total of 773,281 shares of its Common Stock at a total cost of $50,516,000 pursuant to its previously announced stock purchase program. The Company has 2,000,000 shares of preferred stock authorized and unissued. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies | (11) Commitments and Contingencies At December 31, 2016, in addition to the $61,110,000 letters of credit secured by investments, Landstar had $35,599,000 of letters of credit outstanding under the Credit Agreement. The Company is involved in certain claims and pending litigation arising from the normal conduct of business. Many of these claims are covered in whole or in part by insurance. Based on knowledge of the facts and, in certain cases, opinions of outside counsel, management believes that adequate provisions have been made for probable losses with respect to the resolution of all such claims and pending litigation and that the ultimate outcome, after provisions therefor, will not have a material adverse effect on the financial condition of the Company, but could have a material effect on the results of operations in a given quarter or year. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Information | (12) Segment Information Landstar markets its integrated transportation management solutions primarily through independent commission sales agents and exclusively utilizes third party capacity providers to transport customers’ freight. Landstar’s independent commission sales agents enter into contractual arrangements with the Company and are responsible for locating freight, making that freight available to Landstar’s capacity providers and coordinating the transportation of the freight with customers and capacity providers. The Company’s third party capacity providers consist of independent contractors who provide truck capacity to the Company under exclusive lease arrangements (the “BCO Independent Contractors”), unrelated trucking companies who provide truck capacity to the Company under non-exclusive The transportation logistics segment provides a wide range of integrated transportation management solutions. Transportation services offered by the Company include truckload and less-than-truckload transportation, rail intermodal, air cargo, ocean cargo, expedited ground and air delivery of time-critical freight, heavy-haul/specialized, U.S.-Canada and U.S.-Mexico cross-border, project cargo and customs brokerage. Examples of the industries serviced by the transportation logistics segment include automotive products, building products, metals, chemicals, foodstuffs, heavy machinery, retail, electronics, ammunition and explosives and military equipment. In addition, the transportation logistics segment provides transportation services to other transportation companies, including third party logistics and less-than-truckload service providers. Each of the independent commission sales agents has the opportunity to market all of the services provided by the transportation logistics segment. Billings for freight transportation services are typically charged to customers on a per shipment basis for the physical transportation of freight. The insurance segment is comprised of Signature Insurance Company (“Signature”), a wholly owned offshore insurance subsidiary, and Risk Management Claim Services, Inc. The insurance segment provides risk and claims management services to certain of Landstar’s operating subsidiaries. In addition, it reinsures certain risks of the Company’s BCO Independent Contractors and provides certain property and casualty insurance directly to certain of Landstar’s operating subsidiaries. Revenue at the insurance segment represents reinsurance premiums from third party insurance companies that provide insurance programs to BCO Independent Contractors where all or a portion of the risk is ultimately borne by Signature. Internal revenue for premiums billed by the insurance segment to the transportation logistics segment is calculated each fiscal period based primarily on an actuarial calculation of historical loss experience and is believed to approximate the cost that would have been incurred by the transportation logistics segment had similar insurance been obtained from an unrelated third party. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The Company evaluates a segment’s performance based on operating income. No single customer accounted for more than 10% of the Company’s consolidated revenue in fiscal years 2016, 2015 and 2014. Substantially all of the Company’s revenue is generated in North America, primarily through customers located in the United States. The following tables summarize information about the Company’s reportable business segments as of and for the fiscal years ending December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Transportation Logistics Insurance Total 2016 External revenue $ 3,121,210 $ 46,424 $ 3,167,634 Internal revenue 36,118 36,118 Investment income 1,502 1,502 Interest and debt expense 3,794 3,794 Depreciation and amortization 35,796 35,796 Operating income 187,813 35,438 223,251 Expenditures on long-lived assets 22,645 22,645 Goodwill 31,134 31,134 Capital lease additions 61,504 61,504 Total assets 913,667 182,924 1,096,591 2015 External revenue $ 3,276,677 $ 44,414 $ 3,321,091 Internal revenue 31,342 31,342 Investment income 1,396 1,396 Interest and debt expense 2,949 2,949 Depreciation and amortization 29,102 29,102 Operating income 207,883 33,823 241,706 Expenditures on long-lived assets 4,804 4,804 Goodwill 31,134 31,134 Capital lease additions 49,491 49,491 Total assets 842,550 148,968 991,518 2014 External revenue $ 3,145,413 $ 39,377 $ 3,184,790 Internal revenue 28,164 28,164 Investment income 1,381 1,381 Interest and debt expense 3,177 3,177 Depreciation and amortization 27,575 27,575 Operating income 193,914 30,458 224,372 Expenditures on long-lived assets 10,539 10,539 Goodwill 31,134 31,134 Capital lease additions 47,232 47,232 Total assets 911,193 126,423 1,037,616 |
Change in Accounting Estimate f
Change in Accounting Estimate for Self-Insured Claims | 12 Months Ended |
Dec. 31, 2016 | |
Change in Accounting Estimate for Self-Insured Claims | (13) Change in Accounting Estimate for Self-Insured Claims Landstar provides for the estimated costs of self-insured claims primarily on an actuarial basis. The amount recorded for the estimated liability for claims incurred is based upon the facts and circumstances known on the applicable balance sheet date. The ultimate resolution of these claims may be for an amount greater or less than the amount estimated by management. The Company continually revises its existing claim estimates as new or revised information becomes available on the status of each claim. Historically, the Company has experienced both favorable and unfavorable development of prior years’ claims estimates. The following table summarizes the effect of the increase in the cost of insurance claims resulting from unfavorable development of prior year self-insured claims estimates on operating income, net income and earnings per share amounts in the consolidated statements of income for the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands, except per share amounts): Fiscal Years Ended December 31, 2016 December 26, 2015 December 27, 2014 Operating income $ 1,079 $ 4,852 $ 6,664 Net income 667 2,999 4,118 Earnings per share $ 0.02 $ 0.07 $ 0.09 Diluted earnings per share $ 0.02 $ 0.07 $ 0.09 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2016 | |
Recent Accounting Pronouncements | (14) Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update 2014-09 Revenue from Contracts with Customers 2014-09”). 2014-09 2014-09, 2014-09 In November 2015, the FASB issued ASU 2015-17 Balance Sheet Classification of Deferred Taxes In February 2016, the FASB issued Accounting Standards Update 2016-02 Leases 2016-02”). 2016-02 right-of-use 2016-02 2016-02 In March 2016, the FASB issued Accounting Standards Update 2016-09 Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting 2016-09”), 2016-09 2016-09 In June 2016, the FASB issued Accounting Standards Update 2016-13– Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments 2016-13”), 2016-13 2016-13 |
Quarterly Financial Data
Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Data | QUARTERLY FINANCIAL DATA (Dollars in thousands, except per share amounts) (Unaudited) Fourth Quarter 2016 Third Quarter 2016 Second Quarter 2016 First Quarter 2016 Revenue $ 892,829 $ 787,938 $ 775,223 $ 711,644 Operating income $ 63,765 $ 58,461 $ 53,093 $ 47,932 Income before income taxes $ 62,696 $ 57,513 $ 52,205 $ 47,043 Income taxes 23,122 21,235 19,891 17,859 Net income $ 39,574 $ 36,278 $ 32,314 $ 29,184 Earnings per common share (1) $ 0.95 $ 0.86 $ 0.77 $ 0.69 Diluted earnings per share (1) $ 0.94 $ 0.86 $ 0.76 $ 0.69 Dividends per common share $ 0.09 $ 0.09 $ 0.08 $ 0.08 Fourth Quarter 2015 Third Quarter 2015 Second Quarter 2015 First Quarter 2015 Revenue $ 848,602 $ 841,726 $ 868,383 $ 762,380 Operating income $ 62,648 $ 63,980 $ 66,033 $ 49,045 Income before income taxes $ 61,907 $ 63,266 $ 65,320 $ 48,264 Income taxes 24,052 23,918 24,849 18,249 Net income $ 37,855 $ 39,348 $ 40,471 $ 30,015 Earnings per common share (1) $ 0.89 $ 0.91 $ 0.92 $ 0.67 Diluted earnings per share (1) $ 0.88 $ 0.90 $ 0.92 $ 0.67 Dividends per common share $ 0.08 $ 0.08 $ 0.07 $ 0.07 (1) Due to the changes in the number of average common shares and common stock equivalents outstanding during the year, the sum of earnings per share amounts for each quarter do not necessarily sum in the aggregate to the earnings per share amounts for the full year. |
Significant Accounting Polici25
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Consolidation | Consolidation The consolidated financial statements include the accounts of Landstar System, Inc. and its subsidiary, Landstar System Holdings, Inc. (“LSHI”). Landstar System, Inc. and its subsidiary are herein referred to as “Landstar” or the “Company.” Significant intercompany accounts have been eliminated in consolidation. Certain prior year amounts have been reclassified for consistency with current year presentation. |
Estimates | Estimates The preparation of the consolidated financial statements requires the use of management’s estimates. Actual results could differ from those estimates. |
Fiscal Year | Fiscal Year Landstar’s fiscal year is the 52 or 53 week period ending the last Saturday in December. |
Revenue Recognition | Revenue Recognition When providing the physical transportation of freight, the Company is the primary obligor with respect to freight delivery and assumes the related credit risk. Accordingly, transportation revenue billed to customers for the physical transportation of freight and the related direct freight expenses are recognized on a gross basis upon completion of freight delivery. Reinsurance premiums of the insurance segment are recognized over the period earned, which is usually on a monthly basis. Fuel surcharges billed to customers for freight hauled by independent contractors who provide truck capacity to the Company under exclusive lease arrangements (the “BCO Independent Contractors”) are excluded from revenue and paid in entirety to the BCO Independent Contractors. |
Insurance Claim Costs | Insurance Claim Costs Landstar provides, primarily on an actuarially determined basis, for the estimated costs of cargo, property, casualty, general liability and workers’ compensation claims both reported and for claims incurred but not reported. For commercial trucking claims, Landstar retains liability up to $5,000,000 per occurrence. In addition, for commercial trucking claims incurred on or after May 1, 2016 through April 30, 2017, the Company retains liability up to an additional $700,000 in the aggregate on any claims exceeding its $5,000,000 per occurrence self-insured retention. The Company also retains liability of up to $1,000,000 for each general liability claim, up to $250,000 for each workers’ compensation claim and up to $250,000 for each cargo claim. |
Tires | Tires Tires purchased as part of trailing equipment are capitalized as part of the cost of the equipment. Replacement tires are charged to expense when placed in service. |
Cash and Cash Equivalents | Cash and Cash Equivalents Included in cash and cash equivalents are all investments, except those provided for collateral, with an original maturity of 3 months or less. |
Financial Instruments | Financial Instruments The Company’s financial instruments include cash equivalents, short and long-term investments, trade and other accounts receivable, accounts payable, other accrued liabilities, current and non-current non-current |
Trade and Other Receivables | Trade and Other Receivables The allowance for doubtful accounts for both trade and other receivables represents management’s estimate of the amount of outstanding receivables that will not be collected. Estimates are used to determine the allowance for doubtful accounts for both trade and other receivables and are generally based on specific identification, historical collection results, current economic trends and changes in payment trends. Following is a summary of the activity in the allowance for doubtful accounts for fiscal years ending December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Balance at Beginning of Period Charged to Costs and Expenses Write-offs, Net of Recoveries Balance at End of Period For the Fiscal Year Ended December 31, 2016 Trade receivables $ 4,327 $ 2,772 $ (1,938 ) $ 5,161 Other receivables 5,555 2,963 (1,969 ) 6,549 Other non-current 238 — 6 244 $ 10,120 $ 5,735 $ (3,901 ) $ 11,954 For the Fiscal Year Ended December 26, 2015 Trade receivables $ 4,338 $ 3,985 $ (3,996 ) $ 4,327 Other receivables 5,103 1,897 (1,445 ) 5,555 Other non-current 230 8 — 238 $ 9,671 $ 5,890 $ (5,441 ) $ 10,120 For the Fiscal Year Ended December 27, 2014 Trade receivables $ 3,773 $ 2,893 $ (2,328 ) $ 4,338 Other receivables 4,994 2,414 (2,305 ) 5,103 Other non-current 222 8 — 230 $ 8,989 $ 5,315 $ (4,633 ) $ 9,671 |
Operating Property | Operating Property Operating property is recorded at cost. Depreciation is provided on a straight-line basis over the estimated useful lives of the related assets. Buildings and improvements are being depreciated over 30 years. Trailing equipment is being depreciated over 7 to 10 years. Information technology hardware and software included in other equipment is generally being depreciated over 3 to 7 years. |
Goodwill | Goodwill Goodwill represents the excess of the purchase price paid over the fair value of the net assets of acquired businesses. The Company has one reporting unit within the transportation logistics segment that reports goodwill. The Company reviews its goodwill balance annually for impairment as a single reporting unit, unless circumstances dictate more frequent assessments, and in accordance with Accounting Standards Update (“ASU”) 2011-08, Testing Goodwill for Impairment 2011-08 two-step two-step |
Income Taxes | Income Taxes Income tax expense is equal to the current year’s liability for income taxes and a provision for deferred income taxes. Deferred tax assets and liabilities are recorded for the future tax effects attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using the enacted tax rates expected to be applied to taxable income in the years in which those temporary differences are expected to be recovered or settled. During fiscal year 2016, the Company retrospectively adopted Accounting Standards Update 2015-17 Balance Sheet Classification of Deferred Taxes 2015-17”), |
Share-Based Payments | Share-Based Payments The Company’s share-based payment arrangements include restricted stock units (“RSU”), stock options and non-vested non-vested non-vested |
Earnings Per Share | Earnings Per Share Earnings per common share are based on the weighted average number of shares outstanding, including outstanding non-vested The following table provides a reconciliation of the average number of common shares outstanding used to calculate earnings per common share to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share (in thousands): Fiscal Years 2016 2015 2014 Average number of common shares outstanding 42,112 43,664 44,956 Incremental shares from assumed exercises of stock options 124 149 213 Average number of common shares and common share equivalents outstanding 42,236 43,813 45,169 For the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014, no options outstanding to purchase shares of Common Stock were antidilutive. Outstanding RSUs were excluded from the calculation of diluted earnings per share for all periods because the performance metric requirements or market condition for vesting had not been satisfied. |
Foreign Currency Translation | Foreign Currency Translation Assets and liabilities of the Company’s Canadian operation are translated from their functional currency to U.S. dollars using exchange rates in effect at the balance sheet date and revenue and expense accounts are translated at average monthly exchange rates during the period. Adjustments resulting from the translation process are included in accumulated other comprehensive income. Transactional gains and losses arising from receivable and payable balances, including intercompany balances, in the normal course of business that are denominated in a currency other than the functional currency of the operation are recorded in the statements of income when they occur. |
Significant Accounting Polici26
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Summary of Activity in Allowance for Doubtful Accounts | Following is a summary of the activity in the allowance for doubtful accounts for fiscal years ending December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Balance at Beginning of Period Charged to Costs and Expenses Write-offs, Net of Recoveries Balance at End of Period For the Fiscal Year Ended December 31, 2016 Trade receivables $ 4,327 $ 2,772 $ (1,938 ) $ 5,161 Other receivables 5,555 2,963 (1,969 ) 6,549 Other non-current 238 — 6 244 $ 10,120 $ 5,735 $ (3,901 ) $ 11,954 For the Fiscal Year Ended December 26, 2015 Trade receivables $ 4,338 $ 3,985 $ (3,996 ) $ 4,327 Other receivables 5,103 1,897 (1,445 ) 5,555 Other non-current 230 8 — 238 $ 9,671 $ 5,890 $ (5,441 ) $ 10,120 For the Fiscal Year Ended December 27, 2014 Trade receivables $ 3,773 $ 2,893 $ (2,328 ) $ 4,338 Other receivables 4,994 2,414 (2,305 ) 5,103 Other non-current 222 8 — 230 $ 8,989 $ 5,315 $ (4,633 ) $ 9,671 |
Reconciliation of Average Number of Common Shares and Common Share Equivalents Outstanding | The following table provides a reconciliation of the average number of common shares outstanding used to calculate earnings per common share to the average number of common shares and common share equivalents outstanding used to calculate diluted earnings per share (in thousands): Fiscal Years 2016 2015 2014 Average number of common shares outstanding 42,112 43,664 44,956 Incremental shares from assumed exercises of stock options 124 149 213 Average number of common shares and common share equivalents outstanding 42,236 43,813 45,169 |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Components of and Changes in Accumulated Other Comprehensive Income, Net of Related Income Taxes | The following table presents the components of and changes in accumulated other comprehensive income, net of related income taxes, as of and for the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Unrealized Available-for-Sale Foreign Currency Total Balance as of December 28, 2013 $ 244 $ (256 ) $ (12 ) Other comprehensive loss (139 ) (1,034 ) (1,173 ) Balance as of December 27, 2014 105 (1,290 ) (1,185 ) Other comprehensive loss (199 ) (2,104 ) (2,303 ) Balance as of December 26, 2015 (94 ) (3,394 ) (3,488 ) Other comprehensive income 23 376 399 Balance as of December 31, 2016 $ (71 ) $ (3,018 ) $ (3,089 ) |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Amortized Cost and Fair Value of Available for Sale Investments | The amortized cost and fair values of available-for-sale Gross Gross Amortized Cost Unrealized Gains Unrealized Losses Fair Value December 31, 2016 Money market investments $ 12,395 $ — $ — $ 12,395 Asset-backed securities 4,027 3 19 4,011 Corporate bonds and direct obligations of government agencies 70,069 150 239 69,980 U.S. Treasury obligations 23,037 2 6 23,033 Total $ 109,528 $ 155 $ 264 $ 109,419 December 26, 2015 Money market investments $ 7,594 $ — $ — $ 7,594 Asset-backed securities 4,523 1 58 4,466 Corporate bonds and direct obligations of government agencies 76,839 190 270 76,759 U.S. Treasury obligations 19,273 5 13 19,265 Total $ 108,229 $ 196 $ 341 $ 108,084 |
Schedule of Unrealized Loss on Available for Sale Investments | For those available-for-sale Less than 12 months 12 months or longer Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss December 31, 2016 Asset-backed securities $ 1,363 $ 6 $ 2,314 $ 13 $ 3,677 $ 19 Corporate bonds and direct obligations of government agencies 28,809 195 1,367 44 30,176 239 U.S. Treasury obligations 12,734 6 — — 12,734 6 Total $ 42,906 $ 207 $ 3,681 $ 57 $ 46,587 $ 264 December 26, 2015 Asset-backed securities $ 4,422 $ 58 $ — $ — $ 4,422 $ 58 Corporate bonds and direct obligations of government agencies 39,276 217 562 53 39,838 270 U.S. Treasury obligations 15,093 13 — — 15,093 13 Total $ 58,791 $ 288 $ 562 $ 53 $ 59,353 $ 341 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Provisions for Income Taxes | The provisions for income taxes consisted of the following (in thousands): Fiscal Years 2016 2015 2014 Current: Federal $ 68,548 $ 74,289 $ 68,722 State 6,668 9,550 7,031 Canadian 563 437 1,199 Total current $ 75,779 $ 84,276 $ 76,952 Deferred: Federal $ 6,104 $ 6,524 $ 5,234 State 224 268 200 Total deferred $ 6,328 $ 6,792 $ 5,434 Income taxes $ 82,107 $ 91,068 $ 82,386 |
Schedule of Deferred Tax Assets and Liabilities | Temporary differences and carryforwards which gave rise to deferred tax assets and liabilities consisted of the following (in thousands): Dec. 31, 2016 Dec. 26, 2015 Deferred tax assets: Receivable valuations $ 4,518 $ 3,832 Share-based payments 1,185 2,894 Self-insured claims 6,270 4,132 Other 4,336 3,836 Total deferred tax assets $ 16,309 $ 14,694 Deferred tax liabilities: Operating property $ 59,720 $ 52,547 Goodwill 5,883 5,877 Other 2,851 2,087 Total deferred tax liabilities $ 68,454 $ 60,511 Net deferred tax liability $ 52,145 $ 45,817 |
Schedule of Income Taxes Calculated on Income from Continuing Operations Before Income Taxes and Provision for Income Taxes | The following table summarizes the differences between income taxes calculated at the federal income tax rate of 35% on income before income taxes and the provisions for income taxes (in thousands): Fiscal Years 2016 2015 2014 Income taxes at federal income tax rate $ 76,810 $ 83,565 $ 77,418 State income taxes, net of federal income tax benefit 4,505 7,201 4,532 Meals and entertainment exclusion 958 946 777 Share-based payments (239 ) (61 ) (239 ) Other, net 73 (583 ) (102 ) Income taxes $ 82,107 $ 91,068 $ 82,386 |
Schedule for Gross Unrecognized Tax Benefits | The following table summarizes the rollforward of the total amounts of gross unrecognized tax benefits for fiscal years 2016 and 2015 (in thousands): Fiscal Years 2016 2015 Gross unrecognized tax benefits – beginning of the year $ 2,704 $ 2,620 Gross increases related to current year tax positions 428 482 Gross increases related to prior year tax positions 596 340 Gross decreases related to prior year tax positions (399 ) (195 ) Settlements (133 ) — Lapse of statute of limitations (561 ) (543 ) Gross unrecognized tax benefits – end of the year $ 2,635 $ 2,704 |
Operating Property (Tables)
Operating Property (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Schedule of Operating Property | Operating property is summarized as follows (in thousands): Dec. 31, 2016 Dec. 26, 2015 Land $ 15,259 $ 9,148 Buildings and improvements 56,413 39,532 Trailing equipment 342,813 311,449 Other equipment 48,732 48,389 Total operating property, gross 463,217 408,518 Less accumulated depreciation and amortization 190,374 182,591 Total operating property, net $ 272,843 $ 225,927 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Minimum Lease Payments | The future minimum lease payments under all noncancelable leases at December 31, 2016, principally for trailing equipment, are shown in the following table (in thousands): Capital Leases Operating Leases 2017 $ 47,860 $ 634 2018 37,654 424 2019 29,431 123 2020 22,054 53 2021 7,572 53 Thereafter — 264 Total future minimum lease payments 144,571 $ 1,551 Less amount representing interest (2.0% to 3.1%) 6,267 Present value of minimum lease payments $ 138,304 |
Share-Based Payment Arrangeme32
Share-Based Payment Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Amounts Recognized in Financial Statements with Respect to Plans | Amounts recognized in the financial statements with respect to these Plans are as follows (in thousands): Fiscal Years 2016 2015 2014 Total cost of the Plans during the period $ 2,747 $ 6,925 $ 6,797 Amount of related income tax benefit recognized during the period (1,238 ) (2,432 ) (3,171 ) Net cost of the Plans during the period $ 1,509 $ 4,493 $ 3,626 |
Weighted Average Assumptions for Option Grants | The fair value of each option grant on its grant date was calculated using the Black-Scholes option pricing model with the following weighted average assumptions for the grant made in fiscal year 2014: Expected volatility 26.0% Expected dividend yield 0.43% Risk-free interest rate 1.50% Expected lives (in years) 4.0 |
Summary of Information Regarding Stock Options | The following table summarizes information regarding the Company’s outstanding stock options under the Plans: Options Outstanding Options Exercisable Number of Options Weighted Average Exercise Price per Share Number of Options Weighted Average Exercise Price per Share Options at December 28, 2013 1,454,816 $ 44.55 693,516 $ 42.29 Granted 1,000 $ 58.06 Exercised (615,077 ) $ 41.27 Forfeited (66,900 ) $ 47.51 Options at December 27, 2014 773,839 $ 46.92 379,389 $ 44.61 Exercised (133,518 ) $ 45.25 Forfeited (3,100 ) $ 52.91 Options at December 26, 2015 637,221 $ 47.24 415,121 $ 45.12 Exercised (257,460 ) $ 45.63 Forfeited (7,200 ) $ 53.63 Options at December 31, 2016 372,561 $ 48.24 282,461 $ 46.39 |
Summary of Stock Options Outstanding and Exercisable | The following tables summarize stock options outstanding and exercisable at December 31, 2016: Options Outstanding Range of Exercise Prices Per Share Number Outstanding Weighted Average Remaining Contractual Term (years) Weighted Average Exercise Price per Share $35.64 - $40.00 48,719 2.6 $ 36.96 $40.01 - $45.00 95,888 3.5 $ 41.76 $45.01 - $58.06 227,954 5.3 $ 53.37 372,561 4.5 $ 48.24 Options Exercisable Range of Exercise Prices Per Share Number Exercisable Weighted Average Remaining Contractual Term (years) Weighted Average Exercise Price per Share $35.64 - $40.00 48,719 2.6 $ 36.96 $40.01 - $45.00 95,888 3.5 $ 41.76 $45.01 - $56.40 137,854 5.1 $ 52.94 282,461 4.1 $ 46.39 |
Restricted Stock Units (RSUs) | |
Schedule of Information on Restricted Stock Units | The following table summarizes information regarding the Company’s outstanding restricted stock unit (“RSU”) awards under the Plans: Number of Weighted Average Grant Date RSUs Fair Value Outstanding at December 28, 2013 308,007 $ 49.63 Granted 146,000 $ 53.11 Vested (24,641 ) $ 51.47 Forfeited (3,736 ) $ 49.53 Outstanding at December 27, 2014 425,630 $ 50.72 Granted 111,922 $ 53.30 Vested (91,382 ) $ 51.98 Forfeited (2,013 ) $ 52.81 Outstanding at December 26, 2015 444,157 $ 51.10 Granted 79,948 $ 51.58 Vested (81,344 ) $ 53.08 Forfeited (64,523 ) $ 52.99 Outstanding at December 31, 2016 378,238 $ 50.46 |
Non-vested Restricted Stock | |
Schedule of Information on Non-Vested Restricted Stock | The following table summarizes information regarding the Company’s outstanding non-vested Number of Weighted Average Grant Date Outstanding at December 28, 2013 38,193 $ 46.75 Granted 7,124 $ 63.17 Vested (19,196 ) $ 41.85 Forfeited (2,768 ) $ 54.20 Outstanding at December 27, 2014 23,353 $ 54.90 Granted 1,197 $ 62.46 Vested (6,490 ) $ 57.79 Outstanding at December 26, 2015 18,060 $ 54.36 Granted 26,033 $ 58.53 Vested (15,684 ) $ 53.03 Outstanding at December 31, 2016 28,409 $ 58.91 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Information Regarding Reportable Business Segments | The following tables summarize information about the Company’s reportable business segments as of and for the fiscal years ending December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands): Transportation Logistics Insurance Total 2016 External revenue $ 3,121,210 $ 46,424 $ 3,167,634 Internal revenue 36,118 36,118 Investment income 1,502 1,502 Interest and debt expense 3,794 3,794 Depreciation and amortization 35,796 35,796 Operating income 187,813 35,438 223,251 Expenditures on long-lived assets 22,645 22,645 Goodwill 31,134 31,134 Capital lease additions 61,504 61,504 Total assets 913,667 182,924 1,096,591 2015 External revenue $ 3,276,677 $ 44,414 $ 3,321,091 Internal revenue 31,342 31,342 Investment income 1,396 1,396 Interest and debt expense 2,949 2,949 Depreciation and amortization 29,102 29,102 Operating income 207,883 33,823 241,706 Expenditures on long-lived assets 4,804 4,804 Goodwill 31,134 31,134 Capital lease additions 49,491 49,491 Total assets 842,550 148,968 991,518 2014 External revenue $ 3,145,413 $ 39,377 $ 3,184,790 Internal revenue 28,164 28,164 Investment income 1,381 1,381 Interest and debt expense 3,177 3,177 Depreciation and amortization 27,575 27,575 Operating income 193,914 30,458 224,372 Expenditures on long-lived assets 10,539 10,539 Goodwill 31,134 31,134 Capital lease additions 47,232 47,232 Total assets 911,193 126,423 1,037,616 |
Change in Accounting Estimate34
Change in Accounting Estimate for Self-Insured Claims (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Effect of Increase in Cost of Insurance and Claims | The following table summarizes the effect of the increase in the cost of insurance claims resulting from unfavorable development of prior year self-insured claims estimates on operating income, net income and earnings per share amounts in the consolidated statements of income for the fiscal years ended December 31, 2016, December 26, 2015 and December 27, 2014 (in thousands, except per share amounts): Fiscal Years Ended December 31, 2016 December 26, 2015 December 27, 2014 Operating income $ 1,079 $ 4,852 $ 6,664 Net income 667 2,999 4,118 Earnings per share $ 0.02 $ 0.07 $ 0.09 Diluted earnings per share $ 0.02 $ 0.07 $ 0.09 |
Quarterly Financial Data (Table
Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Data | QUARTERLY FINANCIAL DATA (Dollars in thousands, except per share amounts) (Unaudited) Fourth Quarter 2016 Third Quarter 2016 Second Quarter 2016 First Quarter 2016 Revenue $ 892,829 $ 787,938 $ 775,223 $ 711,644 Operating income $ 63,765 $ 58,461 $ 53,093 $ 47,932 Income before income taxes $ 62,696 $ 57,513 $ 52,205 $ 47,043 Income taxes 23,122 21,235 19,891 17,859 Net income $ 39,574 $ 36,278 $ 32,314 $ 29,184 Earnings per common share (1) $ 0.95 $ 0.86 $ 0.77 $ 0.69 Diluted earnings per share (1) $ 0.94 $ 0.86 $ 0.76 $ 0.69 Dividends per common share $ 0.09 $ 0.09 $ 0.08 $ 0.08 Fourth Quarter 2015 Third Quarter 2015 Second Quarter 2015 First Quarter 2015 Revenue $ 848,602 $ 841,726 $ 868,383 $ 762,380 Operating income $ 62,648 $ 63,980 $ 66,033 $ 49,045 Income before income taxes $ 61,907 $ 63,266 $ 65,320 $ 48,264 Income taxes 24,052 23,918 24,849 18,249 Net income $ 37,855 $ 39,348 $ 40,471 $ 30,015 Earnings per common share (1) $ 0.89 $ 0.91 $ 0.92 $ 0.67 Diluted earnings per share (1) $ 0.88 $ 0.90 $ 0.92 $ 0.67 Dividends per common share $ 0.08 $ 0.08 $ 0.07 $ 0.07 (1) Due to the changes in the number of average common shares and common stock equivalents outstanding during the year, the sum of earnings per share amounts for each quarter do not necessarily sum in the aggregate to the earnings per share amounts for the full year. |
Significant Accounting Polici36
Significant Accounting Policies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Significant Accounting Policies [Line Items] | |||
Stock options excluded from calculation of diluted earnings per share, antidilutive | 0 | 0 | 0 |
Buildings And Improvements | |||
Significant Accounting Policies [Line Items] | |||
Depreciated life | 30 years | ||
Trailing Equipment | Minimum | |||
Significant Accounting Policies [Line Items] | |||
Depreciated life | 7 years | ||
Trailing Equipment | Maximum | |||
Significant Accounting Policies [Line Items] | |||
Depreciated life | 10 years | ||
Hardware And Software | Minimum | |||
Significant Accounting Policies [Line Items] | |||
Depreciated life | 3 years | ||
Hardware And Software | Maximum | |||
Significant Accounting Policies [Line Items] | |||
Depreciated life | 7 years | ||
Commercial Trucking Claims | |||
Significant Accounting Policies [Line Items] | |||
Company retained liability per claim | $ 5,000,000 | ||
Commercial Trucking Claims | Additional Retained Liability for Claims on or after May 1, 2016 through April 30, 2017 | |||
Significant Accounting Policies [Line Items] | |||
Company retained aggregate liability | 700,000 | ||
General Liability Claim | |||
Significant Accounting Policies [Line Items] | |||
Company retained liability per claim | 1,000,000 | ||
Workers' Compensation Claim | |||
Significant Accounting Policies [Line Items] | |||
Company retained liability per claim | 250,000 | ||
Cargo Claim | |||
Significant Accounting Policies [Line Items] | |||
Company retained liability per claim | $ 250,000 |
Summary of Activity in Allowanc
Summary of Activity in Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $ 10,120 | $ 9,671 | $ 8,989 |
Charged to Costs and Expenses | 5,735 | 5,890 | 5,315 |
Write-offs, Net of Recoveries | (3,901) | (5,441) | (4,633) |
Balance at End of Period | 11,954 | 10,120 | 9,671 |
Trade Receivables | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 4,327 | 4,338 | 3,773 |
Charged to Costs and Expenses | 2,772 | 3,985 | 2,893 |
Write-offs, Net of Recoveries | (1,938) | (3,996) | (2,328) |
Balance at End of Period | 5,161 | 4,327 | 4,338 |
Other Receivables | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 5,555 | 5,103 | 4,994 |
Charged to Costs and Expenses | 2,963 | 1,897 | 2,414 |
Write-offs, Net of Recoveries | (1,969) | (1,445) | (2,305) |
Balance at End of Period | 6,549 | 5,555 | 5,103 |
Other Non-Current Receivables | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 238 | 230 | 222 |
Charged to Costs and Expenses | 8 | 8 | |
Write-offs, Net of Recoveries | 6 | ||
Balance at End of Period | $ 244 | $ 238 | $ 230 |
Reconciliation of Average Numbe
Reconciliation of Average Number of Common Shares and Common Share Equivalents Outstanding (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | |||
Average number of common shares outstanding | 42,112,000 | 43,664,000 | 44,956,000 |
Incremental shares from assumed exercises of stock options | 124,000 | 149,000 | 213,000 |
Average number of common shares and common share equivalents outstanding | 42,236,000 | 43,813,000 | 45,169,000 |
Components of and Changes in Ac
Components of and Changes in Accumulated Other Comprehensive Income, Net of Related Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | $ 466,237 | $ 488,261 | $ 454,481 |
Other comprehensive income (loss) | 399 | (2,303) | (1,173) |
Ending Balance | 542,557 | 466,237 | 488,261 |
Unrealized Holding Gains (Losses) on Available-for-Sale Securities | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (94) | 105 | 244 |
Other comprehensive income (loss) | 23 | (199) | (139) |
Ending Balance | (71) | (94) | 105 |
Foreign Currency Translation | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (3,394) | (1,290) | (256) |
Other comprehensive income (loss) | 376 | (2,104) | (1,034) |
Ending Balance | (3,018) | (3,394) | (1,290) |
Accumulated Other Comprehensive Income (Loss) | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (3,488) | (1,185) | (12) |
Other comprehensive income (loss) | 399 | (2,303) | (1,173) |
Ending Balance | $ (3,089) | $ (3,488) | $ (1,185) |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 26, 2015 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Investments maximum maturity period | 5 years | |
Unrealized (loss) gain, net of unrealized gains/losses, on the investments in the bond portfolio | $ (109) | $ (145) |
Guarantee Payment Of Insurance Claims | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Letters of credit outstanding | 61,110 | |
Current Investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investments providing collateral for letters of credit to guarantee insurance claims | 66,560 | |
Non-Current Investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Investments providing collateral for letters of credit to guarantee insurance claims | 1,340 | |
Total non-current investments | $ 42,859 |
Amortized Cost and Fair Value o
Amortized Cost and Fair Value of Available for Sale Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 26, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 109,528 | $ 108,229 |
Gross Unrealized Gains | 155 | 196 |
Gross Unrealized Losses | 264 | 341 |
Fair Value | 109,419 | 108,084 |
Money market investments | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 12,395 | 7,594 |
Fair Value | 12,395 | 7,594 |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 4,027 | 4,523 |
Gross Unrealized Gains | 3 | 1 |
Gross Unrealized Losses | 19 | 58 |
Fair Value | 4,011 | 4,466 |
Corporate bonds and direct obligations of government agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 70,069 | 76,839 |
Gross Unrealized Gains | 150 | 190 |
Gross Unrealized Losses | 239 | 270 |
Fair Value | 69,980 | 76,759 |
U.S. Treasury Obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 23,037 | 19,273 |
Gross Unrealized Gains | 2 | 5 |
Gross Unrealized Losses | 6 | 13 |
Fair Value | $ 23,033 | $ 19,265 |
Schedule of Unrealized Loss on
Schedule of Unrealized Loss on Available for Sale Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 26, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | $ 42,906 | $ 58,791 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 207 | 288 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 3,681 | 562 |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 57 | 53 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 46,587 | 59,353 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 264 | 341 |
Asset-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | 1,363 | 4,422 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 6 | 58 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 2,314 | |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 13 | |
Available-for-sale investments with unrealized losses, Fair Value, Total | 3,677 | 4,422 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 19 | 58 |
Corporate bonds and direct obligations of government agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | 28,809 | 39,276 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 195 | 217 |
Available-for-sale investments with unrealized losses, 12 months or longer, Fair Value | 1,367 | 562 |
Available-for-sale investments with unrealized losses, 12 months or longer, Unrealized Loss | 44 | 53 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 30,176 | 39,838 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | 239 | 270 |
U.S. Treasury Obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale investments with unrealized losses, Less than 12 months, Fair Value | 12,734 | 15,093 |
Available-for-sale investments with unrealized losses, Less than 12 months, Unrealized Loss | 6 | 13 |
Available-for-sale investments with unrealized losses, Fair Value, Total | 12,734 | 15,093 |
Available-for-sale investments with unrealized losses, Unrealized Loss, Total | $ 6 | $ 13 |
Schedule of Provision for Incom
Schedule of Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 26, 2015 | Sep. 26, 2015 | Jun. 27, 2015 | Mar. 28, 2015 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Income Tax Disclosure [Line Items] | |||||||||||
Federal, Current | $ 68,548 | $ 74,289 | $ 68,722 | ||||||||
State, Current | 6,668 | 9,550 | 7,031 | ||||||||
Canadian, Current | 563 | 437 | 1,199 | ||||||||
Total current | 75,779 | 84,276 | 76,952 | ||||||||
Federal, Deferred | 6,104 | 6,524 | 5,234 | ||||||||
State, Deferred | 224 | 268 | 200 | ||||||||
Total deferred | 6,328 | 6,792 | 5,434 | ||||||||
Income taxes | $ 23,122 | $ 21,235 | $ 19,891 | $ 17,859 | $ 24,052 | $ 23,918 | $ 24,849 | $ 18,249 | $ 82,107 | $ 91,068 | $ 82,386 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Income Taxes [Line Items] | |||
Other current assets | $ 10,281 | $ 11,604 | |
Deferred income taxes and other noncurrent liabilities | $ 53,583 | 52,474 | |
Federal income tax rate | 35.00% | ||
Net unrecognized tax benefits | $ 1,829 | 1,899 | |
Accrued for estimated interest and penalties | 547 | 727 | |
Income taxes paid | $ 69,067 | 74,619 | $ 98,506 |
ASU 2015-17 | Scenario Previously Reported | |||
Income Taxes [Line Items] | |||
Other current assets | 6,552 | ||
ASU 2015-17 | Restatement Adjustment | |||
Income Taxes [Line Items] | |||
Deferred income taxes and other noncurrent liabilities | $ (6,552) |
Schedule of Deferred Tax Assets
Schedule of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 26, 2015 |
Income Tax Disclosure [Line Items] | ||
Receivable valuations | $ 4,518 | $ 3,832 |
Share-based payments | 1,185 | 2,894 |
Self-insured claims | 6,270 | 4,132 |
Other | 4,336 | 3,836 |
Total deferred tax assets | 16,309 | 14,694 |
Operating property | 59,720 | 52,547 |
Goodwill | 5,883 | 5,877 |
Other | 2,851 | 2,087 |
Total deferred tax liabilities | 68,454 | 60,511 |
Net deferred tax liability | $ 52,145 | $ 45,817 |
Schedule of Income Taxes Calcul
Schedule of Income Taxes Calculated on Income from Continuing Operations Before Income Taxes and Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 26, 2015 | Sep. 26, 2015 | Jun. 27, 2015 | Mar. 28, 2015 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Income Tax Disclosure [Line Items] | |||||||||||
Income taxes at federal income tax rate | $ 76,810 | $ 83,565 | $ 77,418 | ||||||||
State income taxes, net of federal income tax benefit | 4,505 | 7,201 | 4,532 | ||||||||
Meals and entertainment exclusion | 958 | 946 | 777 | ||||||||
Share-based payments | (239) | (61) | (239) | ||||||||
Other, net | 73 | (583) | (102) | ||||||||
Income taxes | $ 23,122 | $ 21,235 | $ 19,891 | $ 17,859 | $ 24,052 | $ 23,918 | $ 24,849 | $ 18,249 | $ 82,107 | $ 91,068 | $ 82,386 |
Schedule for Gross Unrecognized
Schedule for Gross Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 26, 2015 | |
Income Tax Disclosure [Line Items] | ||
Gross unrecognized tax benefits - beginning of the year | $ 2,704 | $ 2,620 |
Gross increases related to current year tax positions | 428 | 482 |
Gross increases related to prior year tax positions | 596 | 340 |
Gross decreases related to prior year tax positions | (399) | (195) |
Settlements | (133) | |
Lapse of statute of limitations | (561) | (543) |
Gross unrecognized tax benefits - end of the year | $ 2,635 | $ 2,704 |
Operating Property (Detail)
Operating Property (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 26, 2015 |
Property, Plant and Equipment [Line Items] | ||
Land | $ 15,259 | $ 9,148 |
Buildings and improvements | 56,413 | 39,532 |
Trailing equipment | 342,813 | 311,449 |
Other equipment | 48,732 | 48,389 |
Total operating property, gross | 463,217 | 408,518 |
Less accumulated depreciation and amortization | 190,374 | 182,591 |
Total operating property, net | $ 272,843 | $ 225,927 |
Operating Property - Additional
Operating Property - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Operating property under capital leases | $ 249,717 | $ 222,428 | |
Operating property under capital leases, net of accumulated depreciation and amortization | 183,763 | 164,501 | |
Capital leases | $ 61,504 | $ 49,491 | $ 47,232 |
Retirement Plan - Additional In
Retirement Plan - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Retirement Plans [Line Items] | |||
Defined contribution plan maximum employee contribution as a percentage of base salary | 75.00% | ||
Expense for the Company-sponsored defined contribution plan | $ 2,074 | $ 1,901 | $ 1,718 |
First 3% of Contributions on Defined Contribution Plan | |||
Retirement Plans [Line Items] | |||
Defined contribution plan employer contribution as a percentage of base salary | 100.00% | ||
Threshold to determine company matching percentage | 3.00% | ||
Next 2% of Contributions on Defined Contribution Plan | |||
Retirement Plans [Line Items] | |||
Defined contribution plan employer contribution as a percentage of base salary | 50.00% | ||
Threshold to determine company matching percentage | 2.00% |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Debt Instrument [Line Items] | |||
Debt Outstanding Excluding Capital Lease Obligations | $ 0 | $ 0 | |
Interest paid | $ 3,794,000 | 3,012,000 | $ 3,229,000 |
Revolving Credit Facility | |||
Debt Instrument [Line Items] | |||
Credit facility, initiation date | Jun. 2, 2016 | ||
Credit facility, expiration date | Jun. 2, 2021 | ||
Credit facility, borrowing capacity | $ 250,000,000 | ||
Credit facility, maximum borrowing capacity | 400,000,000 | ||
Borrowings outstanding | $ 0 | $ 0 | |
Credit facility, debt covenants compliance | The Company is currently in compliance with all of the debt covenants under the Credit Agreement. | ||
Revolving Credit Facility | Federal Reserve Bank of New York | |||
Debt Instrument [Line Items] | |||
Borrowings, basis spread on variable rate | 0.50% | ||
Revolving Credit Facility | London Interbank Offered Rate | |||
Debt Instrument [Line Items] | |||
Borrowings, basis spread on variable rate | 1.25% | ||
Revolving Credit Facility | Minimum | |||
Debt Instrument [Line Items] | |||
Credit facility, unused credit commitment fee | 0.15% | ||
Credit facility event of default, minimum percentage that a person or group should acquire outstanding capital stock | 35.00% | ||
Revolving Credit Facility | Maximum | |||
Debt Instrument [Line Items] | |||
Credit facility, unused credit commitment fee | 0.25% | ||
Maximum Leverage ratio beyond which amount of cash dividends and other distributions to stockholders is limited | 250.00% | ||
Letter of Credit | |||
Debt Instrument [Line Items] | |||
Credit facility, maximum borrowing capacity | $ 50,000,000 |
Minimum Lease Payments (Detail)
Minimum Lease Payments (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Capital Leases And Operating Leases [Line Items] | |
Capital Leases, 2017 | $ 47,860 |
Capital Leases, 2018 | 37,654 |
Capital Leases, 2019 | 29,431 |
Capital Leases, 2020 | 22,054 |
Capital Leases, 2021 | 7,572 |
Thereafter | 0 |
Capital leases, future minimum payments due, Total | 144,571 |
Less amount representing interest (2.0% to 3.1%) | 6,267 |
Present value of minimum lease payments | 138,304 |
Operating Leases, 2017 | 634 |
Operating Leases, 2018 | 424 |
Operating Leases, 2019 | 123 |
Operating Leases, 2020 | 53 |
Operating Leases, 2021 | 53 |
Thereafter | 264 |
Operating lease, future minimum payments due, Total | $ 1,551 |
Minimum Lease Payments (Parenth
Minimum Lease Payments (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2016 | |
Minimum | |
Capital Leases And Operating Leases [Line Items] | |
Capital leases, future minimum payments, interest included in payments, interest rate | 2.00% |
Maximum | |
Capital Leases And Operating Leases [Line Items] | |
Capital leases, future minimum payments, interest included in payments, interest rate | 3.10% |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Leases Disclosure [Line Items] | |||
Total rent expense/income, net of sublease income | $ 1,641 | $ 318 | $ 587 |
Share Based Payment Arrangement
Share Based Payment Arrangements - Additional Information (Detail) $ / shares in Units, $ in Thousands | May 01, 2015shares | Dec. 31, 2016USD ($)EquityPlanshares | Dec. 26, 2015USD ($)shares | Dec. 27, 2014USD ($)$ / sharesshares | Dec. 28, 2013shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of employee equity incentive plans | EquityPlan | 2 | ||||
Income tax benefit realized on disqualifying dispositions of stock acquired by exercise of incentive stock options | $ 451 | $ 383 | |||
2013 Directors Stock Compensation Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock authorized for issuance | shares | 115,000 | ||||
Common stock reserved for issuance | shares | 86,572 | ||||
Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Discount rate on stock awards | 7.00% | ||||
Stock awards granted | shares | 79,948 | 111,922 | 146,000 | ||
Recognized share-based compensation expense | $ 849 | $ 4,943 | $ 4,443 | ||
Unrecognized compensation cost expected to be recognized over period, years | 2 years 7 months 6 days | ||||
Stock awards outstanding | shares | 378,238 | 444,157 | 425,630 | 308,007 | |
Restricted Stock Units (RSUs) | May 2015 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of target available for common share issuance | 100.00% | ||||
Stock awards granted | shares | 20,000 | ||||
Restricted Stock Units (RSUs) | January 2016 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
RSU awards vesting period | 5 years | ||||
Percentage of target available for common share issuance | 100.00% | ||||
Restricted Stock Units (RSUs) | Prior to 2016 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
RSU awards vesting period | 5 years | ||||
Restricted Stock Units (RSUs) | January 2015 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Percentage of target available for common share issuance | 100.00% | ||||
Restricted Stock Units (RSUs) | 2012 Grants, Nonvested to Forfeit | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized compensation cost, other than options | $ 2,400 | ||||
Stock awards outstanding | shares | 54,102 | ||||
Employee Stock Option | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Terms of award | Options granted under the Plans generally become exercisable in either five equal annual installments commencing on the first anniversary of the date of grant or 100% on the fifth anniversary from the date of grant, subject to acceleration in certain circumstances. All options granted under the Plans expire on the tenth anniversary of the date of grant. Under the Plans, the exercise price of each option equals the fair market value of the Company's Common Stock on the date of grant. | ||||
The weighted average grant date fair value of stock options granted | $ / shares | $ 12.70 | ||||
Stock options outstanding, intrinsic value | $ 13,809 | ||||
Intrinsic value of stock options exercisable | 10,991 | ||||
Total intrinsic value of stock options exercised during periods | 7,427 | $ 2,954 | $ 14,573 | ||
Unrecognized compensation cost | $ 365 | ||||
Non-vested Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock awards granted | shares | 26,033 | 1,197 | 7,124 | ||
Unrecognized compensation cost, other than options | $ 953 | ||||
Unrecognized compensation cost expected to be recognized over period, years | 1 year 7 months 6 days | ||||
Stock awards outstanding | shares | 28,409 | 18,060 | 23,353 | 38,193 | |
Terms of award | The Company's Common Stock on the date of grant. Shares of non-vested restricted stock are generally subject to vesting in three equal annual installments or 100% on the first, third or fifth anniversary of the date of the grant. | ||||
Directors Stock Compensation Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
FMV of restricted shares granted to Directors upon election | $ 110 | $ 225 | |||
Restricted shares granted | shares | 7,762 | 1,197 | 7,124 | ||
Compensation cost on restricted shares granted | $ 591 | $ 419 | $ 331 | ||
Directors Stock Compensation Plan | Class III Director | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
FMV of restricted shares granted to Directors upon election | 35 | ||||
Maximum | Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Unrecognized compensation cost, other than options | $ 27,000 | ||||
Maximum | Restricted Stock Units (RSUs) | May 2015 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Maximum percentage of target available for common share issuance | 150.00% | ||||
Maximum | Restricted Stock Units (RSUs) | January 2016 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Maximum percentage of target available for common share issuance | 200.00% | ||||
Maximum | Restricted Stock Units (RSUs) | January 2015 Grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Maximum percentage of target available for common share issuance | 200.00% | ||||
Maximum | Restricted Stock Units (RSUs) | Prior to 2015 grant | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Maximum percentage of target available for common share issuance | 100.00% | ||||
2011 Equity Incentive Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock authorized for issuance | shares | 6,000,000 | ||||
Other Stock Compensation Plans | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock reserved for issuance | shares | 5,000,732 |
Amounts Recognized in Financial
Amounts Recognized in Financial Statements with Respect to Plans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total cost of the Plans during the period | $ 2,747 | $ 6,925 | $ 6,797 |
Amount of related income tax benefit recognized during the period | (1,238) | (2,432) | (3,171) |
Net cost of the Plans during the period | $ 1,509 | $ 4,493 | $ 3,626 |
Schedule of Information on Rest
Schedule of Information on Restricted Stock Units (Detail) - Restricted Stock Units (RSUs) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Number of Shares | |||
Beginning Balance | 444,157 | 425,630 | 308,007 |
Granted | 79,948 | 111,922 | 146,000 |
Vested | (81,344) | (91,382) | (24,641) |
Forfeited | (64,523) | (2,013) | (3,736) |
Ending Balance | 378,238 | 444,157 | 425,630 |
Weighted Average Grant Date Fair Value | |||
Beginning Balance | $ 51.10 | $ 50.72 | $ 49.63 |
Granted | 51.58 | 53.30 | 53.11 |
Vested | 53.08 | 51.98 | 51.47 |
Forfeited | 52.99 | 52.81 | 49.53 |
Ending Balance | $ 50.46 | $ 51.10 | $ 50.72 |
Weighted Average Assumptions fo
Weighted Average Assumptions for Option Grants (Detail) | 12 Months Ended |
Dec. 27, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected volatility | 26.00% |
Expected dividend yield | 0.43% |
Risk-free interest rate | 1.50% |
Expected lives (in years) | 4 years |
Summary of Information Regardin
Summary of Information Regarding Stock Options (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Number of Options | |||
Beginning Balance, number of options | 637,221 | 773,839 | 1,454,816 |
Granted, number of options | 1,000 | ||
Exercised, number of options | (257,460) | (133,518) | (615,077) |
Forfeited, number of options | (7,200) | (3,100) | (66,900) |
Ending Balance, number of options | 372,561 | 637,221 | 773,839 |
Weighted Average Exercise Price per Share | |||
Beginning Balance, Weighted Average Exercise Price per Share | $ 47.24 | $ 46.92 | $ 44.55 |
Granted, Weighted Average Exercise Price per Share | 58.06 | ||
Exercised, Weighted Average Exercise Price per Share | 45.63 | 45.25 | 41.27 |
Forfeited, Weighted Average Exercise Price per Share | 53.63 | 52.91 | 47.51 |
Ending Balance, Weighted Average Exercise Price per Share | $ 48.24 | $ 47.24 | $ 46.92 |
Options exercisable, Number of Options | |||
Options exercisable at the beginning, Number of Options | 415,121 | 379,389 | 693,516 |
Options exercisable at the ending, Number of Options | 282,461 | 415,121 | 379,389 |
Options exercisable, Weighted Average Exercise Price per Share | |||
Options exercisable at the beginning, Weighted Average Exercise Price per Share | $ 45.12 | $ 44.61 | $ 42.29 |
Options exercisable at the ending, Weighted Average Exercise Price per Share | $ 46.39 | $ 45.12 | $ 44.61 |
Summary Stock Options Outstandi
Summary Stock Options Outstanding and Exercisable (Detail) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Options Outstanding | shares | 372,561 |
Options Exercisable | shares | 282,461 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 4 years 6 months |
Options Exercisable, Weighted Average Contractual Life (Years) | 4 years 1 month 6 days |
Options Outstanding, Weighted Average Exercise Price per Share | $ 48.24 |
Options Exercisable, Weighted Average Exercise Price | 46.39 |
Range One | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum Exercise Price | 35.64 |
Maximum Exercise Price | $ 40 |
Options Outstanding | shares | 48,719 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 2 years 7 months 6 days |
Options Outstanding, Weighted Average Exercise Price per Share | $ 36.96 |
Range Two | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum Exercise Price | 40.01 |
Maximum Exercise Price | $ 45 |
Options Outstanding | shares | 95,888 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 3 years 6 months |
Options Outstanding, Weighted Average Exercise Price per Share | $ 41.76 |
Range Three | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum Exercise Price | 45.01 |
Maximum Exercise Price | $ 58.06 |
Options Outstanding | shares | 227,954 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 5 years 3 months 18 days |
Options Outstanding, Weighted Average Exercise Price per Share | $ 53.37 |
Range Four | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum Exercise Price | 35.64 |
Maximum Exercise Price | $ 40 |
Options Exercisable | shares | 48,719 |
Options Exercisable, Weighted Average Contractual Life (Years) | 2 years 7 months 6 days |
Options Exercisable, Weighted Average Exercise Price | $ 36.96 |
Range Five | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum Exercise Price | 40.01 |
Maximum Exercise Price | $ 45 |
Options Exercisable | shares | 95,888 |
Options Exercisable, Weighted Average Contractual Life (Years) | 3 years 6 months |
Options Exercisable, Weighted Average Exercise Price | $ 41.76 |
Range Six | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Minimum Exercise Price | 45.01 |
Maximum Exercise Price | $ 56.40 |
Options Exercisable | shares | 137,854 |
Options Exercisable, Weighted Average Contractual Life (Years) | 5 years 1 month 6 days |
Options Exercisable, Weighted Average Exercise Price | $ 52.94 |
Schedule of Information on Non
Schedule of Information on Non - Vested Restricted Stock Units (Detail) - Non-vested Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Number of Shares | |||
Beginning Balance | 18,060 | 23,353 | 38,193 |
Granted | 26,033 | 1,197 | 7,124 |
Vested | (15,684) | (6,490) | (19,196) |
Forfeited | (2,768) | ||
Ending Balance | 28,409 | 18,060 | 23,353 |
Weighted Average Grant Date Fair Value | |||
Beginning Balance | $ 54.36 | $ 54.90 | $ 46.75 |
Granted | 58.53 | 62.46 | 63.17 |
Vested | 53.03 | 57.79 | 41.85 |
Forfeited | 54.20 | ||
Ending Balance | $ 58.91 | $ 54.36 | $ 54.90 |
Equity - Additional Information
Equity - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | May 19, 2015 | |
Equity [Line Items] | ||||
Shares authorized for repurchase | 3,000,000 | |||
Remaining shares available for repurchase | 1,036,125 | |||
Total cost of repurchase of common stock | $ 50,516 | $ 161,152 | $ 56,393 | |
Preferred stock, shares authorized and unissued | 2,000,000 | |||
Treasury Stock | ||||
Equity [Line Items] | ||||
Common stock repurchased during period, shares | 773,281 | 2,497,748 | 939,872 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Revolving Credit Facility | |
Commitments and Contingencies Disclosure [Line Items] | |
Letters of credit outstanding | $ 35,599 |
Guarantee Payment Of Insurance Claims | |
Commitments and Contingencies Disclosure [Line Items] | |
Letters of credit outstanding | $ 61,110 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016USD ($) | Sep. 24, 2016USD ($) | Jun. 25, 2016USD ($) | Mar. 26, 2016USD ($) | Dec. 26, 2015USD ($) | Sep. 26, 2015USD ($) | Jun. 27, 2015USD ($) | Mar. 28, 2015USD ($) | Dec. 31, 2016USD ($)CustomerSegment | Dec. 26, 2015USD ($)Customer | Dec. 27, 2014USD ($)Customer | |
Segment Reporting Information [Line Items] | |||||||||||
External revenue | $ | $ 892,829 | $ 787,938 | $ 775,223 | $ 711,644 | $ 848,602 | $ 841,726 | $ 868,383 | $ 762,380 | $ 3,167,634 | $ 3,321,091 | $ 3,184,790 |
Number of segments | Segment | 2 | ||||||||||
Number of customers accounting for 10 percent or more of total revenue | Customer | 0 | 0 | 0 | ||||||||
No single customer accounted for benchmark percentage to be considered major customer | 10.00% | 10.00% | 10.00% |
Information Regarding Reportabl
Information Regarding Reportable Business Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 26, 2015 | Sep. 26, 2015 | Jun. 27, 2015 | Mar. 28, 2015 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||
External revenue | $ 892,829 | $ 787,938 | $ 775,223 | $ 711,644 | $ 848,602 | $ 841,726 | $ 868,383 | $ 762,380 | $ 3,167,634 | $ 3,321,091 | $ 3,184,790 |
Internal revenue | 36,118 | 31,342 | 28,164 | ||||||||
Investment income | 1,502 | 1,396 | 1,381 | ||||||||
Interest and debt expense | 3,794 | 2,949 | 3,177 | ||||||||
Depreciation and amortization | 35,796 | 29,102 | 27,575 | ||||||||
Operating income | 63,765 | $ 58,461 | $ 53,093 | $ 47,932 | 62,648 | $ 63,980 | $ 66,033 | $ 49,045 | 223,251 | 241,706 | 224,372 |
Expenditures on long-lived assets | 22,645 | 4,804 | 10,539 | ||||||||
Goodwill | 31,134 | 31,134 | 31,134 | 31,134 | 31,134 | ||||||
Capital lease additions | 61,504 | 49,491 | 47,232 | ||||||||
Total assets | 1,096,591 | 991,518 | 1,096,591 | 991,518 | 1,037,616 | ||||||
Transportation Logistics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External revenue | 3,121,210 | 3,276,677 | 3,145,413 | ||||||||
Interest and debt expense | 3,794 | 2,949 | 3,177 | ||||||||
Depreciation and amortization | 35,796 | 29,102 | 27,575 | ||||||||
Operating income | 187,813 | 207,883 | 193,914 | ||||||||
Expenditures on long-lived assets | 22,645 | 4,804 | 10,539 | ||||||||
Goodwill | 31,134 | 31,134 | 31,134 | 31,134 | 31,134 | ||||||
Capital lease additions | 61,504 | 49,491 | 47,232 | ||||||||
Total assets | 913,667 | 842,550 | 913,667 | 842,550 | 911,193 | ||||||
Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External revenue | 46,424 | 44,414 | 39,377 | ||||||||
Internal revenue | 36,118 | 31,342 | 28,164 | ||||||||
Investment income | 1,502 | 1,396 | 1,381 | ||||||||
Operating income | 35,438 | 33,823 | 30,458 | ||||||||
Total assets | $ 182,924 | $ 148,968 | $ 182,924 | $ 148,968 | $ 126,423 |
Effect of Increase in Cost of I
Effect of Increase in Cost of Insurance and Claims (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 26, 2015 | Sep. 26, 2015 | Jun. 27, 2015 | Mar. 28, 2015 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |||||||||
Change in Accounting Estimate [Line Items] | |||||||||||||||||||
Operating income | $ 63,765 | $ 58,461 | $ 53,093 | $ 47,932 | $ 62,648 | $ 63,980 | $ 66,033 | $ 49,045 | $ 223,251 | $ 241,706 | $ 224,372 | ||||||||
Net income | $ 39,574 | $ 36,278 | $ 32,314 | $ 29,184 | $ 37,855 | $ 39,348 | $ 40,471 | $ 30,015 | $ 137,350 | $ 147,689 | $ 138,809 | ||||||||
Earnings per share | $ 0.95 | [1] | $ 0.86 | [1] | $ 0.77 | [1] | $ 0.69 | [1] | $ 0.89 | [1] | $ 0.91 | [1] | $ 0.92 | [1] | $ 0.67 | [1] | $ 3.26 | $ 3.38 | $ 3.09 |
Diluted earnings per share | $ 0.94 | [1] | $ 0.86 | [1] | $ 0.76 | [1] | $ 0.69 | [1] | $ 0.88 | [1] | $ 0.90 | [1] | $ 0.92 | [1] | $ 0.67 | [1] | $ 3.25 | $ 3.37 | $ 3.07 |
Development of Prior Year Self Insured Claims Estimates | |||||||||||||||||||
Change in Accounting Estimate [Line Items] | |||||||||||||||||||
Operating income | $ 1,079 | $ 4,852 | $ 6,664 | ||||||||||||||||
Net income | $ 667 | $ 2,999 | $ 4,118 | ||||||||||||||||
Earnings per share | $ 0.02 | $ 0.07 | $ 0.09 | ||||||||||||||||
Diluted earnings per share | $ 0.02 | $ 0.07 | $ 0.09 | ||||||||||||||||
[1] | Due to the changes in the number of average common shares and common stock equivalents outstanding during the year, the sum of earnings per share amounts for each quarter do not necessarily sum in the aggregate to the earnings per share amounts for the full year. |
Quarterly Financial Data (Detai
Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 24, 2016 | Jun. 25, 2016 | Mar. 26, 2016 | Dec. 26, 2015 | Sep. 26, 2015 | Jun. 27, 2015 | Mar. 28, 2015 | Dec. 31, 2016 | Dec. 26, 2015 | Dec. 27, 2014 | |||||||||
Schedule Of Quarterly Financial Data [Line Items] | |||||||||||||||||||
Revenue | $ 892,829 | $ 787,938 | $ 775,223 | $ 711,644 | $ 848,602 | $ 841,726 | $ 868,383 | $ 762,380 | $ 3,167,634 | $ 3,321,091 | $ 3,184,790 | ||||||||
Operating income | 63,765 | 58,461 | 53,093 | 47,932 | 62,648 | 63,980 | 66,033 | 49,045 | 223,251 | 241,706 | 224,372 | ||||||||
Income before income taxes | 62,696 | 57,513 | 52,205 | 47,043 | 61,907 | 63,266 | 65,320 | 48,264 | 219,457 | 238,757 | 221,195 | ||||||||
Income taxes | 23,122 | 21,235 | 19,891 | 17,859 | 24,052 | 23,918 | 24,849 | 18,249 | 82,107 | 91,068 | 82,386 | ||||||||
Net income | $ 39,574 | $ 36,278 | $ 32,314 | $ 29,184 | $ 37,855 | $ 39,348 | $ 40,471 | $ 30,015 | $ 137,350 | $ 147,689 | $ 138,809 | ||||||||
Earnings per common share | $ 0.95 | [1] | $ 0.86 | [1] | $ 0.77 | [1] | $ 0.69 | [1] | $ 0.89 | [1] | $ 0.91 | [1] | $ 0.92 | [1] | $ 0.67 | [1] | $ 3.26 | $ 3.38 | $ 3.09 |
Diluted earnings per share | 0.94 | [1] | 0.86 | [1] | 0.76 | [1] | 0.69 | [1] | 0.88 | [1] | 0.90 | [1] | 0.92 | [1] | 0.67 | [1] | 3.25 | 3.37 | 3.07 |
Dividends per common share | $ 0.09 | $ 0.09 | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.07 | $ 0.07 | $ 0.34 | $ 0.30 | $ 1.26 | ||||||||
[1] | Due to the changes in the number of average common shares and common stock equivalents outstanding during the year, the sum of earnings per share amounts for each quarter do not necessarily sum in the aggregate to the earnings per share amounts for the full year. |