Covenant Transportation Group Sees Q4 EPS of $0.03 to $0.07

Covenant Transportation Group, Inc. CVTI announced today its expectations regarding financial results for the fourth quarter of 2010. Chairman, President and Chief Executive Officer, David R. Parker, offered the following comments: "Overall, we expect to report consolidated net income in a range of $0.03 to $0.07 per share for the fourth quarter of 2010. Our expectations for the fourth quarter of 2010 compare to a reported consolidated net loss of ($0.19) per share for the fourth quarter of 2009. "For the quarter, we expect to report that freight revenue, which for these purposes excludes fuel surcharge revenue, in our assetbased truckload business increased $4.2 million, or 3.4%, compared with the fourth quarter of 2009. This increase related to a 3.0% increase in average freight revenue per tractor per week and a minor 14 truck (or 0.5%) increase in our average tractor fleet. Average freight revenue per tractor per week improved to $3,113 during the 2010 quarter from $3,023 during the 2009 quarter due to an improved rate environment, offset by an approximate 2% decrease in average miles per tractor. Our average freight revenue per total mile increased 6.6 cents per mile (or 5.2%) compared with the fourth quarter of 2009. Sequentially, our average freight revenue per total mile increased 1.1 cents per mile (0.8%) compared with the third quarter of 2010. In addition, we experienced cost headwinds related to net fuel, insurance and claims, and various items within salaries, wages and related expenses."