PHOENIX — Jerry Moyes, founder and CEO of Swift Transportation Company of Phoenix, one of the nation’s largest truckload carriers, will step down December 31, the company reported yesterday. Richard Stocking, who joined Swift in 1992 and has served as Swift’s president and chief operating officer since 2010, will take over as president and CEO when Moyes retires. In the interim, the company said, Moyes and Stocking will serve as “co-CEOs, although all day-to-day responsibilitieswill be immediately transitioned to Mr. Stocking.”
Starting January 1, 2017, Moyes will serve as founder and chairman emeritus and a member of the Board of Directors.
“I want to thank everyone at Swift for helping me build this great company over the last 50 years,” Moyes said. “Swift is a strong company, strategically well-positioned for continued growth and success. I am proud of all of Swift’s employees who drive the performance of this company, and I am confident that Swift will continue on its successful path.”
“Beginning 50 years ago, hauling steel with a single truck, Jerry Moyes created a strong, enduring company and built Swift into one of the largest truckload providers in the U.S. – with its fleet of nearly 20,000 trucks,” said Richard H. Dozer, chairman of the Board of Directors. “Jerry and Richard have worked closely together for many years, and we expect a seamless transition. We are deeply grateful to Jerry for his innumerable contributions to Swift’s growth and success. We wish Jerry all the best in his well-deserved retirement and look forward to his continued guidance and experience on the Board.”
Swift operates a tractor fleet of approximately 18,000 units driven by company and owner-operator drivers and operates more than 40 major terminals in the United States and Mexico, according to Swift.
In 1966, Moyes formed Common Market Distribution Corp., which was later merged with Swift Transportation, which he also founded. In 1986, Moyes became chairman of the Board, president, and CEO of Swift Transportation Company, positions he held until 2005, the company stated.
The Company and Moyes also filed a “letter agreement” with the U.S. Securities and Exchange Commission (SEC) to “memorialize the terms of his retirement and provide for an orderly transition of the office of CEO to Mr. Stocking,” Swift reported. “Commencing January 1, 2017 through December 31, 2019, Mr. Moyes will serve as a non-employee consultant for which he will receive compensation of $200,000 per month through December 31, 2019. Mr. Moyes will retain and continue to vest in approximately 94,400 outstanding stock options (with exercise prices of $23.30 and $24.84) and he will continue to vest in outstanding performance equity awards, as if his employment continued. Additional outstanding stock options held by Mr. Moyes on September 8, 2016 will be immediately vested and he will be treated as having a termination of employment effective December 31, 2016. The Agreement also includes customary release, confidentiality, non-competition and non-solicitation provisions.”
In addition, the Agreement also provides that the Board will recommend the election of Moyes as a director and “and use its reasonable best efforts to cause the election of Mr. Moyes to the Board of Directors.
“Mr. Moyes will continue to conduct hedging and pledging transactions in accordance with the company’s Securities Trading Policy in effect as of August 31, 2016 and the Company shall take all reasonable and prompt action, subject to applicable law, the Company’s Securities Trading Policy and directors’ fiduciary duties, to permit Mr. Moyes and his affiliates to conduct such transactions; and The Company will not take any action that has an adverse effect on the voting or consent rights of the common stock shares held by Mr. Moyes and his affiliates.”
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