TRUCKING & LOGISTICS REPORT SECOND QUARTER 2020

Bridgepoint Investment Banking is a division of Bridgepoint Holdings, LLC. Securities offered through an unaffiliated entity, M&A Securities Group, Inc., member FINRA/SIPC. This entity is not affiliated or associated with, authorized or sponsored by Bridgepoint Advisers Limited TRUCKING & LOGISTICS INDUSTRY UPDATE Q2 2020 bridgepointib.com BRIDGEPOINT INSIGHTS Rebound Expected to Continue into Q3 from Pandemic Lows

EXECUTIVE SUMMARY BIG PICTURE Trucking company median EBITDA Trucking company valuations and valuation multiples are currently at 5.7x, earnings are highly cyclical due to the 16.2% below historical median levels while still in excess of trough levels nature of the industry and general With some states re-opening, overall macroeconomic factors as well as volumes and rates are expected to specific business characteristics rebound by June and into the beginning of Q3 barring an early second-wave outbreak of the Coronavirus in the U.S. Cycle timing is critical to maximize TEV / EBITDA valuations are already transaction value. Recent increase of showing signs of recovery with a 11.6% 0.6x (11.6%) of public trucking companies’ increase from the March 2020 valuations median TEV / EBTIDA multiple since March of 5.1x, the 5-year trough; valuations are 2020 indicates that the industry is expected to continue to increase as volumes increase nationwide in May / beginning to show some signs of a

June rebound from the pandemic’s impact

We have once again learned, what we already knew, that cash and capital at the individual Bridgepoint Investment Banking advises trucking company level are critical to survival “ trucking company owners seeking near- and being prepared to take advantage of the term liquidity or financing that it is general economic recovery. We remain “ imperative to consider exploring optimistic for the long-term viability and health of the trucking industry, notwithstanding that strategic and financing options now there will likely be bumpy roads ahead for a relatively short period of time.

Wm. Lee Merritt, Managing Director Bridgepoint Investment Banking Trucking & Logistics Valuation Cycle 12.0x TEV / EBITDA TEV / Revenue 1.40x Current Median 5.7x 0.82x 11.0x Historical Median 6.8x 0.94x 1.30x Historical Peak 11.3x 1.16x 1.20x 10.0x Historical Trough 5.1x 0.68x 1.10x RevenueTEV / 9.0x 1.00x 8.0x 0.90x 7.0x 0.80x TEV / LTM EBITDA 6.0x 0.70x

5.0x 0.60x

4.0x 0.50x

Median TEV / EBITDA Historical TEV / EBITDA

Median TEV / Revenue Historical TEV / Revenue

Note: Composite composed of selected public comparables as listed on page 3. Source: Bridgepoint Investment Banking, Capital IQ, IBISWorld Bridgepoint Investment Banking is a division of Bridgepoint Holdings, LLC. Securities offered through an unaffiliated entity, M&A Securities Group, Inc., member FINRA/SIPC 1 TRUCKING & LOGISTICS INDUSTRY UPDATE Q2 2020 bridgepointib.com BRIDGEPOINT INSIGHTS

National Average Spot Rates Q2 2020 Volumes turn a corner as some states begin to re-open; Rates lagging behind

VAN FLATBED REEFER

$1.79 $1.87 $1.63 $2.19 $1.54 $2.14 $2.19

$2.09 $1.94 $1.86 $1.97 $1.93

Feb. Mar. Apr. May Feb. Mar. Apr. May Feb. Mar. Apr. May

Source: DAT Industry Trends

Key Business Considerations KEY TRUCKING & LOGISTICS TRENDS VALUATION CONSIDERATIONS

Truckload carriers can expect spot rates . The week of May 11th was the first week that there to increase as states re-open and were more rate increases than decreases since demand for goods increases early-March and this is anticipated to continue . Acquisition activity is expected to Many trucking companies are spending more time decrease year-over-year in 2020 due to working on their own businesses and taking care of the Coronavirus pandemic their drivers’ health and safety concerns

. Total reefer volumes in states such as California and Reefer volumes are expected to come roaring back with warmer weather in the Texas have increased by 6% since April due to the U.S. increased demand for fresh produce . The continued decrease in diesel prices due to the Diesel prices have trended low month- lack of consumer demand is not expected to over-month and are expected to stay low as much of society is still closed rebound even with the easing of restrictions . ELDs continue to represent a real value-add for New trucking technology driving firms to companies that have successfully transitioned and invest to retain their competitive edge historically utilized electronic logs and generated and driver base data . Last-mile logistics firms are expected to Demand for eCommerce has soared due to the be hot targets in H2 2020 due to the pandemic; those companies that can reliably continued expansion of eCommerce provide quick last-mile delivery will be hot targets for M&A Innovation in automation expected to . Reducing costs and increasing cash flow will allow surge in 2020 as companies try to many trucking companies to exit a recession and increase cash flow and reduce costs enter a recovery with a much leaner fleet

Source: Bridgepoint Investment Banking, Capital IQ, DAT Industry Trends 2 TRUCKING & LOGISTICS INDUSTRY UPDATE Q2 2020 bridgepointib.com BRIDGEPOINT INSIGHTS Selected Public Comparables

($ in millions, except per share data) 5/20/2020 Equity Enterprise P / E TEV / Revenue TEV / EBITDA TEV / EBIT Company Name Country Share Price Value Value LTM LTM LTM LTM ArcBest Corporation United States $21.31 $508.0 $590.1 14.3x 0.20x 2.7x 7.8x Covenant Transportation Group, Inc. United States $9.14 $143.2 $447.8 87.8x 0.50x 3.7x 30.7x Heartland Express, Inc. United States $20.47 $1,627.0 $1,562.8 23.8x 2.51x 9.2x 24.4x J.B. Hunt Transport Services, Inc. United States $105.58 $10,765.4 $12,149.6 21.9x 1.30x 9.3x 16.1x Knight- Holdings Inc. United States $40.20 $6,667.3 $7,622.0 23.5x 1.60x 7.4x 17.8x , Inc. United States $113.51 $4,213.8 $4,143.5 21.2x 1.04x 13.1x 15.3x Marten Transport, Ltd. United States $24.24 $1,300.7 $1,265.8 21.4x 1.47x 7.5x 18.6x Old Dominion Freight Line, Inc. United States $157.42 $18,086.2 $17,774.2 30.0x 4.33x 16.2x 21.6x P.A.M. Transportation Services, Inc. United States $30.96 $172.8 $410.7 NM 0.80x 1.7x 30.6x Holding, Inc. United States $8.60 $28.6 $21.2 NM 0.21x 2.0x NM Roadrunner Transportation Systems, Inc. United States $2.17 $73.9 $484.5 NM 0.26x NM NM , Inc. United States $106.78 $2,625.2 $2,938.1 22.6x 1.61x 9.3x 18.3x , Inc. United States $22.19 $3,829.6 $3,516.4 24.9x 0.75x 5.2x 10.1x TFI International Inc. Canada $28.57 $2,423.1 $3,764.9 9.8x 1.01x 6.1x 11.4x Universal Logistics Holdings, Inc. United States $12.94 $335.4 $889.4 10.7x 0.59x 4.3x 10.2x USA Truck, Inc. United States $4.69 $36.6 $232.8 NM 0.45x 5.2x NM , Inc. United States $43.58 $2,954.1 $3,143.6 19.4x 1.28x 6.9x 16.5x XPO Logistics, Inc. United States $72.59 $6,226.7 $13,463.7 19.7x 0.82x 5.3x 15.5x YRC Worldwide Inc. United States $1.44 $52.4 $1,136.0 NM 0.23x 3.2x 56.5x Sub-$1bn TEV Total

P / E TEV / Revenue TEV / EBITDA TEV / EBIT P / E TEV / Revenue TEV / EBITDA TEV / EBIT High 87.8x 1.47x 7.5x 56.5x High 87.8x 4.33x 16.2x 56.5x

Mean 33.5x 0.61x 4.1x 25.7x Mean 25.1x 1.10x 6.6x 20.1x Median 17.8x 0.50x 3.7x 24.6x Median 21.6x 0.82x 5.7x 17.1x

Low 10.7x 0.20x 1.7x 7.8x Low 9.8x 0.23x 1.7x 10.2x Selected 2020 Industry Transactions Date Transactions by Announced Target Acquiror 04/01/2020 Stagecoach Cartage and Distribution, LLC J.H. Rose Logistics, LLC Acquiror Type 04/01/2020 C & Y Transportation Co., Inc. Black Hills Trucking Inc. 2020 03/27/2020 Arpin Van Lines Inc. Wheaton Van Lines, Inc. 03/11/2020 Gateway Distribution, Inc. Brixey & Meyer Capital 02/26/2020 IXT Logistics, LLC Team Drive-Away, Inc. 18% 02/26/2020 Southeast Logistics, Inc. PS Logistics, LLC 02/24/2020 Anthym Logistics, LLC Blue-Grace Logistics LLC 02/21/2020 KCE, Inc. Crown Capital Investments, LLC 02/17/2020 Tophat Logistical Solutions, LLC Atlas Logistics, Inc. 02/16/2020 Birch Mountain Enterprises Ltd. Fort McKay Group of Companies LP 02/11/2020 First Choice Logistics, Inc. A&R Logistics, Inc. 02/10/2020 Powell Transport Solutions Alabama Motor Express, Inc. 02/03/2020 Penner International Inc. C.A.T. Inc. 01/17/2020 Eagle Transportation LLC Nolan Transportation Group, LLC 82% 01/17/2020 Spirit Trucking Company Mark-it Express Logistics LLC 01/15/2020 Crown IntermodaLogistics RoadOne, Inc. Strategic 01/09/2020 Mme, Inc. Prudential Capital Group, L.P. 01/02/2020 RDI Last Mile Co. J.B. Hunt Transport, Inc. (NasdaqGS:JBHT) Financial / Private Equity Notable Transportation Transaction Highlights

A&R Logistics, a portfolio company of Wind th st Point Partners, announced on Feb. 11 that Brixey & Meyer Capital announced on J.B. Hunt, announced on January 1 it th they have acquired First Choice Logistics, March 11 that it had acquired Cincinnati- agreed to acquire RDI Last Mile Co., a Inc. based Gateway Distribution. Massachusetts-based leader in last-mile furniture delivery. “For many years, A&R's customer base has “Through a combination of a dedicated requested that we complement our best- workforce and world class processes, “Growing our final-mile delivery in-class dry bulk services with high- Gateway has built a unique niche in the capabilities is a priority, and the quality, high-touch liquid transportation trucking and distribution segment that acquisition of RDI further extends our capabilities. We spent significant time creates significant value for its expertise in furniture delivery.” evaluating potential add-on candidates, customers..” – Dave Brixey, Brixey & Meyer, - John Roberts, J.B. Hunt, CEO and First Choice stood out.” CEO - Mark Holden, A&R Logistics, CEO

Source: Bridgepoint Investment Banking, Capital IQ 3 TRUCKING & LOGISTICS INDUSTRY UPDATE Q2 2020

BRIDGEPOINT EXECUTIVE SUMMARY Sector-focused trucking, transportation and vehicular boutique investment bank focused on the middle market Deep sector experience, completing more than $50 billion of transactions in the trucking, transportation and vehicular space Member of numerous state and national trucking associations Full-service investment banking capabilities spanning a market-leading leveraged finance practice, sell-side M&A, and buy-side M&A Tenacious, creative and results-oriented boutique investment bank focused on impact and value creation for the companies we serve Confidential, independent and unconflicted capital solutions and strategic advice

SELECTED BRIDGEPOINT TRANSACTION EXPERIENCE

Has been acquired by

Has been acquired by

USD 30 million USD 375 Million Debt capital raise to support acquisition and Senior secured credit global financing facilities/senior notes Sole Financial Advisor

Buy-side M&A Advisor

Has been acquired by Has been acquired by

Sole Financial Advisor Sole Financial Advisor

SECTORS OF FOCUS

Industrials & Business & Consumer & Healthcare Transportation Professional Services Retail

SENIOR LEADERSHIP

Matt Plooster Wm. Lee Merritt Gary Grote Mike Anderson Chad Gardiner Managing Managing Managing Managing Director Director Director Director Director

Natasha Subhash Adam Claypool Joe Liss Alex Spanel Plooster Marineni Managing Managing Associate Director Director COO Vice President bridgepointib.com In order to offer securities-related Investment Banking Services discussed herein, to include M&A and institutional capital raising, certain representatives of Bridgepoint Investment Banking are registered representatives of M&A Securities Group, Inc., an unaffiliated broker-dealer and member FINRA/SIPC. This entity is not affiliated or associated with, authorized or sponsored by Bridgepoint Advisers Limited. 4