Covenant Reports Loss for 4Q, Year

Covenant Transportation Group said Tuesday it lost $39.8 million, or $2.83 per share, compared with a profit of $176 million or 1 cent, a year ago.

Excluding impairment charges, the truckload carrier said it lost $6.2 million, or 44 cents per share.

Total revenue fell 11.4% to $171 million for the quarter, while freight revenue fell 9.8% to $143.9 million.

For the full year, Covenant lost $53.4 million, or $3.80 per share, compared with a loss of $16.7 million, or $1.19, in 2007.

Revenue for the full year rose 8.6% to $773.9 million, while freight revenue increased 2.2% to $615.8 million.

The carrier said its 2009 plan includes the purchase of about 1,050 tractors and disposal of approximately 1,250 tractors, at a cost of $45 million to $55 million, though said that in light of first-quarter freight demand, it may reduce its planned tractor purchases.

Covenant Transportation Group is ranked No. 39 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.