ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) |
(I.R.S. Employer Identification No.) |
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(Address of principal executive offices) |
(Zip Code) |
Title of each class |
Trading Symbol(s) |
Name of each exchange on which registered | ||
☒ | Accelerated filer | ☐ | ||||
Non-accelerated filer | ☐ | Smaller reporting company | ||||
Emerging growth company |
Document |
Part of 10-K Into Which Incorporated | |
Proxy Statement relating to Landstar System, Inc.’s Annual Meeting of Stockholders scheduled to be held on May 12, 2021 |
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Part III |
Page |
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Item 1. |
3 |
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Item 1A. |
11 |
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Item 1B. |
18 |
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Item 2. |
18 |
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Item 3. |
18 |
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Item 4. |
18 |
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Item 5. |
19 |
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Item 6. |
21 |
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Item 7. |
21 |
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Item 7A. |
34 |
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Item 8. |
35 |
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Item 9. |
60 |
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Item 9A. |
60 |
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Item 9B. |
64 |
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Item 10. |
65 |
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Item 11. |
65 |
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Item 12. |
65 |
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Item 13. |
65 |
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Item 14. |
65 |
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Item 15. |
66 |
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69 |
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EX – 31.1 Section 302 CEO Certification |
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EX – 32.1 Section 906 CEO Certification |
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Trailers by Type |
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Van |
13,822 | |||
Unsided/platform, including flatbeds, step decks, drop decks and low boys |
3,067 | |||
Temperature-controlled |
172 | |||
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Total |
17,061 | |||
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• | Create and maintain an environment in which continuous improvement is encouraged and expected by everyone within the organization; |
• | Engage each Landstar employee in the Company’s vision to inspire and empower entrepreneurs to succeed in the highly competitive, technology driven transportation industry; and |
• | Ensure that all Landstar employees fully understand the requirements of their job and the role their job plays within Landstar. |
• | Shifting the vast majority of our employees to a remote work environment; |
• | Initiating regular communication to employees regarding impacts of the COVID-19 pandemic, including health and safety protocols and procedures to address actual and suspected COVID-19 cases and potential exposure of our employees; |
• | Establishing physical distancing procedures and providing personal protective equipment and cleaning supplies for employees who need to be on-site; |
• | Increasing cleaning protocols at our offices; |
• | Modifying work spaces with plexiglass dividers, rearranged office layouts and touchless faucets; |
• | Expanding the use of virtual interactions in all aspects of our business; |
• | Cancelling the annual agent convention, BCO All-Star Celebration and various other events; |
• | Instituting a pandemic relief program whereby Landstar paid an extra $50 for each load delivered by a BCO Independent Contractor with a confirmed delivery date from April 1, 2020 through May 30, 2020 to both the BCO Independent Contractor hauling the load and the independent sales agent dispatching the load; |
• | Providing up to $2,000 to a BCO Independent Contractor who tests positive for COVID-19 or is placed under a mandatory quarantine by a public health authority; |
• | Providing paid time-off for employees directly impacted by COVID-19, and instructing those who are infected to stay home; and |
• | Prohibiting non-essential business travel for all employees. |
Plan Category |
Number of Securities to be Issued Upon Exercise of Outstanding Options |
Weighted-average Exercise Price of Outstanding Options |
Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans |
|||||||||
Equity Compensation Plans Approved by Security Holders |
17,650 | $ | 54.16 | 3,732,872 | ||||||||
Equity Compensation Plans Not Approved by Security Holders |
0 | 0 | 0 |
Fiscal Years |
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2020 |
2019 |
2018 |
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Number of Million Dollar Agents |
508 | 555 | 608 | |||||||||
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Average revenue generated per Million Dollar Agent |
$ | 7,489,000 | $ | 6,880,000 | $ | 7,150,000 | ||||||
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Percent of consolidated revenue generated by Million Dollar Agents |
92 | % | 93 | % | 94 | % | ||||||
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Fiscal Years |
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2020 |
2019 |
2018 |
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Revenue generated through (in thousands) : |
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Truck transportation |
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Truckload: |
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Van equipment |
$ | 2,515,940 | $ | 2,371,188 | $ | 2,791,494 | ||||||
Unsided/platform equipment |
1,202,295 | 1,295,817 | 1,386,387 | |||||||||
Less-than-truckload |
97,546 | 98,324 | 102,531 | |||||||||
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Total truck transportation |
3,815,781 | 3,765,329 | 4,280,412 | |||||||||
Rail intermodal |
114,313 | 118,305 | 128,976 | |||||||||
Ocean and air cargo carriers |
132,180 | 121,485 | 134,577 | |||||||||
Other (1) |
70,707 | 79,458 | 71,179 | |||||||||
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$ | 4,132,981 | $ | 4,084,577 | $ | 4,615,144 | |||||||
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Revenue on loads hauled via BCO Independent Contractors included in total truck transportation |
$ | 1,866,526 | $ | 1,831,752 | $ | 2,001,665 | ||||||
Number of loads : |
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Truck transportation |
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Truckload: |
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Van equipment |
1,318,768 | 1,337,089 | 1,398,388 | |||||||||
Unsided/platform equipment |
487,348 | 513,579 | 516,613 | |||||||||
Less-than-truckload |
163,024 | 155,592 | 145,269 | |||||||||
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Total truck transportation |
1,969,140 | 2,006,260 | 2,060,270 | |||||||||
Rail intermodal |
46,280 | 47,590 | 53,030 | |||||||||
Ocean and air cargo carriers |
31,900 | 30,110 | 28,970 | |||||||||
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2,047,320 | 2,083,960 | 2,142,270 | ||||||||||
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Loads hauled via BCO Independent Contractors included in total truck transportation |
945,210 | 954,990 | 949,330 | |||||||||
Revenue per load : |
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Truck transportation |
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Truckload: |
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Van equipment |
$ | 1,908 | $ | 1,773 | $ | 1,996 | ||||||
Unsided/platform equipment |
2,467 | 2,523 | 2,684 | |||||||||
Less-than-truckload |
598 | 632 | 706 | |||||||||
Total truck transportation |
1,938 | 1,877 | 2,078 | |||||||||
Rail intermodal |
2,470 | 2,486 | 2,432 | |||||||||
Ocean and air cargo carriers |
4,144 | 4,035 | 4,645 | |||||||||
Revenue per load on loads hauled via BCO Independent Contractors |
$ | 1,975 | $ | 1,918 | $ | 2,109 | ||||||
Revenue by capacity type (as a % of total revenue) : |
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Truck capacity providers: |
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BCO Independent Contractors |
45 | % | 45 | % | 43 | % | ||||||
Truck Brokerage Carriers |
47 | % | 47 | % | 49 | % | ||||||
Rail intermodal |
3 | % | 3 | % | 3 | % | ||||||
Ocean and air cargo carriers |
3 | % | 3 | % | 3 | % | ||||||
Other |
2 | % | 2 | % | 2 | % |
(1) |
Includes primarily reinsurance premium revenue generated by the insurance segment and intra-Mexico transportation services revenue generated by Landstar Metro. |
Dec. 26, 2020 |
Dec. 28, 2019 |
Dec. 29, 2018 |
||||||||||
BCO Independent Contractors |
10,242 | 9,554 | 9,884 | |||||||||
Truck Brokerage Carriers: |
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Approved and active (1) |
46,053 | 39,497 | 41,069 | |||||||||
Other approved |
22,972 | 16,820 | 17,985 | |||||||||
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69,025 | 56,317 | 59,054 | ||||||||||
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Total available truck capacity providers |
79,267 | 65,871 | 68,938 | |||||||||
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Trucks provided by BCO Independent Contractors |
10,991 | 10,243 | 10,599 |
(1) | Active refers to Truck Brokerage Carriers who moved at least one load in the 180 days immediately preceding the fiscal year end. |
Fiscal Years |
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2020 |
2019 |
2018 |
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Revenue |
100.0 | % | 100.0 | % | 100.0 | % | ||||||
Purchased transportation |
77.3 | 76.6 | 77.4 | |||||||||
Commissions to agents |
8.2 | 8.4 | 8.2 | |||||||||
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Gross profit margin |
14.5 | % | 15.1 | % | 14.5 | % | ||||||
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Gross profit |
100.0 | % | 100.0 | % | 100.0 | % | ||||||
Investment income |
0.6 | 0.8 | 0.6 | |||||||||
Indirect costs and expenses: |
||||||||||||
Other operating costs, net of gains on asset sales/dispositions |
5.1 | 6.1 | 4.8 | |||||||||
Insurance and claims |
14.6 | 13.1 | 11.3 | |||||||||
Selling, general and administrative |
28.0 | 25.9 | 28.2 | |||||||||
Depreciation and amortization |
7.7 | 7.2 | 6.5 | |||||||||
Impairment of intangible and other assets |
0.4 | — | — | |||||||||
Commission program termination costs |
2.6 | — | — | |||||||||
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Total costs and expenses |
58.4 | 52.2 | 50.9 | |||||||||
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Operating margin |
42.2 | % | 48.6 | % | 49.7 | % | ||||||
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Dec. 26, 2020 |
Dec. 28, 2019 |
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ASSETS |
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Current Assets |
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Cash and cash equivalents |
$ | $ | ||||||
Short-term investments |
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Trade accounts receivable, less allowance of $ |
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Other receivables, including advances to independent contractors, less allowance of $ |
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Other current assets |
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Total current assets |
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Operating property, less accumulated depreciation and amortization of $ |
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Goodwill |
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Other assets |
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Total assets |
$ | $ | ||||||
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LIABILITIES AND EQUITY |
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Current Liabilities |
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Cash overdraft |
$ | $ | ||||||
Accounts payable |
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Current maturities of long-term debt |
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Insurance claims |
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Dividends payable |
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Other current liabilities |
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Total current liabilities |
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Long-term debt, excluding current maturities |
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Insurance claims |
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Deferred income taxes and other noncurrent liabilities |
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Shareholders’ Equity |
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Common stock, $ |
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Additional paid-in capital |
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Retained earnings |
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Cost of |
( |
) | ( |
) | ||||
Accumulated other comprehensive loss |
( |
) | ( |
) | ||||
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Total shareholders’ equity |
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Total liabilities and equity |
$ | $ | ||||||
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Fiscal Years Ended |
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December 26, 2020 |
December 28, 2019 |
December 29, 2018 |
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Revenue |
$ | $ | $ | |||||||||
Investment income |
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Costs and expenses: |
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Purchased transportation |
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Commissions to agents |
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Other operating costs, net of gains/losses on asset sales/dispositions |
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Insurance and claims |
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Selling, general and administrative |
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Depreciation and amortization |
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Impairment of intangible and other assets |
— | — | ||||||||||
Commission program termination costs |
— | — | ||||||||||
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Total costs and expenses |
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Operating income |
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Interest and debt expense |
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Income before income taxes |
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Income taxes |
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Net income |
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Less: Net loss attributable to noncontrolling interest |
— | ( |
) | ( |
) | |||||||
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Net income attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ | |||||||||
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Earnings per common share attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ | |||||||||
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Diluted earnings per share attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ | |||||||||
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Average number of shares outstanding: |
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Earnings per common share |
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Diluted earnings per share |
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Dividends per common share |
$ | $ | $ | |||||||||
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Fiscal Years Ended |
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Dec. 26, 2020 |
Dec. 28, 2019 |
Dec. 29, 2018 |
||||||||||
Net income attributable to Landstar System, Inc. and subsidiary |
$ | |
$ | |
$ | |||||||
Other comprehensive income (loss): |
||||||||||||
Unrealized holding gains (losses) on available-for-sale |
( |
) | ||||||||||
Foreign currency translation (losses) gains |
( |
) | ( |
) | ||||||||
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Other comprehensive income (loss) |
( |
) | ||||||||||
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Comprehensive income attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ | |||||||||
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Fiscal Years Ended |
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Dec. 26, 2020 |
Dec. 28, 2019 |
Dec. 29, 2018 |
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OPERATING ACTIVITIES |
||||||||||||
Net income |
$ | $ | $ | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: |
||||||||||||
Depreciation and amortization of operating property and intangible assets |
||||||||||||
Non-cash interest charges |
||||||||||||
Provisions for losses on trade and other accounts receivable |
||||||||||||
Gains on sales/disposals of operating property |
( |
) | ( |
) | ( |
) | ||||||
Impairment of intangible and other assets |
— | — | ||||||||||
Deferred income taxes, net |
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Stock-based compensation |
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Changes in operating assets and liabilities: |
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(Increase) decrease in trade and other accounts receivable |
( |
) | ( |
) | ||||||||
Increase in other assets |
( |
) | ( |
) | ( |
) | ||||||
Increase (decrease) in accounts payable |
( |
) | ||||||||||
Increase (decrease) in other liabilities |
( |
) | ||||||||||
Increase in insurance claims |
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NET CASH PROVIDED BY OPERATING ACTIVITIES |
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INVESTING ACTIVITIES |
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Net change in other short-term investments |
( |
) | — | |||||||||
Sales and maturities of investments |
||||||||||||
Purchases of investments |
( |
) | ( |
) | ( |
) | ||||||
Purchases of operating property |
( |
) | ( |
) | ( |
) | ||||||
Proceeds from sales of operating property |
||||||||||||
Consideration paid for acquisition |
( |
) | — | — | ||||||||
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NET CASH USED BY INVESTING ACTIVITIES |
( |
) | ( |
) | ( |
) | ||||||
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FINANCING ACTIVITIES |
||||||||||||
Increase (decrease) in cash overdraft |
( |
) | ||||||||||
Dividends paid |
( |
) | ( |
) | ( |
) | ||||||
Payment for debt issue costs |
( |
) | — | — | ||||||||
Proceeds from exercises of stock options |
||||||||||||
Taxes paid in lieu of shares issued related to stock-based compensation plans |
( |
) | ( |
) | ( |
) | ||||||
Purchases of common stock |
( |
) | ( |
) | ( |
) | ||||||
Principal payments on finance lease obligations |
( |
) | ( |
) | ( |
) | ||||||
Purchase of noncontrolling interest |
— | ( |
) | — | ||||||||
Payment of contingent consideration |
— | — | ( |
) | ||||||||
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NET CASH USED BY FINANCING ACTIVITIES |
( |
) | ( |
) | ( |
) | ||||||
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Effect of exchange rate changes on cash and cash equivalents |
( |
) | ( |
) | ||||||||
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(Decrease) increase in cash and cash equivalents |
( |
) | ( |
) | ||||||||
Cash and cash equivalents at beginning of period |
||||||||||||
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Cash and cash equivalents at end of period |
$ | $ | $ | |||||||||
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Landstar System, Inc. and Subsidiary Shareholders |
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Additional |
Accumulated Other |
Non- |
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Common Stock |
Paid-In |
Retained |
Treasury Stock at Cost |
Comprehensive |
controlling |
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Shares |
Amount |
Capital |
Earnings |
Shares |
Amount |
(Loss) Income |
Interests |
Total |
||||||||||||||||||||||||||||
Balance December 30, 2017 |
$ |
$ |
$ |
$ |
( |
) |
$ ( |
$ |
$ |
|||||||||||||||||||||||||||
Adoption of accounting standards (Note 1) |
||||||||||||||||||||||||||||||||||||
Net income (loss) |
( |
) |
||||||||||||||||||||||||||||||||||
Dividends ($ |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Purchases of common stock |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Transaction with noncontrolling interests |
( |
) |
— |
|||||||||||||||||||||||||||||||||
Issuance of stock related to stock-based compensation plans |
( |
) |
( |
) |
( |
) | ||||||||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||||||||||
Other comprehensive (loss) income |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Balance December 29, 2018 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
$ |
|||||||||||||||||||||||||
Net income (loss) |
( |
) |
||||||||||||||||||||||||||||||||||
Dividends ($ |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Purchases of common stock |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Purchase noncontrolling interests |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Issuance of stock related to stock-based compensation plans |
( |
) |
( |
) |
( |
) | ||||||||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||||||||||
Other comprehensive income |
||||||||||||||||||||||||||||||||||||
Balance December 28, 2019 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
— |
$ |
||||||||||||||||||||||||
Adoption of accounting standards (Note 1 6 ) |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Net income |
||||||||||||||||||||||||||||||||||||
Dividends ($ |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Purchases of common stock |
( |
) |
( |
) | ||||||||||||||||||||||||||||||||
Issuance of stock related to stock-based compensation plans |
( |
) |
( |
) |
( |
) | ||||||||||||||||||||||||||||||
Stock-based compensation |
||||||||||||||||||||||||||||||||||||
Other comprehensive income |
— |
|||||||||||||||||||||||||||||||||||
Balance December 26, 2020 |
$ |
$ |
$ |
$ |
( |
) |
$ |
( |
) |
$ |
— |
$ |
||||||||||||||||||||||||
Fiscal Years Ended |
||||||||||||
Mode |
December 26, 2020 |
December 28, 2019 |
December 29, 2018 |
|||||||||
Truck – BCO Independent Contractors |
% | % | % | |||||||||
Truck – Truck Brokerage Carriers |
% | % | % | |||||||||
Rail intermodal |
% | % | % | |||||||||
Ocean and air cargo carriers |
% | % | % | |||||||||
Truck Equipment Type |
||||||||||||
Van equipment |
$ | |
$ | |
$ | |
||||||
Unsided/platform equipment |
$ | $ | $ | |||||||||
Less-than-truckload |
$ | $ | $ |
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 26, 2020 |
||||||||||||||||
Trade receivables |
$ | |
$ | |
$ | ( |
) | $ | |
|||||||
Other receivables |
( |
) | ||||||||||||||
Other non-current receivables |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | |
$ | $ | ( |
) | $ | ||||||||||
|
|
|
|
|
|
|
|
|||||||||
For the Fiscal Year Ended December 28, 2019 |
||||||||||||||||
Trade receivables |
$ | $ | $ | ( |
) | $ | ||||||||||
Other receivables |
( |
) | ||||||||||||||
Other non-current receivables |
— | |||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | $ | $ | ( |
) | $ | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
For the Fiscal Year Ended December 29, 2018 |
||||||||||||||||
Trade receivables |
$ | $ | $ | ( |
) | $ | ||||||||||
Other receivables |
( |
) | ||||||||||||||
Other non-current receivables |
( |
) | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
$ | $ | $ | ( |
) | $ | |
||||||||||
|
|
|
|
|
|
|
|
Fiscal Years |
||||||||||||
2020 |
2019 |
2018 |
||||||||||
Average number of common shares outstanding |
||||||||||||
Incremental shares from assumed exercises of stock options |
— | — | ||||||||||
Average number of common shares and common share equivalents outstanding |
||||||||||||
Unrealized Holding (Losses) Gains on Available-for-Sale Securities |
Foreign Currency Translation |
Total |
||||||||||
Balance as of December 30, 2017 |
$ | ( |
) | $ | ( |
) | $ | ( |
) | |||
Other comprehensive loss |
( |
) | ( |
) | ( |
) | ||||||
Balance as of December 29, 2018 |
( |
) | ( |
) | ( |
) | ||||||
Other comprehensive income |
||||||||||||
Balance as of December 28, 2019 |
( |
) | ( |
) | ||||||||
Other comprehensive income (loss) |
( |
) | ||||||||||
Balance as of December 26, 2020 |
$ | $ | ( |
) | $ | ( |
) | |||||
Amortized Cost |
Gross Unrealized Gains |
Gross Unrealized Losses |
Fair Value |
|||||||||||||
December 26, 2020 |
||||||||||||||||
Money market investments |
$ | $ | — | $ | — | $ | ||||||||||
Asset-backed securities |
— | |||||||||||||||
Corporate bonds and direct obligations of government agencies |
||||||||||||||||
U.S. Treasury obligations |
— | |||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | $ | $ | $ | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
December 28, 2019 |
||||||||||||||||
Money market investments |
$ | $ | — | $ | — | $ | ||||||||||
Asset-backed securities |
— | |||||||||||||||
Corporate bonds and direct obligations of government agencies |
||||||||||||||||
U.S. Treasury obligations |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
$ | |
$ | |
$ | $ | ||||||||||
|
|
|
|
|
|
|
|
Less than 12 months |
12 months or longer |
Total |
||||||||||||||||||||||
Fair Value |
Unrealized Loss |
Fair Value |
Unrealized Loss |
Fair Value |
Unrealized Loss |
|||||||||||||||||||
December 26, 2020 |
||||||||||||||||||||||||
Asset-backed securities |
$ | $ | $ | — | $ | — | $ | $ | |
|||||||||||||||
Corporate bonds and direct obligations of government agencies |
— | — | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
$ | $ | $ | — | $ | — | $ | $ | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
December 28, 2019 |
||||||||||||||||||||||||
Asset-backed securities |
$ | $ | $ | — | $ | — | $ | $ | ||||||||||||||||
Corporate bonds and direct obligations of government agencies |
||||||||||||||||||||||||
U.S. Treasury obligations |
— | — | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
$ | $ | |
$ | $ | $ | $ | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Years |
||||||||||||
2020 |
2019 |
2018 |
||||||||||
Current: |
||||||||||||
Federal |
$ | $ | $ | |||||||||
State |
||||||||||||
Foreign |
||||||||||||
|
|
|
|
|
|
|||||||
Total current |
$ | $ | $ | |||||||||
|
|
|
|
|
|
|||||||
Deferred: |
||||||||||||
Federal |
$ | $ | $ | |||||||||
State |
( |
) | ||||||||||
|
|
|
|
|
|
|||||||
Total deferred |
$ | $ | $ | |||||||||
|
|
|
|
|
|
|||||||
Income taxes |
$ | $ | $ | |||||||||
|
|
|
|
|
|
Dec. 26, 2020 |
Dec. 28, 2019 |
|||||||
Deferred tax assets: |
||||||||
Receivable valuations |
$ | $ | ||||||
Share-based payments |
||||||||
Self-insured claims |
||||||||
Other |
||||||||
|
|
|
|
|||||
Total deferred tax assets |
$ | $ | ||||||
|
|
|
|
|||||
Deferred tax liabilities: |
||||||||
Operating property |
$ | $ | ||||||
Goodwill |
||||||||
Other |
||||||||
|
|
|
|
|||||
Total deferred tax liabilities |
$ | $ | ||||||
|
|
|
|
|||||
Net deferred tax liability |
$ | $ | ||||||
|
|
|
|
Fiscal Years |
||||||||||||
2020 |
2019 |
2018 |
||||||||||
Income taxes at federal income tax rate |
$ | $ | $ | |||||||||
State income taxes, net of federal income tax benefit |
||||||||||||
Non-deductible executive compensation |
— | |||||||||||
Meals and entertainment exclusion |
||||||||||||
Share-based payments |
( |
) | ( |
) | ( |
) | ||||||
Section 199 deductions and R&D credits |
( |
) | ( |
) | ( |
) | ||||||
Other, net |
||||||||||||
|
|
|
|
|
|
|||||||
Income taxes |
$ | $ | $ | |||||||||
|
|
|
|
|
|
Fiscal Years |
||||||||
2020 |
2019 |
|||||||
Gross unrecognized tax benefits – beginning of the year |
$ | $ | ||||||
Gross increases related to current year tax positions |
||||||||
Gross increases related to prior year tax positions |
||||||||
Gross decreases related to prior year tax positions |
— | ( |
) | |||||
Settlements |
— | ( |
) | |||||
Lapse of statute of limitations |
( |
) | ( |
) | ||||
Gross unrecognized tax benefits – end of the year |
$ | $ | ||||||
Dec. 26, 2020 |
Dec. 28, 2019 |
|||||||
Land |
$ | $ | ||||||
Buildings and improvements |
||||||||
Trailing equipment |
||||||||
Other equipment |
||||||||
Total operating property, gross |
||||||||
Less accumulated depreciation and amortization |
||||||||
Total operating property, net |
$ | $ | ||||||
Finance leases: |
||||
Amortization of right-of-use |
$ | |||
Interest on lease liability |
||||
Total finance lease cost |
||||
Operating leases: |
||||
Lease cost |
||||
Variable lease cost |
— | |||
Sublease income |
( |
) | ||
Total net operating lease income |
( |
) | ||
Total net lease cost |
$ | |||
Operating lease right-of-use |
Other assets | $ | ||||
Finance lease assets |
Operating property, less accumulated depreciation and amortization | |||||
Total lease assets |
$ | |||||
Finance Leases |
Operating Leases |
|||||||
2021 |
$ | $ | ||||||
2022 |
||||||||
2023 |
||||||||
2024 |
||||||||
2025 |
||||||||
Thereafter |
— | — | ||||||
Total future minimum lease payments |
||||||||
Less amount representing interest ( |
||||||||
Present value of minimum lease payments |
$ | $ | ||||||
Current maturities of long-term debt |
||||||||
Long-term debt, excluding current maturities |
||||||||
Other current liabilities |
||||||||
Deferred income taxes and other noncurrent liabilities |
Finance Leases |
Operating Leases |
|||||||
Weighted average remaining lease term (years) |
||||||||
Weighted average discount rate |
% | % |
Fiscal Years |
||||||||||||
2020 |
2019 |
2018 |
||||||||||
Total cost of the Plans during the period |
$ | $ | $ | |||||||||
Amount of related income tax benefit recognized during the period |
( |
) | ( |
) | ( |
) | ||||||
Net cost of the Plans during the period |
$ | $ | $ | |||||||||
Number of RSUs |
Weighted Average Grant Date Fair Value |
|||||||
Outstanding at December 30, 2017 |
$ | |||||||
Granted |
$ | |||||||
Vested |
( |
) | $ | |||||
Forfeited |
( |
) | $ | |||||
Outstanding at December 29, 2018 |
$ | |||||||
Granted |
$ | |||||||
Shares earned in excess of target (1) |
$ | |||||||
Vested shares, including shares earned in excess of target |
( |
) | $ | |||||
Forfeited |
( |
) | $ | |||||
Outstanding at December 28, 2019 |
$ | |||||||
Granted |
$ | |||||||
Shares earned in excess of target (2) |
$ | |||||||
Vested shares, including shares earned in excess of target |
( |
) | $ | |||||
Forfeited |
( |
) | $ | |||||
Outstanding at December 26, 2020 |
$ | |||||||
(1) |
Represents additional shares earned under both the January 27, 2015 and January 29, 2016 RSU awards as fiscal year 2018 financial results exceeded target performance level and under the May 1, 2015 RSU award as total shareholder return exceeded the target under the award. |
(2) |
Represents additional shares earned under the February 2, 2017 RSU awards as fiscal year 2019 financial results exceeded target performance level. |
Number of Shares and Deferred Stock Units |
Weighted Average Grant Date Fair Value |
|||||||
Non-vested at December 30, 2017 |
$ | |||||||
Granted |
$ | |||||||
Vested |
( |
) | $ | |||||
Forfeited |
( |
) | $ | |||||
Non-vested at December 29, 2018 |
$ | |||||||
Granted |
$ | |||||||
Vested |
( |
) | $ | |||||
Non-vested at December 28, 2019 |
$ | |||||||
Granted |
$ | |||||||
Vested |
( |
) | $ | |||||
Forfeited |
( |
) | $ | |||||
Non-vested at December 26, 2020 |
$ | |||||||
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 30, 2017 |
$ | $ | ||||||||||||||
Exercised |
( |
) | $ | |||||||||||||
Options at December 29, 2018 |
$ | $ | ||||||||||||||
Exercised |
( |
) | $ | |||||||||||||
Options at December 28, 2019 |
$ | $ | ||||||||||||||
Exercised |
( |
) | $ | |||||||||||||
Options at December 26, 2020 |
$ | $ | ||||||||||||||
Options Outstanding |
||||||||||||
Range of Exercise Prices Per Share |
Number Outstanding |
Weighted Average Remaining Contractual Term (years) |
Weighted Average Exercise Price per Share |
|||||||||
$ |
$ | |||||||||||
$ |
$ | |||||||||||
$ | ||||||||||||
Options Exercisable |
||||||||||||
Range of Exercise Prices Per Share |
Number Exercisable |
Weighted Average Remaining Contractual Term (years) |
Weighted Average Exercise Price per Share |
|||||||||
$ |
$ | |||||||||||
$ |
$ | |||||||||||
$ | ||||||||||||
Transportation |
||||||||||||
Logistics |
Insurance |
Total |
||||||||||
2020 |
||||||||||||
External revenue |
$ | $ | $ | |||||||||
Internal revenue |
||||||||||||
Investment income |
||||||||||||
Interest and debt expense |
||||||||||||
Depreciation and amortization |
||||||||||||
Operating income |
||||||||||||
Expenditures on long-lived assets |
||||||||||||
Goodwill |
||||||||||||
Finance lease additions |
||||||||||||
Total assets |
||||||||||||
2019 |
||||||||||||
External revenue |
$ | $ | $ | |||||||||
Internal revenue |
||||||||||||
Investment income |
||||||||||||
Interest and debt expense |
||||||||||||
Depreciation and amortization |
||||||||||||
Operating income |
||||||||||||
Expenditures on long-lived assets |
||||||||||||
Goodwill |
||||||||||||
Finance lease additions |
||||||||||||
Total assets |
||||||||||||
2018 |
||||||||||||
External revenue |
$ | $ | $ | |||||||||
Internal revenue |
||||||||||||
Investment income |
||||||||||||
Interest and debt expense |
||||||||||||
Depreciation and amortization |
||||||||||||
Operating income |
||||||||||||
Expenditures on long-lived assets |
||||||||||||
Goodwill |
||||||||||||
Finance lease additions |
||||||||||||
Total assets |
Fiscal Years Ended |
||||||||||||
December 26, 2020 |
December 28, 2019 |
December 29, 2018 |
||||||||||
Operating income |
$ | $ | $ | |||||||||
Net income attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ | |||||||||
Earnings per share attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ | |||||||||
Diluted earnings per share attributable to Landstar System, Inc. and subsidiary |
$ | $ | $ |
Page |
||||
35 | ||||
36 | ||||
37 | ||||
38 | ||||
39 | ||||
40 | ||||
58 |
101* |
The following materials from the Company’s Annual Report on Form 10-K for the fiscal year ended December 26, 2020, formatted in Inline eXtensible Business Reporting Language (iXBRL): (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Income, (iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statements of Cash Flows, (v) Consolidated Statements of Changes in Equity, (vi) Notes to Consolidated Financial Statements, and (vii) Financial Statement Schedule. | |
104* |
Cover Page Interactive Date File (formatted as Inline XBRL and contained in Exhibit 101). |
+ | management contract or compensatory plan or arrangement |
* | Filed herewith. |
** | Furnished herewith. |
Date: February 23, 2021 | LANDSTAR SYSTEM, INC. | |||||
By: | /s/ JAMES B. GATTONI | |||||
James B. Gattoni | ||||||
President and | ||||||
Chief Executive Officer |
Signature |
Title |
Date | ||
/s/ JAMES B. GATTONI |
President and Chief Executive | February 23, 2021 | ||
James B. Gattoni | Officer; Principal Executive Officer; | |||
Principal Financial Officer; Director | ||||
/s/ JAMES P. TODD |
Vice President and Corporate Controller | February 23, 2021 | ||
James P. Todd | of Landstar System Holdings, Inc.; | |||
Principal Accounting Officer | ||||
* |
Director | February 23, 2021 | ||
Homaira Akbari | ||||
* |
Director | February 23, 2021 | ||
David G. Bannister | ||||
* |
Chairman of the Board | February 23, 2021 | ||
Diana M. Murphy | ||||
* |
Director | February 23, 2021 | ||
Anthony J. Orlando | ||||
* |
Director | February 23, 2021 | ||
George P. Scanlon | ||||
* |
Director | February 23, 2021 | ||
Larry J. Thoele |
By: | /s/ MICHAEL K. KNELLER | |
Michael K. Kneller | ||
Attorney In Fact* |
Exhibit 21.1
LIST OF SUBSIDIARIES OF LANDSTAR SYSTEM, INC.
(as of December 26, 2020)
Name |
Jurisdiction of Incorporation |
% of Voting Securities Owned | ||
Subsidiary of Landstar System, Inc. |
||||
Landstar System Holdings, Inc. |
Delaware | 100 | ||
Subsidiaries of Landstar System Holdings, Inc. |
||||
Landstar Inway, Inc. |
Delaware | 100 | ||
Landstar Global Logistics, Inc. |
Delaware | 100 | ||
Landstar Ligon, Inc. |
Delaware | 100 | ||
Landstar Ranger, Inc. |
Delaware | 100 | ||
Risk Management Claim Services, Inc. |
Delaware | 100 | ||
Landstar Transportation Logistics, Inc. |
Delaware | 100 | ||
Also d/b/a Landstar Carrier Services, Inc. |
||||
Landstar Contractor Financing, Inc. |
Delaware | 100 | ||
Signature Insurance Company |
Cayman Islands, BWI |
100 | ||
Landstar Canada Holdings, Inc. |
Delaware | 100 | ||
Landstar MH I LLC |
Delaware | 100 | ||
Landstar Blue LLC |
Delaware | 100 | ||
Subsidiary of Landstar Canada Holdings, Inc. |
||||
Landstar Canada, Inc. |
Ontario, Canada | 100 | ||
Also d/b/a Enterprise Landstar Canada in Quebec |
||||
Subsidiary of Landstar Global Logistics, Inc. |
||||
Landstar Express America, Inc. |
Delaware | 100 | ||
Subsidiary of Landstar Ranger, Inc. |
||||
Landstar Gemini, Inc. |
Delaware | 100 | ||
Also d/b/a Landstar Less Than Truck Load |
||||
Also d/b/a Landstar LTL |
||||
Subsidiary of Landstar MH I LLC |
||||
Landstar MH II LLC |
Delaware | 100 | ||
Landstar Holdings, S. de R.L.C.V. |
Mexico | 0.1 | ||
Subsidiary of Landstar MH II LLC |
||||
Landstar Holdings, S. de R.L.C.V. |
Mexico | 99.9 | ||
Subsidiary of Landstar Holdings, S. de R.L.C.V. |
||||
Landstar Metro, S.A.P.I. de C.V. |
Mexico | 100 | ||
Landstar Metro Servicios, S.A.P.I. de C.V. |
Mexico | 100 |
Exhibit 23.1
Consent of Independent Registered Public Accounting Firm
The Board of Directors
Landstar System, Inc.:
We consent to the incorporation by reference in the registration statements (No. 333-190411, No. 333-68454, No. 333-68452, and No. 333-175890) on Form S-8 of Landstar System, Inc. of our reports dated February 23, 2021, with respect to the consolidated balance sheets of Landstar System, Inc. and subsidiary as of December 26, 2020 and December 28, 2019, the related consolidated statements of income, comprehensive income, changes in equity, and cash flows for each of the fiscal years ended December 26, 2020, December 28, 2019, and December 29, 2018, and the related notes, and the effectiveness of internal control over financial reporting as of December 26, 2020, which reports appear in the December 26, 2020 annual report on Form 10-K of Landstar System, Inc.
/s/ KPMG LLP
Jacksonville, Florida
February 23, 2021
Exhibit 24.1
POWER OF ATTORNEY
Landstar System, Inc.
Annual Report on Form 10-K
for fiscal year ended 12/26/20
KNOW ALL MEN BY THESE PRESENTS, that the undersigned does hereby make, constitute and appoint Michael K. Kneller and James P. Todd, and each of them, with full power in each to act without the other, her true and lawful attorney-in-fact and agent, in her name, place and stead to execute on her behalf, as an officer and/or director of Landstar System, Inc. (the Company), the Annual Report on Form 10-K of the Company for the fiscal year ended December 26, 2020, and file the same with all exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission (the SEC) pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934, as amended (the Act), and any and all other instruments which either of said attorneys-in-fact and agents deems necessary or advisable to enable the Company to comply with the Act, the rules, regulations and requirements of the SEC in respect thereof, giving and granting to each of said attorneys-in-fact and agents full power and authority to do and perform each and every act and thing whatsoever necessary or appropriate to be done in and about the premises as fully to all intents as she might or could do if personally present at the doing thereof, with full power of substitution and resubstitution, hereby ratifying and confirming all that her said attorneys-in-fact and agents or substitutes may or shall lawfully do or cause to be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set her hand on the date indicated below.
/s/ Homaira Akbari |
Homaira Akbari |
DATED: February 18, 2021
POWER OF ATTORNEY
Landstar System, Inc.
Annual Report on Form 10-K
for fiscal year ended 12/26/20
KNOW ALL MEN BY THESE PRESENTS, that the undersigned does hereby make, constitute and appoint Michael K. Kneller and James P. Todd, and each of them, with full power in each to act without the other, his true and lawful attorney-in-fact and agent, in his name, place and stead to execute on his behalf, as an officer and/or director of Landstar System, Inc. (the Company), the Annual Report on Form 10-K of the Company for the fiscal year ended December 26, 2020, and file the same with all exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission (the SEC) pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934, as amended (the Act), and any and all other instruments which either of said attorneys-in-fact and agents deems necessary or advisable to enable the Company to comply with the Act, the rules, regulations and requirements of the SEC in respect thereof, giving and granting to each of said attorneys-in-fact and agents full power and authority to do and perform each and every act and thing whatsoever necessary or appropriate to be done in and about the premises as fully to all intents as he might or could do if personally present at the doing thereof, with full power of substitution and resubstitution, hereby ratifying and confirming all that his said attorneys-in-fact and agents or substitutes may or shall lawfully do or cause to be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand on the date indicated below.
/s/ David G. Bannister |
David G. Bannister |
DATED: February 18, 2021
POWER OF ATTORNEY
Landstar System, Inc.
Annual Report on Form 10-K
for fiscal year ended 12/26/20
KNOW ALL MEN BY THESE PRESENTS, that the undersigned does hereby make, constitute and appoint Michael K. Kneller and James P. Todd, and each of them, with full power in each to act without the other, her true and lawful attorney-in-fact and agent, in her name, place and stead to execute on her behalf, as an officer and/or director of Landstar System, Inc. (the Company), the Annual Report on Form 10-K of the Company for the fiscal year ended December 26, 2020, and file the same with all exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission (the SEC) pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934, as amended (the Act), and any and all other instruments which either of said attorneys-in-fact and agents deems necessary or advisable to enable the Company to comply with the Act, the rules, regulations and requirements of the SEC in respect thereof, giving and granting to each of said attorneys-in-fact and agents full power and authority to do and perform each and every act and thing whatsoever necessary or appropriate to be done in and about the premises as fully to all intents as she might or could do if personally present at the doing thereof, with full power of substitution and resubstitution, hereby ratifying and confirming all that her said attorneys-in-fact and agents or substitutes may or shall lawfully do or cause to be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set her hand on the date indicated below.
/s/ Diana M. Murphy |
Diana M. Murphy |
DATED: February 18 2021
POWER OF ATTORNEY
Landstar System, Inc.
Annual Report on Form 10-K
for fiscal year ended 12/26/20
KNOW ALL MEN BY THESE PRESENTS, that the undersigned does hereby make, constitute and appoint Michael K. Kneller and James P. Todd, and each of them, with full power in each to act without the other, his true and lawful attorney-in-fact and agent, in his name, place and stead to execute on his behalf, as an officer and/or director of Landstar System, Inc. (the Company), the Annual Report on Form 10-K of the Company for the fiscal year ended December 26, 2020, and file the same with all exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission (the SEC) pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934, as amended (the Act), and any and all other instruments which either of said attorneys-in-fact and agents deems necessary or advisable to enable the Company to comply with the Act, the rules, regulations and requirements of the SEC in respect thereof, giving and granting to each of said attorneys-in-fact and agents full power and authority to do and perform each and every act and thing whatsoever necessary or appropriate to be done in and about the premises as fully to all intents as he might or could do if personally present at the doing thereof, with full power of substitution and resubstitution, hereby ratifying and confirming all that his said attorneys-in-fact and agents or substitutes may or shall lawfully do or cause to be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand on the date indicated below.
/s/ Anthony J. Orlando |
Anthony J. Orlando |
DATED: February 18, 2021
POWER OF ATTORNEY
Landstar System, Inc.
Annual Report on Form 10-K
for fiscal year ended 12/26/20
KNOW ALL MEN BY THESE PRESENTS, that the undersigned does hereby make, constitute and appoint Michael K. Kneller and James P. Todd, and each of them, with full power in each to act without the other, his true and lawful attorney-in-fact and agent, in his name, place and stead to execute on his behalf, as an officer and/or director of Landstar System, Inc. (the Company), the Annual Report on Form 10-K of the Company for the fiscal year ended December 26, 2020, and file the same with all exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission (the SEC) pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934, as amended (the Act), and any and all other instruments which either of said attorneys-in-fact and agents deems necessary or advisable to enable the Company to comply with the Act, the rules, regulations and requirements of the SEC in respect thereof, giving and granting to each of said attorneys-in-fact and agents full power and authority to do and perform each and every act and thing whatsoever necessary or appropriate to be done in and about the premises as fully to all intents as he might or could do if personally present at the doing thereof, with full power of substitution and resubstitution, hereby ratifying and confirming all that his said attorneys-in-fact and agents or substitutes may or shall lawfully do or cause to be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand on the date indicated below.
/s/ George P. Scanlon |
George P. Scanlon |
DATED: February 18, 2021
POWER OF ATTORNEY
Landstar System, Inc.
Annual Report on Form 10-K
for fiscal year ended 12/26/20
KNOW ALL MEN BY THESE PRESENTS, that the undersigned does hereby make, constitute and appoint Michael K. Kneller and James P. Todd, and each of them, with full power in each to act without the other, his true and lawful attorney-in-fact and agent, in his name, place and stead to execute on his behalf, as an officer and/or director of Landstar System, Inc. (the Company), the Annual Report on Form 10-K of the Company for the fiscal year ended December 26, 2020, and file the same with all exhibits thereto and other documents in connection therewith, with the Securities and Exchange Commission (the SEC) pursuant to Sections 13 or 15(d) of the Securities Exchange Act of 1934, as amended (the Act), and any and all other instruments which either of said attorneys-in-fact and agents deems necessary or advisable to enable the Company to comply with the Act, the rules, regulations and requirements of the SEC in respect thereof, giving and granting to each of said attorneys-in-fact and agents full power and authority to do and perform each and every act and thing whatsoever necessary or appropriate to be done in and about the premises as fully to all intents as he might or could do if personally present at the doing thereof, with full power of substitution and resubstitution, hereby ratifying and confirming all that his said attorneys-in-fact and agents or substitutes may or shall lawfully do or cause to be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand on the date indicated below.
/s/ Larry J. Thoele |
Larry J. Thoele |
DATED: February 18, 2021
EXHIBIT 31.1
SECTION 302 CERTIFICATION
I, James B. Gattoni, certify that:
1. | I have reviewed this annual report on Form 10-K of Landstar System, Inc.; |
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrants other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15(d)-15(f)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and
5. The registrants other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions):
a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize and report financial information; and
b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting.
Date: February 23, 2021
/s/ James B. Gattoni | ||
James B. Gattoni | ||
President and Chief Executive Officer; | ||
Principal Financial Officer (PEO & PFO) |
EXHIBIT 32.1
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the Annual Report of Landstar System, Inc. (the Company) on Form 10-K for the period ending December 26, 2020, as filed with the Securities and Exchange Commission on the date hereof (the Report), I, James B. Gattoni, President and Chief Executive Officer and principal financial officer of the Company, certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
(1) The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities and Exchange Act of 1934; and
(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
James B. Gattoni | ||
President and Chief Executive Officer; | ||
Principal Financial Officer (PEO & PFO) |
February 23, 2021