Saia Reports Fourth Quarter Earnings per Share of $0.33

JOHNS CREEK, GA--(Marketwire - Jan 30, 2013) - Saia, Inc. (NASDAQ: SAIA), a leading transportation provider offering multi-regional less-than-truckload (LTL), non-asset truckload and logistics, today reported improved fourth quarter 2012 results on stronger revenue, favorable pricing actions and operational efficiencies.

Fourth Quarter 2012 Compared to Fourth Quarter 2011 Results

• Revenues were $264 million, an increase of 4.5 percent from the prior year period
• Revenue per workday increased by 2.8 percent with one more workday in the fourth quarter of 2012
• Operating income increased 63 percent to $10.1 million compared to $6.2 million in the prior year period
• Earnings per share were $0.33 compared to $0.15 in the prior year period
• Operating ratio was 96.2 compared to 97.6 in the prior year period
• LTL tonnage per workday decreased by 3.2 percent
• LTL yield was up 6 percent due to effective yield management and fuel surcharge revenue

"Saia's best-in-class service quality, demonstrated yield results and emphasis on operational excellence were again the primary drivers behind our margin improvement. We continue to advance our value proposition through investments in quality and by providing consistent, superior customer service. Additionally, we remain focused on yield improvement and advancing our operational efficiency goals. I believe the positive contribution from further advancing and institutionalizing practices in these key areas will continue to favorably impact our results going forward," said Rick O'Dell, president and chief executive officer.

"In spite of a lack-luster economic environment, Saia again produced significant earnings gains. The continued implementation of industrial engineering initiatives has improved operating efficiencies, reduced our reliance on purchased transportation, increased fuel efficiency, reduced cargo claims expense and enhanced customer service. The quarter did include increased healthcare and workers' compensation expense which virtually offset more normal accident severity, in addition to the higher costs from wage increases and depreciation due to our investments in employees, equipment and technology to meet increasing customer demands. Saia's dedicated employees provided 98% on-time service and solid customer satisfaction. Our balance sheet is strong and we are making significant investments in our business to provide a solid foundation for additional progress in 2013," O'Dell said.

2012 Results Compared to 2011 Results

• Revenues were $1.1 billion, an increase of 7 percent from the prior year period
• Operating income was $58.7 million compared to $28.1 million in the prior year
• Net income was $32.0 million compared to $11.4 million in the prior year
• Earnings per share were $1.94 compared to earnings per share of $0.70 in the prior year
• Operating ratio was 94.7 compared to 97.3 in the prior year

Financial Position and Capital Expenditures
Total debt was $60.7 million at December 31, 2012. This compares to total debt of $72.9 million at December 31, 2011. Net of the Company's $0.3 million cash balance at quarter-end, net debt to total capital was 19.2 percent. 

Net capital expenditures in 2012 were $83 million. This compares to $68 million in the prior year. The Company currently plans net capital expenditures in 2013 of approximately $90 million. This expenditure level reflects replacement tractors and trailers and the Company's continued investment in technology.

Conference Call
The Company will hold a conference call to discuss these results today at 11:00 am Eastern Time. This call will be webcast live via the Company web site at www.saiacorp.com. To participate in the call, please dial 1-888-364-3109 or dial 719-325-2308 for international calls and use conference ID 3815447. Callers should dial in five to 10 minutes in advance of the conference call. A replay of the call will be available two hours after the completion of the call through February 5, 2013. The replay is available by dialing 1-888-203-1112 or 719-457-0820.

The webcast is also being distributed through the Thomson StreetEvents Network. Individual investors can listen to the call at www.earnings.com, Thomson's individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson StreetEvents (www.streetevents.com), a password-protected event management site.

Saia, Inc. (NASDAQ: SAIA) offers customers a wide range of less-than-truckload, non-asset truckload, expedited and logistics services. Saia LTL Freight operates 147 terminals in 34 states. With headquarters in Georgia, Saia employs 7,900 people. For more information on Saia, Inc. visit the Investor Relations section at www.saiacorp.com.

The Securities and Exchange Commission encourages companies to disclose forward-looking information so that investors can better understand the future prospects of a company and make informed investment decisions. This news release contains these types of statements, which are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995.

Words such as "anticipate," "estimate," "expect," "project," "intend," "may," "plan," "predict," "believe," "should" and similar words or expressions are intended to identify forward-looking statements. Investors should not place undue reliance on forward-looking statements and the Company undertakes no obligation to update or revise any forward-looking statements. All forward-looking statements reflect the present expectation of future events of our management as of the date of this news release and are subject to a number of important factors, risks, uncertainties and assumptions that could cause actual results to differ materially from those described in any forward-looking statements. These factors, risks, assumptions and uncertainties include, but are not limited to, general economic conditions including downturns in the business cycle; the creditworthiness of our customers and their ability to pay for services; competitive initiatives and pricing pressures, including in connection with fuel surcharge; the Company's need for capital and uncertainty of the current credit markets; the possibility of defaults under the Company's debt agreements (including violation of financial covenants); possible issuance of equity which would dilute stock ownership; indemnification obligations associated with the 2006 sale of Jevic Transportation, Inc.; the effect of litigation including class action lawsuits; cost and availability of qualified drivers, fuel, purchased transportation, real property, revenue equipment and other assets; governmental regulations, including but not limited to Hours of Service, engine emissions, the "Compliance, Safety, Accountability" (CSA) initiative, compliance with legislation requiring companies to evaluate their internal control over financial reporting, changes in interpretation of accounting principles and Homeland Security; dependence on key employees; inclement weather; labor relations, including the adverse impact should a portion of the Company's workforce become unionized; effectiveness of Company-specific performance improvement initiatives; terrorism risks; self-insurance claims and other expense volatility; increased costs as a result of recently enacted healthcare reform legislation and other financial, operational and legal risks and uncertainties detailed from time to time in the Company's SEC filings. As a result of these and other factors, no assurance can be given as to our future results and achievements. A forward looking statement is neither a prediction nor a guarantee of future events or circumstances and those future events or circumstances may not occur.

Saia, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
				December 31,				December 31,
				2012				2011
ASSETS
CURRENT ASSETS:
	Cash and cash equivalents			$	321			$	1,317
	Accounts receivable, net				106,814				107,436
	Prepaid expenses and other				37,028				34,063
		Total current assets			144,163				142,816
PROPERTY AND EQUIPMENT:
	Cost				718,527				669,345
	Less: accumulated depreciation				356,823				344,890
		Net property and equipment			361,704				324,455
OTHER ASSETS					13,821				7,615
		Total assets		$	519,688			$	474,886
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
	Accounts payable			$	43,706			$	39,783
	Wages and employees' benefits				30,842				21,185
	Other current liabilities				44,609				41,237
	Current portion of long-term debt				22,143				22,143
		Total current liabilities			141,300				124,348
OTHER LIABILITIES:
	Long-term debt, less current portion				38,562				50,714
	Deferred income taxes				55,611				51,289
	Claims, insurance and other				29,696				29,234
		Total other liabilities			123,869				131,237
STOCKHOLDERS' EQUITY:
	Common stock				16				16
	Additional paid-in capital				206,977				203,793
	Deferred compensation trust				(2,213	)			(2,199	)
	Retained earnings				49,739				17,691
		Total stockholders' equity			254,519				219,301
		Total liabilities and stockholders' equity		$	519,688			$	474,886

Saia, Inc. and Subsidiaries
Consolidated Statements of Operations
For the Quarters and Years Ended December 31, 2012 and 2011
(Amounts in thousands, except per share data)
(Unaudited)
				Fourth Quarter								Years
				2012				2011				2012				2011
OPERATING REVENUE				$	264,427			$	253,020			$	1,098,679			$	1,030,224
OPERATING EXPENSES:
	Salaries, wages and employees' benefits				136,284				127,108				546,755				513,977
	Purchased transportation				15,350				18,095				74,521				87,159
	Fuel, operating expenses and supplies				74,964				71,897				308,176				293,534
	Operating taxes and licenses				9,222				9,441				38,283				38,228
	Claims and insurance				6,303				10,213				24,712				32,067
	Depreciation and amortization				12,304				10,179				47,985				37,278
	Operating gains, net				(78	)			(93	)			(487	)			(165	)
		Total operating expenses			254,349				246,840				1,039,945				1,002,078
OPERATING INCOME					10,078				6,180				58,734				28,146
NONOPERATING EXPENSES:
	Interest expense				1,707				2,321				7,807				10,468
	Other, net				(70	)			(64	)			(212	)			(52	)
		Nonoperating expenses, net			1,637				2,257				7,595				10,416
INCOME BEFORE INCOME TAXES					8,441				3,923				51,139				17,730
Income tax expense					3,035				1,450				19,091				6,357
NET INCOME				$	5,406			$	2,473			$	32,048			$	11,373
Average common shares outstanding - basic					15,908				15,798				15,882				15,789
Average common shares outstanding - diluted					16,586				16,143				16,543				16,136
Basic earnings per share				$	0.34			$	0.16			$	2.02			$	0.72
Diluted earnings per share				$	0.33			$	0.15			$	1.94			$	0.70

Saia, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
For the Years Ended December 31, 2012 and 2011
(Amounts in thousands)
(Unaudited)
				Years
				2012				2011
OPERATING ACTIVITIES:
Net cash provided by operating activities				$	100,675			$	58,211
		Net cash provided by operating activities			100,675				58,211
INVESTING ACTIVITIES:
	Acquisition of property and equipment				(86,120	)			(70,862	)
	Proceeds from disposal of property and equipment				3,305				2,963
	Acquisition of subsidiary, net of cash				(7,616	)			-
		Net cash used in investing activities			(90,431	)			(67,899	)
FINANCING ACTIVITIES:
	Repayment of long-term debt				(22,143	)			(17,143	)
	Borrowings of revolving credit agreement, net				9,990				-
	Payment of debt issuance costs				-				(1,046	)
	Proceeds from stock option exercises				913				149
		Net cash used in financing activities			(11,240	)			(18,040	)
NET DECREASE IN CASH AND CASH EQUIVALENTS					(996	)			(27,728	)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD					1,317				29,045
CASH AND CASH EQUIVALENTS, END OF PERIOD				$	321			$	1,317

Saia, Inc. and Subsidiaries
Financial Information
For the Quarters Ended December 31, 2012 and 2011
(Unaudited)
															Fourth Quarter
				Fourth Quarter								%			Amount/Workday				%
				2012				2011				Change			2012		2011		Change
Workdays															62		61
Operating ratio					96.2	%			97.6	%
Tonnage (1)		LTL			863				877			(1.6	)		13.91		14.37		(3.2	)
		TL			157				164			(4.5	)		2.53		2.69		(6.0	)
Shipments (1)		LTL			1,466				1,517			(3.4	)		23.64		24.86		(4.9	)
		TL			23				23			(3.0	)		0.37		0.38		(4.6	)
Revenue/cwt. (2)		LTL		$	14.13			$	13.33			6.0
		TL		$	5.90			$	5.51			6.9
Revenue/shipment (2)		LTL		$	166.36			$	154.10			8.0
		TL		$	816.62			$	775.09			5.4
Pounds/shipment		LTL			1,177				1,156			1.8
		TL			13,851				14,060			(1.5	)
Length of Haul					728				728			-
(1) In thousands
(2) Revenue does not include the adjustment required for financial statement purposes in accordance with the Company's revenue recognition policy and other revenue.