| | On April 29, 2024, Covenant Logistics Group, Inc., a Nevada corporation (the “Company”), announced that the board of directors of the Company (the “Board”) appointed Dustin Koehl as Chief Operating Officer, effective May 13, 2024. Upon the effectiveness of Mr. Koehl’s appointment, Mr. Koehl will also serve as the Company’s principal operating officer, and M. Paul Bunn, the Company’s President, will no longer serve as principal operating officer. In connection with Mr. Koehl’s appointment, the Compensation Committee of the Board approved a compensation package for Mr. Koehl, including: • an annualized base salary of $425,000; • participation in the 2024 Executive Bonus Program, with a cash bonus target of 60% of Mr. Koehl’s year-end annualized base salary; and • a severance agreement, including the following benefits, which are subject to reduction in the case of termination before completing three years of service with the Company: o upon a qualifying severance event, subject to employment, release, and other customary provisions, including a non-compete through 12 months post-termination, (i) 24 months of salary continuation, (ii) if earned at or above minimum, then the target cash bonus for the year of termination, prorated for partial year of service, and (iii) 24 months of COBRA reimbursement; and o upon a qualifying change-in-control event only when the recipient is terminated without “cause” or is subject to a “constructive termination” during the 24 months following a change-in-control, subject to employment, release, and other customary provisions, including a non-compete through 12 months post-termination, (i) 300% of annualized base salary lump sum severance payment, (ii) target cash bonus for the year of termination, and (iii) 36 months of COBRA reimbursement. The following is biographical information for Mr. Koehl: Dustin Koehl, 40, joined the Company as Chief Operating Officer in May 2024. Mr. Koehl previously served as the Head of Commercialization at Waabi, an AI-centered self-driving truck developer, where he was responsible for customer adoption, transportation strategy, and safety. An active member of the transportation industry, Mr. Koehl is a partner with the Massachusetts Institute of Technology’s FreightLab and has served on several industry committees, including positions at the American Trucking Associations and the American Transportation Research Institute. Mr. Koehl has over 17 years of experience in transportation, including 12 years at Total Transportation of Mississippi, including as Vice President – Sales and Operations (through 2019) and three years at U.S. Xpress, Inc., including as Senior Vice President – Over-the-Road (through 2022). |
