1 8.	RELATED PARTY TRANSACTIONS

In the normal course of business, transactions for transportation and repair services,

equipment, property leases and other services are conducted between the Company and companies affiliated with our Chairman and controlling stockholder. The Company recognized approximately

$585,000,

$4,834,000

and

$11,325,000

in operating revenue and approximately

$7,497,000

$8,837,000

and

$4,834,000

in operating expenses in

2017,

2016,

and

2015,

respectively. In addition, also in the normal course of business, the Company sold trucks to an affiliated company owned by our Chairman and controlling stockholder for approximately

$67,500

during

2015.

The Company purchased physical damage, auto liability, general liability

, and workers’ compensation insurance through an unaffiliated insurance broker which was written by an insurance company affiliated with our Chairman and controlling stockholder. Premiums for physical damage coverage were approximately

$1,808,000,

$2,091,000

and

$2,467,000

for

2017,

2016,

and

2015,

respectively. Premiums for auto liability coverage during

2017,

2016,

and

2015

were approximately

$10,860,000,

$11,030,000,

and

$9,605,000,

respectively. Premiums for general liability coverage during

2017,

2016,

and

2015

were approximately

$35,000,

21,000

and

$23,000,

respectively. Premiums for workers’ compensation coverage during

2017,

2016,

and

2015

were approximately

$286,000,

$298,000

and

$276,000,

respectively.

Amounts owed to the Company by these affiliates were approximately

$21,000

and

$929,000

December 31, 2017

and

2016,

respectively. Of the accounts receivable at

December 31, 2017

and

2016,

approximately

$19,000

and

$925,000

represent freight transportation and approximately

$2,000

and

$4,000

represent revenue resulting from maintenance performed in the Company’s maintenance facilities and charges paid by the Company to

third

parties on behalf of their affiliate and charged back at the amount paid, respectively. Amounts representing prepaid insurance premiums at

December 31, 2017

and

2016

were approximately

$1,385,000

and

$472,000,

respectively. Amounts payable to affiliates at

December 31, 2017

and

2016

were approximately

$971,000

and

$1,297,000

respectively.