J.B. HUNT TRANSPORT SERVICES, INC. REPORTS REVENUES AND EARNINGS FOR THE FOURTH QUARTER AND YEAR ENDED DECEMBER 31, 2001

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1 J.B. HUNT TRANSPORT SERVICES, INC. REPORTS REVENUES AND EARNINGS FOR THE FOURTH QUARTER AND YEAR ENDED DECEMBER 31, 2001 LOWELL, ARKANSAS, January 30, J. B. Hunt Transport Services, Inc. (NASDAQ: JBHT) announced fourth quarter 2001 net earnings of $18.2 million, or diluted earnings per share of 50 cents. During the current quarter, the Company modified its method of estimating ultimate losses relating to liability and workers compensation claims, which resulted in a $10.2 million increase in earnings, or 28 cents per diluted share for the quarter. Prior to the modification, which was recorded during the quarter, fourth quarter earnings were $8.0 million, or 22 cents per diluted share compared with 2000 fourth quarter earnings of $10.9 million, or 31 cents per diluted share. Total operating revenue for the current quarter was $545.5 million, compared with $534.0 million during the fourth quarter of As management has noted on numerous occasions, there is significant operating leverage embedded within the Company s operations. While the economy and level of freight activity was extremely challenging during 2001, the Company is pleased to report improved operating income in the Truck and Intermodal business units for the current quarter, compared with the fourth quarter of Operating ratios for the Truck, Intermodal and Dedicated Contract Services (DCS) business units were 97.9%, 93.3% and 95.6% respectively for the last three months of Comparable operating ratios for the respective units in the fourth quarter of 2000 were 100.7%, 95.1% and 95.0%. During the fourth quarter of 2001, the Company modified its method of estimating and recording ultimate costs related to liability and workers compensation claims. This new method resulted in a $6.2 million decrease in workers compensation, a $10.1 million decrease in insurance and claims expense and a $6.1 million increase in income tax expense during the current quarter. It also resulted in a restatement of the following balances at December 31, 1998: a $10.2 million decrease in retained earnings, a $16.3 million increase in claims payable and a $6.1 million increase in deferred tax assets. These adjustments had no material impact on any prior year s consolidated statements of earnings. Likewise, each of the Company s business units had been charged estimated actual costs for those claims and accidents and the respective earnings from operations and operating ratios are not affected. Net earnings for the fourth quarter of 2001 were reduced by $1.7 million, reflecting the Company s equity in the results of its Mexican joint venture and its investment in Transplace. This compares with earnings of $1.2 million, which were recognized during the fourth quarter of The loss on the Mexican business venture is primarily from the anticipated sale of the Company s interests. The Company has an agreement in principle for a sale to the majority owner of the joint venture and the transaction is expected to be consummated in early If the transaction closes under the current terms and conditions, no material impact on earnings is anticipated. Fuel prices were sharply lower in the fourth quarter of 2001 compared to the same period of However, due to the decline in diesel fuel prices, which drives the formula for fuel surcharges, fuel surcharge revenue actually declined faster than the fuel expense and negatively impacted earnings by approximately 7 cents per share in 2001 vs. the fourth quarter of While the Company is not satisfied with the results for the year of 2001, it is encouraged with the direction and amount of improvement in operations at the Truck business unit and the steady return from the Intermodal business unit. In addition, the Company is pleased with the progress in the profitability of the DCS business unit from the second and third quarters of These improvements are particularly rewarding given the difficult operating environment and decline in operating profitability for the industry as a whole in 2001.

2 Freight demand was soft throughout the current quarter and, in fact, the economy remains lackluster and freight shipments continue to be weak in January of The Company is committed to maintaining its quest for profitability in the Truck business unit by continuing to analyze, eliminate and replace business that is unprofitable or poorly priced for a reasonable return. Accordingly, the Company has no plans to grow the Truck business until such time that a reasonable operating profit has been achieved warranting the additional investment of capital. Spending in other areas remains curtailed and all expenses are being closely controlled. Freight mix changes and pure price increases resulted in a 3.9% increase in rates per loaded mile, excluding fuel surcharges, in the fourth quarter of 2001 relative to fourth quarter Service in the Truck unit is at an all-time high, currently exceeding 98% and ending 2001 at 97.3% for the year. The Company believes this level of service places J.B. Hunt Transport at the top of the random truckload industry particularly for a large fleet of almost 6,000 tractors. Continued volatility in the earnings power of the Truck unit is likely to prevail until supply and demand factors in the truckload industry improve. Additional improvement is significantly dependent upon increases in the availability of freight. The Intermodal business unit posted 46% higher operating income on a 7% increase in Intermodal revenue. Intermodal rates rose a slight 1% vs. the same period a year ago. As in Truck, service levels for Intermodal improved dramatically over 2000 and are currently at all-time highs. Likewise, the DCS business unit continues to deliver 99+% service levels to customers. For the current quarter, DCS was able to generate an operating ratio only slightly higher than the same quarter a year ago. The weak economy has negatively impacted asset utilization and sales momentum for DCS. New business that was started in the fall of 2001 and a strengthening economy should allow DCS to return to improved operating efficiency. Cost control and close analysis of individual fleet profitability remains a DCS objective. As in the case of Truck, DCS has no fleet growth planned for This press release contains forward-looking statements, which are based on information currently available. Actual results may differ materially from those currently anticipated due to a number of factors, including, but not limited to, those discussed in Item 7 of the Company s Annual Report filed on Form 10-K for the year ended December 31, The Company assumes no obligation to update any forward-looking statement to the extent it becomes aware that it will not be achieved for any reason. This press release and related information will be available immediately to interested parties at the Company s web site,

3 J.B. HUNT TRANSPORT SERVICES, INC. Condensed Consolidated Statements of Earnings (in thousands, except per share data) Three Months Ended December 31 % Of % Of Amount Revenue Amount Revenue Operating revenues $ 545, % $ 533, % Operating expenses Salaries, wages and employee benefits 195, % 198, % Rents and purchased transportation 167, % 149, % Fuel and fuel taxes 48, % 66, % Depreciation 36, % 35, % Operating supplies and expenses 37, % 34, % Insurance and claims 5, % 10, % Operating taxes and licenses 8, % 8, % General and administrative expenses 7, % 7, % Communication and utilities 6, % 6, % Total operating expenses 512, % 516, % Operating income 33, % 17, % Interest expense (5,697) (1.0%) (6,080) (1.1%) Equity in earnings of associated companies (1,749) (0.3%) 1, % Earnings before income taxes 25, % 12, % Income taxes 7, % 1, % Net earnings $ 18, % $ 10, % Average basic shares outstanding 35,974 35,178 Basic earnings per share $ 0.51 $ 0.31 Average diluted shares outstanding 36,325 35,276 Diluted earnings per share $ 0.50 $ 0.31 Condensed Consolidated Statements of Earnings (in thousands, except per share data) Twelve Months Ended December 31 % Of % Of Amount Revenue Amount Revenue Operating revenues $ 2,099, % $ 2,160, % Operating expenses Salaries, wages and employee benefits 790, % 769, % Rents and purchased transportation 604, % 694, % Fuel and fuel taxes 226, % 242, % Depreciation 142, % 134, % Operating supplies and expenses 145, % 130, % Insurance and claims 42, % 38, % Operating taxes and licenses 33, % 32, % General and administrative expenses 20, % 28, % Communication and utilities 24, % 24, % Total operating expenses 2,030, % 2,097, % Operating income 69, % 63, % Interest expense (23,705) (1.1%) (25,747) (1.2%) Equity in earnings of associated companies (2,509) (0.1%) 4, % Earnings before income taxes 43, % 42, % Income taxes 10, , % Net earnings $ 32, % $ 36, % Average basic shares outstanding 35,602 35,313 Basic earnings per share $ 0.93 $ 1.02 Average diluted shares outstanding 36,213 35,422 Diluted earnings per share $ 0.91 $ 1.02

4 Financial Information By Segment (dollars in thousands) Three Months Ended December 31 Gross revenue Truck $ 203,116 $ 218,481 Intermodal 198, ,853 Dedicated 148, ,692 Logistics (57) 146 Subtotal 550, ,172 Intersegment eliminations (4,562) (5,203) Consolidated revenue $ 545,528 $ 533,969 Operating income (loss) Truck $ 4,296 $ (1,617) Intermodal 13,248 9,099 Dedicated 6,495 6,742 Logistics and other (1) 9,122 3,470 Operating income $ 33,161 $ 17,694 Twelve Months Ended December 31 Gross revenue Truck $ 828,577 $ 833,803 Intermodal 740, ,127 Dedicated 548, ,644 Logistics (94) 229,969 Subtotal 2,117,722 2,223,543 Intersegment eliminations (18,129) (63,097) Consolidated revenue $ 2,099,593 $ 2,160,447 Operating income (loss) Truck $ 8,708 $ (7,051) Intermodal 42,082 36,669 Dedicated 17,419 28,415 Logistics and other (1) 1,087 5,378 Operating income $ 69,296 $ 63,411 (1) Includes the Logistics business, which was contributed to Tranplace.com effective July 1, 2000 and unallocated corporate support and insurance expenses.

5 Operating Statistics by Segment Three Months Ended December 31 Truck Operating ratio 97.9% 100.7% Loads 233, ,793 Net revenue (excl. fuel surcharge) per tractor per week $ 2,627 $ 2,742 Length of haul Net change in revenue per loaded mile (excl. fuel surcharge) 3.9% 2.9% Average tractors during the period 5,826 5,827 Tractors (end of period) Company owned 5,382 5,851 Independent contractor Total tractors 5,719 5,867 Trailers (end of period) 20,948 18,121 Intermodal Operating ratio 93.3% 95.1% Loads 121, ,040 Net change in revenue per loaded mile (excl. fsc) 1.0% 0.1% Tractors (end of period) Containers (end of period) 18,711 21,929 Dedicated Operating ratio 95.6% 95.0% Net revenue (excl. fuel surcharge) per tractor per week $ 2,590 $ 2,645 Average tractors during the period 4,530 3,911 Tractors (end of period) 4,478 3,890 Trailers (end of period) 4,631 4,257 Twelve Months Ended December 31 Truck Operating ratio 98.9% 100.8% Loads 946, ,783 Net revenue (excl. fuel surcharge) per tractor per week $ 2,600 $ 2,710 Length of haul Net change in revenue per loaded mile (excl. fuel surcharge) 2.9% 3.4% Average tractors during the period 5,964 5,767 Tractors (end of period) Company owned 5,382 5,851 Independent contractor Total tractors 5,719 5,867 Trailers (end of period) 20,948 18,121 Intermodal Operating ratio 94.3% 94.6% Loads 472, ,359 Net change in revenue per loaded mile (excl. fsc) 0.5% 0.2% Tractors (end of period) Containers (end of period) 18,711 21,929 Dedicated Operating ratio 96.8% 94.1% Net revenue (excl. fuel surcharge) per tractor per week $ 2,500 $ 2,605 Average tractors during the period 4,235 3,511 Tractors (end of period) 4,478 3,890 Trailers (end of period) 4,631 4,257

6 Selected Balance Sheet Data (dollars in thousands) December 31, December 31, Current assets 382, ,971 Total assets 1,252,295 1,231,921 Current liabilities 270, ,273 Total debt and capitalized leases 383, ,278 Stockholders' equity 458, ,003