Moyes' offer of $6.80 per share for 3,575,000 shares is higher than the stock's present trading price but significantly less than the book value of the fleet and therefore inadequate, the board said in a statement.
Moyes, chairman of Swift Transportation, and his affiliates presently own approximately 687,650 shares. The Simon board has hired an investment banking firm to evaluate the Moyes' offer and look at options.
Simon chairman Richard D. Simon said the fleet had been making progress in reversing operational losses, but still faced escalating fuel costs and serious driver shortages which will have adverse affects on operations. The fleet's operating ratio has improved from 105.5 to 100.1 over the past three quarters due largely to a rebound in freight rates and reductions in personnel.