- - PRELIMINARY COPY
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13E-3
Rule 13e-3 Transaction Statement
(Pursuant to Section 13(e) of the Securities Exchange Act of 1934)
CANNON EXPRESS, INC.
(Name of Issuer)
CANNON EXPRESS, INC.
(Name of Person(s) Filing Proxy Statement)
Class B Common Stock
(Title or Class of Securities)
137694-20-4
(CUSIP Number of Class of Securities)
Dean G. Cannon
1457 Robinson
P.O. Box 364
Springdale, AR 72764
(501)751-9209
(Name, Address and Telephone Number of Person Authorized to Receive
Notices and Communications on Behalf of Person(s) Filing Statement)
Copies to:
Richard N. Massey, Esq.
Rose Law Firm
120 East Fourth Street
Little Rock, AR 72201
(501)375-9131
This Statement is filed in connection with (check appropriate box):
a. X The filing of solicitation materials or an information statement
subject to Regulation 14A [17 CFR 240.14a-1 to 240.14b-1],
Regulation 14C [17 CFR 240.14c-1 to 240.14c-101] or Rule
13e-3(c) [Section 240.13e-3(c)] under the Securities Exchange
Act of 1934.
b. __ The filing of a registration statement under the Securities Act
of 1933.
c. __ A tender offer.
d. __ None of the above.
Check the following box if the soliciting materials or information
statement referred to in checking box (a) are preliminary copies: X
___________________________________________________________________________
Instruction: Eight copies of this statement, including all exhibits,
should be filed with the Commission.
___________________________________________________________________________
Calculation of Filing Fee:
Transaction Amount of filing fee
valuation*
$19,497,168 $3,899.43
* Transaction valuation calculated by the number of shares proposed to
be acquired (2,166,352) by the amount of cash or the value of
securities to be exchanged therefor, as applicable (in each case,
$9.00 per share).
__ Check box if any part of the fee is offset as provided by Rule
0-11(a)(2) and identify the filing for which the offsetting fee was
paid previously. Identify the previous filing by registration
statement number, or the Form or Schedule and the date of its filing.
Amount Previously Paid:____________
Form or Registration No.:__________
Filing Party:______________________
Date Filed:________________________
CANNON EXPRESS, INC.
______________________________
SCHEDULE 13E-3
CROSS REFERENCE SHEET
______________________________
The following cross reference sheet is supplied pursuant to General
Instruction F to Schedule 13E-3 and shows the location in the Schedule 14A
Proxy Statement (the "Proxy Statement") filed concurrently herewith by the
Issuer with the Securities and Exchange Commission in connection with the
Rule 13e-3 transaction of the information required to be included in
response to the Items of this Schedule 13E-3. The information in the Proxy
Statement is hereby expressly incorporated herein by reference in this
Schedule 13E-3 and the responses to each item in this Schedule 13E-3 are
qualified in their entirety by the provisions of the Proxy Statement.
Item in Schedule 13E-3 Location and Caption in
Information Statement
Item 1 - Issuer and Class of
Security Subject to the Transaction
(a) . . . . . . . . . . . . . . . . Outside Front Cover Page,
"Summary"
(b) . . . . . . . . . . . . . . . . "Purpose of Special Meeting"
(c) . . . . . . . . . . . . . . . . "Market for the Common Stock;
Dividends"
(d) . . . . . . . . . . . . . . . . "Market for the Common Stock;
Dividends"
(e) . . . . . . . . . . . . . . . . *
(f) . . . . . . . . . . . . . . . . "Security Ownership of
Management, "Principal
Shareholders; Class A
Dilution"
Item 2 - Identity and Background . . . . Outside Front Cover Page,
"Purpose of Special Meeting"
Item 3 - Past Contacts, Transactions or
Negotiations
(a) . . . . . . . . . . . . . . . . *
(b) . . . . . . . . . . . . . . . . *
Item 4 - Terms of the Transaction
(a) . . . . . . . . . . . . . . . . "Summary - The Recapitalization
Plan," "Description of the
Transaction - The
Recapitalization Plan"
__________________________
*The item is inapplicable or the answer is negative.
(b) . . . . . . . . . . . . . . . . "Description of Transaction -
Interests of Certain Persons"
Item 5 - Plans or Proposals of the Issuer
or Affiliate
(a) . . . . . . . . . . . . . . . . *
(b) . . . . . . . . . . . . . . . . *
(c) . . . . . . . . . . . . . . . . "Description of Transaction -
Conduct of the Company's Business
After the Recapitalization Plan;"
Special Factors - Opinion of
Financial Advisor"
(d) . . . . . . . . . . . . . . . . *
(e) . . . . . . . . . . . . . . . . *
(f) . . . . . . . . . . . . . . . . "Description of Transaction -
Conduct of the Company's Business
After the Recapitalization Plan"
(g) . . . . . . . . . . . . . . . . "Description of Transaction -
Conduct of the Company's Business
After the Recapitalization Plan"
Item 6 - Source and Amounts of Funds
or Other Consideration
(a) . . . . . . . . . . . . . . . . "Description of Transaction -
Source of Funds"
(b) . . . . . . . . . . . . . . . . "Expenses"
(c) . . . . . . . . . . . . . . . . *
(d) . . . . . . . . . . . . . . . . *
Item 7 - Purpose(s), Alternatives, Reasons
and Effects
(a) . . . . . . . . . . . . . . . . "Special Factors - Background and
Reasons for the Recapitalization
Plan"
(b) . . . . . . . . . . . . . . . . "Special Factors - Background and
Reasons for the Recapitalization
Plan"
(c) . . . . . . . . . . . . . . . . "Special Factors - Background and
Reasons for the Recapitalization
Plan"
__________________________
*The item is inapplicable or the answer is negative.
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(d) . . . . . . . . . . . . . . . . "Special Factors - Background and
Reasons for the Recapitalization
Plan;" "Description of
Transaction - The
Recapitalization Plan, Conduct of
the Company's Business after the
Recapitalization Plan, Comparison
of Capital Stock Before and After
Recapitalization Plan, Federal
Income Tax Consequences,
Interests of Certain Persons"
Item 8 - Fairness of the Transaction
(a) . . . . . . . . . . . . . . . . "Special Factors - Recommendation
of Special Committee"
(b) . . . . . . . . . . . . . . . . "Special Factors - Recommendation
of Special Committee"
(c) . . . . . . . . . . . . . . . . "Outstanding Stock and Voting
Rights;" "Special Factors -
Recommendation of Special
Committee"
(d) . . . . . . . . . . . . . . . . "Special Factors - Recommendation
of Special Committee"
(e) . . . . . . . . . . . . . . . . "Special Factors - Recommendation
of Special Committee"
(f) . . . . . . . . . . . . . . . . *
Item 9 - Reports, Opinions, Appraisals and
Certain Negotiations
(a) . . . . . . . . . . . . . . . . "Special Factors - Opinion of
Financial Advisor"
(b) . . . . . . . . . . . . . . . . "Special Factors - Opinion of
Financial Advisor"
(c) . . . . . . . . . . . . . . . . "Special Factors - Opinion of
Financial Advisor"
Item 10 - Interest in Securities of the Issuer
(a) . . . . . . . . . . . . . . . . "Security Ownership of
Management", "Principal
Shareholders; Class A Dilution"
(b) . . . . . . . . . . . . . . . . *
__________________________
*The item is inapplicable or the answer is negative.
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Item 11 - Contracts, Arrangements or *
Understandings with Respect to the
Issuer's Securities
Item 12 - Present Intention and
Recommendation of Certain Persons
with Regard to the Transaction
(a) . . . . . . . . . . . . . . . . "Outstanding Stock and Voting
Rights"
(b) . . . . . . . . . . . . . . . . "Special Factors - Recommendation
of Special Committee"
Item 13 - Other Provisions of the Transaction
(a) . . . . . . . . . . . . . . . . "Description of the Transaction -
Dissenters' Appraisal Rights"
(b) . . . . . . . . . . . . . . . . *
(c) . . . . . . . . . . . . . . . . *
Item 14 - Financial Information
(a) . . . . . . . . . . . . . . . . "Historical Financial
Information"; "Pro Forma
Financial Information"
(b) . . . . . . . . . . . . . . . . "Pro Forma Financial Information"
Item 15 - Persons and Assets Employed,
Retained or Utilized
(a) . . . . . . . . . . . . . . . . *
(b) . . . . . . . . . . . . . . . . *
Item 16 - Additional Information *
Item 17 - Material to Be Filed as Exhibits
(a) . . . . . . . . . . . . . . . . *
(b) . . . . . . . . . . . . . . . . "Opinion of Llama Company,"
Exhibit B to Proxy Statement on
Schedule 14A
(c) . . . . . . . . . . . . . . . . *
(d) . . . . . . . . . . . . . . . . Proxy Statement on Schedule 14A
(e) . . . . . . . . . . . . . . . . *
(f) . . . . . . . . . . . . . . . . *
__________________________
*The item is inapplicable or the answer is negative.
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SIGNATURE
After due inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete
and correct.
CANNON EXPRESS, INC.
By: /s/ Dean G. Cannon
Dean G. Cannon
President, Chairman of the
Board, Chief Executive Officer
and Chief Accounting Officer
Date: January 26, 1996
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CANNON EXPRESS, INC.
________________________
SCHEDULE 13E-3
EXHIBIT INDEX
________________________
Exhibit
Number Exhibit
(b) Fairness Opinion of Llama Company (attached as Exhibit B
to the Proxy Statement filed as Exhibit (d) hereto).
(d) Proxy Statement dated January 26, 1996 filed
concurrently herewith and incorporated herein by this
reference.
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