Quick Overview

  • Hub Group stated in a securities filing that interim Chief Financial Officer Todd Heeter will receivea monthly cash consulting fee of $125,000。
  • Heeter assumed the interim role on May 28, and according to the accompanying consulting agreement, this fee will be paidover a six-month term.
  • Heeter was appointed interim CFO after long-time company veteran Kevin Beth left the top finance position at the logistics and transportation management company based in Oak Brook, Illinois. Beth departed along with Chief Operating Officer Brian Meents, as part of the company's"corrective actions"related to a $77 million accounting error, as previously reported by CFO Dive.

Deep Insights

The consulting agreement between Hub Group and Heeter, who is 53, also authorizes reimbursement for "reasonable business expenses" Heeter may incur while performing his interim CFO duties. Under the agreement, Heeter will not receive benefits and is classified as an independent contractor.

Before joining Hub Group in May, Heeter served as CFO of NorthMark Strategies, where he oversaw a "comprehensive" transformation of the finance function, according to his LinkedIn profile. He also served as CEO and founder of The Heeter Group, a firm providing CFO, chief accounting officer, and strategic consulting services to companies.

According to the consulting agreement, if Hub Group appoints a permanent CFO before the end of the six-month term or any renewal period, Heeter will step down from the interim role and provide services in an "advisory capacity," with specific duties determined by the company.

The logistics management company expects "to enter into a separation agreement with Mr. Beth at a later date," according to the filing. Both Beth and Meents will provide support in an advisory capacity during the transition period, the company said in its May 27 press release announcing their departures.

According to the company'srecently filed proxy statement(filed in May 2025), except in the case of death or disability, or retirement approved at the discretion of the compensation committee, no named executive officer is entitled to "any cash severance or acceleration of equity awards" upon termination of employment.

The CFO appointment is one of several actions the company is taking to accurately restate its financial statements for the past three years, following the initial discovery of the $77 million accounting error in February.

In a February 5 press release, Hub Group said that while preparing its annual financial statements, it discovered it had understated transportation costs and accounts payable for the first nine months of 2025. The total reduction in accounts payable and transportation costs related to the error was $77 million, the company said at the time, and it expected the error to increase transportation and warehousing costs for the nine-month period ended September 30, 2025.

Afterevaluating the error, the company delayed the filing of its 2025 annual 10-K report and subsequent quarterly reports, and reported to the SEC that its financial statements for the first nine months of 2025 were not reliable.

Additionally, the company issued a notice thatits 2024 and 2023 annual reports"contained material misstatements" and should not be relied upon, according to company filings. After a review by the audit committee, the company determined that certain transactions in those two years "were recognized prematurely or incorrectly," according to aMay 12 business update and notice of delayed filing。