SEPARATION AGREEMENT AND MUTUAL RELEASE OF CLAIMS
This agreement is entered into this 15th day of May, 1996 by and between M. Reid Armstrong (hereinafter "Reid
Armstrong") and Yellow Corporation, its predecessors, successors, subsidiaries including, without limitation,
Yellow Freight System, Inc. (hereinafter "Yellow Freight"), affiliates, assigns, officers, directors, agents and
employees (hereinafter jointly referenced as "Company") in order to set forth the terms and conditions upon
which Reid Armstrong's employment with the Company will be terminated. In exchange for the mutual promises
contained herein, the parties agree as follows:
1. For the period from the date of this agreement through September 30, 1996, Reid Armstrong shall continue in
his present position as President of Yellow Freight at his present salary, perquisites and benefits, and shall aid and
assist management of the Company in a transition to a new President of Yellow Freight. On September 30, 1996
Reid Armstrong shall submit his resignation as President and Director of Yellow Freight and Director of the
Company in the form attached hereto as "Exhibit A.
The Company shall have the option of requesting and obtaining Reid Armstrong's resignation as President and
Director of Yellow Freight, and Director of the Company, prior to September 30, 1996, in which event the
separation payments described in Paragraph 2 below will commence as of the effective date of said resignation
and shall continue through the period indicated in Paragraph 2.
Prior to September 30, 1996, this agreement may be modified or canceled upon the mutual agreement of Reid
Armstrong and the Company.
2. The Company will pay Reid Armstrong $28,750 per month from the effective date of his resignation as
President of Yellow Freight, as described in Paragraph 1 above, through September 30, 1999 in bi-monthly
installments. The parties agree that the Company shall withhold from such payments the appropriate deductions
required by law. In the e