UNITED STATES
		                SECURITIES AND EXCHANGE COMMISSION
			                    Washington, D.C. 20549

                  			             FORM 10-K
               	Annual Report Pursuant to Section 13 or 15(d) of
                    	the Securities Exchange Act of 1934

For the fiscal year   			                   Commission file number 0-14759
ended January 2, 1998

                	        KLLM TRANSPORT SERVICES, INC.       
             	(Exact name of registrant as specified in its charter)

        Delaware 		                              64-0412551                     
---------------------------                ------------------------
(State or other jurisdiction of 	        (IRS Employer Identification No.)
incorporation or organization)


                          			135 Riverview Drive
                         Richland, Mississippi 39218                         
                      ------------------------------------
               (Address of principal executive offices) (Zip Code)
      Registrant's telephone number, including area code:	    (601) 939-2545

          	Securities registered pursuant to Section 12(g) of the Act:
                      			Common Stock, $1.00 Value

     Indicate by check mark whether the registrant (1) has filed all reports 
required to be filed by Section 13 or 15(d) of the Securities Exchange 
Act of 1934 during the preceding 12 months (or for such shorter period 
that the registrant was required to file such reports), and (2) has been 
subject to such filing requirements for the past 90 days.

        Yes	  X  						                        No	____

     Indicate by check mark if disclosure of delinquent filers pursuant to 
Item 405 of Regulation S-K is not contained herein, and will not be
contained, to the best of registrant's knowledge, in definitive proxy or 
information statements incorporated by reference in Part III of this 
Form 10-K or any amendment to this Form 10-K.     

     Aggregate market value of voting stock held by nonaffiliates of the 
registrant as of the close of business on March 10, 1998:  $48,924,224.  

     The number of shares outstanding of registrant's common stock as of 
March 10, 1998: 4,373,115.


                	DOCUMENTS INCORPORATED BY REFERENCE

Portions of the following documents are incorporated by reference:

Document						                                            Part
--------                                                  ----

Annual Report to Shareholders for year ended
  January 2, 1998	            			                          II
Definitive Proxy Statement for Annual Meeting of
  Shareholders to be held  April 21, 1998 filed with 
  the Securities and Exchange Commission pursuant
  to Regulation 14A  			                                   III

Only the portions of KLLM Transport Services, Inc.'s 1997 Annual Report 
to Shareholders and Proxy Statement which are expressly incorporated by 
reference in this Annual Report on Form 10-K are deemed filed as part 
of this report.

                  		KLLM TRANSPORT SERVICES, INC.

                          			FORM 10-K

	                  	    TABLE OF CONTENTS
 
PART I								                                             PAGE

1.	Business................................................4
2.	Properties..............................................6
3.	Legal Proceedings.......................................7
4.	Submission of Matters to a Vote of
	    Security Holders......................................7

PART II

5.	Market for Registrant's Common
  	  Equity and Related Stockholder Matters................8
6.	Selected Financial Data.................................8
7.	Management's Discussion and Analysis of
  	  Financial Condition and Results of Operations.........8
8.	Financial Statements and Supplementary Data.............8
9.	Changes in and Disagreements with Accountants
  	  on Accounting and Financial Disclosure................8

PART III

10.	Directors and Executive Officers 
  	  of the Registrant......................................9
11.	Executive Compensation..................................9
12.	Security Ownership of Certain Beneficial
  	  Owners and Management..................................9
13.	Certain Relationships and Related Transactions..........9

PART IV

14.	Exhibits, Financial Statement  Schedules and Reports
  	  on Form 8-K...........................................10

<PAGE>
				PART I

Item 1.	BUSINESS.
        --------
     KLLM Transport Services, Inc. (through its wholly-owned subsidiary, 
KLLM, Inc., and KLLM, Inc.'s wholly-owned subsidiaries, KLLM Maintenance, 
Inc., Gulf Logistics, Inc., KLLM Contract Logistics, Inc., KLLM Trading 
Company, and Fresh International Transportation Services, Inc., hereinafter
referred to as "the Company") is an irregular-route common carrier that 
specializes in providing high-quality transportation service in North America.
The Company primarily serves the continental United States, Canada and Mexico.
The Company, a Delaware corporation, is the successor by merger to KLLM 
Distributing, Inc. ("KLLM Distributing"), a Mississippi corporation, 
incorporated in 1964. The Company owns all of the outstanding shares of 
KLLM, Inc., a Texas corporation, which owns (either in fee or as lessee) 
and operates substantially all of the Company's tractors and trailers 
and holds all of the operating rights presently used in the Company's 
business. 

     The Company offers transportation services for both temperature-
controlled and dry commodities.  It strives to provide dependable and 
timely service designed to meet the specialized needs of its customers.  
Protective service is provided on commodities such as food, medical 
supplies and cosmetics.  Service offerings include over-the-road long 
haul and regional transportation.  These services are provided via the 
traditional over-the-road temperature-controlled freight operations with 
both Company-operated and owner-operated equipment and the dry-van 
over-the-road truckload services, which began May 1, 1995 with the 
acquisition of substantially all of the assets of Vernon Sawyer, Inc., 
a regional dry-van truckload carrier based in Bastrop, Louisiana. 

     The Company currently owns (or leases) and operates substantially 
all of its fleet.  On January 2, 1998, the Company's fleet consisted of 
1,464 Company-operated tractors and 349 owner-operated tractors, 2,047 
temperature-controlled trailers and 570 dry-van trailers.  Capital 
expenditures, net of proceeds from trade-ins during 1997, were 
approximately $25,764,000.  Net capital expenditures in 1996 were 
$20,153,000.  Net capital expenditures in 1998 are expected to be 
approximately $8,000,000. 


Marketing and Operations
------------------------
     KLLM specializes in providing high-quality transportation services 
in North America.  The Company seeks customers who value its services; 
who need a number of trucks per week and who require dependable service
in meeting schedule requirements.

     The Company's full-time staff of ten (10) salespersons, along with 
certain executives,  is responsible for developing new accounts.  
Once a customer relationship is established, the primary Company
contact is an operations manager who is either dedicated to the customer 
or who is responsible to a geographic territory.  Working from the 
Company's corporate headquarters in Mississippi and Louisiana, these 
managers contact existing customers to solicit additional business.

     The Company has driver terminal operations in Georgia, Louisiana, 
California, Indiana, Pennsylvania and Mississippi.  Maintenance 
facilities are located in Mississippi, Louisiana, Texas and Georgia.

     The Company's largest 25, 10 and 5 customers accounted for 
approximately 63%, 49%, and 34%, respectively, of its revenue for the 
year ended January 2, 1998.  During 1997, one customer accounted for 
more than 10% of the Company's revenues. 

Maintenance
-----------
     The Company has a comprehensive preventive maintenance program 
for its tractors and trailers, which is carried out at its Jackson, 
Mississippi, Bastrop, Louisiana and Atlanta, Georgia facilities.  The 
Company's policy is to purchase standardized tractors and trailers 
manufactured to Company specifications. Standardization enables the 
Company to control the cost of its spare parts inventory and 
streamline its preventive maintenance program.

     Manufacturers of tractors are required to certify that new tractors 
meet federal emissions standards, and the Company receives this 
certification on each new tractor it acquires. Environmental protection
measures require the Company to adhere to a fuel and oil spill prevention 
plan and to comply with regulations concerning the discharge of waste oil.
The Company believes it is in compliance with all applicable provisions 
relating to the protection of the environment.  Management does not 
anticipate that compliance with these provisions will have a material 
effect on the Company's capital expenditures, earnings or competitive 
position.

Personnel
---------
     Drivers are recruited at all driver terminal locations.  On 
January 2, 1998, the Company employed 1,742 drivers and had a total of 
2,099 employees.  None of the Company's employees is represented by a 
collective bargaining unit.

Competition
-----------
     The Company competes primarily with other long-haul truckload 
carriers and with internal shipping conducted by existing and potential 
customers.  The Company also competes with other irregular-route long-haul
truckload carriers, and to a lesser extent, the railroads, for freight 
loads.  Although the increased competition resulting from a combination
of deregulation, weak market demand, and a shortage of qualified drivers 
has created some pressure to reduce rates, the Company competes primarily
on the basis of its quality of service and efficiency.  

Trademark
---------
     The Company's service mark, the KLLM logo, is registered with the United 
States Patent and Trademark Office.

Seasonality
-----------
     In the freight transportation industry generally, results of operations 
show a seasonal pattern because customers reduce shipments during and 
after the winter holiday season with its attendant weather variations.  
The Company's operating expenses have historically been higher in the 
winter months primarily due to decreased fuel efficiency and increased
maintenance costs in colder weather.


ITEM 2. PROPERTIES.
        ----------
    	Until early in 1998, the Company's corporate office was 
situated on approximately seven acres of land and contained 
approximately 20,600 square feet of office space.  As of March 13, 
1998, that property was sold.  Most of the Company's executive and 
administrative functions, except those that were driver-related, 
were housed in the corporate office.  The corporate office was 
located in Flowood, Mississippi, a suburb of Jackson.  In early 1998, 
all corporate office functions were moved to a facility located in 
Richland, Mississippi, a suburb of Jackson, which previously housed 
all driver-related executive and administrative functions, including 
safety, driver training, maintenance and driver recruiting.  The 
Company owns a portion of the land on which this facility is located. 
The remainder is owned by Benjamin C. Lee, Jr. and the Estate of 
William J. Liles, Jr.  The Company owns all of the improvements, 
consisting of approximately 31,200 square feet of office space and 
approximately 40,000 square feet of equipment repair and maintenance 
space.  The Company has an option to purchase the Lee and Liles part 
of the land for $390,257.  Mr. Lee and Mr. Liles' estate are principal 
shareholders of the Company and Mr. Lee is Chairman of the Company's 
Board of Directors.

    	The Company owns a maintenance and driver terminal facility 
near Dallas, Texas which was leased out in 1997 after maintenance and 
terminal operations were ceased at that facility.  This facility, 
which consists of approximately 8,000 square feet of office space and 
13,700 square feet of equipment repair and maintenance space, is located 
on approximately nine  acres of land.  That property is currently 
available for sale.

    	The Company also owns a maintenance and driver terminal 
operation in Atlanta, Georgia.  This facility, which includes two 
buildings containing approximately 5,000 square feet of office space 
and 20,000 square feet of maintenance space, is located on approximately
eighteen acres of land.

    	Additionally, the Company's dry-van operation in Bastrop, Louisiana
is situated on 20 acres of land.  The facilities located thereon include
approximately 8,000 square feet of office space and 36,500 square feet of
maintenance space.

    	The remaining driver terminal facilities are leased by the Company
pursuant to various short-term leases.


ITEM 3. LEGAL PROCEEDINGS.
        -----------------
    	The Company is involved in various claims and routine litigation 
incidental to its business.  Although the amount of ultimate liability, 
if any, with respect to these matters cannot be determined, management 
believes that these matters will not have a materially adverse effect on 
the Company's consolidated financial position.

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
        ---------------------------------------------------
Not applicable.

PART II


Item 5.	MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER MATTERS.
        ---------------------------------------------------------------------
     	"Market and Dividend Information" on page 7 of the Company's 1997 
Annual Report to Shareholders is incorporated herein by reference in response
to this item.

Item 6.	SELECTED FINANCIAL DATA.
        -----------------------
    	"Selected Financial and Operating Data" on page 6 of the Company's 
1997 Annual Report to Shareholders is incorporated herein by reference in 
response to this item.

Item 7.	MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND 
        -----------------------------------------------------------------
        FINANCIAL CONDITION.
        -------------------
    	"Management's Discussion and Analysis of Results of Operations and
Financial Condition" on pages 8-12 of the Company's 1997 Annual Report to 
Shareholders is incorporated herein by reference in response to this item.

Item 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.
        -------------------------------------------
    	The Report of Independent Auditors and the consolidated financial 
statements included on pages 13-24 of the Company's 1997 Annual Report to 
Shareholders are incorporated herein by reference in response to this item.

    	"Selected Quarterly Data (Unaudited)" on page 7 of the Company's 
1997 Annual Report to Shareholders is incorporated herein by reference in
response to this item.

Item 9.	CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND 
        ---------------------------------------------------------------
        FINANCIAL DISCLOSURE. 
        --------------------
        None.


PART III

Item 10.	 DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT.
          -------------------------------------------------- 
    	The information under the caption, "Election of Directors--Nominees
for Director," of the Company's definitive proxy statement for its scheduled
April 21, 1998 Annual Meeting of Shareholders filed with the Securities and
Exchange Commission pursuant to Regulation 14A, is incorporated herein by 
reference in response to this item.

    	The information under the caption, "Election of Directors--
Management," of the Company's definitive proxy statement for its 
scheduled April 21, 1998 Annual Meeting of Shareholders filed with the 
Securities and Exchange Commission pursuant to Regulation 14A, is 
incorporated herein by reference in response to this item.

    	The information under the caption, "Section 16(a) Beneficial 
Ownership Reporting Compliance" of the Company's definitive proxy statement
for its scheduled April 21, 1998 Annual Meeting of Shareholders filed 
with the Securities and Exchange Commission pursuant to Regulation 14A, 
is incorporated herein by reference in response to this item.

Item 11.	EXECUTIVE COMPENSATION.
         ----------------------
    	The information under the captions, "Executive Compensation; 
Director Compensation; Compensation Committee Report on Executive 
Compensation; Compensation Committee Interlocks and Insider Participation;
Stock Option Plan; Employee Stock Purchase Plan ("ESPP") and Performance 
Graph" of the Company's definitive proxy statement for its scheduled 
April 21, 1998 Annual Meeting of Shareholders filed with the Securities
Exchange Commission pursuant to Regulation 14A, is incorporated herein
by reference in response to this item.

Item 12.	SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT.
         --------------------------------------------------------------
    	The information under the caption "Election of Directors--Stock 
Ownership," of the Company's definitive proxy statement for its 
scheduled April 21, 1998 Annual Meeting of Shareholders filed with 
the Securities and Exchange Commission pursuant to Regulation 14A, is 
incorporated herein by reference in response to this item.

Item 13.	CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS.
         ----------------------------------------------
    	The information contained in the section titled "Certain 
Transactions" on page 5 of the Company's definitive proxy statement 
for its scheduled April 21, 1998 Annual Meeting of Shareholders filed
with the Securities and Exchange Commission pursuant to Regulation 14A, 
is incorporated herein by reference in response to this item.

PART IV
	
Item 14.	EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K.
         ---------------------------------------------------------------
        	a.	The following documents are filed, as part of this 
report or incorporated by reference herein:

            1. Financial Statements

		            	The following consolidated financial statements
		          of the Company and its subsidiaries, included in the 
		          Company's Annual Report, are incorporated by reference 
          		in Item 8:

                			Consolidated Balance Sheets-January 3, 1997 and
     			             January 2, 1998.
                			Consolidated Statements of Operations--Years ended
                			  December 29, 1995, January 3, 1997 and
                			  January 2, 1998.
                			Consolidated Statements of Stockholders' Equity--
                			  Years ended December 29, 1995, January 3, 1997 
                			  and January 2, 1998.
                			Consolidated Statements of Cash Flows--Years ended
                			  December 29, 1995, January 3, 1997 and
                			  January 2, 1998.
                			Notes to Consolidated Financial Statements

           2.  Financial Statement Schedules

            			The following consolidated financial statement 
            			schedule is included in Item 14(d):

                 			Schedule II - Valuation and Qualifying Accounts.

           			All other schedules for which provision is made 
           			in the applicable accounting regulations of the 
           			Securities and Exchange Commission are not required
           			under the related instructions or are inapplicable,
           			and therefore have been omitted.

         		3.	Listing of Exhibits

           			(i)  Exhibits filed pursuant to Item 601 of 
                			Regulation S-K

      Exhibit Number	         Description

         3.1			               Bylaws of Registrant 1
         3.2			               Certificate of Incorporation (as amended) 2
        10.1			               Amended & Restated Stock Option Plan 3
        10.2			               KLLM, Inc. Retirement Plan and Trust 
                              (as amended) 4 
        10.3			               1986 Lease with Mr. Lee and Mr. Liles 
                              Covering Corporate Headquarters 1
        10.4			               Employee Stock Purchase Plan (as amended) 5
        10.5			               Options granted to Mr. Young and Dr. Neely 6


-----------------------
                                             
       	1	Incorporated herein by reference to Registrant's Registration 
		        Statement on Form S-1 as filed on July 2, 1986 (Registration
        		No. 33-5881, File No. 0-14759).

        2	Incorporated herein by reference to Registrant's Annual Report
         	on Form 10-K for the year ended January 1, 1989 (File No. 
        		0-14759).

        3	Incorporated herein by reference to Registrant's Annual Report
        		on Form 10-K for the year ended December 31, 1989 (File No.
        		0-14759).

        4	Incorporated herein by reference to Registrant's Annual Report 
        		on Form 10-K for the year ended December 31, 1991 (File No. 
        		0-14759).

        5	Incorporated herein by reference from Fourth Post-Effective 
        		Amendment to Registration Statement on Form S-8 as filed on 
        		November 30, 1990 (Registration No. 33-14545).

        6	Incorporated herein by reference to Registrant's Annual Report 
        		on Form 10-K for the year ended December 31, 1987 (File No. 
        		0-14759).



    Exhibit Number		   Description

    10.6		             First Amendment to Options granted to Mr. Young and 
                       Dr. 	Neely 7
    10.7		             KLLM, Inc. Cafeteria Plan 7
    10.8		             KLLM Maintenance, Inc. Retirement Plan and Trust 
                       Agreement 7
    10.9		             Option to purchase real property on which terminal
                       facility is located from Messrs. Liles and Lee 4
    10.10		            Stock Purchase Agreement by and between KLLM, Inc. 
                       and Fresh International Corp. 8
    10.11		            Revolving Credit Agreement by and among KLLM, Inc., 
                     		NationsBank of Georgia, National Association, The 
                       First National Bank of Chicago, Deposit Guaranty 
                       National Bank, and ABN Amro Bank, N.V. 8
    10.12              Employment Agreement between KLLM Transport Services, 
                       Inc.	and Steven K. Bevilaqua 9	
    10.13		            Options granted to Steven K. Bevilaqua 9
    10.14		            Asset Purchase Agreement by and	among Vernon Sawyer, 
                       Inc. and Vernon and Nancy Sawyer as Sellers and 
                       KLLM, Inc. as Purchaser (schedules furnished upon 
                       request) 9


-------------------                                                        

	       7	Incorporated herein by reference to Registrant's Annual 
		        Report on Form 10-K for the year ended December 31, 1990 
      		  (File No. 0-14759).

        8	Incorporated herein by reference to Registrant's Annual 
        		Report on Form 10-K for the year ended December 30, 1994 
        		(File No. 0-14759).

        9	Incorporated herein by reference to Registrant's Annual 
        		Report on Form 10-K for the year ended December 29, 1995 
         	(File No. 0-14759).





   Exhibit Number		         Description

   10.15		                  1996 Stock Option Plan 10
   10.16		                  Amended and Restated 1996 Stock
                          		Purchase Plan 10
   10.17		                  1998 Non-Employee Director Stock
                          		Compensation Plan
   10.18		                  Stockholder Protection Rights Agree-
                          		ment dated February 13, 1997 between
                          		KLLM Transport Services, Inc. and
                          		KeyCorp Shareholder Services, Inc.,
                          		as Rights Agent 11
    13		                    1997 Annual Report (only portions 
                          		incorporated by reference are deemed filed)
    21		                    List of Subsidiaries of the Registrant 8
    23		                    Consent of Ernst & Young LLP
    27		                    Financial Data Schedule


(b)	Reports on Form 8-K filed in the fourth quarter of 1997: None

(c)	Exhibits--The response to this portion of Item 14 is submitted 
   	as a separate section of this report.

(d)	Financial Statements Schedules--The response to this portion 
  	of Item 14 is submitted as a separate section of this report.  




--------------------

     10   Incorportated herein by reference to Registrant's Annual
          Report on Form 10-K for the year ended January 3, 1997
          (File No. 0-14759).

     11   Incorporated herein by reference to Registrant's Form
          8-A12G\A as filed on February 24, 1997 (File No. 001-12751).

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities 
Exchange Act of 1934, the Registrant has duly caused this annual 
report to be signed on its behalf by the undersigned thereunto duly 
authorized.  

KLLM TRANSPORT SERVICES, INC.
<TABLE>

<S>      <C>                  <C>
Date:    March 31, 1998       	By:    /s/ Steven K. Bevilaqua                  
                                 ----------------------------
                       				      Steven K. Bevilaqua
                             				President, Chief Executive Officer and
                            			 	Director

</TABLE>

Pursuant to the requirements of the Securities Exchange Act of 1934,
this report has been signed below by the following persons on behalf
of the Registrant and in the capacities and on the dates indicated. 

<TABLE>

<S>       <C>                    <C>
Date:     March 31, 1998       	     /s/ Benjamin C. Lee, Jr.                 
                                   ------------------------------
                              					Benjamin C. Lee, Jr.
                               				Chairman of the Board of Directors



Date:     March 31, 1998       	      /s/ Steven K. Bevilaqua                  	
                                   ------------------------------
                              					Steven K. Bevilaqua
                            	   			President, Chief Executive Officer and
                               				Director


Date:     March 31, 1998       	      /s/ James Leon Young                      
                                   -------------------------------
                              					James Leon Young
                               				Secretary and Director


Date:     March 31, 1998       	      /s/ Walter P. Neely     
                                   -------------------------------
                              					Walter P. Neely
                           					   Director

Date:      March 31, 1998    	        /s/ Leland R. Speed        
                                   -------------------------------
                             					 Leland R. Speed
                          					    Director


Date:                              --------------------------------         
                          				    	C. Tom Clowe, Jr.
                          					    Director



Date:     March 31, 1998       	        /s/ Steven L. Dutro       
                                   ---------------------------------
                            				   Steven L. Dutro
                            				   Chief Financial Officer	  
 



</TABLE>

Pursuant to the requirements of the Securities Exchange 
Act of 1934, the Board of Directors, administrators of the 
KLLM Transport Services, Inc. Employee Stock Purchase Plan and
the KLLM Transport Services, Inc. 1996 Stock Purchase Plan, have
duly caused this annual report to be signed on its behalf by the 
undersigned hereunto duly authorized.  
<TABLE>
<S>                  <C>
                  			KLLM TRANSPORT SERVICES, INC. EMPLOYEE
			                  STOCK PURCHASE PLAN
                  			and
                  			KLLM TRANSPORT SERVICES, INC. 1996 STOCK
                  			PURCHASE PLAN



Date: March 31, 1998    	By: /s/ Steven K. Bevilaqua                           
                      ------------------------------
                   		Steven K. Bevilaqua
         	          	President, Chief Executive Officer and
                   		Director

</TABLE>



                                	ITEM 14(a)(2) and (c)
                          	FINANCIAL STATEMENT SCHEDULES


                  KLLM TRANSPORT SERVICES, INC. and SUBSIDIARIES
                 SCHEDULE II - VALUATION and QUALIFYING ACCOUNTS
         Years Ended December 29, 1995, January 3, 1997, and January 2, 1998

<TABLE>
<S>                      <C>            <C>           <C>       <C>
                         BALANCE AT     CHARGED TO    WRITE-OFF BALANCE AT
                         BEGINNING      COST AND         OF        END
DESCRIPTION              OF PERIOD      EXPENSES      ACCOUNTS   OF PERIOD   
(In Thousands)
---------------          ----------     ----------    ---------  ----------
Accounts Receivable 
Allowance:
  Year ended 
  December 29, 1995      $147           $1,239          $907       $479  
  Year ended 
  January 3, 1997        $479          $   520          $317       $682 
  Year ended 
  January 2, 1998        $682          $   335          $128       $889  

</TABLE>

                                	EXHIBIT INDEX
Exhibit Number   	       Description	                                Page
---------------          -----------                                 ----
3.1	                     Bylaws of Registrant 1
3.2	                     Certificate of Incorporation
                         (as amended) 2
10.1	                    Amended and Restated Stock
                         Option Plan 3
10.2	                    KLLM, Inc. Retirement Plan and
                         Trust (as amended) 4
10.3	                    1986 Lease with Mr. Lee and
                         Mr. Liles Covering Corporate
                         Headquarters 1
10.4	                    Employee Stock Purchase
                         Plan (as amended) 5
10.5	                    Options granted to Mr. Young
                         and Dr. Neely 6


-----------------------------                                             

   1      Incorporated herein by reference to Registrant's Registration 
          Statement on Form S-1 as filed on July 2, 1986 (Registration 
          No. 33-5881, File No. 0-14759).

   2      Incorporated herein by reference to Registrant's Annual Report 
          on Form 10-K for the year ended January 1, 1989 (File No. 0-14759).

   3      Incorporated herein by reference to Registrant's Annual Report on 
          Form 10-K for the year ended December 31, 1989 (File No. 0-14759).

   4      Incorporated herein by reference to Registrant's Annual Report on 
          Form 10-K for the year ended December 31, 1991 (File No. 0-14759).

   5      Incorporated herein by reference from Fourth Post-Effective 
          Amendment to Registration Statement on Form S-8 as filed on 
          November 30, 1990 (Registration No. 33-14545).

   6      Incorporated herein by reference to Registrant's Annual Report on 
          Form 10-K for the year ended December 31, 1987 (File No. 0-14759).



                                 EXHIBIT INDEX
Exhibit Number     Description                                    Page
--------------     -----------                                    ----
10.6	              First Amendment to Options granted
                   to Mr. Young and Dr. Neely 7
10.7	              KLLM, Inc. Cafeteria Plan 7
10.8	              KLLM Maintenance, Inc. Retirement
                   Plan and Trust Agreement 7
10.9	              Option to purchase real property
                   on which terminal facility
                   is located from Messrs. Liles
                   and Lee 4
10.10              Stock Purchase Agreement by and                            
                   between KLLM, Inc. and Fresh
                   International Corp. 8
10.11              Revolving Credit Agreement by and
                   among KLLM, Inc., NationsBank
                   of Georgia, National Association,
                   The First National Bank of Chicago,
                   Deposit Guaranty National Bank,
                   and ABN Amro Bank, N. V. 8
10.12              Employment Agreement between
                   KLLM Transport Services, Inc.
                   and Steven K. Bevilaqua 9
10.13              Options granted to Steven K. Bevilaqua 9
10.14              Asset Purchase Agreement by and among
                   Vernon Sawyer, Inc. and Vernon and
                   Nancy Sawyer as Sellers and KLLM,

-------------------------------         

    7     Incorporated herein by reference to Registrant's Annual Report on
          Form 10-K for the year ended December 31, 1990 (File No. 0-14759).

    8     Incorporated herein by reference to Registrant's Annual Report on 
          Form 10-K for the year ended December 30, 1994 (File No. 0-14759).

    9     Incorporated herein by reference to Registrant's Annual Report on 
          Form 10-K for the year ended December 29, 1995 (File No. 0-14759).



                                    EXHIBIT INDEX
Exhibit Number     Description                                     Page
--------------     -----------                                     ----
                   Inc. as Purchaser (schedules furnished
                   upon request) 9
10.15              1996 Stock Option Plan10
10.16              Amended and Restated 1996 Stock Purchase Plan10
10.17              1998 Non-Employee Director Stock Compensation Plan
10.18              Stockholder Protection Rights Agreement dated 
                   February 13, 1997 between KLLM Transport Services, 
                   Inc. and KeyCorp Shareholder Services, Inc., as
                   Rights Agent11
13	                1997 Annual Report (Only portions
                   incorporated by reference are
                   deemed filed)
21	                List of Subsidiaries of the Registrant 8
23	                Consent of Ernst & Young LLP
27                 Financial Data Schedule


------------------


10	            Incorporated herein by reference to Registrant's Annual 
               Report on Form 10-K for the year ended January 3, 1997 
               (File No. 0-14759).

11	            Incorporated herein by reference to Registrant's Form 
               8-A12G\A as filed on February 24, 1997 (File No. 001-12751).