ADS Logistics, LLC Expands Its Logistics Network with Acquisition of Two Midwest Companies

HOMEWOOD, Ill.--Aug. 3, 2006--ADS Logistics, LLC:

-- ADS Logistics, LLC is expanding its physical presence and ability to serve multi-commodity (metals and building products) producers and consumers in the mid-states region with the addition of a transload facility and truck transportation operations in Columbia, Missouri.

ADS Logistics, LLC (ADS), the leading North American provider of integrated logistics and supply chain services to the metals industry, announced today they have completed the acquisition of two Midwest based companies; Columbia Transload, Inc. and Show-Me Transportation, Inc., both based in Columbia, Missouri. The newly acquired operations will operate under the D.B.A. name in Missouri as Alternative Distribution Systems, LLC.

ADS, working with the former management team and research provided by the Columbia Economic Development Office, has identified a significant and growing need in the region for efficient multi-commodity logistics services, including warehousing and distribution, transload operations, truck transportation, and sophisticated information systems.

ADS has provided third party logistics management solutions combining physical assets, processes, management expertise and superior technology solutions for several decades. ADS' physical network includes 19 facilities, with over 1.5 million square feet of warehouse and distribution capacity, and management responsibility for an approximate 500 unit truck fleet.

"We have strategically positioned our facilities to provide customers the greatest return on their logistics spend, and have considered adding capacity in the Midwest for some time, said Stephen Fraser, president and chief executive officer for ADS Logistics, LLC. "Finding the right mix of location, facility, rail service, interstate highway access and a strong customer base was key. What we found in central Missouri was not only a requirement for physical services such as warehousing and transportation, but of even greater significance is the need for physical services supported by information technology solutions."

ADS' supply chain management system, LoMaS(R), provides supply chain participants on-line visibility to their products. The LoMaS(R) system provides warehouse management tools including inventory management through the use of barcodes and wireless handheld scanners, billing and rating, document creation and EDI communications for inbound material receipt, material release and outbound shipping.

The 83,000 square foot, rail and crane served, heat and humidity controlled facility is equipped to handle multiple commodities (primarily metals and building products) that arrive via boxcar, covered coil car, open coil car, gondola, flatcar, container or truck. ADS will provide a fleet of company, independent and brokered equipment (van and flatbed) to accommodate the various commodities, with plans for a potential drop and pull trailer operation.

About ADS Logistics, LLC

ADS (www.adslogistics.com) is the leading North American provider of integrated supply chain solutions to the metals industry. ADS' integrated services include all-mode logistics, warehousing and material handling, distribution programs, and supply chain management technologies which maximize cost savings and service efficiencies for metals manufacturers, consumers and related industries. ADS provides truck transportation services through a network of company owned and leased equipment and brokered carriers; rail and intermodal services through a proprietary intermodal network ;, and distribution and material handling services through a North American network of specialized metals warehouses and transload facilities.

About LoMaS(R)

LoMaS(R) provides the platform for all supply chain service providers to communicate critical logistics information, and extends the functionality of a customer's product control system (typically ERP or Legacy) or transportation management system (TMS). With its extensive data capture and report capabilities, LoMaS(R) provides visibility of product from the supplier/manufacturer, in-transit, into warehouse locations or processing facilities, to point-of-delivery. LoMaS(R) provides companies the time to be proactive with customers and carriers by eliminating the need to deal with mass quantities of paper everyday. Data can be downloaded to spreadsheets for individualized analysis. LoMaS(R) is comprised of various modules that work together or can be utilized independently, including: Electronic Data Interchange, Inventory Management, Logistics Management, Multi-Modal Management, Transportation Management, and Warehouse Management.