Landstar Set to Acquire Rebound Rubber

28 January 1999

Landstar Set to Acquire Rebound Rubber

    TUCSON, Ariz.--Jan. 27, 1999--Landstar Inc. has received confirmation Rebound Rubber Corp. shareholders, representing in excess of 98.7% of the outstanding shares, have accepted the company's offer to an exchange of Rebound shares for those of Landstar.
    Following the offer's close on January 29, 1999 Landstar will file the necessary documents to complete the acquisition. Combined with the acquisition of Rebound Rubber, Landstar management reports the final form documentation is about to be filed in connection with the purchase from United Trans-Western, Inc. of the joint venture rights to the unique and proprietary rubber reactivation technology. Anticipating the closing of these acquisitions Mr. Elroy Fimrite and Mr. Michael Pinch, C.A., both officers of Rebound Rubber Corp. have consented to join Landstar's board of directors. Fimrite also serves as the President and CEO of United Trans-Western. He has extensive background knowledge and long-term personal and business relationships with the developers of the rubber reactivation technology. Pinch, a chartered accountant, will assume the position of Landstar's Chief Financial Officer. He has also invested considerable time with Rebound Rubber assisting the advancement of the technology and its introduction to the North American market.
    Immediately upon closing, the company has arranged for a two week training program at an existing commercial operation in China for engineering staff who will be designing the chemical mixing facility for North America. In the first two weeks of February the site and plant layout for the Dayton, Ohio facility will be finalized. This facility will demonstrate product characteristics achievable using the reactivation technology. Industry representatives with whom Rebound has been consulting for the last six months will participate in production run testing at this facility.
    Landstar, of Tucson, Arizona is an activated rubber technology company trading on the Nasdaq OTCBB under the symbol LDSR. Rebound Rubber, a private corporation, and United Trans-Western, which trades on the Canadian Dealer Network under the symbol UTWI, share rights to a unique technology, proven commercially in the Peoples' Republic of China, for the activation of reclaimed rubber.
    For more information, call: 604/899-4115 or Mr. Robyn Durling, Director, 604/218-4387.
    Statements in this news release that are not strictly historical are "forward-looking statements" and are subject to a number of risks and uncertainties. Factors that affect actual events or results materially include, but are not limited to: (i) the Company's ability to obtain adequate financing to further its current and future business strategies; (ii) the company's ability to attract and retain its employees; (iii) the Company's success against competitive products and services; (iv) the company's historical lack of profitability;(v) the effects of business and economic conditions generally, and; (vi) other risks associated with a development stage company.
    No Stock Exchange or Securities Commission has either approved or disapproved of the form or contents of this release.