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Axis Group Forms Joint Venture In The United Kingdom

29 April 1999

Allied Holdings Subsidiary, Axis Group, Forms Joint Venture In The United Kingdom

    DECATUR, Ga., April 29 -- Allied Holdings, Inc.
today announced that its wholly owned subsidiary, Axis Group, Inc. ("Axis"),
will form a joint venture with AutoLogic Holdings plc ("AutoLogic") for the
purpose of managing the distribution of vehicles for Ford Motor Company
("Ford") in the United Kingdom.
    Following discussions with Ford, Axis and AutoLogic will establish a
fifty/fifty joint venture company to manage Ford's built-up vehicle logistics
in the UK.  The joint venture company will be managed and operated
independently of AutoLogic's and Axis' existing businesses, and is expected to
commence operations on May 1, 1999.
    Randall West, President of Axis, said:  "We are excited about forming this
joint venture to manage the distribution of Ford vehicles in a cost-effective
and quality-controlled manner.  A restructuring of the Ford logistics chain
will result in improved operational efficiencies and a more consumer-oriented
distribution process."
    Allied Holdings' President A. Mitchell Poole, Jr. commented: "We are
pleased to announce the entry of the Axis Group into the United Kingdom.
Allied Holdings has enjoyed a long-term relationship with AutoLogic in Europe
and with Ford in the United States and looks forward to extending this
relationship into the UK."
    AutoLogic provides a full range of logistics services to the automotive
industry and has operations in the UK,  France, Belgium and Holland.
    Allied Holdings, Inc. is the parent company of several subsidiaries
engaged in the automotive distribution business.  The Allied Automotive Group
(AAG), through its subsidiaries, is the largest motor carrier in North America
specializing in the delivery of automobiles and light trucks.  AAG transports
for all major domestic and foreign manufacturers primarily from manufacturing
plants, rail ramps, ports and auctions to automobile dealers throughout the
United States and Canada.  Allied Holdings' Axis Group, through its
subsidiaries, provides logistics solutions to the United States and
international automotive markets.  Axis utilizes innovative methods of
distribution, as well as traditional and emerging technologies, to help
customers solve the most complex transportation, inventory and logistics
problems.
    Statements in this press release that are not strictly historical are
"forward-looking" statements.  Investors are cautioned that such statements
are subject to certain risks and uncertainties that could cause actual results
to differ materially.  Without limitation, these risks and uncertainties
include economic recessions or downturns in new vehicle production or sales,
the highly competitive nature of the automotive distribution industry,
dependence on the automotive industry, labor disputes involving the Company or
its significant customers, the dependence on key personnel who have been hired
or retained by the Company, the availability of strategic acquisitions or
joint venture partners, changes in regulatory requirements which are
applicable to the Company's business, and risks associated with conducting
business in foreign countries. Investors are urged to carefully review and
consider the various disclosures made by the Company in this press release and
in the Company's reports filed with the Securities and Exchange Commission.