Airgas Announces Strategic Alliance with Exostar.

Business Editors

RADNOR, Pa.--(BUSINESS WIRE)--Oct. 24, 2000

Airgas, Inc. (NYSE:ARG) announced today it formed a strategic alliance with Exostar, an independent, global e-marketplace for the $400 billion aerospace and defense industry. Exostar uses the Internet to bring together manufacturers, suppliers and service providers along with airline and government customers in a secure e-marketplace, thereby increasing reach, reducing costs, improving efficiencies and delivering more value. Airgas has agreed to provide its full line of gases and hardgoods.

"We are thrilled about this opportunity to improve service to an important Airgas customer segment," said Peter McCausland, chairman and chief executive officer of Airgas. "Two of our strategic accounts, Boeing and Raytheon, led us to this exchange as they plan to conduct eighty percent of their procurement via the Internet. Exostar's e-marketplace and Airgas' national network of branches and broad product and service offerings should prove to be a winning combination for the companies and customers."

"Exostar went live on September 29th and we are pleased that Airgas joined us at this early stage," remarked Kent Swanson, Exostar acting chief executive officer and Andersen Consulting partner. "Airgas' decision to participate in this e-marketplace is significant due to their position as a key supplier to Boeing and Raytheon, two of the initial Exostar partners."

About Exostar

Located in Reston, VA, Exostar represents the cooperative efforts of some of the world's largest aerospace and defense companies - BAE SYSTEMS, Boeing (NYSE: BA), Lockheed Martin Corp. (NYSE:LMT), and Raytheon Co. (NYSE: RTN, RTNB), which were the four founding strategic partners. While the global e-marketplace is owned and operated by Exostar as a separate company, each of the founding partners holds an ownership stake in Exostar with an additional equity stake reserved for additional partners. Commerce One (Nasdaq: CMRC) also owns a stake in the exchange as a strategic investor and lead technology provider. As the lead business integrator and program manager, Andersen Consulting led the effort to design, build and launch Exostar.

About Airgas, Inc.

Airgas, Inc. is the largest distributor of industrial, medical and specialty gases and welding equipment and one of the largest distributors of safety supplies in the United States. Airgas' integrated distributor network consists of approximately 700 locations, including branches, packaged gas fill plants, distribution centers, and inbound and outbound telemarketing operations. Airgas can be visited on the Internet at www.airgas.com.

This press release contains forward-looking statements about Airgas within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the benefits to be derived by Airgas from its alliance with Exostar and Airgas' ability to deliver effective services and products. These forward-looking statements involve risks and uncertainties. Factors that could cause actual results to differ materially from those predicted in any such forward-looking statement include dependence on the success of Exostar's e-business strategy, Airgas' ability to supply services and products in a timely manner, increased competition, changes in the e-commerce industry and general economic conditions. These and other risks are detailed from time to time in Airgas' periodic reports filed with the Securities and Exchange Commission, including, but not limited to, its report on Form 10-K for its fiscal year ended March 31, 2000.