Airgas Teams With eBusiness Partners.

Business Editors/Hi-Tech Writers

RADNOR, Pa.--(BUSINESS WIRE)--May 10, 2000

Airgas, Inc. (NYSE-ARG) announced today that it has engaged Andersen Consulting and A2i to assist with the development and implementation of an enhanced eBusiness offering that is expected to significantly upgrade Airgas' current web-based order entry capabilities. Approximately 80 customers are currently registered on Airgas' existing site and 600 more are ordering from Airgas through EDI. The total of 680 customers ordering electronically, which generated approximately $900,000 of revenue in the month of March, has grown from only 250 customers in December.

"The number of customers being added to our existing eCommerce system is growing at a rapid pace," stated Peter McCausland, Airgas' chairman and chief executive officer. "These partnerships should help us strengthen our B2B eCommerce package, which should facilitate our existing business, reduce transaction costs plus add new customers. In addition, this enhanced eCommerce capability should further solidify our strategic accounts program and provide our sales force with a powerful selling tool."

Airgas plans to introduce its new eBusiness site by September 2000.

Andersen Consulting's eCommerce practice is working with Airgas to identify, prioritize and plan eBusiness enhancements that should enable Airgas to create greater value from its current branch-based business model and to define strategic actions for Airgas to pursue in the eBusiness arena. The firm is helping Airgas assess technology, the electronic marketplace, third-party portals and exchanges along with other critical aspects of its strategy.

"Andersen Consulting has a proven track record and their knowledge of eCommerce and the digital market place should add value to the ongoing development of our strategies," added Mr. McCausland. "As part of our working together, we are exploring creative ways to maximize value from our bricks-and-mortar infrastructure that may include alliances or new ventures with one or more Internet firms. We have already had preliminary discussions with third parties in this regard. We are exploring partnerships with key vendors as well."

Airgas also announced an ongoing alliance with A2i (www.A2i.com), a Los Angeles based software company that specializes in electronic catalogs and directories. Their unique software is a data base-driven system that also allows simultaneous production of paper catalogs and CD-ROM. A2i's electronic catalogs feature a capability called parametric search, an alternative to DBMS-style query forms, that allows the user to easily search an entire catalog and locate any product or group of products in a matter of seconds.

Airgas currently sells over 500,000 SKU's that will ultimately be offered through its electronic catalog.

Airgas is the largest distributor of industrial, medical and specialty gases and related equipment and the third largest distributor 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 telemarketing operations. Airgas can be visited on the Internet at www.airgas.com.

Forward-Looking Statements 

This press release may contain statements that are forward-looking, as that term is defined by the Private Securities Litigation Reform Act of 1995 or by the Securities and Exchange Commission in its rules, regulations and releases. These statements include, but are not limited to, statements regarding: the Company's arrangements with Andersen Consulting and A2i; the Company's expectations regarding its eBusiness strategy; or partnerships with key vendors and other third parties. Airgas intends that such forward-looking statements be subject to the safe harbors created thereby. All forward-looking statements are based on current expectations regarding important risk factors, and the making of such statements should not be regarded as a representation by the Company or any other person that the results expressed therein will be achieved. Important factors that could cause actual results to differ materially from those contained in any forward-looking statement include delays in the completion and introduction of its new eBusiness site, the market acceptance of the Company's enhanced eBusiness offering, increased transaction costs, the ability to increase customers and sales as a result of its eBusiness strategy, the ability of the Company to successfully integrate its eBusiness offering and bricks-and-mortar infrastructure, the effectiveness of the Company's electronic catalog and other factors described in the Company's reports, including Form 10-Q dated December 31, 1999, filed by the Company with the Securities and Exchange Commission.