C2, Inc.'s unit Total Logistic Control Awarded Two Major Logistics Contracts.

Business Editors

MILWAUKEE--(BUSINESS WIRE)--May 4, 2001

C2, Inc. (NASDAQ:CTOO) announced today its operating subsidiary, Total Logistic Control ("TLC"), has been awarded a multi-year contract by Cadmus Communications Corporation to provide dedicated, turnkey fulfillment services in its new Hurloch, Maryland Fulfillment Center. The value of this award is approximately $40 million under which TLC will manage all personnel, provide warehouse operations, information systems and fulfillment services for Cadmus' high quality medical, scientific and technical journal publication business.

The Cadmus contract award is the first major project for TLC's newly established Dedicated Facility Division which was formed after the Company's acquisition of The Pro Source Group completed in September 2000.

Additionally, C2, Inc. announced that TLC was recently awarded a multi-year, multi-million transportation contract from Alltrista Consumer Products Company to provide a wide range of transportation management services. Under this new logistics program with Alltrista, TLC will provide order management and consolidation, scheduling and partner-carrier management services. An estimated 23,000 annual shipments will be managed through TLC's Logistic Management Services Division encompassing truckload product delivery as well as inbound moves from Alltrista's co-packers to five regional distribution centers located throughout the U.S. This program will utilize TLC's QI5 information system with web-based shipment tracking. This system enables TLC customers complete visibility into their supply chain.

William T. Donovan, C2 President and C.E.O. commented "The dedicated facility and fulfillment contract with Cadmus and the logistic management services award with Alltrista are excellent new relationships which demonstrate the breadth of TLC's capabilities in integrated logistics. We are certainly pleased to be providing vital logistic services to these two fine companies. Both of these significant awards have additional growth potential and are characteristic of sectors in which TLC is achieving market success and profitable growth. These projects further leverage TLC's existing infrastructure and do not require additional capital assets to operationalize."

Cadmus Communications Corporation provides end-to-end integrated graphic communication services to professional publishers, not-for-profit societies and corporations. Cadmus is the largest provider of content management and production services to scientific, technical and medical journal publishers in the world, the fourth largest publications printer in North America and a leading national provider of specialty packaging products and services.

Alltrista Consumer Products Company is a division of Alltrista Corporation, the largest manufacturer of home canning products including Ball, Kerr and Golden Harvest lines.

C2, Inc.

C2, Inc. is a Milwaukee-based public company engaged in third-party integrated logistic services and the manufacturing of refrigerated merchandising equipment. C2, Inc.'s operating companies include Total Logistic Control and Zero Zone. TLC, based in Zeeland, Michigan, is a national provider of integrated logistic services which include refrigerated and dry warehousing, transportation, supply chain management, dedicated third-party facility and operations management, international customs house brokerage and freight forwarding, food distribution and fulfillment services for e-commerce applications. Operations are conducted through a network of 13 logistic centers with 36.3 million cubic feet of refrigerated capacity and more than 1 million square feet of dry space making it the seventh largest provider of refrigerated warehousing services in the United States. TLC operates a fleet of 255 refrigerated transportation units. TLC recently was cited by Inbound Logistics as a Top 10 Provider of Third Party Logistics Excellence for the third year in a row.

C2, Inc.'s other operating company is Zero Zone, headquartered in North Prairie, Wisconsin. Zero Zone manufactures refrigerated and freezer display cases used in grocery, convenience and drug store chains for retail merchandising of food, beverage and floral products.

The statements contained in this release that are not historical facts are forward looking statements. Actual results may differ materially from management's expectations. The forward-looking statements involve risks and uncertainties, including but not limited to:

-- Demand for warehousing, transportation logistic services and refrigerated
display cases may be adversely affected by increases in interest rates, adverse
economic conditions, increased energy costs, loss of a material customer,
weather or other factors.

-- Growth in volume of services or products may be adversely affected by
reduced ability to identify and hire qualified employees.

-- The company's profitability may be adversely affected by increases in
interest rates because a significant portion of the Company's capital structure
is debt, a substantial portion which bears interest at variable interest rates.


-- Consolidations within the food industry or food retailers could impact the
Company's customers.

-- Company's market share may be adversely affected as a result of new or
increased competitive conditions in warehousing, transportation or display case
manufacturing.

Additional information about risks and uncertainties discussed above as well as additional material risks in the Company's business may be found in the Company's Annual Report on Form 10-K for the year 2000 and other filings the Company made from time to time with the Securities and Exchange Commission.

This and other C2, Inc. news releases and additional corporate data can be accessed on the Company's web site at www.c2-inc.com.