CNF Inc. Updates Second-Quarter Earnings Guidance.

Business Editors

PALO ALTO, Calif.--(BUSINESS WIRE)--June 24, 2003

CNF Inc. (NYSE:CNF) today announced that its second-quarter earnings per share are expected to be in the range of 26 cents to 31 cents.

"The weak economy continues to affect all of our businesses, particularly North American operations at Menlo Worldwide Forwarding," said Gregory L. Quesnel, CNF president and chief executive officer. He said that demand for premium, next day delivery of heavy freight shipments is very weak in North America although Menlo Worldwide Forwarding's deferred business has increased significantly. Menlo Worldwide's international revenue remains good but the rate of growth has slowed from the first quarter.

"We are working to balance the size of Forwarding's infrastructure and costs relative to the declines in North American next day business. We have reduced the size of the air network, we have reduced the workforce relative to the amount of freight being moved, we have reduced administrative costs and we are constantly reviewing the U.S. service center network design," Quesnel said.

"We expect a solid second quarter from Con-Way with operating income up more than 20 percent on flat volume from the same quarter a year ago," Quesnel stated.

Second-quarter financial results will be announced on July 21, after the close of stock market trading, and will be discussed during a conference call the following day, July 22 at 12:00 p.m. Eastern Daylight Time. CNF will discuss its revised expectations for full-year 2003 earnings at that time. The call can be accessed by dialing [phone] and is expected to last approximately one hour. Callers are requested to dial in at least five minutes before the start of the call. The call will also be available through a live web cast at the investor relations section of the CNF web site at www.cnf.com and at www.streetevents.com. An audio replay will be available for one week following the call at 800/475-6701, access code 687408. The replay will also be available for one week on demand at the web sites providing access to the live call.

CNF (NYSE:CNF) is a $4.8 billion management company of global supply chain services with businesses in regional trucking, airfreight, ocean freight, customs brokerage, global logistics management and trailer manufacturing.

Forward-Looking Statements

Certain statements in this press release constitute "forward-looking statements" and are subject to a number of risks and uncertainties and should not be relied upon as predictions of future events. All statements other than statements of historical fact are forward-looking statements, including any projections and objectives of management for future operations, any statements regarding contributions to pension plans, any statements as to the adequacy of reserves, any statements regarding the possible outcome of claims brought against CNF, any statements regarding future economic conditions or performance, any statements of estimates or belief and any statements or assumptions underlying the foregoing. Specific factors that could cause actual results and other matters to differ materially from those discussed in such forward-looking statements include: changes in general business and economic conditions, the creditworthiness of CNF's customers and their ability to pay for services rendered, increasing competition and pricing pressure, changes in fuel prices, the effects of the cessation of the air carrier operations of Emery Worldwide Airlines, the possibility of defaults under CNF's $385 million credit agreement and other debt instruments (including defaults resulting from additional unusual charges or from CNF's failure to perform in accordance with management's expectations), and the possibility that CNF may be required to pledge collateral to secure some of its indebtedness or to repay other indebtedness in the event that the ratings assigned to its long-term senior debt by credit rating agencies are reduced, labor matters, enforcement of and changes in governmental regulations, environmental and tax matters, the ongoing investigation relating to Emery Worldwide's handling of hazardous materials, the February 2000 crash of an EWA aircraft and related investigation and litigation, and matters relating to CNF's 1996 spin-off of CFC, including the possibility that CFC's multi-employer pension plans may assert claims against CNF. The factors included herein and in Item 7 of our 2002 Annual Report on Form 10-K as well as other filings with the Securities and Exchange Commission could cause actual results and other matters to differ materially from those in such forward-looking statements. As a result, no assurance can be given as to future financial condition, cash flows, or results of operations.