Circle International Secures Multi-Year Contract from Amdahl Corporation for Global Air Freight and Logistics Services.

SAN FRANCISCO--(BUSINESS WIRE)--July 26, 1999--

Circle International (NASDAQ:CRCL) has been selected by Amdahl Corporation as their primary supplier for global air freight services to support Amdahl customer care initiatives covering the Americas, Europe and Asia-Pacific Basin.

The contract calls for Circle to provide an integrated program of international air transportation, customs brokerage and logistics information services. The program supports Amdahl's goals for rapid deployment of customer orders and mission critical "spares" under exacting standards between integration centers and customers worldwide. Delivery commitments are anywhere in the world requiring 24, 48, and 72 hour transit times.

Circle initially began providing services to Amdahl six months ago. The program has now been fully ramped up and is linking suppliers and customers more directly with Amdahl's operations, bringing product more quickly through the supply cycle, explained Jack Laverty, Manager, Distribution Operations and Transportation for Amdahl Worldwide Logistics Services. "We are very happy with the result of our logistics partnership," he noted. "During the last six months Circle has kept their commitment to demonstrating innovative global logistic solutions by investing in the necessary infrastructure, real time information services, and qualified people to insure service that delights our customers."

In awarding the contract to Circle, Amdahl significantly reduced their provider base reflecting an accelerating industry trend by technology firms to simplify their logistics needs in an effort to leverage transportation expenditures, focus on continuous improvement, and streamline supply chain management activities.

Circle's 1998 strategic acquisition of Alrod International provided added benefits as well. Alrod's five year relationship with Amdahl, and its expertise as a high-tech forwarder and logistics partner became even stronger when teamed with Circle's customer philosophy. "The combination of Circle and Alrod created excellent synergies," said Laverty. "We have benefited from the `small company' culture, business knowledge and personalized service of Alrod, and gained the advantages from Circle's global infrastructure, systems, and recognized customs expertise."

David I. Beatson, Circle's chairman, president and CEO, cited the Amdahl agreement as a prime example of value gained by logistics outsourcing, which continues to accelerate. "Amdahl is leveraging our core competency - global transportation and information logistics -- to drive lower costs, defer inventory ownership, reduce capital and asset needs and improve service to their customers. It helps them to focus on the critical drivers of their business."

About Amdahl: Amdahl Corporation is a wholly owned subsidiary of Fujitsu Limited; a leading provider of information technology products and solutions for the global marketplace with revenues of $37.7 billion in the fiscal year ended March 31, 1998. Amdahl provides integrated enterprise computing solutions designed to meet the needs of the leading, most compute-intensive environments around the world. Amdahl has over 25 years of experience with large-scale computing solutions and client/server technology. The company supports heterogeneous architectures found in mission-critical customer environments that blend MVS(R), Windows NT(R) and UNIX(R) operating systems. Headquartered in Sunnyvale, California, Amdahl combines hardware and software products and service methods with world class offerings to create customized solutions that help clients gain a competitive advantage in their industries.

About Circle: San Francisco-based Circle International Group, Inc. (NASDAQ:CRCL) celebrated its 100th anniversary in 1998. Today, with annual revenues of $738 million, more than 4,600 employees and 323 offices in over 100 countries, Circle provides worldwide transportation and logistics services that include air and ocean freight forwarding, customs brokerage, materials management, trade procurement, warehousing and inventory control programs, and global supply chain management. More information about Circle is available at www.circleintl.com.