Corporate Profile for Alternative Distribution Systems, Inc., September 3, 1999.

--(BUSINESS WIRE)--

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Published Date:   September 3, 1999

Company Name:     Alternative Distribution Systems, Inc.

Address:          935 West 175th St.
                  Homewood, IL  60430

Main Telephone
 Number:          708/799-4990

Internet Home
 Page Address
  (URL)           adsinet.com

Chief Executive
 Officer:         Richard Dickson

Chief Financial
 Officer:         Michael Kelly

Investor Relations
 Contact:         Dawn Thrasher
 Business number: 708/799-4990, ext. 2124
 E-mail address:  [e-mail]

Public Relations
 Contact:         Dawn Thrasher
 Business number: 708/799-4990, ext. 2124
 E-mail address:  [e-mail]

Industry:         distribution, transportation, logistics

Company description: ADS, Inc. is a national provider to the metals industry of fully integrated distribution services, including transportation, warehousing and third party logistics services. Over the course of more than 15 years in the metals distribution business, the Company has developed specialized systems, equipment, and expertise which enable it to handle, warehouse and transport high-value metals (primarily steel and aluminum) requiring time-sensitive delivery in coordination with end-users' increasingly sophisticated inventory management requirements. The Company's capabilities allow it to offer integrated, turn-key solutions to the distribution demands of steel and others metals producers. These distribution demands are increasingly complex, as producers increase their outsourcing of metals processing while their customers (metals-consuming manufacturers) embrace just-in-time inventory systems and high raw materials quality standards.

ADS, Inc. serves metals producers, traders, processors and consumers (such as manufacturers of automobiles, appliances, construction and agricultural equipment, metal buildings components and food and beverage packaging) through its network of warehousing and distribution centers operated by Roll & Hold Warehousing & Distribution Corp., and Western Intermodal Services, Ltd., and an approximate 300 unit truck fleet operating in the Midwest, East and West Coast markets through Area Transportation Company. The Company's intermodal operations combine and package rail, truck, barge and ship transportation to provide various materials movement management services between distant and intermediate markets. As a logistics manager, ADS, Inc. integrates these services to provide seamless "door-to-door" transportation and distribution services to its customers. The Company's sophisticated and computerized inventory management systems and Logistics Managment Systems(R), together with electronic data interchange links to customers, enable producers and end-users to monitor inventories in the Company's warehouses, plan and schedule production and transit shipment requirements.

Demand for the Company's services is driven by several industry trends. Metals-consuming manufacturers and others in the metals supply chain increasingly rely on "just-in-time" inventory delivery systems to reduce inventory carrying costs and to improve customer service. As a result, a need has arisen for increasingly sophisticated inventory management and information systems. Metals-consuming manufacturers' increasing emphasis on input quality has created a demand for controlled-environment warehousing and transportation of processed metals to prevent damage in storage and in transit. A majority of the Company's warehouse capacity affords a pressurized, dust-free, heat and humidity-controlled environment for metals storage. In an effort to reduce overhead costs, many metals producers and end-users have begun to focus primarily on product and , as a result, have outsourced their in-house transportation, warehousing and logistics functions to third party providers. The increasingly complex and demanding distribution requirements arising from these trends have led to the company's growth and evolution into a full service distribution and logistics provider.

The ADS, Inc. companies are:

Area Transportation Company (AREA), a certificated 48-state common and contract ICC carrier specializing in transporting metals products. AREA also provides numerous certified intrastate operations and various Canadian authorities.

AREA operates with a complement of company-owned equipment and a fleet of handpicked independent contractors. Ninety-five percent of the fleet is sided. The operation is controlled through an experienced staff and a hi-tech computer system which gives all customers up-to-the-minute load information.

Although certificated for all 48 states, the primary concentration of operation spreads from New York on the East to mid-Iowa on the West, central Michigan and Wisconsin on the North to Nashville, Tennessee on the South. Dedicated operations utilizing proprietary equipment technology is a specialty offered to all customers.

Roll & Hold Warehousing & Distribution Corp. (R&H ) is a metals products warehouser providing the highest quality facilities, service and technology with emphasis on just-in-time delivery and electronic communications. Roll & Hold facilities and operations are located in Gary, Hammond, Portage and Indianapolis, IN; Davenport and Eldridge, IA; Macedonia, OH; Charlotte, NC and Brownsville, TX. Nine Roll & Hold facilities are ISO 9002 certified.

Western Intermodal Services, Ltd. (WISL) is a logistics specialist focusing on metals products. WISL operates between the eastern and Midwestern United States and western states including California, Oregon, Washington, Arizona, Texas, Utah and Nevada. WISL provides truck-rail-truck service on flatbed oriented commodities as an effective alternative to direct over-the-road trucks and distribution services.

Western Intermodal owns a fleet of flat rack containers, specialized chassis for handling containers to and from rail intermodal facilities, and Sliding Load Equalization Devices (SLED) for use in vans or containers. Additionally, WISL has at its disposal large fleets of rail-owned intermodal containers and trailers and steamship-owned devices.

Load preparation facilities and warehouses are located in Chicago, IL; Los Angeles and Richmond, CA; Tukwila, WA, and Houston, TX. These facilities are equipped with various capacity lifting devices, and facilitate just-in-time delivery in local markets. Many of the facilities also perform warehouse services for product arriving or leaving by rail or truck.