Country Wide Transport Services reports year-end results.

CORONA, Calif.--(BUSINESS WIRE)--Oct. 15, 1996--Country Wide Transport Services Inc. (OTC:CWTS) Tuesday reported transportation revenue of $47,356,000 for the year ended June 30, 1996, and a net loss of $1,470,000, or 31 cents per share, which included a gain on forgiveness of debt of discontinued operations of $2,370,000, or 49 cents per share.

This compares with transportation revenue of $54,744,000 and a net loss of $5,411,000, or $1.13 per share, for the prior year.

For the three months ended June 30, 1996, transportation revenue amounted to $10,744,000 and the net loss was $419,000, or 9 cents per share. These results compare with transportation revenue of $13,865,000 and a net loss of $4,325,000, or 90 cents per share, for the same period a year earlier.

The revenue decrease for the year is mainly due to negative market conditions in the company's truckload division, which resulted in a reduction in its owner/operator tractor fleet. The net loss is attributable to the soft market for the trucking services, two unfavorable audits conducted by governmental agencies for prior periods, increased insurance claims and a one-time loss of $222,000 on the sale of an unprofitable business division.

Timothy Lepper, president and CEO of Country Wide Transport Services, stated: "During my third full quarter as CEO of the company, we have continued the process of right-sizing the trucking operation and are looking forward to its favorable contributions. Our logistics services division is doing well, and we continue to emphasize this part of our business. Recently implemented cost savings measures are being strictly followed."

Country Wide Transport Services, through its subsidiary Country Wide Truck Service Inc., provides truckload transportation of temperature-controlled commodities throughout the United States and Canada, as well as complete logistics services for its customers through its Vertex Transportation subsidiary. -0-

                 Country Wide Transport Services Inc.
                         Financial Highlights

                           Three Months Ended         Year Ended
                               June 30,                 June 30,
                           1996        1995         1996        1995

Transportation revenue $10,744,000 $13,865,000  $47,356,000 $54,744,000
Loss from continuing
 operations              $(410,000)  $(522,000) $(2,552,000)  $(169,000)
Loss from discontinued
 operations                 (9,000) (3,803,000)  (1,288,000) (5,242,000)
Extraordinary item:
 gain on forgiveness of
 debt of discontinued
 operations, net of tax         --          --    2,370,000          --
Net loss                 $(419,000)$(4,325,000) $(1,470,000)$(5,411,000)
Income (loss) per
 common share:
 Continuing operations    (9 cents)  (11 cents)   (53 cents)   (3 cents)
 Discontinued operations        --   (79 cents)   (27 cents)      (1.10)
 Extraordinary item             --          --     49 cents          --
 Net loss                 (9 cents)  (90 cents)   (31 cents)     $(1.13)
Weighted average number
 of common shares
 outstanding             4,801,000   4,800,000    4,801,000   4,774,000

CONTACT: Country Wide Transport Services Inc., Corona

Timothy Lepper, 800/421-2757