William ''Gus'' Pagonis Assumes Expanded Role as GENCO's Chief Operating Officer.

PITTSBURGH -- GENCO announced today that William Pagonis has assumed the role as the company's chief operating officer effective July 1, 2006. Mr. Pagonis will continue serving as vice chairman on GENCO's board of directors. In his new role, he will be working directly with GENCO's chairman and chief executive officer, Herb Shear, and the company's senior management team to increase operational and business performance and enhance GENCO's leadership position as a third-party supply chain management provider.

Mr. Pagonis is chairman of RailAmerica, Inc., the world's largest short line and regional railroad operator and chairman of the Defense Business Board, which provides the Secretary of Defense with independent advice and recommendations on effective strategies for implementing best business practices of interest to the Department of Defense. From November 1993 until April 2004, Mr. Pagonis was executive vice president/head of supply chain for Sears Roebuck and Company and president of Sears Logistics Services, Inc. Prior to joining Sears, he served 29 years in the U.S. Army, retiring with the rank of three-star lieutenant general.

Mr. Pagonis is widely recognized for his logistical achievements in both the military and private sector. He served as General Norman Schwarzkopf's logistics commander during the Gulf War. His logistics strategy for Desert Shield/Desert Storm has been widely regarded as one of the greatest achievements in military history. At Sears, his logistics model played an integral role in the company's resurgence. Under his stewardship, the nation's 4th largest retailer streamlined its logistics operation, cut suppliers' delivery times in half and realized significant cost savings.

"Gus is recognized as one of the nation's leading logistics experts and we are pleased that he has chosen to accept a more strategic role in helping to shape the direction of the GENCO. He brings breadth of strategic business and logistics knowledge, which will be invaluable to our growth and success," said Herb Shear, chairman and chief executive officer of GENCO.

After 30 moves in 29 years, Gus and his wife, Cheri, have returned to their Western Pennsylvania roots and opened the C&G Ranch. Cheri will manage the full service state-of-the-art boarding, training and breeding facility for Arabian, half-Arabian and Dutch harness horses.

Mr. Pagonis earned both his undergraduate degree in trade and transportation and MBA, with a concentration in logistics and operations research, from Penn State University. He is the author of the business bestseller, "Moving Mountains: Lessons in Leadership and Logistics from the Gulf War."

GENCO is a recognized leader in supply chain management serving a diverse range of manufacturing, retail and government customers throughout North America, Australia and the United Kingdom. The company provides a complete range of value-added supply chain solutions, including direct logistics, reverse logistics, pharmaceutical returns, asset recovery, transportation management, supply chain analysis, parcel management, damage research and infrastructure. For more information, visit www.genco.com.