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Smith Transport is a Service-Oriented Corporation providing an array of Logistic Service Offerings to a defined niche market through various planned and structured Operating Subsidiaries. Service Offerings include Expedited LTL Movements with Guaranteed Windows of Performance; Truckload Consolidation of 1,000 to 10,000 pound LTL Shipments for Truckload Line-Haul Movements; Traditional Line-Haul Truckload Movements; Highly-Specialized and Dedicated TL Services; Short and Long-Term Storage and Handling Services; Real-Time Inventory Control; Quality Control and Management of Movements into and out of the Storage Facility; Dedicated Jockey Services at eight locations throughout the Eastern and Midwestern Untied States; and State-of-the-Art Management Information Systems to provide unparalleled Customer Support Services. Smith Transport. also operates an Equipment Leasing affiliate that provides Specialized Vehicles and Contract Maintenance for a long-time Business Partner. The Company also operates a Personnel Leasing Unit that provides both general and specialized skills to meet the unique needs of the Client.

Mr. Smith is very active in all phases of Corporate Activities and the Basic Principles upon which he founded the Business--Hard Work, Honesty, and Fair Play--are very much in vogue and present in every transaction activity and undertaken by the Company that bears his name. All Executives, Managers, and Associates strongly believe that when a Customer entrusts his/her products to Smith for movement that the Company is obligated to provide that Customer with a Clean, Fully-Equipped, and Well-Maintained piece of Equipment that is Operated by a Neat, Courteous, and Professional Driver who will care for the Shipment as if it were the only Shipment in the world. We, at Smith Transport. further believe that shippers are judged, to some degree, by how their product arrives at their Customer's facility and that we are viewed as the Agent of the Shipper. We do not take this responsibility lightly. To this end, we at Smith Transport. are determined to be the Number one provider of logistics and transportation services in the United States.

Perhaps just as important to the Customer are the Precisely Tailored Support Services that are needed to Manage, Control, and Track Shipments. Smith Transport. has invested heavily in State-of-the-Art Management Information Systems to quickly Track, Manage, and Control all Movements within the Operational Network and to instantaneously respond to requests from Customers regarding the status of any Shipment in the System. Smith Transport. is already a Trading Partner with several Core Customers through the medium of Electronic Data Interchange (EDI) and the Internet. Likewise, Smith Transport. has purchased and installed the latest version of QualComm Mobile Communications Systems in all Over-the-Road, Regional, and Dedicated Units. This Advanced Communications Systems provides the needed capability to utilize sophisticated Decision Support Software which will make Smith Transport. an even more attractive Value-Added Business Partner to Core Customers.

The Company has firmly committed itself to being the Premier Employer in each area in which the Company operates. Many of the trusted and highly valued Associates have been with Smith Transport. in excess of fifteen(15) years. Associates are drawn to the Company through an outstanding working environment and a generous benefits program that rewards continuous service with the Company.

To insure that Over-the-Road Equipment is always Serviced and Maintained to achieve Maximum Efficiency and On-Time Service to Customers, the Company has developed a superior Vehicle Maintenance Program. The Program features a highly successful Preventive Maintenance Approach; a Safety Inspection Lane through which every Unit passes prior to leaving the Home Terminal; a modern Fuel Island that is integrated into the Corporate Management Information System to assure Accuracy of Reporting and Reduce Processing Time; Specialized Bays for Servicing Wheels and Tires, Trailer Repairs, and Unscheduled Repairs to Power Units; and a Staff of Technicians with unparalleled qualifications. The Company fully utilizes State-of-the-Art Diagnostic Equipment in servicing and maintaining the late model fleet that is especially designed to meet the unique requirements of "Core Customers".

The Strong Commitment of Smith Transport. to the future is further solidified in the accomplishment of this Strategic Business Plan. To reduce on-going Maintenance Costs, the Company has a Planned Trade Cycle for Tractors in each respective type of Operations. Trailers are also on Planned Replacement Cycle depending on their specific use. Having been a Professional Driver, Mr. Smith strongly believes that a Modern Well-Maintained Fleet of Vehicle that meets User Requirements will also attract and keep highly qualified professional drivers.

In any well-managed and effective Logistics Services Organization, Safety and complete Compliance with applicable Regulations and Directives is a focal point of daily life. To this end, all elements of Smith Transport. are totally committed to being the Best organization in the entire Nation. The Company has anon-wavering Mind-Set on Safety and will not be distracted from achieving the Safest of Operations.

To insure that Safety is a most important element in daily life, the Company has a Staff of well-trained Risk Management, Safety, and Human Resource Specialists that conduct Employee Training Classes on a regularly scheduled basis. The Staff is also engaged in quantifying and categorizing accidents/Incidents by type, frequency, and severity to establish trends and effective corrective actions.

The Company is fiscally sound and practices disciplined Financial Management throughout the entire Organizational Structure at all times. Each month, the Senior Staff accomplishes a complete Review and Comparison of Actual Performance against through such a disciplined and organized approach that the Company can generate the Internal Efficiencies to remain Cost-Competitive in the Marketplace and to Totally Satisfy Stated Customer Requirements and Levels of Service.

Because of the increasing importance of the global aspect of the U.S. Economy, Smith Transport. has launched a comprehensive Total Quality Management Program. Every Process, Policy, Procedure, Activity, and Communications Channel will be reviewed, questioned, and streamlined to assure Synergistic Quality, Productivity, and Efficiency from an Internal perspective and Maximum "Error Free" Service to the Customer from their Point of View. Smith Transport. is Committed to being ISO 9002 Certified by 2002.


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