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Acquisition Notification

Action Delivery Logistics Services INC. Acquires G.A. Saunders Trucking LLC

Building on its core competencies ADL’s acquisition of G.A. Trucking will position the new company to accelerate its growth by expanding its service offering in our trucking division. George Saunders will join the ADL team as The Director of Trucking Operations, bringing over 30 years of trucking industry experience as a business owner, and leader.

The ADL trucking division business model is a natural escalation and compliment to the courier model; which represents 80% of company revenue. The trucking division will afford ADL the opportunity to use some of its current assets in a dual role, therefore increasing the utilization of those same assets. The American Trucking Association 2006 Annual Report is forecasting a 2.6% to 3.0% increase in freight traffic each year for the next 10 years. They note that "Over the past decade or so, the US has evolved into a just in time/on demand inventory economy. In this environment, manufacturers, wholesalers and retailers have found that trucks are better suited to satisfy their transportation needs."

ADL will capitalize on this forecasted growth opportunity as well as the forecasted growth in both the export and import markets. These forecasts essentially translate into increased demand for the movement of products from A to B and B to C, as well as the movement of sea containers to and from sea ports in the Mid Atlantic region. As such, ADL will be looking to partner with several of the regional freight forwards and rail lines to increase its traction/customer base in this growing market. ADL is expecting to bid on large cartage contracts with regional/national companies as well as national/regional governmental agencies. We are expecting this division to grow to a revenue run rate of six –eight million over the next 2-3 years.

Under the terms of the transaction, ADL will acquire all of G.A. Trucking equipment and debt for an undisclosed amount of cash and incentives.

The combined companies will give ADL a 30% increase on its annual revenue run rate.

Robert Sampson, President
Action Delivery Logistics Services




	community news Acquisition Notification Action Delivery Logistics Services INC. Acquires G.A. Saunders Trucking LLC Building on its core competencies ADL’s acquisition of G.A. Trucking will position the new company to accelerate its growth by expanding its service offering in our trucking division. George Saunders will join the ADL team as The Director of Trucking Operations, bringing over 30 years of trucking industry experience as a business owner, and leader. The ADL trucking division business model is a natural escalation and compliment to the courier model; which represents 80% of company revenue. The trucking division will afford ADL the opportunity to use some of its current assets in a dual role, therefore increasing the utilization of those same assets. The American Trucking Association 2006 Annual Report is forecasting a 2.6% to 3.0% increase in freight traffic each year for the next 10 years. They note that "Over the past decade or so, the US has evolved into a just in time/on demand inventory economy. In this environment, manufacturers, wholesalers and retailers have found that trucks are better suited to satisfy their transportation needs." ADL will capitalize on this forecasted growth opportunity as well as the forecasted growth in both the export and import markets. These forecasts essentially translate into increased demand for the movement of products from A to B and B to C, as well as the movement of sea containers to and from sea ports in the Mid Atlantic region. As such, ADL will be looking to partner with several of the regional freight forwards and rail lines to increase its traction/customer base in this growing market. ADL is expecting to bid on large cartage contracts with regional/national companies as well as national/regional governmental agencies. We are expecting this division to grow to a revenue run rate of six –eight million over the next 2-3 years. Under the terms of the transaction, ADL will acquire all of G.A. Trucking equipment and debt for an undisclosed amount of cash and incentives. The combined companies will give ADL a 30% increase on its annual revenue run rate. Robert Sampson, President Action Delivery Logistics Services