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Straightline Selects Pittsburgh Logistics Systems As Transportation Logisitics Provider

Partnership Boosts Supply Chain Efficiency for Straightline Customers

PRNewswire-FirstCall
PITTSBURGH
10.03.2003

Straightline Source, a division of United States Steel Corporation (NYSE: X), has selected Pittsburgh Logistics Systems, Inc. (PLS) as its new transportation logistics provider, effective October 6, 2003. Under the terms of a multi-year agreement, Rochester, Pa.-based PLS will manage steel shipments from Straightline's steel suppliers to its network of processors, as well as the subsequent delivery of finished goods to customers across its 34-state operating region.

"The majority of our customers are buying on a contractual basis and are looking to Straightline to help manage the flow of steel into their operations on a just-in-time basis. Assuring on-time deliveries is a critical component of our total solution," said Straightline President Bob Dryburgh. "The integration of PLS's transportation service with our overall inventory management and supply chain solutions will further enhance our ability to provide our customers with the most efficient way to procure processed steel products."

Straightline is already exceeding on-time delivery rates of 99 percent for some of its large-volume contract customers, and the year-to-date average on- time delivery rate for all contract and spot shipments is 94 percent. "We believe that by working with PLS, we can significantly improve our overall on- time delivery performance," stated Dryburgh.

With PLS, Straightline will have expanded visibility into real-time freight tracking information and access to a wider network of carriers. In addition to higher on-time delivery and customer satisfaction rates, this agreement is expected to lead to improved load aggregation and operating efficiencies.

Similarities Present Opportunities

Straightline creates steel supply chains for each of its contract customers through a network of more than 50 processing companies and strategic steel supply relationships, and uses information technology to manage the entire "order to delivery" process. This unique approach helps customers reduce the total cost of steel procurement. Similarly, PLS employs information technology to manage the utilization of available flatbed truck capacity in the marketplace. As well, both companies' information systems are highly compatible, using similar software and open systems platforms. "Our shared philosophy of utilizing existing infrastructure to create value for our customers, along with an open information architecture, facilitate our ability to work together to develop new innovations in steel distribution in the years ahead," Dryburgh added.

"As a company experienced in metals transportation, we're extremely pleased to be associated with Straightline and part of its continued advancement of the industry," said PLS Chief Executive Officer and President Gregg A. Troian. "We look forward to establishing and managing a long-term, cost-effective and comprehensive transportation program for Straightline and its customers."

About Straightline

Straightline Source, a division of United States Steel Corporation, uses a technology-driven approach to distribute steel and manage steel supply chains for companies with locations across the Eastern and Central United States. Straightline is a quality certified company, achieving QS 9000:1998 and ISO 9002:1994 certification.

  To learn more about Straightline, visit www.straightline.com .

  About Pittsburgh Logistics Systems

Pittsburgh Logistics Systems, Inc., a Quadrivius Company, delivers global logistics solutions and consulting services to the metals, lumber, and building materials industries.

To learn more about PLS, visit www.pghlogistics.com .

SOURCE: United States Steel Corporation

CONTACT: Pattie Sullivan of Magnet Communications for Straightline,
+1-412-456-4706, or psullivan@magnet.com; or Jacque Morrow of Pittsburgh
Logistics Systems, Inc., +1-724-709-9000 ext. 2155, or jmorrow@quadrivius.com

Web site: http://www.ussteel.com/
http://www.straightline.com/
http://www.pghlogistics.com/

Company News On-Call: http://www.prnewswire.com/comp/929150.html

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