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$300 Million Emergency Transportation Services Contract

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May 17, 2000 Jacksonville, FL - Landstar System, Inc., a safety-first transportation and information services company, announced today its expedited transportation unit earned the $300 million, single-source, nationwide U.S. DOT Emergency Transportation Services contract, awarded through the Federal Aviation Administration (FAA). The contract, aimed at providing efficient, cost-effective expedited transportation solutions, was awarded to Landstar Express America, a wholly-owned Landstar subsidiary.

This is the first time the DOT has awarded a single-source contract for transportation services in and out of disaster areas. Approximately 13 transportation and logistics companies competed for the contract, which provides for complete nationwide transportation services of federal disaster relief supplies and resources - everything from ice and computer equipment to medical supplies and generators.

"We have the business model and resources already in place to provide immediate response in times of disaster," said Landstar Chairman, President and CEO Jeff Crowe. "Landstar Express America is a leader in providing safe, time-critical transportation and information solutions, especially in crisis situations where communities and families are at risk."

Landstar Express America worked 16 months on the project, which included presentations based on real-life natural disasters. Landstar Express America utilizes all modes of transportation services, including land, air and sea.

"The preparation our team demonstrated on this project is representative of our readiness for actual emergencies," said Landstar Express America President Ronald G. Stanley. "Each member brought to the table considerable expertise generated from years of hands-on time-critical delivery. We're excited about this contract and the opportunity to serve our country when it matters most."

Landstar System, Inc. is headquartered in Jacksonville, Florida. Landstar's carrier group, comprised of Landstar Gemini, Inc., Landstar Inway, Inc., Landstar Ligon, Inc. and Landstar Ranger, Inc., delivers excellence in complete over-the-road transportation services. Landstar's multimodal group, comprised of Landstar Express America, Inc. and Landstar Logistics, Inc., delivers excellence in expedited, contract logistics and intermodal transportation services. All Landstar operating companies are certified to ISO 9002 quality management system standards. Landstar System, Inc.'s common stock trades on The NASDAQ Stock MarketĀ® under the symbol LSTR.