SUPPLYONE ENTERS VIRGINIA AND NORTH CAROLINA :

Acquisitions Establish Southeastern Presence for Growing Specialty Packaging Manufacturer and Distributor

Devon, Pennsylvania, August 1, 2000 - SupplyOne, the Devon, Pennsylvania-based specialty-packaging manufacturer and distributor, announced today that it has acquired three packaging companies in separate but related transactions.

Packaging Services of Carolina, based in Rockwell, North Carolina; Packaging Services Inc. (PSI) of Weyers Cave, Virginia; and Tidewater Container Corporation of Suffolk, Virginia concentrate primarily on the production of corrugated boxes and displays for their customers.  In addition, PSI has the widest spectrum of converting capabilities in its trading area, as well as strong structural and design capabilities.  The three companies, which SupplyOne refers to as PSI Southern Group, had overlapping ownership but operated independently prior to their acquisition by SupplyOne.

“These acquisitions will expand our market area by establishing a core presence for SupplyOne in the Southeastern United States,” commented William T. Leith, President and Chief Executive Officer of SupplyOne.  “They are all leaders in their markets with excellent customer relationships.  As a group, they have strong management, outstanding production facilities and significant growth potential, which will be enhanced by access to SupplyOne’s broad product base.”

SupplyOne’s goal is to build an unparalleled, integrated network that serves customers across the United States with one-stop packaging solutions, from box design and interior product protection to closure systems and load unitizing.  The SupplyOne network of outstanding companies will provide customers with everything in, on and around the box - including the box itself.