Quality Distribution, Inc. Announces Agreement to Acquire Greensville Transport Company

<p><location value="LU/us.fl.tampa" idsrc="xmltag.org">TAMPA, Fla.</location>, <chron>Oct. 7, 2011</chron> (GLOBE NEWSWIRE) -- <org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution, Inc.</org> (the "Company") (Nasdaq:QLTY) today announced that its wholly-owned subsidiary, <org value="ACORN:1871255846" idsrc="xmltag.org">Boasso America Corporation</org> ("Boasso"), has entered into a definitive agreement to acquire 100% of the outstanding stock of <org>Greensville Transport Company</org> ("Greensville"). The purchase price is <money>$8.5 million</money>, payable in cash, and up to an additional <money>$0.5 million</money> in cash, subject to Greensville meeting certain future operating performance criteria.</p><p> "We are excited about the pending Greensville acquisition, which is consistent with our strategy of growing our Boasso business," said <person>Gary Enzor</person>, President and Chief Executive Officer of <org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution, Inc.</org> "The team at Greensville runs an excellent operation, making this acquisition a strong supplement to Boasso's <location>East Coast</location> service offering."</p><p> Greensville, which is headquartered in <location value="LU/us.va.cheake" idsrc="xmltag.org">Chesapeake, VA</location>, is a leading provider of ISO tank container and depot services with access to ports in <location value="LS/us.va" idsrc="xmltag.org">Virginia</location>, <location value="LS/us.md" idsrc="xmltag.org">Maryland</location> and <location value="LS/us.sc" idsrc="xmltag.org">South Carolina</location>.  For its most recent fiscal year ended <chron>December 31, 2010</chron>, Greensville had revenues of approximately <money>$8.0 million</money>. The Company expects to close the transaction in the fourth quarter, subject to customary closing terms and conditions, and expects the acquisition to be accretive to earnings and cash flow in 2012.</p><p re=""><person>Scott Giroir</person>, President of Boasso, stated:  "We are excited to announce this outstanding opportunity. Greensville has an excellent reputation in the intermodal tank container industry and we are confident that the business will merge seamlessly with our core operations. The Mid-Atlantic market is an attractive region with excellent growth prospects, especially with the planned expansion of the <location>Panama Canal</location> in 2014."</p><p re=""><person>Ted Lepski</person>, President of Greensville, stated:  "We are pleased to have this opportunity to partner with Boasso and <org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution</org>. We believe this combination will enhance our ability to provide the best possible service to our customers and give us the ability to more quickly expand our geographic coverage."</p><p> Headquartered in <location value="LU/us.fl.tampa" idsrc="xmltag.org">Tampa, Florida</location>, Quality operates the largest chemical bulk tank truck network in <location value="LB/nam" idsrc="xmltag.org">North America</location> through its wholly owned subsidiary, <org value="ACORN:187276699" idsrc="xmltag.org">Quality Carriers, Inc.</org>, and is the largest North American provider of intermodal tank container and depot services through its wholly owned subsidiary, <org value="ACORN:1871255846" idsrc="xmltag.org">Boasso America Corporation</org>. Quality also provides logistics services for water hauling in the gas and oil frac shale market through its wholly owned subsidiaries <org>QC Energy Resources, Inc.</org> and <org>QC Energy Resources, LLC</org>. Quality's network of independent affiliates and independent owner-operators provides nationwide bulk transportation and related services. Quality is an American Chemistry Council Responsible Care® Partner and is a core carrier for many of the Fortune 500 companies that are engaged in chemical production and processing.</p><p><org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution, Inc.'s</org> common stock trades on the <org>NASDAQ Global Market</org> (GM) under the symbol "QLTY." For further information about Quality, visit the company's website at <a href="http://www.globenewswire.com/newsroom/ctr?d=234391&l=7&a=www.qualitydistribution.com&u=http%3A%2F%2Fwww.qualitydistribution.com%2F"><a href="http://www.qualitydistribution.com" target="_top">www.qualitydistribution.com</a></a>.</p><p re=""> The <org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution, Inc.</org> logo is available at <a href="http://www.globenewswire.com/newsroom/ctr?d=234391&l=8&u=http%3A%2F%2Fwww.globenewswire.com%2Fnewsroom%2Fprs%2F%3Fpkgid%3D5285"><a href="http://www.globenewswire.com/newsroom/prs/?pkgid=5285" target="_top">http://www.globenewswire.com/newsroom/prs/?pkgid=5285</a></a></p><p re=""><i>This press release may contain certain forward-looking information that is subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995 and is subject to certain risks and uncertainties that could cause actual results to differ materially from those expected or projected in the forward-looking statements. Without limitation, additional risks and uncertainties regarding forward-looking statements include the effect of local and national economic, credit and capital market conditions on the economy in general, and on the particular industries in which we operate, including excess capacity in the industry, the availability of qualified drivers, changes in fuel and insurance prices, interest rate fluctuations, and downturns in customers' business cycles and shipping requirements; our substantial leverage, our ability to make required payments and restrictions contained in our debt arrangements; competition and rate fluctuations; our reliance on independent affiliates and independent owner-operators; the loss of or material reduction in the services to one or more of our major customers; our liability as a self-insurer to the extent of our deductibles as well as changing conditions and pricing in the insurance marketplace; changes in health insurance benefit regulations; changes in the future, or our inability to comply with, governmental regulations and legislative changes affecting the transportation industry; increased unionization, which could increase our operating costs or constrain operating flexibility; our ability to comply with current and future environmental regulations and the increasing costs relating to environmental compliance; potential disruption at U.S. ports of entry; diesel fuel prices and our ability to recover costs through fuel surcharges; our ability to attract and retain qualified drivers; terrorist attacks and the cost of complying with existing and future anti-terrorism security measures; our dependence on senior management; the potential loss of our ability to use net operating losses to offset future income; potential future impairment charges; the interests of our largest shareholder, which may conflict with your interests; our ability to successfully identify acquisition opportunities, consummate such acquisitions and integrate acquired businesses; our ability to execute plans to enter the transportation business within the frac shale and oil drilling industry; our success in entering new markets; adverse weather conditions; the impact of our restructuring on our operations and costs; our liability for our proportionate share of unfunded vested benefit liabilities in the event of our withdrawal from any of our multi-employer pension plans; and changes in planned or actual capital expenditures due to operating needs, changes in regulation, covenants in our debt arrangements and other expenses, including interest expenses. Readers are urged to carefully review and consider the various disclosures, including but not limited to risk factors contained in <org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution, Inc.'s</org> Annual Report on Form 10-K for the year ended <chron>December 31, 2010</chron> and its Quarterly Reports on Form 10-Q, as well as other reports filed with the <org>Securities and Exchange Commission</org>. Quality disclaims any obligation to update any forward-looking statement as a result of developments occurring after the date of this release.</i></p><pre>CONTACT: <person>Joseph Troy</person> Executive Vice President and Chief Financial Officer 800-282-2031 ext. 7195</pre><p><a href=""><img src="http://media.globenewswire.com/cache/10256/small/5902.gif" width="122" height="80" alt="Quality Distribution, Inc. Logo" border="0" /></a></p> Source: <org value="NASDAQ-NMS:QLTY" idsrc="xmltag.org">Quality Distribution, Inc.</org>