GOOD NEWS!

DUREGGER LOGISTICS

FINDS TRUCKS FAST.

The Year of Our Lord 2007

Dear Valued Shipper,

These 14 pages are our New Shipper Information Packet.

Gain the advantageand experience the satisfaction of having DUREGGER LOGISTICS, a pure cost-plus transportation broker, as your Transportation Provider. As your Exclusive Representative, we find your preferred carrier, book them at or below the Market Rate, and track from pickup up to delivery.

At DUREGGER LOGISTICS, our job is to save you money, working as an extension of your traffic department. We shop for rates and service, on your behalf, to meet your specific needs. We pass the savings on to you, helping your shipping department run smoothly and profitably.

Our Certified Journeyman Brokers work with trucks that want to go where your freight is going. This simplifies your office. Saving time and money. Enabling your outbound ”Prepaid-Best Way” shipping model to fit comfortably within customer’s expectations and providing inbound rates that enhance your bottom line.

WE CALL BACKHAULERS. Trucks domiciled nearest the DESTINATION OF YOUR FREIGHT. They charge less because they are heading home, THE BEST SERVICE at the LOWEST RATES.

*SAVING MONEY in transportation doesn’t come EASIER!!!

YOU LOSE 100% OF THE CHANCES YOU DON’T TAKE.

Call me anytime for a Market Rate Quote at 641-923-2501.

Sincerely,

Tom Duregger, JTC

Proverbs 22:1

Owner

*YOUR Financial Advisor for FINDING & BOOKING TRANSPORTATION
Long & Short Haul, Expedited, Specialized, Truckload, LTL, Over Dimensional,
Vans, Reefers, Flatbeds, Stepdecks, RGNs, and Heavyhaul

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC 544869



GOOD NEWS!

DUREGGER LOGISTICS

FINDS TRUCKS FAST.

Transportation Rate Quote / Truck Finding and Booking Process

Saving our customers money by providing the Best Service at the Lowest Cost is the result of a simple process. We provide you with timely, dead on, lane specific, transportation Market Rates for your Truckload and LTL (Less Than Truckload) shipments. Exclusive Representation then enables us to work as an “extension of your traffic department” (looking out for your best interests), to reduce quoted costs even further, via real time carrier negotiations, as we Find and Book trucks for your specific transportation need.

Timely Market Rate Quotes based on research utilizing four key components:

1) A database collected and compiled using information from over 12 million actual freight bills provided by over 100 U.S. carriers, updated monthly, for full truckload movements via Flatbed, Dry Van, and Refrigerated equipment.

2) A second data bank which tracks public load offerings, the pulse of the wholesale market.

3) For large LTL or Partial Loads we will apply our “Rule Of Thumb LTL Discount Guide”.

4) Our own internal research, carrier survey calls for Specialized Loads, and past experience.

Valuable information is what you get in the Duregger Logistics Market Rate Quote:

1) The current Market Rate (MR). An average, dead on, lane specific, fair and reasonable rate, which will be readily recognize as credible, that will get your cargo moved quickly.

2) The Range (Or Spread). We show the High (maximum) andLow (minimum) rates from which the average or current Market Rate derives. This helps provide a feel for the market.

3) Fixed Brokerage Commission (FBC). “Cost Plus” means nothing if you do not know what the “Cost” and the “Plus” is. We show you both. The FBC, contained in the Market Rate Quote Total remains the same (fixed) as we work to lower your total cost by negotiating with interested and available carriers to secure your desired transportation.

4) No Fuel Surcharges or complicated formulas. Rate Simplification is standard. These charges are rolled into our rates which we present in whole numbers.

Greater Savingsare sought when it is time to move your Quoted Shipment:

Duregger Logistics works for you as an extension of your traffic department on a Cost Plus basis. Exclusive Representation allows us to go confidently to the market and shop for lower carrier costs and availability in real time (when we are actively Finding and Booking the carrier for your load) in order to reduce your Total Cost even further. You approve the Rateand the Carrier Booking in real time. You remain in control during the truck Finding and Booking process.

We look for Backhaulers, trucks that want to go where your freight is going. It is our desire to provide you with the best service at the lowest cost. We haul anything to and from all points in North America, long and short haul, regionally and continentally.

Call anytime for a Market Rate Quote at 641-923-2501.

Sincerely,

Tom Duregger, JTC, President

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC544869

GOOD NEWS!

DUREGGER LOGISTICS

FINDS TRUCKS FAST.

LTL RULE OF THUMB GUIDE

FOR DISCOUNT FROM TL RATES

This guide will assist you in rating and quoting LTLfreight (Partials or Partial Loads) in relation to prevailing truckload rates. It isnot meant to be authoritative, or a rate tariff, simply a measure to apply against a Truckload Market Rate for Flatbed, Van or Reefer (driver no-touch, palletized - no exchange). When this guide is used, the probability of having an acceptable rate and finding a carrier interested in hauling the shipment is good.

The guide was developed over years of brokering LTL freight from the Midwest. You may find you will have to develop one peculiar to your region. In either case, having a “rule of thumb” guide speeds the rate quote process and is no more an accurate guide than fixed rate tariffs. TheGuide’s purpose is to provide consistency and effectiveness in the Partial Load rating process.

To use, simply find the appropriate T/L rate and apply the percentage discount to the rate todetermine total dollars of the rate.

Divide the trailer into quarters. Load must meet criteria in each segment to be considered

for the rate percentage.

If it doesn't meet all criteria, rate at the next higher percentage for the given the miles.

< = Less ¼ of a trailer 1/2 of a trailer 3/4 of a trailer

Miles 6 pallets or < 12 pallets or < 16 pallets or <

of 10,000 #’s or < 22,000 #’s or < 32,000 #’s or <

Move 12 feet or < 24 feet or < 34 feet or <

0 to 500 70 % 89 % 100 %

500-750 60 % 77 % 90 %

750-1000 50 % 67 % 80 %

1000-1500 40 % 60 % 75 %

1500-Beyond 30 % 55 % 70 %

Rule: All rates to be adjusted upward 10%for loose freight & pallet exchange.

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC544869

DUREGGER LOGISTICS

Rate Quote Request

Fax To: 641-923-2330

Customer: / Contact: / Date:
Phone: / Fax: / Cust. Ref.#
Ship From: / Ship To:
City,State, Zip: / City, State, Zip:
Request P/U Date: / Request Delivery On:
Pcs: / Wt. / Commodity: / Lineal Ft.:
(# of pcs. or Pallets) / (Description or NMFC # & Class) / (Check if Haz.)
Dims: / Full Truckload / or Partial:
(Size of Units, Machines, pallets, Crates, etc. to be shipped)
Type of Equip. Required: / Value: / $ / Total Miles:
((Van 48', Van 53', Flatbed, Stepdeck, RGN, etc.)
Special Instructions:
Mkt.Rt.Quote: / $
$ / Per Mile Total / Fixed BrokerageCommission: / $ per mile (incl. in quote) $Total (incl. in quote) / Range: / $ $
Duregger Logistics will maintain the Fixed Brokerage Commission at all times. Exclusive representation enables us to reduce Quote Total by seeking lower carrier costs and passing the savings on to you. If it becomes necessary to exceed the Quote Total in order to find and book your desired transportation it will be done by Customer authorization only.
Quoted By: / Tom Duregger / Date:
Duregger Logistics Rep. / Duregger Logistics Quote Ref. #

Terms of Rate Quote Estimate:

This quote is based on the above information and is subject to change if the shipment changes. This is an estimate of what charges should be. Intermodal shipments are based on Shipper Load/Consignee Unload and free time rules apply. Shipper is responsible for correct loading of freight and blocking and bracing. As a Licensed Broker, we operate under provisions of 49 CFR part 1045 (DOT MC# 328277). All shipments handled by Duregger Logistics, Inc. are covered from cargo loss/damage by the underlying carrier(s) cargo policy.

Rates are Subject To Change and based on truck availability.

Please Verify Rate Before Shipping.

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC544869

PICK UP REQUEST & LOAD AGREEMENT

To: / Duregger Logistics / Attn: / Tom / Date:
Fax: / 641-923-2330 / Tel: / 641-923-2501
From Client: / Contact: / Signature:
Phone: / Fax:
Please arrange to pick up the following shipment per your quote #:
Our Ref. #: / Amount: $
Pick Up 1: / Deliver To 1:
Address: / Address:
City, State, Zip / City, State, Zip:
Phone/Contact: / Phone/Contact:
Fax: / Fax:
P/U Date: / Ready: / Close: / Deliver On: / Hours:
Pcs.: / Wt.#’s: / Commodity: / Load P/U #:
Pick Up 2: / Deliver To 2:
Address: / Address:
City,State, Zip: / City, State, Zip:
Phone/Contact: / Phone/Contact:
Fax: / Fax:
P/U Date: / Ready: / Close: / Deliver On: / Hours:
Pcs: / Wt: / Commodity: / Load P/U #:
Type of Equip. Required: / Cargo Value, if over $50,000: $
Special Instructions:

Thank you for this shipment. We have received this pick up request and are processing this order.

By: / Date: / Pro/Invoice #:
DUREGGER LOGISTICS
Loading ETA: Delivery ETA:
Carrier Name on truck: Carrier MC on truck#:

Please put Carrier Name and MC # on BOL. Carrier Name and MC # on the truck & Load P/U # given by driver must match before loading truck. If another Carrier shows to load - DO NOT LOAD TRUCK!

Direct driver to call us immediately. We will contract directly w/ showing Carrier. Double Brokering is illegal & creates liabilities for all. Thismust be enforced at loading site. Your cooperation is greatly appreciated.

TRADE REFERENCES:

HancockCounty Coop Oil Miller’s Diesel Repair

Garner, IA 50438Mason City, IA 50401

Phone # (641) 923-2635 Phone # (641) 423-1237

Fax # (641) 923-2637 Fax # (641) 422-1674

The Best Permit Agency, Inc. The Internet Truckstop

Berea, OH 44017New Plymouth, ID 83656 Phone #: (440) 243-4722 Phone #: (800) 203-2540 Fax # (440) 243-4744 Fax # (208) 278-5571

Transportation ConsultantsThe ComputerCenter

Urbandale, IA 50322Britt, IA 50423

Phone # (515) 278-1010Phone # (641) 843-4130

Fax # (515) 278-1033Fax # (641) 843-3240

CARRIER REFERENCES:

W.W. Transport, Inc. Custom Design , Inc.

Burlington, IA 52601 Lawler, IA 52154

Phone # (319) 754–1944 x 121Phone # (563) 238-8241

Fax # (319) 752-1538 Fax # (563) 238-3500

Collin Wagenbach Debra Schauer

Halvor LinesBRC Trucking

Duluth, MN 55816Indianapolis, IN 46205

Phone # (715) 392-8161Phone # (317) 547- 3630

Fax # (715) 392-1418Fax # (317) 547- 3631

Cathy Miller Kerry Woodwurd

I authorize the release of credit information for the establishment of credit.

Thomas A. Duregger

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC 544869

FINANCIAL INFORMATION

PRINCIPAL BUSINESS TRANSPORTATION BROKER

TYPE OF OWNERSHIPSOLE PROPRIETORSHIP

OWNERTHOMAS A. DUREGGER

FEDERAL TAX ID NUMBER94-2434289 - Est. 1974

SURETY BONDPACIFIC FINANCIAL ASSOC. INC

Phoenix, AZ 85085

Office 623.209.2600

Fax 623.209.2610

OPERATING AUTHORITY, BROKERMC 544869

OPERATING AUTHORITY, CARRIERMC 341732 - Inactive

PRINCIPAL BANKCLEAR LAKE BANK & TRUST

325 State Street

Garner, IA 50438

Chip Thiedeman, V.P.

Office 641.923.3621

Fax 641.9 23.2142

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC544869

Ask a few of our Satisfied Shippers about Us!

American Communities

(Construction Machinery & Equipment)

Fenton, MO 63026

Contact: Joe Liebold

Cell 314.443.9014 Office 314-842-8181 Fax 314-842-8182

Arens Farms

(Hay)

Laurel, NE 68745

Contact: Kelly Arens

Cell 402.841.4574, Office 402.256.9332, Fax 402.256.9436

Barnes Pipe & Steel Supply, Inc.

(Steel Pipe, Pilings, Beams, Shoring)

St. Louis, MO 63129

Contacts: Jim Barnes / Scott Barnes / Rodger Brewer / Angie

Office 314.416.0700, Fax 314.416.0869

Construction Equipment Services,

(Construction Equipment and Machinery)

Dubuque, IA 52002

Contact: Dan Loney,

Office 563.663.0058

Curt Bean Lumber Company, Inc.,

(Softwood Lumber, Treated Lumber)

Amity, AR 71921

Contacts: Stan Thompson / Angel Martinez / Dave Oberhoffer

Office 870.342.5275, Fax 870.342.5876

Custom Outdoor, Inc.

(Reclaimed Lumber)

Blue Island, IL60406
Contact: Tom Bartley

Cell (708) 752-5740 Office 708-371-6393 Fax (708) 423-0460

Doug Miller Hay & Straw

Mt. Vernon, OH 43050

Contact: Doug Miller

Cell 815-238-0914

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC544869

Ask a few more of our Satisfied Shippers about Us!

Forest Specialties, Inc., (Specialty Lumber & Moldings)

Humboldt, IA 50548

Contact: Jerry Tokheim

Office 515.332.1034, Fax 515.332.1036

Hardwoods of Michigan, Inc.

(Kiln Dried & Green Hardwood Lumber)

Clinton, MI 79236

Contacts: John Binegar,

Office 517.456.7431 Fax 517.456.6346

Houston Automotive Group, Inc.,

(Service Trucks and Equipment)

Houston, Texas 77070

Contact: Ruben Perez,

Office 281.807.6500, Cell 713.259.5405, Fax 281.807.6444,

Manomin Resawn Timbers

(Lumber)

Hugo, MN 55038

Contact: Elicia Aminkeng

Office 651-464-1771

Nyberg Crane Service

(Terex AT880 Crane & Equipment)

Vernal, UT 84039

Contact: Dustin Nyberg,

Cell 435.828.1521 Fax 435.781.1521,

Trestlewood Div. of Cannon Structures, Inc.

(Reclaimed Lumber)

Linden, UT (Main Office) Chicago, IL (Branch Purchasing Office)

Contact: Joe Cannon

Office 773.447.0553 Fax 773.752.1623

Willco Enterprises

(Hay)

Walburg, TX

Contact: Rob Rasmussen

Cell 512.635.8600 Office 651-464-1771

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC544869

1




“How Many Brokers Is Enough?”

By Tom Duregger

May I speak candidly with you for a moment? I have an idea about how brokering works best which may be of interest to you. I firmly believe that, through a good working trust relationship between you and your transportation broker(s), you can get the best transportation for the least cost.

Let’s take an example from the real estate industry. How confusing and inefficient it would be to have more than one broker representing the sale of a home at any one time? Can you imagine several different “yard signs” out in front of a house, and interested parties trying to decide which one to call? Then, having several agents trying to schedule “Open Houses” & “Showings” with the seller. Or, worse yet, (from the sellers standpoint) having a great buyer prospect negotiating along with an agent in good faith, and then, finding out that the house had already been sold, perhaps all along? Can you imagine interested buyers working the several agents against one another for the best buy or how the agents would be working the price down or up in order to be the first agent to bring together a deal? This confusion and duplication of activity, for obvious counter-productive reasons, is just not tolerated in the Real Estate industry.

Similarly, in the Truck Finding and Booking Industry (Brokering) the practice of listing the same load(s) with multiple brokers creates this same type of confusion. It happens that some loads are posted (listed) at the same time by several to a dozen or more brokers on the same internet load boards, some with no prices and some with varying prices listed. You can bet, in a hard market (more loads than trucks) with stiff competition for available trucks, that the Carriers will work this scenario to their best advantage working that shipper’s own brokers against each other and many times utilizing their shipper’s highest allowable ceiling price in order to be the one to book the truck first.

This practice sets up a scenario where the shipper’s own load, represented by it’s use of multiple brokers, falsely “increases competition”(hardens the market) for available trucking capacity, actually making it more difficult and less likely for the shipper to obtain the desired best service at the lowest cost. Sometimes the results are fast, but are they cost effective? How many trucks “fall off” of these loads?

The competition for available trucking capacity should only be the freight of othershippers. In a soft market (more trucks than loads) carriers avoid these type of load postings (same load, multiple brokers) preferring to call on the solo (non-duplicate) postings in order to speak with the responsible party (by making one phone call) to see about the load desired, being busy people (now enjoying the superior negotiating position) who have no time for “Shell Games”.

I believe that the best practice towards obtaining the best result is when the Shipper calls upon only one Broker to represent any one given shipment at any one time, working for a fixed (agreed upon) mark up (commission), this broker could then negotiate with the available interested carriers who know that they are dealing with the party which will, eventually, book the load. The interaction becomes less of a shell game and more of a business negotiation and transaction. This broker would also be able to contact back haulers to find out who is or is going to have equipment in the pickup area in the very near future. Also, this approach encourages repeat hauling from these backhaul carriers when they know which trusted broker to contact to satisfy their backhaul needs in the future (for repeat loads) in a given lane. The Shipper, through clear and timely communication with his broker(s), remains in control over each and every load in a cool, calculated fashion, obtaining the best transportation for the least cost. Thank you for your time and consideration. Please let me know how I may best serve you now and into the future.

Sincerely,

Tom Duregger, JTC, President

*YOUR Financial Advisor for FINDING AND BOOKING TRANSPORTATION

DUREGGER LOGISTICS

/ Tom Duregger, Providing Quality Transportation Services Since 1973
1540 220th Street,Garner,IA 50438 Office: 641-923-2501 Fax: 641-923-2330 Email:

Finally, service you can count on!

/ MC 544869

1