Sony Electronics Outsources World Repair Parts Center to New Breed Logistics

HIGH POINT, NC - June 28, 2006

New Breed Logistics, Inc., based in High Point, North Carolina, announced today that it has been selected by Sony Electronics to operate their World Repair Parts Center (WRPC) located in Kansas City, Missouri. New Breed was selected to operate the Sony WRPC based on the company's ability to enhance performance, reduce costs, provide operational flexibility, and implement leading logistics technologies.

Sony has operated the WRPC in Kansas City for 25 years. The operation provides service parts and accessories for all Sony products for both consumer and business/professional customers within North and South America. "Sony sought to outsource management of the Kansas City facility to control operating costs and provide a flexible platform for growth," said Joe Hauck, New Breed's Director of Business Development. "New Breed will help Sony achieve their strategic objectives of quickly adapting to change, enhancing logistics efficiencies and costs; and improving customer service."

Under this contract, New Breed will provide warehousing and distribution services, which include receiving, put-away, repacking, picking, packing, kitting, same-day shipping, inventory control, and logistics technologies. "We are proud and excited to be selected as the provider of choice for this strategic initiative. The award of this program exemplifies our commitment to the service parts industry and demonstrates our ability to provide industry-leading performance-measured solutions," Hauck stated.

New Breed will operate a 100,000+ square foot distribution center in Kansas City to support the Sony World Repair Parts Center operation. As part of its strategic plan, New Breed expects to grow the Kansas City logistics operations to nearly 100 employees. The repair parts being processed from this facility range from small consumable parts to plasma screen and LCD TVs.

###

About New Breed

New Breed is a national distribution center operations company, featuring world-class capabilities in distribution services, reverse logistics and repair, and supply chain consulting. Clients include Verizon Wireless, Boeing, United Technologies, Siemens Medical Solutions, Sony Electronics, the United States Postal Service, and the U.S. Marine Corps. Nationally recognized for its superior services, New Breed is consistently named among the Top Third Party Logistics Providers, and one of the top "North Carolina 100" privately held companies by Grant Thornton. New Breed employs more than 3,500 people and operates more than 40 distribution centers. More information is available at www.newbreed.com.