McLane to Establish New Distribution Center

Facility to be built in Jessup, Pa.

TEMPLE, Texas -- McLane Co. Inc. has announced the selection of Jessup, Pa., near Scranton/Wilkes-Barre, as the site of its newest regional distribution center. The company expects the facility, which will be called McLane PA, to be completed and operational in 2008.

The new distribution center will service McLane's expanding customer base in the upper Mid-Atlantic region. When completed, the Jessup facility will give McLane a total of 20 grocery division distribution centers in 18 states. From this nationwide infrastructure, McLane provides distribution [image-nocss] services that extend into every zip code in the continental United States and to more than 50,000 customer locations across the country.

The growth of our business has created an opportunity for us to expand our operations geographically and enhance McLane's superior customer service, said Mike Youngblood, president of McLane Grocery Distribution. We selected Jessup after a comprehensive search that included the consideration of multiple sites in the region. Local, county and state officials responded very positively to McLane locating in Jessup, which has a proven infrastructure for distribution facilities and allows excellent proximity to our growing customer base in the Mid-Atlantic region.

Pennsylvania Secretary for Community & Economic Development Dennis Yablonsky said, The Commonwealth of Pennsylvania through the Governor's Action Team provided $525,000 to support this vital project that will bring 500 new jobs to northeast Pennsylvania. We are pleased that McLane has selected Pennsylvania. Governor Rendell is committed to making targeted, proactive investments that continue to grow our economy and create jobs.

McLane provides distribution services throughout the United States, delivering food and nonfood products to more than 50,000 customer locations, including the convenience store, drug store, mass merchandise, quick-service restaurant (QSR) and movie theater industries. Headquartered in Temple, Texas, the company operates 19 grocery distribution divisions and 18 foodservice distribution centers as well as an industry specific software company. McLane is a wholly owned subsidiary of Berkshire Hathaway Inc.