Vol. 17, No. 4 December 2007

Managers Meeting 2007

To the employees at New World Van Lines the fall classic is not a baseball event, butrather the annual Managers’ Meetings and Employees’ Banquet held in Chicagoeach November.

This year the meetings began on the 9thand concluded on the 10th, and while it wasshorted one day, the content and the intensityimpact of the conference’s message was not lessened.

The participants arrived by planes andautomobiles from the twelve service centersacross the country to attend the managersmeeting on Friday that started off with aleisurely lunch. The sessions began with anin-depth presentation by Luis A. Roque, Chief, Traffic Management Branch of the USDepartment of State. As the name suggests,this branch facilitates the international anddomestic relocations for the Department ofState’s foreign and civil employees, as well as for the other US Government Agenciesinvolved in foreign affairs and operations.

Luis’ department handles over 23,800personal property shipments, which equates to twenty six million pounds of

long term personal storage, totaling over $65 million in costs each year. They will book 45,000 airline tickets as well ashandling commercial cargo forwarding for the Department of State each year. The Department also operates a long termstorage warehouse in Hagerstown MD. The warehouse is 370,000 square feet andhouses stored goods for employees of theDepartment of State who were hired fromoutside the DC area. Household effects of employees who reside within the DC area are stored and warehoused with local moving and storage companies

that participate in the Department of State contract.

Luis’ goal in his presentation was to review the requirements and entitlement ofthe Department of States employees and toprepare New World for the awarding ofbusiness to both New World Van Lines andNew World International in 2008.

David Marx followed Luis, giving acompany review and sharing the progress the company has made in 2007. While the on-going and prolonged housing slump

continued on page 2

l-r: Jerry Marx, Quintin Marx, David Marx, Luis Roque, Edward Marx, Shirley Marx, Michael Marx and Janet Marx

As 2007 comes toan end, I think theyear will go downas one of the mostvolatile years inhistory. We haveseen the stockmarket make newhighs one monthand then shortly

afterwards experience a 10% correction. Thehousing market went from boom to bust in avery short time and the credit, mortgage andfinancing markets dried up before anyonecould realize that this would result in 1 out ofevery 555 homes in America going intoforeclosure. Many financial institutionsreported losses in the billions, many losingmore money than they had made in the last 5years or could possibly make in the next 5years. All of this occurred while the nationalunemployment rate remains at a historically

low percentage of less then 5%. And as Iwrite this message it is undetermined how theretailers will fare during the holiday season.

2007 has also been a challenging year forNew World. Our entire organization workedvery hard at servicing every customer. Whilewe will move approximately the same numberof families in 2007 as we did in 2006, the sizeof the moves have shrunk resulting in lessrevenue. While we have reduced ouroperating cost we will still end the year withless profit than we had in 2006.

In our other core values of SAFETY -SERVICE - PEOPLE we have experiencedsome success that is a result of the collectiveefforts of every dedicated employee. Ourdriver and vehicle safety scores are the best inour industry. The driver safety scores are thebest in the last 10 years. Service, as measuredby the question “Would you use New Worldagain”, improved from last year. While we

continue to deliver a better service we willalways look for ways to deliver a betterservice. The most valuable resource to NewWorld is all of the dedicated, professional andhardworking people that make New Worldsuccessful. I am proud to say that once againthis year we have increased our averagetenure. This is the result of the care andresponsibility that the Marx family takes inproviding an excellent place for people towork, grow, develop and raise your families.

The Marx Family wishes all of ouremployees, customers, clients, suppliers,friends and their families a Happy and SafeHoliday Season.

SUCCESSFUL PEOPLE BEGIN WHERE FAILURES LEAVE OFF. NSUCCESSFUL PEOPLE BEGIN WHERE FAILURES LEAVE OFF. N

PRESIDENT’S MESSAGE —

continues to play havoc on all the players inthe industry, New World Van Lines’ uniquebusiness model has again demonstrated itsconsistency, showing us many bright spotsduring the past year of which to be proud.New World has shown improvements inoverall performance on quality scores over2006. The length of an employee’s tenure has increased year-over-year. Internationalbusiness shipment count is up by 7% on a year-over-year comparison. Furtheradvancements in New World’s technologywhich have enabled us to communicate more effectively and cost efficiently with our customers.

David ended the afternoon session withthe thought “Life may not be the party wehoped for, but while we are here, we shouldenjoy the dance”.

Following David’s presentation, themeeting broke for an hour and reconvenedat the Via Veneto Restaurant for the AwardsCeremony Banquet. Jack Cotter, VicePresident of Business Development, once again was the master of ceremony,keeping everyone amused with his storiesand pithy comments.

Shirley Marx, the Chairwoman, gave theawards and thanks acknowledging 20 yearsof employment to New World Van Lines toChicago employee’s Luana McIntosh, LeRoy

Endre and Vicki Kost. Ed Marx gave the 20year award and thanks to Houston Driver,Ernest Travis, Sr.

David Marx followed with the specialrecognition and announcements ofpromotions to Becky Kidd, Assistant FleetManager, and Candy Williams, Director ofCustomer Service.

The awards and employee recognitioncontinued with various presenters, whilethose in attendance enjoyed dinner, andtalked with friends and colleagues. The partywent on after the awards ceremony withmany people taking David up on his afternoonsession’s reflection, letting their hair down,and dancing the night away.

Saturday morning sessions began at 7:30 AM with a continental breakfast andopened with Greg Walsh, Director of FleetMaintenance. Greg’s presentation focusedon the value of a diligent maintenanceprogram, and the positive effect it continuesto have in improving the SafeStat scoreswith DOT, reducing incidental vehicles out ofservice — VOOS. Greg’s commitment to thecompany and the employees is to continuewith the proactive maintenance program tofurther reduce our VOOS to ensure NewWorld has the safest fleet on the road.

The second speaker of the day was Mike

Dammer, Director of Operations, whopresented an operational overview from the past year. Mike reviewed the capacityinitiatives from the past peak season: movingover 600 cars via 3rd party car carrier, havinga two day pack and load spread onshipments of 5,000 pounds or less, and using a two day delivery out of storagespread. With the successful implementationof these initiatives, New World Van Linesdecreased significantly the service issues,and accommodated customers on many last minute date changes brought on by the home closing tribulations.

Mike’s team will continue to work towards more efficient planning andcommunication levels with customers, drivers, and service centers.

John Harrington, Manager of QualityServices, followed presenting a review of the“Drivers of Customer Satisfaction”, whichshowed where we excelled and whereimprovement was needed. The main messageof John’s presentation was that it all startswith us, the leaders of the company. Successwill come, and improvements to our servicelevels will be achieved when we accept noexcuses in meeting our customers’ needs andexceeding their expectations.

The next presentation was given by theDirector of Safety, Pat Nevins. Pat detailed the

Managers Meeting, continued from page 1

20 YEAR RECOGNITIONErnest (Ray) Travis, Sr. (NWTX)

Luana McIntosh (NWVL)LeRoy Endre (NWVL)

Vicki Kost (NWVL)

PROMOTIONSRebecca Kidd,

Assistant Fleet ManagerCandace Williams, Director of

Customer Service

2007 PINNACLE SAFETY AWARD John Bierman, Sr. (NWGA)Aury Concepcion (NWNJ)Scott Cuggino (NWMO)Roger Durham (NWGA)Eric Langiewicz (NWNJ)Roger Madore (NWCA)David McNulty (NWGA)Vance Moore (NWMA)James Moszee (NWTX)

Rober Rodriguez (NWVA)Tom Steinbeck (NWCA)

Jim Foley (NWIL)

SERVICE CENTER OF THE YEAR NEW WORLD VAN LINES OF

MASSACHUSETTS

SERVICE CENTER SAFETYACHIEVEMENT AWARD 1st = New World of Illinois

2nd = New World of Massachusetts 3rd = New World of Missouri

SERVICE CENTER LOW HAULINGCLAIMS AWARD

1st = New World of San Francisco 2nd = New World of Colorado

3rd = New World of Illinois

SERVICE CENTER LOW STORAGE CLAIMS AWARD

1st = New World of Texas 2nd = New World of Colorado

3rd = New World of Illinois

DRIVERS LOW CLAIM1st = Ryan Stroeder (NWCO)

2nd = Trey Glenn (NWOH)3rd = Jorge Cuesta (NNJ)

RAVING FAN AWARDS CHOSEN BY THE CUSTOMER

Move Coordinator 1st = Lisa McElligott

2nd = Luana McIntosh3rd = Donna Grimshaw

Driver 1st = Peter Galindo (NWCO)

2nd = Christopher Lee (NWGA) 3rd = Paul Martinez (NWCO)

Service Center 1st = New World of Missouri -

2nd = New World of Massachusetts 3rd = New World of New Jersey

NEVER SETTLE FOR ‘JUST GETTING THE JOB DONE.’ EXCEL! —TOM HOPKINS

2007 New World Van Lines Awards Presented November 9, 2007

NEVER SETTLE FOR ‘JUST GETTING THE JOB DONE.’ EXCEL! —TOM HOPKINS

data behind our DOT safety scores, whichshow New World Van Lines with some ofthe lowest and most envious vehicle anddriver out service scores in the industry.New World will again award over$30,000.00 in bonuses to its drivers for theirsafe driving during the previous six month.Pat and his team will expand their trainingprograms to further reduce bothpreventable accidents, and New World’sWorker’s Compensation injuries. Specialrecognition was given to Mark Morrisonand to the drivers from his service center inMassachusetts for their commitment toexcellence. They have attained thirty sevencontinuous weeks with no drivers on thelate log notice.

The last presenter of the session andthe conference was Tom Parker, VicePresident of Human Resources. Tomreiterated the value of hiring the “best and brightest” and stressed theimportance of continuing to conduct athorough interview and reference check,which has lead to an increase in theaverage tenure of our employees.

The value of hiring and maintaining the experienced work force has resulted in many measured improvements. In DOT scores, higher customer servicescores, lower service failures, and areduction in worker’s compensation cost to New World Van Lines.

Part of Tom’s presentation includedMichele Goetz, New World’s recruiter,sharing the results of her recent survey ofNew World drivers. The survey’s focusquestion was, “What makes you stay atNew World Van Lines”.

The results reemphasized why NWVL is the “Employer of Choice”, with the 5 topcomments being: Liked being part of theMarx Family; — felt they were taken care of and supported by management, jobsecurity; — Fortune 500 National Accounts,great equipment to drive; — well maintainedand updated regularly, the benefits; — healthand dental benefits, 401K, vacation pay andfinally the weekly pay check.

It was then time for David to wrap up the meeting by tying together our past years progress and the four core beliefs of this company — Safety, Service, Peopleand Profits, and by continuing to integratethese core beliefs in our everyday businesspractices, we will successfully weather the downturn in the housing market.

More photos on page 4

l-r: Candy Williams and Becky Kidd Aury Concepcion Larry Kinney

Kim MarxTim Porter Jorge Cuesta

Eric Langiewicz Jim Foley

l-r: Zofia Kaczweska, Shirley Marx

Ray Travis, Sr. Ron Strodtman

New World Van Lines was recently honoredfor outstanding performance by Cartus at its 2007 Global Network Conference heldOctober 22-23 in Denver. Each year, Cartusrecognizes the companies and individualsthat have worked to provide extraordinaryservice to its customers and clients.

New World Van Lines was awarded theGlobal Network ‘Delivering More’ Award.This award is presented to the supplier whohas gone above and beyond the call of dutyduring the year to assist Cartus in helping itscustomers and clients.

“Service providers such as New Worldcontinuously go the extra mile in their efforts,while demonstrating unrivaled dedicationand performance,” said Traci Morris, seniorvice president of supply chain management.“As a vital extension of the Cartus team, werely heavily on the support of our GlobalNetwork providers to help minimize thetension that our clients and their employeesdeal with when faced with such an importantlife decision as relocating. David Marx ofNew World Van Lines has truly demonstrated

their willingness to ‘deliver more’ for Cartusclients and customers.”

“Taking into account the program’s toughselection criteria and performance standards,being a part of Cartus’ global network is anhonor in and of itself,” said David Marx,President of New World Van Lines. “Weembody the company’s dedication toproviding high-quality service and aregrateful to have received this prestigiousdesignation as it only further enhances ourcommitment to world-class service.

New World Van Lines Receives ‘Delivering More’ Award at Cartus 2007 Global Network Conference

l-r: Jack Cotter, Pat DeDonato, VP Global SupplierOperations for Cartus and David Marx

Awards photos, continued from page 3

Lisa McElligott Quintin Marx

l-r: LeRoy Endre, Shirley Marx, Luana McIntosh and Vicki Kost

l-r: David Marx, Mark Morrison