RATE BULLETIN

NOVEMBER 2008

Dear Transportation Customer:

Major water carriers serving Alaska have filed for a General Rate Increase with the Surface Transportation Board. Depending on the water carrier, a 5.25% or 5.50% General Rate Increase will apply to virtually all commodities moving to and from Alaska and will become effective on December 7, 2008.

Based on the above, Alaska Traffic Company will implement a simple 5.25% general rate increase on all commodities effective December 7, 2008.

This filing is in keeping with the carriers’ plans to file only one general rate increase each year.

Local Seattle area pickup charges as well as charges associated with motor carrier service from other points may also increase at that time. If your rates include inbound costs please review them carefully for any changes.

As you have surely noticed, fuel surcharges have been decreasing over the last several weeks. We will continue to adjust these surcharges when the ocean carriers do so and to notify you with your invoices and on our website at www.alaskatraffic.com.

If applicable, your revised rate schedule will be sent as soon as possible. Please review it carefully and let us know if you have questions. As you know, we really appreciate your business and look forward to serving you in the future.

Sincerely,

Nicholas A. Lohman

Alaska Traffic Company