13/05/05 American Pallet Leasing Forms Banking Relationship with MidSouth Capital

CEDAR RAPIDS, Iowa--(BUSINESS WIRE)--May 3, 2005--American Pallet Leasing, Inc. (OTCBB:APLS), a vertically integrated manufacturer and logistical supplier of pallets, announced today that it has entered into a banking relationship with MidSouth Capital, Inc. MidSouth Capital, an independent investment banking company headquartered in Atlanta, Georgia, will provide APL with a variety of banking support, including investment advisory services, merger and acquisition assistance, structuring and negotiation of corporate finance opportunities and development of strategic business partners.

APL's Chief Executive Officer, Timothy R. Bumgarner, commented that American Pallet Leasing is at a stage where MidSouth's services will be particularly beneficial. "Our strategy requires us to acquire sawmills as sources of lumber to manufacture the huge number of pallets required by our customers and potential customers. We will be relying heavily on MidSouth Capital to provide M&A advice as well as assistance with financing that will be required as we accelerate APL's growth. We believe that MidSouth will be an increasingly important component in the effective execution of our long-term strategy."

Tim Moody, Executive Vice President of MidSouth Capital, said, "We are very pleased to be selected by APL to provide financial advice and M&A services, as they pursue their growth plans throughout the United States.

About American Pallet Leasing Inc.

APL is a vertically integrated manufacturer and logistical supplier of pallets. The Company is engaged in an acquisition roll-up of strategically located wood pallet manufacturers and saw (lumber) mills. Management's goal is to create a "Closed Loop Distribution System" by transforming the $1.6 billion-per-year pallet business from a commodity industry into a logistics management enterprise that will supply and manage the pallet requirements of manufacturers and distributors. APL currently owns one saw mill and intends to acquire others as an efficient means of sourcing lumber for its wood pallet manufacturing operations. APL also holds patents on proprietary galvanized steel pallets and intends to begin manufacturing them upon receipt of additional capital. So far, all of APL's revenue has come from its sawmill operations, but the Company currently is negotiating management and logistics contracts to supply and manage the customers' complete pallet needs.

Disclosure Statement

The statements contained in this press release that are not historical are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), including statements, without limitation, regarding our expectations, beliefs, intentions or strategies regarding the future. APL intends that such forward-looking statements be subject to the safe-harbor provided by the Private Securities Litigation Reform Act of 1995. Such forward-looking statements relate to, among other things: (1) APL's expected revenue and earnings growth; and (2) estimates regarding the size of target markets. These statements are qualified by important factors that could cause APL's actual results to differ materially from those reflected by the forward-looking statements. Such factors include but are not limited to: (1) APL's ability to obtain development financing as and when needed, (2) APL's ability to generate and sustain profitable operations; (3) the market's acceptance of APL's products and services; (4) significant competition from other pallet manufacturers and suppliers, and (5) APL's ability to protect its intellectual property. These statements, and other forward-looking statements, are not guarantees of future performance and involve risks and uncertainties as more fully described in the company's periodic filings with the Securities and Exchange Commission.