FORT SMITH, Ark., Jan. 23 -- Arkansas Best Corporation (Nasdaq: ABFS) today announced income from continuing operations for the fourth quarter of 2000 of $21.9 million, or $0.90 per diluted common share, representing a 32.5% increase over 1999 fourth quarter income from continuing operations of $16.5 million, or $0.68 per diluted common share. For the full year of 2000, the company reported income from continuing operations of $76.2 million, or $3.17 per diluted common share versus 1999 income from continuing operations of $51.2 million, or $2.14 per diluted common share.

"Arkansas Best's 2000 income from continuing operations increased $25.0 million, or 49.0%, over last year's record amount," said Robert A. Young III, Arkansas Best President and Chief Executive Officer. "As in the previous two years, Arkansas Best's full year results reflect the highest income in our company's history."

"The superior fourth quarter performance of ABF^® was a fitting conclusion to an outstanding year. However, during the fourth quarter, ABF experienced a slowdown in business resulting from a decline in the economy that began in mid-2000. Though ABF's quarterly operating ratio of 90.5% reflects an increase over last year's fourth quarter figure of 89.9%, ABF's performance during a period of business slowdown is very impressive," said Mr. Young. "

ABF Freight System, Inc.

ABF's fourth quarter 2000 revenue was $345.0 million, a per day increase of 2.9% over the fourth quarter of 1999. ABF's operating income during the quarter was $32.8 million versus $34.4 million during the same period last year. Fourth quarter LTL revenue per hundredweight, including fuel surcharge, was $21.98, an increase of 8.1% versus the same period last year. LTL tonnage per day for the fourth quarter of 2000 declined 4.3% when compared to the fourth quarter of 1999. In the fourth quarter of 2000, per day LTL shipments in two-day transit time lanes decreased 4.6% compared to a 4.4% shipment decrease in ABF's longer haul business. Due to lower tonnage, productivity was down compared to levels achieved during the first three quarters of the year.

"ABF's fourth quarter 2000 performance was affected by less available freight due to decreased business levels at customer facilities. In addition, comparisons with 1999's fourth quarter were difficult because of high levels of added business resulting from Year 2000 concerns and the demise of three significant LTL carriers during 1999. Despite all of these factors, ABF produced a very strong operating ratio in the low 90's," said Mr. Young. "This illustrates that ABF can maintain superior margins even during challenging economic times."

"Because of the recent tighter business environment, ABF has seen some pricing pressure," said Mr. Young. "At this point, it would appear that the severity of this pricing pressure has not been as great as in previous business downturns. Nonetheless, ABF will continue to adhere to its standard practice of establishing acceptable profitability guidelines and basing its pricing policy on those standards."

ABF's revenue during the full year of 2000 was $1.38 billion, an 8.0% per day increase over last year. This reflects the addition of $102 million of revenue over 1999. ABF's operating ratio for full year 2000 was 90.3%, its best since 1973 and an improvement of over one point compared to 1999's figure of 91.6%. Operating income for the year was $133.8 million, an increase of 25.1% over 1999. "For the second year in a row, ABF's full year operating income exceeded the $100 million level," said Mr. Young. ABF's total tonnage per day for the full year of 2000 decreased 0.5% versus the full year of 1999. This year-to-year change consists of a 0.6% increase in LTL tonnage per day and a 4.8% decrease in truckload tonnage per day. "Once again, this is a terrific performance by all of the people at ABF. This gives further support to the fact that ABF is the undisputed profitability leader of the long-haul, LTL industry," said Mr. Young.

ABF continues to receive high praise from the many users of its Internet Web site located at abf.com. ABF's site provides added value through innovation by simplifying the shipping process. Utilizing the many tools found at abf.com, customers gain visibility and control over their shipments while reducing transaction and administrative costs. ABF's eCommerce capabilities, as illustrated by abf.com, remain the best in the transportation industry.

Capital Expenditures

In 2001, Arkansas Best forecasts net capital expenditures to be between $90 and $100 million. The $10 million range in this figure is related to uncertainties regarding the availability of real estate and land for purchase and the timing of new construction projects. The increase in capital expenditures over last year is primarily related to two items. First, ABF has several ongoing construction and real estate projects that have been carried over from 2000. Second, during this year, Arkansas Best plans an addition to its corporate headquarters building in Fort Smith, Arkansas. Net capital expenditures during 2000 were $83.8 million.

Arkansas Best's depreciation and amortization for 2001 is forecasted to be approximately $55 to $60 million.

Credit Ratings Improvement

On December 15, Moody's Investors Service upgraded Arkansas Best's $250 million senior revolving credit facility to Baa3, investment grade, from Ba1; the $69.5 million cumulative convertible preferred stock to Ba2 from Ba3; and the $28.6 million subordinated debentures to Ba1 from Ba3. In their press release announcing these changes, Moody's stated that, "The rating upgrades reflect the Company's strong and improved operating performance over the last several years as well as improvement in the capital structure and financial flexibility resulting from a successful debt reduction program."

Forbes Magazine Honor

In the January 8, 2001 issue of Forbes magazine, Arkansas Best Corporation was named as one of The Platinum 400 Best Big Companies in America. According to Forbes, "To make the Platinum 400, a company must be an industry leader in long-term and short-term return on capital, growth in both sales and earnings and in still other financial metrics." Forbes goes on to say that the companies chosen for this honor have "... an innate ability to adapt to change; a hunger to innovate and go against the grain; resiliency in a down industry and amid doubts on Wall Street; and a relentless will to be miserly even in boom times."

Outlook for 2001

If the current softness of the economy continues or worsens for the full year, it will be difficult for Arkansas Best to match its 2000 financial performance; however, Arkansas Best still anticipates having another good year in 2001.

Conference Call

Arkansas Best Corporation will host a conference call with company executives to discuss the company's 2000 fourth quarter and full year results. The call will be today, Tuesday, January 23, at 10:00 a.m. CST. Interested parties are invited to listen by calling (800) 946-0706. Following the call, a recorded playback will be available through the end of the month. To listen to the playback, dial (888) 203-1112. The confirmation code for the playback is 612053. The live conference call and playback can also be accessed on Arkansas Best's Internet Web site at www.arkbest.com through Wednesday, January 31.

Forward-Looking Statements

The following is a "safe harbor" statement under the Private Securities Litigation Reform Act of 1995: Statements contained in this press release that are not based on historical facts are "forward-looking statements." Terms such as "estimate," "expect," "predict," "plan," "anticipate," "believe," "intend," "should," "would," "scheduled," and similar expressions and the negatives of such terms are intended to identify forward-looking statements. Such statements are by their nature subject to uncertainties and risk, including but not limited to union relations; availability and cost of capital; shifts in market demand; weather conditions; the performance and needs of industries served by Arkansas Best's subsidiaries; actual future costs of operating expenses such as fuel and related taxes; self-insurance claims and employee wages and benefits; actual costs of continuing investments in technology; the timing and amount of capital expenditures; competitive initiatives and pricing pressures; general economic conditions; and other financial, operational and legal risks and uncertainties detailed from time to time in the Company's SEC public filings.

The tables on the following pages show financial data on Arkansas Best Corporation and its subsidiary companies.

 
     ABF FREIGHT SYSTEM, INC.
     COMBINED FINANCIAL INFORMATION
     FOR THE QUARTER AND YEAR ENDED DECEMBER 31, 2000

                             Three Months Ended
                                December 31                   Full Year
                                             %                            %
                           2000     1999   Change    2000        1999   Change

    Operating Revenue*  $344,986  $340,672  1.3%  $1,379,280  $1,277,093  8.0%
    Operating Income*    $32,821   $34,442          $133,842    $106,969
    Operating Ratio         90.5%     89.9%             90.3%       91.6%


                     Three Months Ended
                         December 31                        Full Year
                                        %                                  %
                2000        1999      Change     2000          1999     Change
    Revenue*
      LTL     $312,698    $307,023     1.9%   $1,258,531    $1,158,479   8.6%
      TL        32,288      33,649    (4.1)%     120,749       118,614   1.8%
      Total    344,986     340,672     1.3%    1,379,280     1,277,093   8.0%

    Tonnage
     (tons)
      LTL      711,202     755,056    (5.8)%   2,977,760     2,959,960   0.6%
      TL       194,694     210,606    (7.6)%     735,522       772,235  (4.8)%
      Total    905,896     965,662    (6.2)%   3,713,282     3,732,195  (0.5)%

    Shipments
      LTL    1,395,151   1,483,439    (6.0)%   5,915,310      5911,629   0.1%
      TL        23,738      26,007    (8.7)%      91,806        95,932  (4.3)%
      Total  1,418,889   1,509,446    (6.0)%   6,007,116     6,007,561   0.0

    Revenue/CWT
      LTL       $21.98      $20.33     8.1%       $21.13        $19.57   8.0%
      TL         $8.29       $7.99     3.8%        $8.21         $7.68   6.9%
      Total     $19.04      $17.64     7.9%       $18.57        $17.11   8.5%

    Revenue/
     Shipment
      Total    $243.14     $225.69     7.7%      $229.61       $212.58   8.0%

    Cost/
     Shipment
      Total    $220.01     $202.88     8.4%      $207.33       $194.78   6.4%

     *Note:  Value rounded to thousands ($000)

Due to customers' observance of the Christmas and New Year's holidays, there were 
61 workdays in the fourth quarter of 2000 and 62 workdays in the fourth quarter of 1999. 
Includes U.S., Canadian and Puerto Rican operations of ABF affiliates.