(Fort Smith, Arkansas, July 23, 2008) — Arkansas Best Corporation (Nasdaq: ABFS) today announced second quarter 2008 net income of $16.2 million, or $0.64 per diluted common share, compared to second quarter 2007 net income of $19.6 million, or $0.78 per diluted common share.  Arkansas Best’s year-to-date 2008 net income was $0.98 per diluted common share, slightly above the $0.97 per diluted common share earned during the same period last year.  Arkansas Best’s second quarter 2008 revenue was $498.5 million, a 6.7% per-day increase over second quarter 2007 revenue of $463.7 million.  On a year-to-date basis, Arkansas Best’s 2008 revenue was $946.0 million, an increase of $54.5 million over the year-to-date 2007 revenue of $891.5 million.     

ABF Freight System, Inc.^®

ABF Freight System, Inc., the company’s largest subsidiary, had second quarter 2008 revenue of $479.5 million, a per-day increase of 6.1% over second quarter 2007.  Second quarter 2008 operating income at ABF was $25.5 million compared to $30.5 million during the second quarter of 2007.  ABF’s second quarter 2008 operating ratio was 94.7% versus an operating ratio of 93.2% in the second quarter of 2007.  “We are disappointed by a 150 basis point increase in ABF’s operating ratio, although this may be typical of or better than industry results,” said Robert A. Davidson, Arkansas Best President and Chief Executive Officer.  “On a year-to-date basis, Arkansas Best’s net income and ABF’s operating ratio are comparable with last year.”

ABF’s second quarter operating results were affected by cost increases in two areas.  Diesel fuel and other fuel-related expenses throughout the ABF network were materially higher than in 2007.   In addition, although 2008 second quarter workers’ compensation costs were consistent with the ten-year historical average, they were higher than the very favorable experience last year and increased the operating ratio by nearly one-half of a percentage point.  On a year-to-date basis, workers’ compensation costs are well below the ten-year historical average. 

ABF’s second quarter 2008 total weight per day was flat compared to the same period last year.  “Beginning with the fourth quarter of 2007, the trend of ABF’s year-over-year quarterly tonnage changes has steadily improved, though in very small increments.  Essentially there has been little change in the overall freight environment during that nine-month period,” said Mr. Davidson.  “Though this economic decline has not been as deep as others in the past, it appears to be lasting longer.  As a result, ABF will continue to carefully manage labor costs and equipment levels to match available freight in our system until economic conditions show meaningful improvement.”

 “ABF’s expansion of its enhanced regional service will continue later this month and should be fully in place throughout the eastern two-thirds of the United States by the end of August.  As previously mentioned, this will result in additional transit-time improvements in tens of thousands of new regional lanes and in many of ABF’s traditional, longer lanes,” said Mr. Davidson.  “Over the past 18 months, ABF has made substantial improvements in its regional service through the establishment of the required regional network.   The changes taking place over the next two months will take advantage of this infrastructure and will provide dramatically faster transit times, allowing us to make further progress in effectively serving this important market.”  

Total billed revenue per hundredweight was $27.40, an increase of 6.0% over last year’s second quarter figure of $25.84.  “The trend of significantly higher fuel-related costs continued during the second quarter, and the associated rise in fuel surcharge increased revenue per hundredweight.  As seen in recent quarters, the increase in this measure was reduced by changes in freight mix and shipment profile.  For example, length of haul decreased by 2.2%, associated with continued success in ABF’s regional freight initiative, and total average weight per shipment increased.  In addition, ABF handled a greater percentage of spot-priced truckload shipments in order to improve utilization of system capacity,” said Mr. Davidson.  “Despite a challenging pricing environment, ABF was able to secure an average increase of 3.8% on contract and deferred pricing agreements finalized during the second quarter.  This is encouraging and illustrates that many of our customers recognize the overall value offered by ABF.”

During the second quarter, ABF maintained its excellent record of providing superior cargo care on its customers’ shipments.  ABF’s second quarter cargo claim ratio, a measure of net cash payouts to revenue, was only 0.63%.  So far this year, ABF’s claims ratio is below that of last year, which was the lowest ABF has experienced in over twenty-five years.  As previously announced in late April, ABF was awarded the Excellence in Claim/Loss Prevention Award by the American Trucking Associations for a record fourth time.  “Winning this award more times than any other carrier validates ABF as the benchmark for cargo care and loss prevention,” said Mr. Davidson.  Also, ABF’s second quarter 2008 Department of Transportation (“DOT”) recordable accidents per million road and city miles decreased by 25% versus the same period last year.  “ABF takes pride in continuing to be an industry leader in cargo care and vehicular safety.  Our success in these areas is made possible by the ongoing training of ABF’s best-in-class employees and in our adherence to the principles of ABF’s Quality Process,” said Mr. Davidson.  “ABF’s consistent performance in these vital areas is important to our customers, to our shareholders, and to the general public.”       

Conference Call

Arkansas Best Corporation will host a conference call with company executives to discuss the 2008 second quarter results.  The call will be today, Wednesday, July 23, at 12:00 Noon ET (11:00 a.m. CT).  Interested parties are invited to listen by calling (877) 275-1257 or (706) 634-6529 (for international callers).  Following the call, a recorded playback will be available through the end of the day on Wednesday, August 13, 2008.  To listen to the playback, dial (800) 642-1687 or (706) 645-9291 (for international callers).  The conference call ID for the playback is 53531624.  The conference call and playback can also be accessed, through Wednesday, August 13, on Arkansas Best’s website at arkbest.com.

Company Description

Arkansas Best Corporation, headquartered in Fort Smith, Arkansas, is a transportation holding company.  ABF Freight System, Inc., Arkansas Best’s largest subsidiary, has been in continuous service since 1923.  ABF provides transportation of less-than-truckload (“LTL”) general commodities throughout North America.  More information is available at arkbest.com and abf.com.

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 “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “plan,” “predict,” “prospects,” “scheduled,” “should,” “would,” 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; union and nonunion 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 Arkansas Best’s Securities and Exchange Commission (“SEC”) public filings.

The following tables show financial data and operating statistics on ABF Freight System, Inc.

(1)     Billed Revenue does not include revenue deferral required for financial statement purposes under the company’s revenue recognition policy.

(2)     See note to Consolidated Statements of Income on page 5.

Includes U.S., Canadian and Puerto Rican operations of ABF affiliates.

Arkansas Best Corporation Financial Report

Contact:        Ms. Judy R. McReynolds, Senior Vice President, Chief Financial Officer and Treasurer
                    Telephone: (479) 785-6281

                    Mr. David Humphrey, Director of Investor Relations
                    Telephone: (479) 785-6200