Saia (SAIA) 8-K Results of Operations and Financial Condition

Exhibit 99.1

For Immediate Release

SCS Transportation, Inc. Reports Second-Quarter 2006 Earnings
Revenues and Operating Income Increase 21 Percent and 51 Percent, Respectively
Company Renamed Saia, Inc.

KANSAS CITY, Mo. and DULUTH, Ga. — July 20, 2006 — SCS Transportation, Inc. (NASDAQ: SCST), a holding company comprised of Saia Motor Freight Line, Inc. (Saia), a leading multi-regional less-than-truckload (LTL) carrier, today reported second-quarter 2006 results. The Company also announced today that effective immediately its name has changed to Saia, Inc. and effective Monday, July 24, 2006 it will adopt and trade under the new NASDAQ ticker symbol “SAIA”. These changes more accurately reflect the Company’s focus on its sole operating company, Saia, following the June 30, 2006 completion of the sale of Jevic Transportation, Inc. (Jevic).

Second-Quarter 2006 Results from Continuing Operations Compared to Second-Quarter 2005

• Revenues were $225 million, an increase of 21 percent

• Operating income was $17.0 million, an increase of 51 percent

• Income from continuing operations was $9.0 million, an increase of 70 percent

• Earnings per share from continuing operations were $0.60, an increase of 71 percent

Second-Quarter 2006 Operational Highlights From Continuing Operations

• LTL tonnage increased 12 percent versus the prior-year quarter

• LTL yield grew 8 percent (3 percent excluding fuel surcharges)

• Operating ratio, excluding restructuring charges, improved 220 basis points to 91.7

“Saia is a top-tier LTL service provider that delivered yet another strong quarter,” said Bert Trucksess, chairman and chief executive officer. “We are confident that Saia is well-positioned for continued profitable growth and value creation and that the continued execution of Saia’s strategic initiatives should create outstanding value for our shareholders.”

Rick O’Dell, president, said, “Revenues benefited from both tonnage growth well above the underlying economy and a favorable pricing environment. Operating income gains resulted from the volume increases as well as effective cost management.”

Discontinued Operations and Related Charges
In connection with the sale of Jevic, the Company recorded a non-cash, after-tax charge in the second quarter of $44.0 million, or $2.96 per share. Jevic is now reflected as a discontinued operation in the Company’s financial statements. Also in the second quarter, the Company recorded a pre-tax charge in continuing operations of $1.7 million, or $0.07 per share, of an

SCS Transportation Second-Quarter 2006 Earnings
Page 2

estimated $2.6 million in costs related to the planned consolidation and relocation of the Company’s corporate headquarters to Duluth, Ga.

Year-to-Date 2006 Results from Continuing Operations Compared to Year-to-Date 2005

• Revenues were $429 million, an increase of 22 percent

• Operating income was $25.6 million, an increase of 31 percent

• Income from continuing operations was $12.9 million, an increase of 48 percent

• Earnings per share from continuing operations were $0.87, an increase of 53 percent

Financial Position and Capital Expenditures
Total debt was $112.4 million at June 30, 2006, and debt to total capital was 36 percent. Net debt to total capital was 25 percent as a result of the Company’s $47.6 million cash balance reflecting proceeds from the sale of Jevic.

Consolidated net capital expenditures from continuing operations for the first six months of 2006 were $41.7 million. The Company expects 2006 net capital expenditures from continuing operations of approximately $90 million which includes planned investments in strategic real estate.

Conference Call
The Company will hold a conference call to discuss second-quarter results on Friday, July 21, 2006, at 9:30 a.m. Eastern Time (8:30 a.m. Central Time). To participate in the call, please dial 1-800-275-8866 or dial 1-706-634-4936 for international calls. Callers should dial in five to 10 minutes in advance of the conference call. This call will be webcast live via the company web site at www.scstransportation.com and will be archived on the site. A replay of the call will be available two hours after the completion of the call through July 28, 2006. The replay is available by dialing 1-800-642-1687 and using conference code 2686402.

The webcast is also being distributed through the Thomson StreetEvents Network. Individual investors can listen to the call at www.earnings.com, Thomson’s individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson StreetEvents (www.streetevents.com), a password-protected event management site.

Saia, Inc., formerly known as SCS Transportation, Inc., is the parent of Saia Motor Freight Line, Inc., a multi-region LTL carrier based in Duluth, Ga. Saia focuses on regional and interregional less-than-truckload (LTL), and selected truckload (TL) and time-definite services. It operates 128 terminals throughout 30 states and employs approximately 7,100 people. For more information, please visit the Company’s website at www.saia.com.

The Securities and Exchange Commission encourages companies to disclose forward-looking information so that investors can better understand the future prospects of a company and make informed investment decisions. This news release contains these types of statements, which are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.

Words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “may,” “plan,” “predict,” “believe” and similar words or expressions are intended to identify forward-looking statements.

SCS Transportation Second-Quarter 2006 Earnings
Page 3

Investors should not place undue reliance on forward-looking statements, and the Company undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements reflect the present expectation of future events of our management and are subject to a number of important factors, risks, uncertainties and assumptions that could cause actual results to differ materially from those described in any forward-looking statements. These factors and risks include, but are not limited to, general economic conditions; adjustments to consideration received for the sale of Jevic; indemnification obligations associated with the sale of Jevic; cost and availability of qualified drivers, fuel, purchased transportation, property, revenue equipment and other operating assets; governmental regulations, including but not limited to Hours of Service, engine emissions, compliance with recent legislation requiring companies to evaluate their internal control over financial reporting and Homeland Security; dependence on key employees; inclement weather; labor relations; integration risks; effectiveness of company-specific performance improvement initiatives; competitive initiatives and pricing pressures; terrorism risks; self-insurance claims, equity-based compensation and other expense volatility; the Company’s determination from time to time whether to purchase any shares under the repurchase program; and other financial, operational and legal risks and uncertainties detailed from time to time in the Company’s SEC filings.

# # #

CONTACT: Greg Drown
SCS Transportation
816-714-5906
gdrown@scstransportation.com

Matthew Sherman
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449
msherman@joelefrank.com

Saia, Inc. and Subsidiaries
(formerly SCS Transportation, Inc. and Subsidiaries)
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)

	June 30,			December 31,
	2006			2005
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	47,602		$	16,865
Accounts receivable		95,959			85,074
Prepaid expenses and other		30,441			22,233
Current assets of discontinued operations		—			50,073
Total current assets		174,002			174,245
PROPERTY AND EQUIPMENT:
Cost		457,510			427,019
Less: Accumulated depreciation		191,689			180,385
Net property and equipment		265,821			246,634
GOODWILL AND OTHER ASSETS		32,765			33,419
Long-term assets of discontinued operations, net		—			100,443
Total assets	$	472,588		$	554,741
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES:
Accounts payable and checks outstanding	$	43,166		$	43,487
Wages and employees’ benefits		39,105			37,915
Other current liabilities		27,101			26,797
Current portion of long-term debt		8,856			5,000
Current liabilities of discontinued operations		—			23,388
Total current liabilities		118,228			136,587
OTHER LIABILITIES:
Long-term debt		103,593			109,913
Deferred income taxes		40,949			40,949
Claims, insurance and other		12,199			14,041
Long-term liabilities of discontinued operations		—			24,859
Total other liabilities		156,741			189,762
SHAREHOLDERS’ EQUITY:
Common stock		15			14
Additional paid-in capital		197,498			194,398
Deferred compensation trust		(1,630	)		(1,322	)
Retained earnings		1,736			35,302
Total shareholders’ equity		197,619			228,392
Total liabilities and shareholders’ equity	$	472,588		$	554,741

Saia, Inc. and Subsidiaries
(formerly SCS Transportation, Inc. and Subsidiaries)
Consolidated Statements of Operations
For the Quarter and Six Months Ended June 30, 2006 and 2005
(Amounts in thousands, except per share data)
(Unaudited)

	Second Quarter						Six Months
	2006			2005			2006			2005
OPERATING REVENUE	$	224,814		$	185,824		$	429,460		$	352,789
OPERATING EXPENSES:
Salaries, wages and employees’ benefits		117,502			101,761			230,568			195,551
Purchased transportation		18,101			14,149			35,109			26,734
Operating expenses and supplies		48,758			37,308			93,664			70,379
Operating taxes and licenses		7,303			6,513			14,651			12,732
Claims and insurance		6,793			7,662			13,099			14,234
Depreciation and amortization		7,845			7,313			15,429			14,055
Operating (gains) and losses		(191	)		(162	)		(324	)		(436	)
Restructuring charges		1,680			—			1,680			—
Total operating expenses		207,791			174,544			403,876			333,249
OPERATING INCOME		17,023			11,280			25,584			19,540
NONOPERATING EXPENSES:
Interest expense		2,427			2,429			4,901			4,850
Other, net		(28	)		(74	)		(213	)		53
Nonoperating expenses, net		2,399			2,355			4,688			4,903
INCOME BEFORE INCOME TAXES		14,624			8,925			20,896			14,637
Income tax provision		5,658			3,650			8,013			5,911
INCOME FROM CONTINUING OPERATIONS		8,966			5,275			12,883			8,726
Income (loss) from discontinued operations, net (including loss on disposal of $44,015 in 2006, net of tax benefit)		(44,903	)		515			(46,449	)		1,036
NET INCOME (LOSS)	$	(35,937	)	$	5,790		$	(33,566	)	$	9,762
Average common shares outstanding — basic		14,557			14,892			14,529			14,975
Average common shares outstanding — diluted		14,873			15,217			14,859			15,318
Basic earnings per share-continuing operations	$	0.61		$	0.35		$	0.89		$	0.58
Basic earnings (loss) per share-discontinued operations		(3.08	)		0.04			(3.20	)		0.07
Basic earnings (loss) per share	$	(2.47	)	$	0.39		$	(2.31	)	$	0.65
Diluted earnings per share-continuing operations	$	0.60		$	0.35		$	0.87		$	0.57
Diluted earnings (loss) per share-discontinued operations		(3.02	)		0.03			(3.13	)		0.07
Diluted earnings (loss) per share	$	(2.42	)	$	0.38		$	(2.26	)	$	0.64

Saia, Inc. and Subsidiaries
(formerly SCS Transportation, Inc. and Subsidiaries)
Condensed Consolidated Statements of Cash Flows
For the Six Months Ended June 30, 2006 and 2005
(Amounts in thousands)
(Unaudited)

	2006			2005
OPERATING ACTIVITIES:
Net cash from operating activities-continuing operations	$	27,609		$	26,531
Net cash from operating activities-discontinued operations		9,158			10,283
Net cash from operating activities		36,767			36,814
INVESTING ACTIVITIES:
Acquisition of property and equipment		(42,328	)		(14,349	)
Proceeds from disposal of property and equipment		667			897
Proceeds from sale of subsidiary		41,200			–
Net investment in discontinued operations		(5,359	)		(11,203	)
Net cash used in investing activities		(5,820	)		(24,655	)
FINANCING ACTIVITIES:
Repayment of long-term debt		(2,500	)		(8,002	)
Borrowing of long-term debt		–			4,000
Repurchase of common stock		–			(9,177	)
Proceeds from stock option exercises		2,290			514
Net cash used in financing activities		(210	)		(12,665	)
NET INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS		30,737			(506	)
CASH & CASH EQUIVALENTS, BEGINNING OF PERIOD		16,865			6,949
CASH & CASH EQUIVALENTS, END OF PERIOD	$	47,602		$	6,443

Saia Motor Freight Line, Inc.
Financial Information
For the Quarter and Six Months Ended June 30, 2006 and 2005
(Amounts in thousands)

	Second Quarter				%		Six Months				%
	2006		2005		Change		2006		2005		Change
Operating revenue		224,814		185,824		21.0		429,460		352,789		21.7
Operating income		19,117		12,507				31,577		21,470
Operating ratio		91.5		93.3				92.6		93.9

									Second Quarter
		Second Quarter				%			Amount/Workday				%
		2006		2005		Change			2006		2005		Change
Workdays										64		64
F/S Revenue	LTL		208,519		172,432		20.9			3,258.1		2,694.3		20.9
	TL		16,295		13,392		21.7			254.6		209.3		21.7
	Total		224,814		185,824		21.0			3,512.7		2,903.6		21.0
Revenue excluding	LTL		208,867		172,720		20.9			3,263.5		2,698.8		20.9
revenue recognition	TL		16,322		13,414		21.7			255.0		209.6		21.7
adjustment	Total		225,189		186,134		21.0			3,518.5		2,908.4		21.0
Tonnage	LTL		882		787		12.1			13.78		12.29		12.1
	TL		179		162		10.5			2.80		2.54		10.5
	Total		1,061		949		11.9			16.58		14.83		11.9
Shipments	LTL		1,564		1,416		10.5			24.44		22.12		10.5
	TL		25		22		14.2			0.39		0.34		14.2
	Total		1,589		1,438		10.5			24.83		22.46		10.5
Revenue/cwt.	LTL		11.84		10.98		7.8
	TL		4.55		4.13		10.1
	Total		10.61		9.81		8.2
Revenue/cwt.	LTL		10.26		9.95		3.1
(excluding fuel surcharge)	TL		4.46		4.07		9.8
	Total		9.28		8.95		3.8
Revenue/shipment	LTL		133.53		121.99		9.5
	TL		653.32		612.93		6.6
	Total		141.70		129.47		9.4
Pounds/shipment	LTL		1,128		1,111		1.5
	TL		14,357		14,831		(3.2	)
	Total		1,336		1,320		1.2