R2003-84 AUTHORIZING ASSIGNMENT OF A CONTRACT

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First hansi#, lnc. 705 Central Avenue. Suite 300 Cincinnati, Ohio 45202-5755 Tel 513-247-2200 Fax 513-381-0149 www.firsttransit.com Ma 2003 ■ '�� Transit�� Y � Dear CoachUSA Transit Services Customer, On May ?3, 2003, CoachUSA, Inc. ("Coach") and First Transit, Inc. ("FT") announced their intent to enter a transactian that would have Coach sell their Transit Services divisio� to First Transit. The transaction is expected to close and become effective at 12:01 AM on Tuesday, July 1, 2003. The a�reement is structured as an "asset" purchase, rather than a purchase of the Division's stock. Under this arrangement, certain assets of Coach require the approval of third parties for assi�nment to FT, including the contract that currently exists between you and Coach. This submittal provides you with background information on First Transit that will assist you to take the steps necessary to complete the assignment. First Transit, Inc. has been in the public transportation business since 1969. Incorporated in Delaware and originally named ATE Management & Service Company, Inc.,,the Company made its mark in helping cities transition as they acquired the assets of private bus companies. This "transit management" concept is still a key part of our business and we count over 40 customers, including the first account we si�ned, in this business. A listing of our current Transit Management customers is included in Exhibit 1. When the Reagan Administration developed its Private Sector initiatives, our Company entered that market and attracted the attention of Ryder Truck Rental, Inc., which acquired ATE in October 1986, renaming the Company Ryder/ATE. This acquisition provided ATE with the capital needed to expand into the new outsourcing, "transit contracting" market. In the twelve years of our ownership by Ryder, the Company �rew its revenues from $17 million to nearly$210 million, all in public transportation. A listing of our current Transit Contracting customers is included in Exhibit 2. � In September 1999, FirstGroup, plc, the largest operator of public transportation services in the United Kingdom bought our Company from Ryder, renaming it First Transit. In the three and one-half years of ownership by FirstGroup, the Company has grown over 25% and now has revenues of nearly$260 million. FirstGroup has invigorated our Company and has provided leadership in developing new management practices, which have improved our operations from the outstanding base we had in the past. FirstGroup is traded on the London Stock Exchange and has revenues of$3.5 billion, of which over$900 million come from North American operations in public transportation, student transportation and municipal fleet maintenance. A copy of FirstGroup's A FirstGroup America G� �ompany