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C&S Wholesale Grocers, Inc. Implements XATANET On-Demand Fleet Management Software

MINNEAPOLIS, October 9, 2007-XATA Corporation (NASDAQ: XATA) today announced that C&S Wholesale Grocers, Inc., the second-largest food distributor, has chosen to equip more than 700 trucks with XATANET. C&S's fleet delivers to both local and regional routes with Class 7 and Class 8 trucks, and this implementation brings C&S's XATA-enabled fleet to more than 1,000 vehicles.

XATANET 4.0 is designed to improve fleet MPG, monitor mobile assets in real-time and reduce time needed to track regulatory compliance. XATANET allows users to receive real-time location and mapping of fleet assets and for the real-time exchange of driver, vehicle, route and delivery information via a two-way wireless communications network. Many XATANET customers have eliminated the time-consuming tasks associated with manually managing drivers. logs and DOT audits.

"XATANET and XATA's fleet operations experts will provide us with tools that will reduce our costs and better serve our customers," said Michelle Livingstone, senior vice president of transportation, C&S Wholesale Grocers. "This implementation will also help us with the proverbial 'Where's the truck?' question in real-time. We plan to use XATA's Implementation Services and advanced on-site training to ensure our drivers and fleet managers are proficient in using the tools."

To help reduce fleet fuel consumption, XATANET 4.0 measures fuel usage, along with vehicle idle times, speeding time, driver-shifting patterns and real-time communications. Fleet managers can easily create exception-based alerts to proactively address inefficient driving habits, reduce idle time and optimize operations for best fuel performance.

C&S provides food warehousing and distribution services from more than 60 facilities throughout the United States, serving some of the country's largest supermarket chains.

"Including C&S Wholesale Grocers, XATA now serves 30 of the 100 largest privates fleets in the U.S.," said David Gagne, executive vice president, sales and marketing, XATA. "Our professional Implementation Services will ensure that C&S realizes a quick and substantial return on investment and can better serve its customers."

For more information about XATA and XATANET 4.0, visit www.xata.com or call 1-800-745-9282.

About C&S Wholesale Grocers

In 2006, Forbes Magazine ranked C&S the 7th largest privately held company in the United States. Founded in 1918, C&S provides distribution services to grocery chains and independent stores, delivering to more than 5,000 locations from over 60 distribution centers.  
 
C&S Wholesale Grocers supports initiatives to stop hunger and to promote the health and enrichment of communities that are homes to its employees and facilities. C&S was named the 2006 America's Second Harvest Grocery Distributor of the Year, and is the 2007 Supermarket News Community Service Award Winner.

To learn more about C&S Wholesale Grocers, Inc. visit www.cswg.com.

About XATA

XATA is the expert in optimizing fleet operations by reducing costs and ensuring regulatory compliance for the trucking industry. Our on-demand software and services help companies manage fleet operations, enhance driver safety and deliver a higher level of customer satisfaction.  Offered through a fee-based subscription service, XATA affordably oversees every truck in an organization’s fleet, from small fleets to fleets with thousands of vehicles.  XATA provides expert services to develop the business processes required to deliver the profitability, safety and service levels demanded by today’s competitive transportation environments.

Based in Minneapolis, XATA revolutionized the trucking industry by being the first to introduce electronic driver logs and exception-based management reporting with automatic fleet information updates. With the introduction of XATANET in 2004, our customers now have access to vehicle data anywhere, anytime. Publicly traded, XATA’s FY06 revenues were more than $30 million, a growth rate of 59% over the previous year. XATA now serves 30 of the top 100 private fleets in the U.S.

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