U.S. Laboratories Awarded Puget Sound Energy Contract

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FOR IMMEDIATE RELEASE:

U.S. Laboratories Awarded Puget Sound Energy Contract

CALIFORNIA, SAN DIEGO, Mar. 27 -/E-Wire/-- U.S. Laboratories Inc.(Nasdaq:USLB) a national and international quality control specialty services company to the construction and related engineering and architectural design industries, today announced the award of a services contract from the design engineering firm Stone & Webster Canada L.P., Toronto, Ontario, Canada, for the Frederickson, Washington power plant expansion.

The site is owned by Puget Sound Energy and is located southeast of Tacoma, Washington.

The U.S. Laboratories fast track contract will be managed by the Company's subsidiary, Earth Consultants, Inc. (ECI), of Bellevue, Washington. The contract includes geotechnical engineering and civil engineering services in conjunction with the Stone & Webster design process. The plan calls for an expansion of the existing 140-megawatt facility to an approximately 500-megawatt facility upon completion. The Company will pursue additional engineering work on this project with both Puget Sound Energy and Stone & Webster.

Dickerson Wright, Chairman & Chief Executive Officer stated, "We are pleased to provide our services in support of the capacity expansion of the Puget Energy's Frederickson Plant. Recent Federal Regulations requiring neighboring states to provide power to mitigate shortages in California's Energy System has resulted in increased demands throughout the Western Power Grid. U.S. Laboratories is well positioned through its geographic locations and its unique staffing capabilities, with its UNITEK subsidiary, to support the needs of the Energy Industry.'

Recently, U.S. Laboratories (USLB) announced the formation of an Energy division headquartered at USLB's subsidiary, Testing Engineers in San Diego to coordinate and expand its services to the utility industry in the Western states.

U.S. Laboratories (USLB), through its subsidiaries located in San Diego, Orange and Ventura counties, has enjoyed a 50-year history of supporting California utilities and energy producers for new facility construction, retrofits and power transmission projects. Major contracts have involved all aspects of electricity generation including nuclear, fossil, hydroelectric, geothermal, solar, and wind cogeneration.

The new Energy division recently entered into major contracts with Pacific Gas & Electric for two new peaking plants as well as with the University of California for a central plant cogeneration facility.

Present clients utilizing USLB's energy expertise include San Diego Gas & Electric and Southern California Edison. Listed among past projects are Encina Power Plant, South Bay Power Plant, Ormond Beach Generating Facility, and Mandalay Generating Facility. USLB's personnel have also provided testing services for the San Onofre and Diablo Canyon nuclear plants.

U.S. Laboratories Inc. provides numerous quality control specialty services to the construction, manufacturing and related engineering and architectural design industries. The Company has eight subsidiaries that are strategically located along the Pacific, Atlantic and Florida Gulf coasts and major markets within the Northeast and Southwest regions of the United States. Project assignments constitute all categories of construction and manufacturing from private commercial clients, public interest clients and public sector clients. The Company specializes in working with various municipalities of major metropolitan cities, nationally recognized corporations and a broad range of education and medical facilitators.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on the beliefs of the Company's management, as well as assumptions made by and information currently available to, the Company's management and are subject to certain risks or uncertainties. The Company cautions readers of this news release that numerous factors could cause the Company's actual results, performance or achievements in 2000 and beyond to differ materially from the results, performance or achievements expressed in or implied by such forward-looking statements. Investors should refer to documents that the Company files from time to time with the Securities and Exchange Commission for a description of certain factors that could cause actual results to vary from current expectations and forward-looking statements contained in this news release. Such filings include, without limitation, the Company's Form 10-K, Form 10-Q and Form 8-K reports. SOURCE: U.S. Laboratories Inc.

U.S. Laboratories Inc.

U.S. Laboratories Inc., Dickerson Wright, 858/715-5800

or Kehoe, White & Company, Inc., James K. White, 562/437-0655, [REDACTED-EMAIL]

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