Third Quarter Highlights:
    *  Revenues up 48%
    *  Operating income increases by 41%
    *  Continued investments in personnel
    *  Same terminal revenue growth increases by 37% (A)
    *  Continued US, Canada and Mexico terminal expansion on schedule

    Financial & Operating Data                       Quarter Ended
    (Reflects 2-for-1 stock split effected                             %
      August 1, 1996)                       6/30/97      6/30/96    Change
    Revenues (000's)                        $71,301      $48,240      48%
    Operating Income (000's)                 $6,352       $4,515      41%
    Net Income (000's)                       $4,104       $3,114      32%
    Net Income Per Share                      $0.22        $0.17      29%

    Operating Data
    Freight Forwarding Shipments            183,085      136,327      34%
    Average Weight (lbs.) Per Shipment          598          555       8%
    Freight Forwarding Terminals                 57           44      30%
    Local Delivery Locations                     43           24      79%

    "We increased revenues and, we believe, market share since June 30, 1996
by strong same terminal growth, growth at our newer terminals, and the
continued addition of significant national account customers.  Record revenues
as well as solid earnings underscore our proven ability to deliver high
quality, customized and flexible transportation and logistics services on a
very price-competitive basis.  To keep pace with our significant growth and to
prepare for 1998, we continue to build infrastructure through investments in
personnel.  We hope to begin to realize benefits from these investments during
fiscal year 1998."
     -- James R. Crane, Chairman and Chief Executive Officer
    (A) Percentage increase in revenues for those terminals open as of the
        beginning of the prior fiscal year.

    HOUSTON, July 28 /PRNewswire/ -- Eagle USA Airfreight, Inc. (Nasdaq: EUSA)
(EUSA) today announced record revenues and solid earnings for the third
quarter ended June 30, 1997, primarily driven by the rapid expansion of its
core freight forwarding business and strong increases in the number of
shipments and the total weight of cargo shipped.
    Revenues for the third quarter increased 48 percent to $71.3 million from
$48.2 million in the same period of fiscal 1996.  Net income for the quarter
totaled $4.1 million, a 32 percent increase over $3.1 million in the third
quarter of fiscal 1996.  Earnings per share of $0.22 for the third quarter of
fiscal 1997 increased 29 percent from $0.17 in the same period of fiscal 1996.
Same terminal revenue growth in the third quarter increased 37 percent,
primarily as a result of continued strong performance by the Company's sales
personnel.
    Revenues for the nine months ended June 30, 1997 increased 57 percent to
$200.4 million from $128.0 million in the same period of fiscal 1996.  Net
income for the nine months ended June 30, 1997 totaled $11.6 million, a 49
percent increase over $7.8 million in the nine months of fiscal 1996.
Earnings per share of $0.62 for the nine months ended June 30, 1997 increased
44 percent from $0.43 in the same period of fiscal 1996.  Same terminal
revenue growth for the nine months increased 44 percent.
    "We increased revenues and, we believe, market share since June 30, 1996
by strong same terminal growth, growth at our newer terminals, and the
continued addition of significant national account customers," said James R.
Crane, Chairman and Chief Executive Officer. "Record revenues as well as solid
earnings underscore our proven ability to deliver high quality, customized and
flexible transportation and logistics services on a very price-competitive
basis.  To keep pace with our significant growth and to prepare for 1998, we
continue to build infrastructure through investments in personnel.  We hope to
begin to realize benefits from these investments during fiscal year 1998."
    Crane also noted that continued strong growth in international sales is
helping to fuel overall results.  International shipments typically weigh
approximately 2-3 times more than domestic shipments and, as a result,
generate greater revenue per shipment.  The Company continues to expand in
Mexico, and expects to add terminals in Guadalajara and Mexico City during the
fourth quarter.  International sales, which accounted for 8 percent of total
revenues for the quarter increased 95 percent in the third quarter of fiscal
1997 over the same period in fiscal 1996.
    During the third quarter of 1997, the Company opened domestic terminals in
Nashville, Tennessee; South Bend, Indiana; Reno, Nevada and Boise, Idaho.
Management expects to open at least three additional terminals during the
fourth quarter, including the aforementioned sites in Mexico, for a total of
60 terminals by the end of the fiscal year.
    Third quarter gross profit margin was 43.9 percent of revenues versus
43.4 percent in the traditionally weaker second quarter of 1997.  The primary
reasons for margin improvement were increased airfreight shipping volumes, as
the number of shipments increased 5 percent and the total weight of cargo
shipped increased 12 percent over second quarter 1997, and the continued
expansion of the Company's local pick-up and delivery operations, which
enabled the Company to capture margins previously paid to third parties.
    Continued strong marketing efforts yielded new business for the Company
during the third quarter.  Eagle USA will act as the primary carrier for the
majority of the major pharmaceutical customers of Distribution Solutions
International, Inc.  The Company also secured a signed contract extension with
Anixter, Inc.  The trade show market segment continued to add significantly to
overall revenues.
    Eagle USA Airfreight's dedication to providing superior flexibility and
fewer shipping restrictions on a price competitive basis has made it a leading
provider of airfreight forwarding and other transportation and logistics
services.  Its network of 57 terminals features state-of-the-art information
systems to maximize cargo management efficiency and customer satisfaction.
The Company's shares are traded on the Nasdaq National Market under the symbol
"EUSA."
    The statements in this press release regarding the plans for new
terminals, benefits of investments in personnel, future growth, future
business, operations or results and any other statements which are not
historical facts are forward looking statements.  Such statements involve
risks and uncertainties, including, but not limited to, competition, general
economic conditions, ability to manage and continue growth and other factors
detailed in the Company's filings with the Securities and Exchange Commission.
Should one or more of these risks or uncertainties materialize, or should
underlying assumptions prove incorrect, actual outcomes may vary materially
from those indicated.


                        EAGLE USA AIRFREIGHT, INC.
              CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                 (in thousands, except per share amounts)
                             (unaudited)

                                    Three Months             Nine Months
                                    Ended June 30,          Ended June 30,
                                   1997       1996        1997        1996
    Revenues                     $71,301    $48,240    $200,376    $127,989
    Cost of transportation        39,981     27,016     112,858      71,402
      Total                       31,320     21,224      87,518      56,587
    Personnel costs               16,911     10,765      46,084      28,930
    Other selling, general and
      admin. costs                 8,057      5,944      23,859      15,553
    Operating income               6,352      4,515      17,575      12,104

    Interest and other income        374        295       1,348         758
    Interest expense                  --         (5)         --        (141)
    Income before provision
      for income taxes             6,726      4,805      18,923      12,721
    Provision for income taxes (a) 2,622      1,691       7,357       4,958

    Net income                    $4,104     $3,114     $11,566      $7,763
    Net income per share (b)       $0.22      $0.17       $0.62       $0.43
    Weighted average common and
      common equivalent shares
      outstanding (b)             18,673     18,818      18,614      17,872

    (a)  Eagle USA Airfreight, Inc. was an S Corporation for federal income
tax purposes prior to the closing of the initial public offering on
December 6, 1995.  The provision for income taxes for the nine months ended
June 30, 1996 includes a pro forma charge of $945 which represents the
estimated federal taxes that would have been reported had Eagle USA been a C
Corporation prior to December 6, 1995.
    (b)  All amounts reflect a two-for-one stock split effected in the form of
a stock dividend paid on August 1, 1996.
                          EAGLE USA AIRFREIGHT, INC.
                    CONDENSED CONSOLIDATED BALANCE SHEETS
                              (in thousands)
                                (unaudited)

                                                   June 30,     September 30,
                                                    1997             1996
    ASSETS
    Current assets:
    Cash, cash equivalents and short-term
      investments                                  $34,078          $30,105
    Accounts receivable, net                        41,392           30,379
    Prepaid expenses and other                       4,673            2,290
      Total current assets                          80,143           62,774
    Property and equipment, net                     11,235            8,333
    Other assets                                       667              622

      Total assets                                 $92,045          $71,729

    LIABILITIES AND SHAREHOLDERS' EQUITY
    Current liabilities:
    Accounts payable and accrued transportation    $13,313          $13,277
    Other current liabilities                        8,228            8,010

      Total current liabilities                     21,541           21,287
    Long-term indebtedness                              --               --

    Shareholders' equity                            70,504           50,442
      Total liabilities and shareholders' equity   $92,045          $71,729

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