Rand Logistics Purchases Three Vessels from Wisconsin and Michigan Steamship

Significant Opportunity to Boost Vessel Margins through Improved
Operating Efficiencies

Transaction Eliminates Reporting of Variable Interest Entity
NEW YORK--(Business Wire)--
Rand Logistics Inc. (Nasdaq: RLOG; RLOGW; RLOGU) ("Rand") today
announced that its wholly-owned subsidiary, Grand River Navigation,
has exercised its option to purchase three vessels from Wisconsin and
Michigan Steamship ("WMS"), the David Z., the Earl W. and the
Wolverine, for an all-in cost of approximately $20 million in cash.
One of the three vessels purchased has subsequently been sold to the
Company's Canadian subsidiary for Canadian registry and deployment.

Rand's subsidiary, Lower Lakes Transportation, had been operating
the vessels under a long term charter agreement with WMS since August
1, 2006. The time charter agreement provided Rand the option of
purchasing the vessels at any time during the charter period.

Laurence S. Levy, Chairman and CEO of Rand, said, "By purchasing
the three vessels, we will be able to eliminate both the operating and
accounting complexities associated with the time charter. This
acquisition represents a significant opportunity for future profit
growth through the elimination of duplicate overhead and the full
integration of the vessels into Rand's fleet, resulting in more cost
efficient operations. By consolidating the results of these vessels we
are able to present a more transparent financial picture for our
business by eliminating the Variable Interest Entity reporting line
from our income statements."

Due to Lower Lakes' time charter agreement with WMS, WMS was
considered a variable interest entity in accordance with FASB
Interpretation ("FIN") 46R, which requires the Company to consolidate
certain entities even though the Company does not hold any ownership
interest in the entity. Following consummation of the acquisition,
financial results for the three vessels will now be consolidated into
Rand's financial results.

About Rand Logistics

Rand Logistics, Inc. is a leading provider of bulk freight
shipping services throughout the Great Lakes region. Through its
subsidiaries, the Company operates a fleet of ten self-unloading bulk
carriers, comprised of nine River Class vessels and one River Class
integrated tug/barge unit, and three conventional bulk carriers, of
which one is operated under a contract of affreightment. The Company
is the only carrier able to offer significant domestic port-to-port
services in both Canada and the U.S. on the Great Lakes. The Company's
vessels operate under the U.S. Jones Act - which dictates that only
ships that are built, crewed and owned by U.S. citizens can operate
between U.S. ports - and the Canada Marine Act - which requires
Canadian commissioned ships to operate between Canadian ports.

Forward-Looking Statements

This press release may contain forward-looking statements (within
the meaning of the Private Securities Litigation Reform Act of 1995)
concerning the Company and its operating subsidiaries. Forward-looking
statements are statements that are not historical facts, but instead
statements based upon the current beliefs and expectations of
management of the Company. Such forward-looking statements are subject
to risks and uncertainties, which could cause actual results to differ
from the results included in such forward-looking statements.

Rand Logistics, Inc.
Laurence S. Levy, 212-644-3450
Chairman & CEO
or
INVESTOR RELATIONS COUNSEL:
The Piacente Group
Lenny Santiago, 212-481-2050
Lenny@tpg-ir.com

Copyright Business Wire 2008