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Cargojet Completes Acquisition Launches Feeder Network

October 3, 2007

Cargojet Income Fund (the “Fund”) (TSX: CJT.UN), Canada’s leading domestic premium overnight air cargo network announced that it has completed the previously announced acquisition of the cargo assets of Georgian Express Ltd.

Cargojet has successfully amended its Transport Canada Air Operators Certificate to permit operations using small cargo aircraft. Operating under the trade name Cargojet Regional, the Fund began serving 19 destinations in Ontario, Quebec and the Maritimes using three B1900 and four Cessna Caravan cargo aircraft effective October 2, 2007. Customer contracts that the Fund purchased through the asset purchase agreement with Georgian Express will generate approximately $10 million in annual revenues. The total purchase price paid under the asset purchase agreement for customer contracts, aircraft spare parts inventory and non-compete agreements was $1.8 million.

“This acquisition provides an initial platform on which the Fund will grow the Cargojet Regional brand. The launch of Cargojet Regional provides an improved service to the Canadian air freight industry”, said Ajay K. Virmani. “The support that Cargojet has received from our existing customer base has been extremely positive and we look forward to adding new customers as we expand our regional brand”, added Virmani.

Cargojet is Canada’s leading provider of time sensitive overnight air cargo service. Cargojet operates its network from coast to coast transporting over 550,000 pounds time sensitive air cargo to thirteen major cities in Canada each business night.

For further information, please contact:

P. Dhillon
Vice President Marketing, Public & Government Relations
Tel: (905) 501 7373

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