back to 2008 Press Releases

Cargojet Income Fund Announces Second Quarter Results

August 12, 2008

Mississauga, ONT, - Cargojet Income Fund (the "Fund") TSX: CJT.UN) announced today financial results for the Second Quarter ended June 30, 2008.

For the Three Month Period Ended June 30, 2008:

Revenues increased to $52.1 million from $33.8 million for the comparable period in 2007, an increase of 54.1%;

Direct expenses increased to $46.3 million from $25.1 million for the comparable period in 2007, an increase of 84.5%;

EBITDA decreased to $1.1 million from $5.4 million for the comparable period in 2007;

"Delays with the acceptance and introduction of our new Boeing 757-200ER (B757) and two Boeing 767-200ER (B767) freighters have impacted our financial results for the second quarter of 2008. Increased sub-charter and significant crew and training costs were the primary reason for the reduction in EBITDA despite an increase in core revenues during the quarter,” said Ajay Virmani, President and Chief Executive Officer. Rising fuel costs have also lowered our growth expectations for the balance of this year. Despite recent financial and economic trends we remain positive about our business model and our recent investment in the new aircraft.  We will remain focused on being the best overnight air cargo service provider in North America by consistently delivering our customers with a reliable, cost effective and value added solution to their time sensitive air cargo needs.  This is an exciting year of growth opportunities for the Fund and our fleet plans will position ourselves well for the future." adds Virmani.

The Fund’s consolidated interim financial statements and Management’s Discussion and Analysis (“MD&A”) for the second quarter of 2008 have been released to the Fund’s website at www.cargojet.com and have also been filed with SEDAR.

Cargojet management will host a conference call at 2:30p.m. Eastern Daylight Time (11:30 a.m. Pacific Daylight) on Tuesday, August 12, 2008.

Cargojet is Canada's leading provider of time sensitive overnight air cargo services. Cargojet operates its network across North America, transporting over 885,000 pounds of time sensitive air cargo each business night, utilizing a fleet of thirty-four all-cargo aircraft.

For further information, please contact:

Pauline Dhillon, VP Marketing, Public and Government Relations
(905) 501-7373 ext 135 or at
pdhillon@cargojet.com.

Notice on Forward Looking Statements:

Certain statements contained herein constitute "forward-looking statements".  Forward-looking statements look into the future and provide an opinion as to the effect of certain events and trends on the business.  Forward-looking statements may include words such as "plans," "intends," "anticipates," "should," "estimates," "expects," "believes," "indicates," "targeting," "suggests" and similar expressions.  These forward-looking statements are based on current expectations and entail various risks and uncertainties.  Actual results may materially differ from expectations, if known and unknown risks or uncertainties affect our business, or if our estimates or assumptions prove inaccurate.  The issuer assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or any other reason.