Contrans Income Fund Realigns Eastern Operations



    WOODSTOCK, ON, Feb. 20 /CNW/ - Contrans Income Fund (TSX:CSS.UN) today
announced that it has initiated a realignment of its Flatbed and Van business
units in Eastern Canada. These measures, which will take effect in April 2008,
are designed to maintain and build upon the Fund's competitive leadership
position in these segments by realizing economies of scale, increasing
operating efficiency and reducing overhead costs.
    Contrans is bringing the operational direction and administrative
functions of various Eastern Canadian Van operations together under a single
management group. These functions, currently within the Brookville Carriers
Van LP offices in Saint John, New Brunswick and Milton, Ontario will be
transferred to Laidlaw Carriers Van LP, which is based in Guelph, Ontario.
This will result in improved traffic management and more efficient fleet
utilization.
    In addition, all administrative functions for the East Coast Flatbed
business units will be centralized at the General Freight Carriers LP facility
in Saint John, New Brunswick. The existing operations groups in each business
unit will remain in place and will continue to operate under their current
banners. These changes will enhance the role of Contrans as the pre-eminent
flatbed carrier in Eastern Canada and the largest flatbed carrier in the
country.
    "These measures are the logical next step in the development of our van
and flatbed businesses," said Stan Dunford, Contrans Chairman and Chief
Executive Officer. "We review our operations on an ongoing basis to find ways
to improve business performance. Like other companies, we have had to manage
the effects of many changes in business conditions such as plant closures, the
value of the Canadian dollar, escalating fuel prices and other economic
pressures. We prefer meeting these challenges head on and in a proactive
manner rather than standing by and hoping conditions will improve. With the
actions that we are commencing today, we will continue to manage our business
from a position of strength.
    "We have initiated this realignment after careful study and consultation
with our managers in the respective regions and businesses. These measures
will make us more efficient and position us for continued growth in these
markets."

    Contrans has been providing freight transportation services since 1985.
With approximately 1,400 power units, 2,300 trailers and 2,000 employees and
owner-operators, Contrans is one of the largest freight transportation
companies in Canada.





For further information:

For further information: Stan Dunford, Chairman and Chief Executive
Officer, or Greg Rumble, President and Chief Operating Officer,
Phone: (519) 421-4600, E-mail: info@contrans.ca, Web site: www.contrans.ca

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Contrans Group Inc.

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