Cargojet Income Fund Announces Strong Third Quarter Results

MISSISSAUGA, ON, Nov. 8 /CNW/ - Cargojet Income Fund (the "Fund")TSX: CJT.UN) announced today financial results for the Third Quarter ended September 30, 2010.

For the Third Quarter Ended September 30, 2010*:

• Net Income increased to $2.2 million or 22.2% as compared to the previous quarter and increased by 83.3% as compared to the same period in 2009.
• EBITDA increased to $5.7 million or 35.7% as compared to the previous quarter and increased by 3.6% as compared to the same period in 2009.
• Revenues increased to $38.8 million or 2.6% as compared to the previous quarter and increased by 8.7% as compared to the same period in 2009.
• Direct Expenses increased to $29.4 million or 0.7% as compared to the previous quarter and increased by 16.7% as compared to the same period in 2009.

*All figures exclude the discontinued operations of the Cargojet Regional business that was sold on July 14, 2010.

"Strengthening customer demand has resulted in revenue increases in virtually all business sectors.  We are very pleased with the continued improvement over the previous quarter and the relative stability and growth in customer demand.  Increased direct expenses were primarily due to the additional block hours flown for charters, higher fuel costs and foreign exchange gains recorded in the prior year," said Ajay Virmani, President and Chief Executive Officer.  "We are benefiting from the full effect of previously introduced cost controls that have translated into margin improvements combined with significantly increased customer demand," added Virmani.

The Fund's Consolidated Interim Financial Statements and Management Discussion and Analysis for the three month period ended September 30, 2010 have been released to the Fund's website at www.cargojet.com and have also been filed with SEDAR.

Cargojet is Canada's leading provider of time sensitive overnight air cargo services. Cargojet operates its network across North America, transporting over 750,000 pounds of time sensitive air cargo each business night, utilizing a fleet of thirteen all-cargo aircraft.

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.

%SEDAR: 00022068E

For further information:

P. Dhillon
Vice President Marketing, Public & Government Relations
Tel: [phone]
[email protected]