Contrans Income Fund announces first quarter results

    - (TSX. Symbol CSS.UN)

    WOODSTOCK, ON, April 30 /CNW/ -

                                                            Canadian dollars

    (in millions except per unit amounts)                   2007        2006
    Revenue - transportation services(2)                $  106.4    $   94.6
    Revenue - fuel surcharges(1)(2)                         13.0        12.9
    Revenue - total                                        119.4       107.5
    Operating expenses - net of fuel surcharges             82.7        73.6
    Selling, general and administration expenses            10.3         9.5
    Earnings before amortization, interest, gain on
     sale of land and income taxes (EBITDA)(2)              13.4        11.5
    Amortization of property and equipment                   3.3         3.1
    Amortization of intangible assets                        1.0         0.5
    Net interest expense                                     1.3         0.4
    Earnings before gain on sale of land and
     income taxes                                            7.8         7.5
    Gain on sale of land                                       -         2.9
    Earnings before taxes                                    7.8        10.4
    Income taxes                                            (0.3)        0.7
    Net income                                          $    8.1    $    9.7
    Earnings per unit - basic and diluted
      Excluding gain on sale of land                    $   0.28    $   0.25
      Including gain on sale of land                    $   0.28    $   0.34

    Distributable cash earned(2) per unit
     - basic and diluted
      Excluding proceeds from sale of land              $   0.39    $   0.35
      Proceeds from sale of land                               -        0.13
    Distributable cash earned                               0.39        0.48
    Distributions declared                                  0.31        0.31

    Distributable cash earned per unit in excess
     of distributions declared per unit                 $   0.08    $   0.17

    (1) Management believes that it is important to isolate the effects of
        fuel surcharges, a volatile source of revenue, when analyzing
        operating results. Management regards revenue from transportation
        services as the relevant indicator of business level activity.

    (2) Revenue - transportation services, revenue - fuel surcharges, EBITDA
        and, distributable cash earned are not measures recognized by
        Canadian generally accepted accounting principles ("GAAP"), do not
        have standardized meanings prescribed by GAAP and are therefore
        unlikely to be comparable to similarly named measures presented by
        other issuers. However, management believes that they are important
        and useful measures in evaluating the performance of the Fund.
        Reasons for using these non-GAAP measures are outlined under "Use of
        Non-GAAP Financial Measures" in the Fund's 2006 Annual Report.


    "We entered 2007 as the pre-eminent freight transportation company in
Canada," stated Chairman and Chief Executive Officer, Stan Dunford. "Our focus
has never wavered from providing our customers with premium service. This
level of service often gives our customers an advantage over their competitors
and makes us an integral part of their supply chain. Our drivers and owner-
operators have the best equipment on the road and they operate it in a safe,
courteous manner. Management continues to find innovative ways to enhance
revenue quality and improve equipment utilization. Since the early 1990's, we
have consistently attained good profit margins while growing slowly but
surely. In contrast with the recent rapid growth of some of our competitors,
we feel that our strategy for growth better serves the long-term interests of
    "We are very pleased with our first quarter," added Mr. Dunford. "In
spite of reduced manufacturing and construction activity, we still managed to
post excellent operating results. These results were in part due to the solid
performances of the acquisitions that we made in 2006. In addition, our
success was also attributable to the growing diversity of our customer base."
    "Southbound freight out of Central and Eastern Canada continues to be a
problem for our entire industry," Mr. Dunford continued. "While this has
reduced the pressure of a driver shortage, it has also resulted in a tougher
competitive environment that has affected all carriers. Some will do better
than others in these circumstances. We expect that Contrans' strengths will
become increasingly evident the longer these conditions exist."

    This press release contains certain forward-looking statements that
involve a number of risks and uncertainties. Often, but not always, forward-
looking statements can be identified by terminology such as "may", "will",
"should", "expect", "plan", "anticipate", "believe", "estimate", "predict",
"potential", "continue" or the negative of these terms or other comparable
terminology. Such statements reflect the current views and estimates of
management of the Fund with respect to future events, as of the date such
statements are made, and they involve known and unknown risks and
uncertainties which may cause actual events or results to differ materially
from those expressed or implied by forward-looking statements. In evaluating
these statements, readers should specifically consider factors such as the
risks outlined under "Risk Factors" in the Fund's Annual Information Form,
which is available at Although the Fund has attempted to
identify important factors that could cause actual events, actions or results
to differ materially from those described in the forward-looking statements,
there may be other factors that cause such events, actions or results to
differ. The Fund undertakes no obligation to update forward-looking statements
if circumstances or management's views or estimates change. Accordingly,
readers are cautioned not to place undue reliance on forward-looking

For further information:

For further information: Stan G. Dunford, Chairman and Chief Executive
Officer, or Gregory W. Rumble, President and Chief Operating Officer, Phone:
(519) 421-4600, E-mail:, Web site:

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Contrans Group Inc.

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