MISSISSAUGA, ON, January 10, 2022 – Cargojet (“CJT”) announced today the early renewal and extension of the Air Cargo Services Agreement with two major domestic customers. The agreements will run for a three-year term and contain two (2) one year renewal options. The original agreements were due for renewal in 2021 and in July 2022. This is another example of customers continuing to secure long-term capacity on Cargojet’s air cargo network considering structural shifts in the nature of supply chains which are leading to significant growth in demand for time-sensitive air cargo services across Canada.
Cargojet will continue to be the exclusive provider of the overnight air cargo services in Canada for these customers. The total revenues represented by these contract renewals are estimated over $150 million during the term of the new agreements, including the extension options.
“Cargojet is extremely pleased to have been successful in extending the exclusive domestic air cargo service agreements with two strong Canadian logistics providers. The confidence that our customers place in Cargojet is a testament to the high level of reliability and cost-effective air cargo services that we have consistently provided over the past twenty-years”, said Dr. Ajay Virmani President and CEO of Cargojet. “We will continue to work closely with all of our customers to provide the most flexible; the most reliable and the most scalable air cargo network in Canada”, concluded Mr. Virmani.
About Cargojet
Cargojet is Canada’s leading provider of time sensitive premium air cargo services to all major cities across North America, providing Dedicated, ACMI and International Charter services and carries over 25,000,000 pounds of cargo weekly. Cargojet operates its network with its own fleet of 31 Cargo aircraft. For further information, please contact
Pauline Dhillon
Chief Corporate Officer
Tel: (905) 501 7373
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. Reference should be made to the issuer’s most recent Annual Information Form filed with the Canadian securities regulators, and it’s most recent Annual Consolidated Financial Statements and Notes thereto and related Management’s Discussion and Analysis (MD&A), for a summary of major risks. 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, other than as required by applicable securities laws. In the event the issuer does update any forward-looking statement, no inference should be made that the issuer will make additional updates with respect to that statement, related matters, or any other forward-looking statement.
