MISSISSAUGA, ON, Feb, 10, 2021
/CNW/ - Cargojet Inc. ("Cargojet" or the "Corporation") (TSX:
CJT) announced today a comprehensive plan for its fleet and route
expansion to meet domestic and international growth opportunities
starting 2021 and beyond.
Having successfully raised $365
million, earlier this month, through an equity raise to pay
off debt and acquire new aircraft, Cargojet is rapidly moving
forward to execute on its growth strategy to capture additional
e-Commerce volumes and international air-freight opportunities
through an expanded fleet.
"Fast changing global supply chains and e-commerce trends
present a unique opportunity for Cargojet to substantially grow its
international business from an opportunistic add-on to a long-term,
sustainable growth driver" said Dr. Ajay
Virmani, President and CEO. "Having successfully grown our
domestic network with a solid market-share and diversifying into
ACMI and Charter Services, building a new growth pillar through
international business is a natural next step for us".
Cargojet's fleet expansion will consist of:
- Five Boeing 767 freighters, announced earlier, will begin
arriving in 2021 with the first freighter arriving in Q3 of this
year with one additional freighter arriving every quarter
thereafter. Two of these aircraft will be deployed within its
domestic network to meet projected e-Commerce growth and add
stand-by capacity while the remaining three freighters will be used
for international routes to select strategic destinations to
capture emerging growth opportunities beginning Q4, 2021.
- Two Boeing 777 freighters will be arriving in 2023 with
Cargojet having the option to add two more B777s in 2024. The first
two of these freighters will be deployed for long haul Asian routes
and Emerging South Asian markets strategically integrated with
Cargojet's domestic network and in addition, they will serve and
connect seamlessly with select European and South-Central and North
American cities.
- Cargojet expects all of its fleet to have fully completed its
major regular and heavy maintenance by the end of Q3, 2021. This
will enable Cargojet to begin international service to select
cities in Europe and South-Central
and North America starting Q4,
2021 utilizing its existing fleet and add capacity as new
freighters come on-line.
With this expanded fleet, Cargojet will be better positioned to
meet the growth expectations of its customers and build on its
strong domestic network covering 15 major cities everyday while
selectively adding International destinations that will
strategically position Cargojet to service fast growing domestic
and cross-border e-Commerce and urgent-cargo opportunities. In
addition, Cargojet will continue to explore and focus on additional
growth opportunities in the vast US market.
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 27 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.
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.
SOURCE Cargojet Inc.