Investor Relations FAQs

• When was Descartes founded?
• How many employees does Descartes have?
• Where is Descartes corporate head office located?
• What types of solutions does Descartes offer?
• Where are Descartes shares traded?
• When did Descartes begin trading on the stock exchanges?
• What have been Descartes’ recent acquisition activities?
• Can I buy shares directly from Descartes?
• When is Descartes’ Fiscal Year-end?
• How many Descartes’ shares are outstanding?
• What is Descartes’ official accounting currency?
• Has Descartes split its stock?
• How does Descartes generate revenue?
• How does Descartes recognize revenue?
• Who are Descartes’ auditors?
• How can I obtain a copy of Descartes’ Annual and Quarterly Reports?
• How can I obtain a copy of documents filed by Descartes with Canadian securities commissions and the Securities and Exchange Commission (SEC) in the U.S.?
• Who is Descartes’ transfer agent and how can I reach them?
• How do I obtain or modify information regarding my shareholder account? How can I transfer ownership of my shares?
• If my Descartes share certificate has been lost, stolen or destroyed, how do I arrange to replace it?

1. When was Descartes founded?

Descartes was founded in 1981.

2. How many employees does Descartes have?

Descartes currently has over 600 employees world wide. This number continues to grow as we expand further into the logistics market. For current job openings click here.

3. Where is Descartes corporate head office located?

Descartes’ headquarters are located at 120 Randall Drive, Waterloo, Ontario, N2V 1C6. See a complete list of Descartes office locations worldwide.

4. What types of solutions does Descartes offer?

For detailed information on Descartes solution offerings, visit: http://www.descartes.com/solutions/index.html

5. Where are Descartes shares traded?

Descartes’ shares are listed on the NASDAQ Stock Market (NASDAQ: DSGX) and the Toronto Stock Exchange (TSX: DSG).

6. When did Descartes begin trading on the stock exchanges?

Descartes began trading on the Toronto Stock Exchange in January 1998 and on the NASDAQ in June 1998.

7. What have been Descartes’ recent acquisition activities?

On March 19, 2010, Descartes acquired 96.17% of the shares of Zemblaz NV (NYSE Alternext Brussels: ALPTH, “Porthus”), a provider of global trade management solutions, at EUR 12.50 per share. On April 16, 2010, we purchased the remaining 3.83% of the Porthus shares at EUR 12.50 per share, and all outstanding warrants at a price of EUR 12.33 per warrant issued pursuant to Porthus’ 2000 warrant plan and a price of EUR 20.76 per warrant issued pursuant to its 2001 warrant plan. In total, we paid EUR 30.0 million (equivalent to $40.9 million at the time of the transaction) to acquire all outstanding securities of Porthus.

On April 19, 2010, Descartes purchased all of the shares of privately-held 882976 Ontario Inc., doing business as Imanet (“Imanet”), a provider of enterprise and on-demand technology solutions to customs brokers, freight forwarders, exporters and self-clearing importers. Imanet’s solutions focus on enabling members of the international trade community to communicate with Canada Border Services Agency (“CBSA”). Leading customs brokers, freight forwarders and Canadian importers manage their shipments and interactions with CBSA using Imanet’s solutions. To complete the acquisition, net of working capital received, we paid CDN $5.9 million (equivalent to $5.8 million at the time of the transaction).

On June 16, 2010, Descartes acquired privately-held Belgian-based Routing International NV (“Routing International”), a leading developer and distributor of optimized route planning solutions. Routing International’s flagship solution suite, WinRoute, and dedicated consultants help enterprises of all sizes and across industries to optimize distribution planning to improve the productivity and performance of their operations. To complete the acquisition, net of working capital received, we paid approximately EUR 3.1 million (equivalent to $3.9 million at the time of the transaction).

8. Can I buy shares directly from Descartes?

Descartes does not sell shares directly. Please contact your broker to purchase shares.

9. When is Descartes’ Fiscal Year-end?

Descartes fiscal year commences on February 1st of each year and ends on January 31st of the following year.

10. How many Descartes’ shares are outstanding?

The number of shares outstanding can be found in the Descartes’ annual and quarterly reports. You can obtain a copy on the Descartes corporate website by visiting www.descartes.com/company/investors/index.html.

As of Descartes’ last fiscal year-end, January 31, 2011, there were 61,741,702 common shares issued and outstanding.

11. What is Descartes’ official accounting currency?

Descartes reports its financial results in accordance with US Generally Accepted Accounting Principles (GAAP) and in US dollars.

12. Has Descartes split its stock?

No.

13. How does Descartes generate revenue?

Descartes’ revenues consist of services revenues and license revenues. Services revenues are principally comprised of the following: (i) ongoing transactional fees for use of our services and products by our customers, which are recognized as the transactions occur; (ii) professional services revenues from consulting, implementation and training services related to our services and products, which are recognized as the services are performed; and (iii) maintenance, subscription and other related revenues, which include revenues associated with maintenance and support of our services and products, which are recognized ratably over the subscription period. License revenues derive from licenses granted to our customers to use our software products.

14. How does Descartes recognize revenue?

Details on Descartes’ revenue recognition policy and other critical accounting policies can be viewed in the most recent copy of Descartes’ Annual Report.

15. Who are Descartes’ auditors?

Deloitte & Touche LLP.

16. How can I obtain a copy of Descartes’ Annual and Quarterly Reports?

Please contact Descartes Corporate Secretary at investor@descartes.com, or by phone at: (519) 746-6114 Ext: 2358 or by fax at: (519) 747-7037.
You can also download or view a copy on the Descartes corporate website by visiting http://www.descartes.com/company/investors/annual_report.html

17. How can I obtain a copy of documents filed by Descartes with Canadian securities commissions and the Securities and Exchange Commission (SEC) in the U.S.?

Documents are available at the following sites: www.sec.gov/edgar.shtml  and www.sedar.com  Documents can also be obtained by contacting Descartes Corporate Secretary at investor@descartes.com ,or  by phone at: (519) 746-6114  Ext: 2358 or by fax at: (519) 747-7037.

18. Who is Descartes’ transfer agent and how can I reach them?

Computershare Investor Services Inc. is Descartes’ transfer agent and can be reached as follows: Transfer Agents Computershare Investor Services Inc. 100 University Avenue Toronto, Ontario M5J 2Y1 North America: (800) 663-9097 International: (416) 263-9200 Computershare Trust Company 12039 West Alameda Parkway Suite Z-2 Lakewood, Colorado 80228 USA International: (303) 262-0600.

19. How do I obtain or modify information regarding my shareholder account? How can I transfer ownership of my shares?

Please contact the transfer agent as follows: Transfer Agents Computershare Investor Services Inc. 100 University Avenue Toronto, Ontario M5J 2Y1 North America: (800) 663-9097 International: (416) 263-9200 Computershare Trust Company 12039 West Alameda Parkway Suite Z-2 Lakewood, Colorado 80228 USA International: (303) 262-0600.

20. If my Descartes share certificate has been lost, stolen or destroyed, how do I arrange to replace it?

Please contact the transfer agent as follows:

Transfer Agents

Computershare Investor Services Inc.
100 University Avenue
Toronto, Ontario M5J 2Y1
North America: (800) 663-9097
International: (416) 263-9200

Computershare Trust Company
12039 West Alameda Parkway
Suite Z-2 Lakewood, Colorado
80228 USA
International: (303) 262-0600