WATERLOO, Ontario — June 15, 2006 — Customs compliance technology
added recently by logistics network and software-applications specialist The
Descartes Systems Group Inc. to its Global Logistics Network will help Old
Dominion Freight Line accelerate customs clearance of shipments between the U.S.
Less-than-truckload, or LTL, carrier ODFL has been using the electronic logistics network formed by Canada-based Descartes (Nasdaq: DSGX), (TSX: DSG), for 10 years to send freight invoices and status messages to its customers. ODFL implemented Descartes' routing and scheduling products about four years ago to reduce the cost of operating its fleet of more than 4,000 vehicles. ODFL is Descartes' first Global Logistics Network customer to sign a new subscription for ViaTrade, a product that connects trucking companies to the pre-arrival processing systems of customs brokers in the U.S. and Canada and manages cross-border documentation processing requirements including customs filing.
Descartes added ViaTrade to its portfolio of GLN services after the company acquired ViaSafe Inc. in April of this year. Descartes said ViaTrade is designed to help customers manage the complex and changing electronic reporting and security mandates of U.S. and Canadian customs agencies. ViaTrade will help ODFL clear customs by routing bills of ladings and commercial invoices to the brokers responsible for the shipments. The service is designed to help trucking companies improve their vehicle efficiency and reduce warehousing costs associated with delays.
"ViaTrade is an essential part of our strategy to provide our shipper customers with the most efficient movement of their goods across U.S. and Canadian borders," said Old Dominion Freight Line president and chief operating officer David Congdon. "We have been part of the Global Logistics Network for many years and are thrilled with Descartes' recent addition of the ViaTrade service to its range of GLN services. The acquisition of ViaSafe demonstrates to us that Descartes is committed to improving the performance of its LTL customers."
"To remain compliant and competitive, carriers must automate their cross-border filing processes," said Edward Ryan, general manager of Descartes' GLN. "Leading carriers like Old Dominion Freight Line have to look no farther than our network now that we have a system in place that keeps documentation, and therefore goods, moving quickly and efficiently."
Descartes has formed one of the world's largest electronic logistics networks for companies with transport operations. ODFL is one of several hundred LTL carriers to connect with their customers through Descartes' Global Logistics Network. Descartes has unbundled its network-based software into diverse "nano-apps," or small supply chain management applications that can operate independently and be sold separately. The company was founded in 1981 and has more than 2,500 customers across 60 countries and about 275 employees. Descartes is headquartered in Waterloo, Ontario, with operations based in Ottawa, Atlanta and Stockholm. On the Net: http://www.descartes.com
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mobile: (804) 240-7719
office: (804) 673-5008
This release contains statements that are considered forward-looking information by applicable securities laws ("forward-looking statements"), including statements that relate to Descartes' product and service functionality and performance, potential benefits derived therefrom in general and by ODFL, our ongoing relationship with ODFL, Descartes' competitive position and other matters that may constitute forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of Descartes to differ materially from the anticipated results, performance or achievements implied by such forward-looking statements. Such factors include, but are not limited to, changes in ODFL deployment plans or schedules, changes in fuel prices, and the factors discussed in the sections entitled, "Risk Factors" and "Certain Factors That May Affect Future Results" in documents filed with the Securities and Exchange Commission, the Ontario Securities Commission and other securities commissions across Canada. If any of such risks or factors actually occur, they could materially adversely affect our business, financial condition and results of operations.