CARGOJET EXITS 21 AIR INVESTMENT TO STRENGTHEN FOCUS ON KEY OPERATIONS

Executive Summary

• Cargojet Inc. announced the sale of its minority stake in 21 Air LLC, a Miami‑based air cargo operator it acquired in 2021.
• The divestiture is intended to sharpen Cargojet’s focus on its core domestic network, ACMI and charter services and to redeploy capital toward higher‑return opportunities.
• Cargojet will maintain collaborative commercial relationships with 21 Air on selected opportunities after the transaction.

Key Details

• Transaction: Divestment of Cargojet’s minority investment in 21 Air LLC (exact percentage not disclosed).
• Rationale: Strengthen focus on Cargojet’s “robust domestic network, ACMI and charter operations” and reallocate capital to areas aligned with its core strengths.
• Strategic Impact: Streamlines corporate efforts toward markets where Cargojet has a clear strategic advantage; expected to enhance operational efficiency and profitability.
• Post‑sale Relationship: Cargojet and 21 Air will continue to collaborate on select commercial opportunities, preserving customer service capabilities in the growing air cargo market.
• Historical Context: Investment originally made in 2021 provided collaboration and insight into the U.S. cargo market; now being exited as part of a broader strategic realignment.

Notable Quotes

“This decision strengthens our focus on our robust domestic network, ACMI and charter operations, while allowing us to deploy capital in areas aligned with Cargojet's core strengths,” – Pauline Dhillon, Chief Executive Officer.