Logistec Announces Financial Results for the First Quarter of 2010

During the first quarter of 2010, Logistec recorded consolidated net income of $0.2 million or $0.03 per share, compared with net loss of $1.1 million or $(0.17) per share in the first quarter of 2009. Consolidated revenue rose 18.2% to $47.2 million, up from $39.9 million in the first quarter of 2009. Both business segments contributed to this growth: the marine services segment’s revenue increased by $2.9 million or 8.1%, whereas the environmental services segment’s revenue more than doubled, thanks notably to the acquisition of Niedner in the fourth quarter of 2009. The marine services segment posted operating income of $1.3 million, as opposed to an operating loss of $0.7 million in 2009, whereas the environmental services segment reduced its operating loss from $0.9 million in 2009 to $0.7 million in 2010.

“Although the first quarter corresponds to the least busy period of the year, we were pleased to see higher revenue and improved results in both our businesses,” indicated Madeleine Paquin, President and Chief Executive Officer of Logistec Corporation.

Outlook
“According to the World Trade Organization (“WTO”), international trade fell 12.2% in volume and 23% in value in 2009, the largest annual decline since World War II. For 2010, the WTO expects international trade to grow by 9.5%, but even if this forecast is accurate, the highs of 2008 will not be reached in 2010. This growth is driven mainly by lesser developed countries that have not leveraged themselves out of the recession. A lower but solid growth is expected for North America. The analysis of our first-quarter results definitely shows encouraging signs, as bulk cargo and container volumes are up. Conversely, break bulk cargo volumes are down from the first quarter of 2009. As the economic recovery is still fragile worldwide, we remain prudent and continue to tightly manage costs. Acquisitions made last year have already been integrated into our operations and should contribute to improve our performance in 2010. We also expect sustained growth in our environmental services segment, which should benefit from the integration of Niedner’s business and the commercialization of Aqua-Pipe^® on a wider scale,” concluded Ms. Paquin.

About Logistec
Logistec Corporation is based in Montréal (QC) and provides specialized services to the marine community and industrial companies in the areas of container, break-bulk and bulk cargo handling in 23 ports in Eastern Canada, the Great Lakes and the U.S. East Coast. Logistec also offers marine transportation services geared primarily to the Arctic coastal trade, short-line rail transportation services, as well as agency services to foreign shipowners and operators serving the Canadian market. Furthermore, the Company operates in the environmental sector where it provides services for the trenchless structural rehabilitation of underground water mains, PCB management, site remediation, risk assessment, and woven-hose manufacturing. The Company has been profitable and has paid regular dividends since becoming public and payments have grown steadily over the years.

A public company since 1969, Logistec’s shares are listed on the Toronto Stock Exchange under the ticker symbols LGT.A and LGT.B. More information can be obtained at the Company’s website at www.logistec.com.

Forward-Looking Statements
For the purpose of informing shareholders and potential investors about the Company's prospects, sections of this document may contain forward-looking statements, within the meaning of securities legislation, about the Company's activities, performance and financial situation and, in particular, hopes for the success of the Company's efforts in the development and growth of its business. These forward-looking statements express, as of the date of this document, the estimates, predictions, projections, expectations or opinions of the Company about future events or results. Although the Company believes that the expectations produced by these forward-looking statements are founded on valid and reasonable bases and assumptions, these forward-looking statements are inherently subject to important uncertainties and contingencies, many of which are beyond the Company's control, such that the Company's performance may differ significantly from the predicted performance expressed or presented in such forward-looking statements. The important risks and uncertainties that may cause the actual results and future events to differ significantly from the expectations currently expressed are examined under “Business Risks” in the Company’s annual report and include (but are not limited to) the performances of domestic and international economies and their effect on shipping volumes, weather conditions, labour relations, pricing and competitors' marketing activities. The reader of this document is thus cautioned not to place undue reliance on these forward-looking statements. The Company undertakes no obligation to update or revise these forward-looking statements, except as required by law.

Additional information relating to our Company can be found on SEDAR at www.sedar.com and on Logistec’s website at www.logistec.com.

Please click here for a PDF version of the financial statements.

For further information:

Jean-Claude Dugas CA
Vice-President, Finance
Logistec Corporation
jdugas@logistec.com
(514) 985-2345