##### 



News Announcement  REMINDER:
Vitran management will conduct a conference call and webcast today, February 8th at
10:00 a.m. (Eastern), to discuss the Companys 2004 fourth quarter and year-end results.
Conference call dial-in: 800/733-8567
Live Webcast: www.vitran.com (select Investor Relations)
 CONTACT:Richard Gaetz, President/CEO
    
    Robert RindermanSean Washchuk, VP Finance/CFO
    
    Purdy TranVitran Corporation Inc.
    
    Jaffoni & Collins Incorporated416/596-7664
    
    212/835-8500 or VVN@jcir.com
 FOR IMMEDIATE RELEASE
 2004 MARKS MOST PROFITABLE YEAR IN VITRANS HISTORY,
HIGHLIGHTED BY 45% NET INCOME GROWTH, DILUTED EPS OF $1.17 - Achieves 39 Percent Net Income Increase in 2004 Fourth Quarter, Diluted EPS of $0.34 - TORONTO, ONTARIO (February 8, 2005)  Vitran Corporation Inc. (AMX: VVN, TSX: VTN), a North
American transportation and logistics firm, today announced financial results for the 2004 fourth
quarter and full year ended December 31, 2004 million (all figures reported in $U.S.). For the
fourth quarter, Vitrans 13th consecutive quarter of net income improvement, the Company
recorded a 39 percent improvement in net income to $4.4 million, or 0.34 per diluted share and a 13
percent increase in revenues to $96.5 million. Net income in the 2004 fourth quarter was
positively impacted by a one-time tax benefit reflecting the recognition of a loss carry-forward of
approximately $0.7 million. In the corresponding 2003 period, Vitran achieved net income of $3.2
million, or $0.29 per diluted share on revenues of $85.3. For the year ended December 31, 2004, Vitran achieved all-time bests in net income and revenue,
posting a 45 percent increase in net income to $14.9 million, or $1.17 per diluted share on
revenues of $374.6 million. In 2003, the Company recorded net income of $10.3 million, or $1.01
per diluted share on $331.8 million in revenues. Fourth quarter per share results are based on 12.8 million diluted and 10.8 million diluted
weighted average shares outstanding during the 2004 and 2003 three-month periods, respectively.
Per share results for the years ended December 31, 2004 and 2003 are based on 12.7 million diluted
and 10.3 million diluted weighted average shares outstanding, respectively. Vitrans December 2003
equity offering accounts for the year-over-year increase in weighted average shares.




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##### 



We closed out 2004 with our 13th consecutive quarter of year-over-year earnings
improvement, and are extremely pleased with Vitrans performance this past year. Through a great
team effort, 2004 marks our Companys most profitable year, highlighted by record annual revenue
and net income, stated President and Chief Executive Officer Rick Gaetz. Our debt levels have been reduced to 10-year lows, declining 45 percent over the past twelve
months to $14.5 million at the end of 2004. We increased our available capital with an expanded
credit facility and extended the repayment terms on the Companys outstanding debt, positioning
Vitran for opportunistic expansion strategies. With another successful year behind us, we would like to thank our customers, business partners,
employees and shareholders for their continuing support as we head into 2005. Segmented Results
Income from operations at Vitrans LTL (less-than-truckload) segment rose three percent during the
2004 fourth quarter to $4.1 million, fueled by 12 percent revenue growth in the U.S. business unit
and a five percent increase at the Companys Canadian LTL business unit. The U.S. LTL operation
achieved key operating metric improvements during the quarter, but the Canadian LTL division
experienced challenges with its long haul intermodal operations, as railway capacity and operating
issues impacted fourth quarter results. The Companys Truckload segment increased income from operations, recording $0.5 million in the
2004 fourth quarter, versus $0.1 million in the year-earlier period. The fourth quarter OR
improved to 94.7 from 98.7 in 2003, reflecting a continuation of the stable pricing environment in
the U.S. central states. During the fourth quarter, Vitrans Logistics segment achieved a 23 percent increase in revenue.
Income from operations of $0.5 million for the 2004 fourth quarter was in line with the prior year
period. The supply chain unit continues to work on filling the capacity of its new facility, which
opened at the end of the 2004 second quarter. Guidance Update
Management expects 2005 diluted earnings per share to be in the range of $1.23 to $1.35. Normal Course Issuer Bid
Earlier today, Vitran announced separately its intention to commence a normal course issuer bid to
acquire up to 620,984 shares, or approximately five percent of its outstanding common shares, by
way of open market purchases through the facilities of, and in accordance with, the Rules and
Policies of the Toronto Stock Exchange. The Shares will be repurchased for cancellation. About Vitran Corporation Inc.
Vitran Corporation Inc. is a North American group of transportation companies offering
less-than-truckload, logistics, truckload, and freight brokerage services. To find out more about
Vitran Corporation Inc. (AMX:VVN, TSX:VTN), visit the website at www.vitran.com. Statements in the press release regarding managements future expectation, beliefs, goals, plans,
or prospects constitute forward-looking statements that involve risks and uncertainties, which may
cause actual results to differ materially from the statements made. For this purpose, any
statements that are contained herein that are not statements or historical fact may be deemed to be
forward-looking statements made pursuant to the safe harbor provisions of the United States Private
Securities Litigation Reform Act of 1995. Without limiting the foregoing, the words believes,
anticipates, plans intends, will, should, expects, projects, and similar expressions
are intended to identify forward-looking statements. You are cautioned that such statements are
subject to a multitude of risks and uncertainties that could cause actual result, future
circumstances or events to differ materially from those projected in the forward-looking
statements. These risks include, but are not limited to, economic factors, demand for the
Companys services, fuel price fluctuations, the availability of employee drivers and independent
contractors, risks associated with geographic expansion, capital requirements, claims exposure and
insurance costs, competition, government regulation changes, environmental hazards and other risks
detailed from time-to-time in the Companys public disclosure documents or other filing with the
Canadian and United States securities commissions or other securities regulatory bodies. The
forward-looking statements are made as of the date hereof, and the Company disclaims any intention
and has no obligation or responsibility, except as required by law, to update or revise any
forward-looking statements, whether as a result of new information, future events or otherwise.




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##### 



Vitran Corporation Inc.
Consolidated Balance Sheets
(in thousands of United States dollars) Dec. 31, 2004
    
    
    Dec. 31, 2003AssetsCurrent assets:Cash
    
    $
    7,375
    
    
    $
    12,417Marketable securities
    
    
    33,087
    
    
    
    26,996Accounts receivable
    
    
    40,124
    
    
    
    35,685Inventory, deposits and prepaids
    
    
    5,924
    
    
    
    5,847Future income tax assets
    
    
    3,667
    
    
    
    4,10190,177
    
    
    
    85,046Capital assets
    
    
    37,563
    
    
    
    35,102Goodwill
    
    
    45,304
    
    
    
    44,865$
    173,044
    
    
    $
    165,013Liabilities and Shareholders EquityCurrent liabilities:Account payable and accrued liabilities
    
    $
    33,377
    
    
    $
    34,092Income and other taxes payable
    
    
    2,399
    
    
    
    4,007Current portion of long-term debt
    
    
    3,030
    
    
    
    8,31338,806
    
    
    
    46,412Long-term debt
    
    
    11,507
    
    
    
    17,931Future income tax liabilities
    
    
    3,546
    
    
    
    2,715Shareholders equity:Capital stock
    
    
    60,798
    
    
    
    59,358Contributed surplus
    
    
    323
    
    
    
    Retained earnings
    
    
    54,972
    
    
    
    40,029Cumulative translation adjustment
    
    
    3,092
    
    
    
    (1,432
    )119,185
    
    
    
    97,955$
    173,044
    
    
    $
    165,013




---



##### 



Vitran Corporation Inc.
Statements of Income
(in thousands of United States dollars except for share and per share amounts) Three Months
    
    
    YearEnded Dec. 31,
    
    
    Ended Dec. 31,2004
    
    
    2003
    
    
    2004
    
    
    2003Revenues
    
    $
    96,523
    
    
    $
    85,333
    
    
    $
    374,595
    
    
    $
    331,826Operating expenses
    
    
    82,787
    
    
    
    72,823
    
    
    
    319,295
    
    
    
    282,016Selling, general and administrative
expenses
    
    
    7,632
    
    
    
    6,814
    
    
    
    31,263
    
    
    
    29,366Other expense (income)
    
    
    (4
    )
    
    
    (1
    )
    
    
    (146
    )
    
    
    13690,415
    
    
    
    79,636
    
    
    
    350,412
    
    
    
    311,518Income from operations before
depreciation
    
    
    6,108
    
    
    
    5,697
    
    
    
    24,183
    
    
    
    20,308Depreciation expense
    
    
    1,371
    
    
    
    1,401
    
    
    
    5,206
    
    
    
    5,494Income from operations before undernoted
    
    
    4,737
    
    
    
    4,296
    
    
    
    18,977
    
    
    
    14,814Interest expense, net
    
    
    36
    
    
    
    (203
    )
    
    
    (51
    )
    
    
    (1,320
    )Income from operations before income taxes
    
    
    4,773
    
    
    
    4,093
    
    
    
    18,926
    
    
    
    13,494Income taxes
    
    
    408
    
    
    
    943
    
    
    
    3,983
    
    
    
    3,158Net income
    
    $
    4,365
    
    
    $
    3,150
    
    
    $
    14,943
    
    
    $
    10,336Income per share:Basic
    
    $
    0.35
    
    
    $
    0.31
    
    
    $
    1.22
    
    
    $
    1.07Diluted
    
    $
    0.34
    
    
    $
    0.29
    
    
    $
    1.17
    
    
    $
    1.01Weighted average number of sharesBasic
    
    
    12,417,594
    
    
    
    10,110,571
    
    
    
    12,285,400
    
    
    
    9,684,901Diluted
    
    
    12,771,235
    
    
    
    10,768,940
    
    
    
    12,740,477
    
    
    
    10,263,211




---



##### 



Vitran Corporation Inc.
Consolidated Statements of Cash Flows
(In thousands of United States dollars) Three months
    
    
    Three months
    
    
    Year
    
    
    YearEnded
    
    
    Ended
    
    
    Ended
    
    
    EndedDec. 31, 2004
    
    
    Dec. 31, 2003
    
    
    Dec. 31, 2004
    
    
    Dec. 31, 2003Cash provided by (used in):Operations:Net income
    
    $
    4,365
    
    
    $
    3,150
    
    
    $
    14,943
    
    
    $
    10,336Items not involving cash from operations:Depreciation expense
    
    
    1,371
    
    
    
    1,401
    
    
    
    5,206
    
    
    
    5,494Future income taxes
    
    
    (291
    )
    
    
    (528
    )
    
    
    1,266
    
    
    
    (292
    )Foreign Exchange
    
    
    
    
    
    
    (264
    )
    
    
    
    
    
    
    (264
    )Stock based compensation expense
    
    
    146
    
    
    
    
    
    
    
    323
    
    
    
    Loss (gain) on sale of capital assets
    
    
    (4
    )
    
    
    (1
    )
    
    
    (146
    )
    
    
    1365,587
    
    
    
    3,758
    
    
    
    21,592
    
    
    
    15,410Change in non-cash working capital
components
    
    
    382
    
    
    
    9,065
    
    
    
    (6,839
    )
    
    
    3,3395,969
    
    
    
    12,823
    
    
    
    14,753
    
    
    
    18,749Investments:Purchase of capital assets
    
    
    (2,249
    )
    
    
    (4,511
    )
    
    
    (6,242
    )
    
    
    (6,895
    )Proceeds on sale of capital assets
    
    
    6
    
    
    
    93
    
    
    
    248
    
    
    
    423Marketable securities
    
    
    (3,542
    )
    
    
    (26,996
    )
    
    
    (3,981
    )
    
    
    (26,996
    )(5,785
    )
    
    
    (31,414
    )
    
    
    (9,975
    )
    
    
    (33,468
    )Financing:Repayment of long-term debt
    
    
    (5,570
    )
    
    
    (6,032
    )
    
    
    (11,716
    )
    
    
    (11,396
    )Issue of Common shares in public offering
    
    
    
    
    
    
    29,385
    
    
    
    
    
    
    
    29,385Issue of Common shares upon exercise
of stock options
    
    
    38
    
    
    
    776
    
    
    
    1,440
    
    
    
    1,607Repurchase of Common shares
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (644
    )(5,532
    )
    
    
    24,129
    
    
    
    (10,276
    )
    
    
    18,952Effect of translation adjustment on cash
    
    
    227
    
    
    
    718
    
    
    
    456
    
    
    
    182Increase (decrease) in cash position
    
    
    (5,121
    )
    
    
    6,256
    
    
    
    (5,042
    )
    
    
    4,415Cash position, beginning of period
    
    
    12,496
    
    
    
    6,161
    
    
    
    12,417
    
    
    
    8,002Cash position, end of period
    
    $
    7,375
    
    
    $
    12,417
    
    
    $
    7,375
    
    
    $
    12,417Change in non-cash working capital
components:Accounts receivable
    
    $
    4,740
    
    
    $
    3,026
    
    
    $
    (4,439
    )
    
    $
    (6,053
    )Inventory, deposits and prepaids
    
    
    316
    
    
    
    239
    
    
    
    (77
    )
    
    
    348Income and other taxes payable
    
    
    (530
    )
    
    
    1,597
    
    
    
    (1,608
    )
    
    
    2,266Accounts payable and accrued liabilities
    
    
    (4,144
    )
    
    
    4,202
    
    
    
    (715
    )
    
    
    6,778$
    382
    
    
    $
    9,065
    
    
    $
    (6,839
    )
    
    $
    3,339




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##### 



LTL Statistical Information  U.S. and CDN Divisions For the quarter ended
December 31, 2004 ($U.S.)
    
    
    U.S. LTL
    
    
    
    Q. over Q.
    
    
    
    ($CDN)
    
    
    
    CDN LTL
    
    
    
    Q. over Q.Division
    
    
    
    % Change
    
    
    
    
    
    
    
    
    Division
    
    
    
    % ChangeRevenue (000s)
    
    
    $
    42,472
    
    
    
    
    11.8
    
    
    
    Revenue (000's)
    
    
    $
    42,795
    
    
    
    
    4.9No. of Shipments
    
    
    
    365,986
    
    
    
    
    6.6
    
    
    
    No. of Shipments
    
    
    
    217,995
    
    
    
    
    (6.4
    )Weight (000s lbs)
    
    
    
    514,563
    
    
    
    
    5.2
    
    
    
    Weight (000's lbs)
    
    
    
    420,788
    
    
    
    
    (2.9
    )Revenue per shipment
    
    
    $
    116.05
    
    
    
    
    4.8
    
    
    
    Revenue per shipment
    
    
    $
    196.31
    
    
    
    
    12.1Revenue per CWT
    
    
    $
    8.25
    
    
    
    
    6.3
    
    
    
    Revenue per CWT
    
    
    $
    10.17
    
    
    
    
    8.1
 For the year ended
December 31, 2004 ($U.S.)
    
    
    U.S. LTL
    
    
    
    Yr. over Yr.
    
    
    
    ($CDN)
    
    
    
    CDN LTL
    
    
    
    Yr. over Yr.Division
    
    
    
    % Change
    
    
    
    
    
    
    
    
    Division
    
    
    
    % ChangeRevenue (000s)
    
    
    $
    172,296
    
    
    
    
    10.3
    
    
    
    Revenue (000's)
    
    
    $
    168,904
    
    
    
    
    7.1No. of Shipments
    
    
    
    1,507,141
    
    
    
    
    5.6
    
    
    
    No. of Shipments
    
    
    
    908,063
    
    
    
    
    2.6Weight (000s lbs)
    
    
    
    2,153,210
    
    
    
    
    8.4
    
    
    
    Weight (000's lbs)
    
    
    
    1,740,794
    
    
    
    
    2.7Revenue per shipment
    
    
    $
    114.32
    
    
    
    
    4.4
    
    
    
    Revenue per shipment
    
    
    $
    186.00
    
    
    
    
    4.4Revenue per CWT
    
    
    $
    8.00
    
    
    
    
    1.7
    
    
    
    Revenue per CWT
    
    
    $
    9.70
    
    
    
    
    4.3
 Supplementary Segmented Financial Information
(000s of $U.S.) For the quarter
endedDecember 31,
2004
    
    For the quarter
endedDecember 31,
2003
 Revenue
    
    
    
    Inc. from
    
    
    
    OR%
    
    
    
    
    
    
    
    
    Revenue
    
    
    
    Inc. from
    
    
    
    OR%Operations
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    OperationsLTL
    
    
    
    78,073
    
    
    
    
    4,144
    
    
    
    
    94.7
    
    
    
    LTL
    
    
    
    69,234
    
    
    
    
    4,013
    
    
    
    
    94.2LOG
    
    
    
    9,628
    
    
    
    
    527
    
    
    
    
    94.5
    
    
    
    LOG
    
    
    
    7,849
    
    
    
    
    523
    
    
    
    
    93.3TL
    
    
    
    8,822
    
    
    
    
    468
    
    
    
    
    94.7
    
    
    
    TL
    
    
    
    8,250
    
    
    
    
    108
    
    
    
    
    98.7
 For the year
endedDecember 31,
2004
    
    For the year ended
December 31, 2003
 Revenue
    
    
    
    Inc. from
    
    
    
    OR%
    
    
    
    
    
    
    
    
    Revenue
    
    
    
    Inc. from
    
    
    
    OR%Operations
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    OperationsLTL
    
    
    
    303,017
    
    
    
    
    17,604
    
    
    
    
    94.2
    
    
    
    LTL
    
    
    
    270,189
    
    
    
    
    15,386
    
    
    
    
    94.3LOG
    
    
    
    35,499
    
    
    
    
    1,668
    
    
    
    
    95.3
    
    
    
    LOG
    
    
    
    28,642
    
    
    
    
    1,084
    
    
    
    
    96.2TL
    
    
    
    36,079
    
    
    
    
    1,968
    
    
    
    
    94.5
    
    
    
    TL
    
    
    
    32,995
    
    
    
    
    602
    
    
    
    
    98.2
 ###