Vitran Report Record 1999 Year-End Results Despite U.S. LTL Integration Challenges

• Vitran Corporation Inc. Balance Sheet
• Vitran Corporation Inc. Statements Of Income

TORONTO--(February 29, 2000)-- Vitran Corporation Inc. (TSE: VTN.A, AMEX: VVN), a North American transportation and logistics provider, today announced financial results for the fourth quarter and twelve-month periods ended December 31, 1999 (all figures reported in Canadian dollars).

Revenues for the year ended December 31, 1999 rose 15% to a record $479,780,000, compared to $416,143,000 in 1998. EBITDA increased 20% to $34,900,000, compared to $29,003,000 in 1998, and operating income rose 15% to $21,695,000, versus $18,794,000 in the year-earlier period. Net income for 1999 rose to an all-time high of $9,426,000 or $0.95 per basic share ($0.87 fully diluted), compared to net income of $8,683,000, or $0.90 per basic share ($0.83 fully diluted) in the year-ago period. Per share results are based on 9,919,209 basic (11,064,009 fully diluted) and 9,614,005 basic (10,627,405 fully diluted) weighted average shares outstanding during 1999 and 1998, respectively.

Revenues for the three months ended December 31, 1999 were $119,600,000, compared to $122,358,000 in the 1998 fourth quarter. EBITDA during the 1999 fourth quarter was $6,678,000, compared to $8,664,000 in the year-earlier period, and operating income was $3,291,000, versus $5,304,000 in the year-ago three-month period. Net income for the 1999 fourth quarter was $1,182,000, or $0.12 per share ($0.11 fully diluted), compared to $2,302,000, or $0.23 per share ($0.21 fully diluted) in the year-ago fourth quarter. Per share results are based on 9,968,536 (11,113,336 fully diluted) and 9,871,899 basic (10,855,299 fully diluted) weighted average shares outstanding during the 1999 and 1998 fourth quarter periods, respectively.

Commenting on Vitran's results, President and Chief Executive Officer, Richard D. McGraw, Stated, "Most of our divisions achieved record results in 1999, and strong comparisons versus 1998. However, the financial results of our U.S. LTL (less-than-truckload) operation, which generates 45% of consolidated revenue, were impacted by higher than normal operating costs, including labor and linehaul expenses, incurred to maintain premium service levels during the integration process of two subsidiaries. Although our Company maintains fuel surcharge policies at our operating divisions, as many of our industry peers do, rising fuel costs also impacted Vitran's fourth quarter results. While we are not yet achieving our profit objectives, we are seeing encouraging signs as a result of the numerous adjustments that have been made to the operations and information systems."

Mr. McGraw concluded, "We continue to have our issuer bid/ share buyback in force. Senior management and our Board believe that at current levels, based on our long-term earnings track record, low cash flow multiple and prospects for continued growth, Vitran share purchases represent a prudent use of available funds."

Vitran Corporation Inc. is a North American group of transportation companies offering less-than-truckload, truckload, intermodal marketing, truck brokerage and logistics services. Further Company information is available at http://www.vitran.com.

This news announcement contains certain forward-looking information that is subject to certain risks and uncertainties as indicated from time to time in the Company's 20-F and other filings with the Securities and Exchange Commission. Included among these risks and uncertainties are the future performance of the economy, competitive and pricing pressures, fuel costs and other factors impacting the transportation industry.

Vitran Corporation Inc.
Balance Sheet
December 31, 1999 (unaudited)
(in thousands of Canadian dollars)

Vitran Corporation Inc.
Statements Of Income
(in thousands, except share and per share amounts)
(Canadian dollars)