The Descartes Systems Group Inc.
TSX : DSG
NASDAQ : DSGX

The Descartes Systems Group Inc.

March 20, 2007 07:00 ET

Descartes Proactively Upgrading Compliance Services for Proposed U.S. "10+2" Shipment Data Collection Regulations

WATERLOO, ONTARIO--(CCNMatthews - March 20, 2007) - Descartes Systems Group (TSX:DSG)(NASDAQ:DSGX), a global on-demand software-as-a-service (SaaS) logistics solutions provider, announced that it is upgrading its Compliance Services to proactively address new proposed U.S. Customs and Border Protection (CBP) regulations anticipated to require importers and ocean carriers to provide CBP with additional shipment data.

CBP's proposed regulations, referred to as "10+2", would require additional data to be provided to CBP's Advance Trade Data Automated Manifest System (AMS) at least 24 hours before a ship is loaded at a foreign port. The regulations are being proposed following the October 2006 enactment of the U.S. SAFE Port Act legislation designed to improve maritime and cargo security.

CBP proposes to have importers or their designated agents provide 10 additional data elements to improve the identification of high-risk ocean import cargo. The proposed additional data elements are: manufacturer name and address; seller name and address; container stuffing location; consolidator name and address; buyer name and address; ship to name and address; importer of record number; consignee number; country of origin of the goods; and Commodity Harmonized Tariff Schedule number.

CBP also proposes to have the ocean carrier provide two new data sets. The new data sets are the Vessel Stow Plan, which contains information about containers loaded aboard a vessel, and Container Status Messages, which identify movements or changes in load status of those containers.

While CBP's regulations are currently in proposed form, Descartes is already upgrading its Import2000 Ocean AMS Compliance Services to enable compliance with the new regulations.

"Regardless of the final scope and detail of these regulations, we recognize that these changes could have a significant impact on our clients' global operations," said Edward Ryan, General Manager, Global Logistics Network at Descartes. "As one of the largest U.S. customs compliance service providers, we strive to be ahead of the curve as new regulations are implemented. We are closely following the 10+2 proposal and are working with our customers to enhance our ocean AMS compliance service to ensure that they have the tools they need to comply when the regulations are final."

About Descartes

Descartes (TSX:DSG)(NASDAQ:DSGX), a leading provider of software-as-a-service (SaaS) logistics solutions, is delivering results across the globe today for organizations that operate logistics-intensive businesses. Descartes' logistics management solutions combine a multi-modal network, the Descartes Global Logistics Network, with component-based 'nano' sized applications to provide messaging services between logistics trading partners, "book-to-bill" services for contract carriers and private fleet management services for organizations of all sizes. These solutions and services help Descartes' customers reduce administrative costs, billing cycles, fleet size, contract carrier costs, and mileage driven and improve pick up and delivery reliability. Our hosted, transactional and packaged solutions deliver repeatable, measurable results and fast time-to-value. Descartes customers include an estimated 1,600 ground carriers and more than 90 airlines, 30 ocean carriers, 900 freight forwarders and third-party providers of logistics services, and hundreds of manufacturers, retailers, distributors, private fleet owners and regulatory agencies. The company has over 300 employees and is based in Waterloo, Ontario, with operations in Atlanta, Pittsburgh, Ottawa, Washington DC, Derby, Stockholm, Shanghai, Singapore and Melbourne. For more information, visit www.descartes.com.

This release contains forward-looking information within the meaning of applicable securities laws ("forward-looking statements") that relate to Descartes' solution offering and potential benefits derived therefrom; Descartes' enhancement of its solution to address the 10+2 regulations; and other matters. Such forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements to differ materially from the anticipated results, performance or achievements or developments expressed or implied by such forward-looking statements. Such factors include, but are not limited to, the factors and assumptions discussed in the section entitled, "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. Readers are cautioned not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions or circumstances on which any such statement is based.

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