Grand Power Logistics Group Inc.

Grand Power Logistics Group Inc.

April 16, 2009 09:03 ET

Grand Power Expands Its European Network Through JV With ECS

CALGARY, ALBERTA and HONG KONG, CHINA--(Marketwire - April 16, 2009) - Grand Power Logistics Group Inc. ("Grand Power" or the "Company") (TSX VENTURE:GPW), a leading China-based international logistics provider, is pleased to announce that it has expanded its reach into key European markets through a joint venture agreement with European Cargo Service (ECS), one of Europe's largest air cargo companies. The joint venture will create the "Intercontinental Freight Alliance" (IFA), which will allow GPW to leverage ECS's extensive network of General Sales and Services Agents (GSSA) throughout Europe, while ECS will utilize Grand Power's expertise and networks in Asia to enhance their global service offering. IFA is expected to begin operations in the second half of 2009.

Through the IFA, Grand Power expects to capture significant market share in the China/European air cargo business by accessing ECS's established networks and cost effective shipping solutions. IFA will mainly focus on importing cargo from Europe to China. Approximately 440,000 tons of cargo was shipped from Europe to Mainland China (excluding Hong Kong) in 2008(1). ECS and Grand Power estimate that IFA, if successful, could capture 15-20 percent of that market within the first year of operation. By comparison, Grand Power shipped approximately 55,000 tons of cargo from all operations in 2008.

"Both ECS and Grand Power have a reputation for delivering maximum value to customers through custom solutions and local know-how," stated Ricky Chiu, President and CEO of Grand Power. "Our approach and corporate philosophies are very similar as we both understand the value of industry relationships and how to optimize them. Europe is an important market for our direct cargo business and we look forward to working with ECS to expand our reach into new regions."

About European Cargo Service (ECS)

ECS is a leading International network of GSSAs offering full cargo outsourcing solutions to the airlines on all continental main lands. ECS has developed the GSSA concept into a unique, professional outsourcing solution meeting the specific expectations of airlines everywhere. ECS offers an efficient domestic and international sales network guaranteeing a high level of local know-how; more than 550 employees around the world to optimize sales and control costs at the same time; and a dedicated, local or a global solution, tailor-made, based on a unique sales network. ECS has been operating in Europe since 1983 and currently has 42 subsidiaries in 30 countries.

About Grand Power Logistics Group Inc.

Grand Power Logistics Group Inc. operates principally through its wholly owned Hong Kong based subsidiary, Grand Power Express International Limited (GP Express), and provides air-freight forwarding and sea-freight services, customs brokerage, logistics, warehousing and distribution, as well as other value added services. GP Express has established operations in various regions, particularly in the Greater Pearl River Delta (GPRD), China's largest economic region. GP Express' Subsidiaries or Branch Offices in this region are located in Macau, Shenzhen, Guangzhou, and Jiangmen. GP Express also operates in other regions through Subsidiaries and Branch Offices or Supporting Offices in Shanghai, Taipei, Bangkok and Los Angeles.

Forward-looking statements: Statements included in this press release that are not historical facts may be considered "forward looking statements". All estimates and statements that describe the Company's objectives, goals or future plans are forward looking statements. Forward-looking statements involve inherent risks and uncertainties where actual results could differ materially from those currently anticipated.

(1) Data from IATA CASS: International Air Transport Association Cargo Accounts Settlement System.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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