SITA INC (Information Networking Computing) and Cargolux Airlines International S.A. announced their decision to create a company solely dedicated to provision of IT solutions to the air cargo industry.

SITA INC subsidiary, SITA Cargo (UK) Ltd., and Cargolux's Champ Cargosystems SA, will merge to become the market leader in air cargo automation with their professional expertise, a global presence and a commitment to its present customer base of some 200 which it expects to grow rapidly.

"The new company will have a customer base in excess of 50 cargo airlines. The combined workforce of over 150 employees represents worldwide expertise in all areas of cargo and the industry will benefit greatly from the tapping of this deep industry knowledge through this joint venture," said Francesco Violante, Managing Director, SITA INC.

The new company will be headquartered in Luxembourg; 51% owned by SITA INC and 49% owned by Cargolux. The main staff locations will be Luxembourg, the UK and the USA. There will be no job losses and a major investment programme is planned over the next five years.

"This is a one of the most significant developments in air cargo IT automation. The industry needs a strong force with the know-how and experience to enable a new generation of systems that can deliver the functionality required at a cost the industry can afford. " said Uli Ogiermann, CEO of Cargolux.

SITA INC (Information Networking Computing) is one of the world's leading providers of air transport focused applications, communications and IT infrastructure. The company provides services to air transport customers and to related industries, as well as government authorities.

Further information can be found at www.sita.aero.

Cargolux Airlines International, based in Luxembourg, is Europe's largest all-cargo airline, operating a modern fleet of 13 B747-400 freighters on a worldwide network, covering 90 destinations. The company has more than 85 offices in over 50 countries and also offers an extensive trucking network to more than 50 destinations in Europe and the US as well as charter and aircraft maintenance services.

For further information, please check www.cargolux.com.