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October 17, 2001

FedEx Express Unveils New Express Center at Shanghai Pudong International Airport

FedEx substantially increases Shanghai capacity in response to increased demand from companies in Eastern China

Shanghai, October 17, 2001 - Federal Express Corp. (FedEx), the world's largest express transportation company, today unveiled its new 6,080 square-meter FedEx-DTW Express Center at Shanghai Pudong International Airport, which is the largest and most advanced of its kind in China.

The state-of-the-art facility features sorting and distribution equipment that incorporates cutting-edge wireless technology designed to boost productivity, provide data accuracy and achieve real time transmission.

With the installation of an integrated warehouse management system, the facility is able to handle 6,000 packages per hour, with the ability to double that to 12,000 packages per hour. This represents a substantial increase in FedEx capacity in Shanghai.

"We believe that the new Pudong facility tangibly demonstrates FedEx's continued commitment to the China market," said Frederick W. Smith, Chairman, President and Chief Executive Officer of FedEx Corp. "Since 1984, FedEx has been working and investing in China. Working closely with our partners, Da Tian W. Group, we are proud to say that this facility marks the first express handling facility opened in China this year, enabling our customers across China to rely on the fast, reliable and extensive door-to-door pick-up and delivery service that has become synonymous with the FedEx brand."

We are extremely excited about this service enhancement which could not have happened without the support of the Chinese customs. This center signifies the strong partnership we have with FedEx in our efforts to meet the demands of our customers," said Mr. Wang Shu Sheng, President of Da Tian W. Group.

According to David L. Cunningham, Jr., President, FedEx Express, Asia Pacific Region, the opening of this high-tech sorting facility gives FedEx the ability to provide customers across eastern China with integrated express transportation solutions that will become increasingly important with China's accession into the World Trade Organization.

By most accounts, Shanghai is earning the unrivaled reputation as the transportation center of eastern China, especially after the establishment of China-Singapore Suzhou Industrial Park and Kansan Economic & Technical Development Zone.

According to the statistics from Chinese Customs Department, in the first half of the year, Shanghai's total exports accounted to US$13.74 billion, a 17 percent increase from the same period last year.

"We believe that this figure will increase significantly with China's entering the World Trade Organization," said Mr. Cunningham. "High tech, high value goods depend on time-definite delivery. This new express handling center in Pudong enables FedEx to provide our customers with the critically important services that connect our customers across China or to any of the 211 countries FedEx serves through our unparalleled global network."

FedEx Express, a US$15 billion subsidiary of FedEx Corp., connects areas that generate 90% of the world's gross domestic product in 24-48 hours with door-to-door, customs-cleared service. The company's unmatched air route authorities and infrastructure make it the world's largest express transportation company, providing fast, reliable and time-definite transportation of more than 3.3 million items to 211 countries each working day. FedEx employs approximately 144,000 employees and has more than 46,000 drop-off locations, 640 aircraft and more than 45,000 vehicles in its integrated global network.


FedEx Pudong Airport Express Center

Area: 6,080 square meters

Facilities:

  • Sorting systems
  • Warehousing area
  • Customs examination area and customs offices
  • Ramp Operations Department
  • Gateway Operations Department
  • Aircraft Maintenance Department

Employees: 144

Flights: 22 flights weekly into and out of Shanghai

Aircraft & Estimated Capacity:

  • MD-11: 73 tons
  • DC-10: 64 tons

Network:

  • Asia Pacific Hub in Subic Bay, connecting the AsiaOne 19-city network
  • Anchorage, connecting to U.S. and global network

Features:

  • Sorting belt capacity: 6,000 packages per hour (expandable to 12,000 packages per hour)
  • Integrated operation including ramp operation, sort operation and customs clearance
  • Air container handling capability
  • X-ray machines on sorting belt for Customs and Airport Security
  • Integrated warehouse management and scanning system
  • EDI link with Chinese Customs
  • Imaging technology - Clearance Paperwork Management System
  • Customer Profile Database - improved flexibility to cope with individual customer'sclearance needs
  • Pre-arrival exception detection
  • Decreased handling cycle time, including simplified scan scenarios and an improved wireless scanning system

Operations Start Date: July 29, 2001

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