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November 2, 1999

FedEx Pioneers International Air-Express Service in Shenzhen

First dedicated express-handling facility opens in China

HONG KONG, November 2, 1999 - Federal Express Corp. (FedEx), the world's largest express transportation company, today launched an international air-express service to and from Shenzhen, China's largest export city. At the same time, FedEx also opened a dedicated express handling facility at the Huangtian International Airport in Shenzhen, the first of its kind in China.

"China is a very important market for FedEx," said David Cunningham, president, FedEx Asia Pacific. "We are dedicated to developing this market and providing outstanding value to our customers by introducing world-class express transportation, advanced technology and unsurpassed customer service."

Starting today, FedEx will operate five weekly flights to and from Shenzhen, using its own MD-11 and DC-10 aircraft. The new service connects Shenzhen to the United States via the FedEx gateway at Anchorage, and to destinations throughout Asia Pacific and beyond via the FedEx regional hub in Subic Bay, Philippines. With the addition of the Shenzen flight, FedEx is also expanding its flight schedule to Beijing and Shanghai from four to five times a week.

The new dedicated FedEx express-handling facility at the Huangtian Airport is equipped with state-of-the-art industry hardware and software, helping FedEx to further improve its efficiency and provide the highest level of service to its customers in China. Capable of processing 1,500 packages per hour, the facility features a 24-hour, on-site customs clearing service and the highly-advanced Integrated Scanning, Inventory and Sorting System (IS2 System) for inbound package scanning and sorting.

Exporters and importers in the Pearl Delta Region are set to benefit substantially from the new service which links southern China to over 209 economies worldwide via FedEx's integrated global network.

Eddy Chan, FedEx regional vice president for the Mid Pacific, China and Taiwan, expressed FedEx's determination to help boost southern China's economy, particularly in Shenzhen and Guangdong province.

"The government and the private sector are looking to the high-tech industry in this region to spearhead Shenzhen's economy," said Mr. Chan. "We believe our new service and facility will complement Shenzhen's infrastructure, and in turn, help promote the growth in the high-tech sector."

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