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June 26, 2000

FedEx Expands International Freight Services

Customers to benefit from new delivery options and broader coverage

BEIJING, June 26, 2000 - Federal Express Corp., the world's largest express transportation company, is expanding its international freight services to provide more delivery options to more countries.

Three new FedEx International Priority Freight delivery options will be made available for U.S. outbound and inbound shipments beginning July 1: Door to Airport (DTA), Airport to Airport (ATA) and Airport to Door (ATD). These options are in addition to the existing Door to Door (DTD) service.

FedEx International Priority Freight and FedEx International Economy Freight will provide service to five and ten more countries, respectively. Both services will offer upgraded weight allotments of up to 2,200 lbs. per piece or more with prior approval and a maximum declared value limitation of US$100,000.

"FedEx will offer the most comprehensive international freight service in the industry backed by a money-back guarantee, real-time tracking and advanced customs clearance," said Carl Asmus, FedEx vice president of global product marketing. "This translates into FedEx customers being able to use our enhanced international freight products to combine pick-up, line-haul and four delivery options to meet their every day business needs, however diverse they may be."

Four simple rate tables will make it easier for customers to receive fast rate quotes and estimate pricing up front. Customers will also find it easier to audit expenditures when necessary.

"The current international airfreight market is at US$32 billion and growing at a rate of 6.5 percent annually with countries such as China, Japan and Taiwan leading the way," said David L. Cunningham, President, FedEx Asia Pacific Division. "FedEx's new international freight offerings provide our customers with an industry leading product to succeed in this rapidly growing market."

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