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September 28, 1998

Federal Express Initiates New Flight for Hong Kong Market

New routing offers the latest cutoff time to the US west coast

HONG KONG, September 28, 1998 – Federal Express Corporation (FedEx) further demonstrates its commitment to strengthen its service in Asia by launching a new flight into and out of Hong Kong on September 28, 1998.

The new routing originates from Hong Kong and flies to Taipei, then to Osaka, Japan and connects to FedEx's direct flight to the US west coast through Oakland, California.

Service enhancement is made possible by strategic re-engineering of FedEx flight schedules without adding aircraft in the Asian theatre of operation. The new flight schedules enable FedEx to offer the latest cutoff time for packages going from Hong Kong with late-night departure to the US west coast, providing greater flexibility for customers. The new routing also provides direct access to Japan through Osaka.

Flying an MD-11 aircraft for this scheduled flight, FedEx will have the capacity to meet the growing demand of the express transportation market.

"The needs of companies operating in, and doing business with, Asia are continuously evolving and we will work closely with our customers to ensure we stay ahead of the curve in anticipating their needs. We will continue to strengthen our Asian network to enhance customer service," said Michael Ducker, FedEx's president, Asia Pacific Division.

"FedEx is confident that this new Hong Kong-Taipei-Osaka routing will further enhance transportation links into and out of Hong Kong," added Ducker.

FedEx currently serves more than 30 countries and territories in the Asia Pacific market with approximately 5,000 employees. The company provides the industry's most extensive trans-Pacific airlift. Operating its own wide-bodied MD-11, DC-10 and A310 aircraft, FedEx offers over 260 flights per week to the following locations: Bangkok, Beijing, Cebu, Hong Kong, Jakarta, Kaohsiung, Kuala Lumpur, Manila, Osaka, Penang, Seoul, Shanghai, Singapore, Subic Bay, Taipei and Tokyo, as well as the U.S.

Federal Express, a subsidiary of FDX Corporation, connects areas that generate 90 percent of the world's gross domestic product in 24 to 48 hours with door-to-door, customs-cleared service and a money-back guarantee*. 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 million items in 211 countries each working day. FedEx has more than 142,000 employees, 44,700 drop-off locations, 615 aircraft and 40,900 vehicles in its integrated global network. The company maintains electronic connections with more than a million customers via FedEx PowerShip®, FedEx Ship®, and FedEx interNetShip®. Federal Express reported revenues of US$13.3 billion for its fiscal year ended May 31, 1998.

* Certain restrictions apply

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