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FedEx Archives: 1999 Press Releases

( BW)(TN-FDX-CORP)(FDX) FDX and SAP Join Forces to Develop First-Ever Suite of Complete Orchestrated Supply-Chain Solutions

    Business Editors

    MEMPHIS, Tenn.--(BUSINESS WIRE)--Sept. 14, 1999--

Alliance Will Combine SAP(TM) Advanced Planner and Optimizer(TM)
and SAP Business Information Warehouse(TM) Solutions With
FDX Supply-chain Execution Capabilities

    FDX Corp. (NYSE: FDX), a $17 billion global supply-chain powerhouse, and SAP AG (NYSE ADR: SAP), the world's leading provider of inter-enterprise software solutions, have formed a strategic alliance to develop and market a first-ever "one-stop" portfolio of supply-chain planning, management and execution services. This total solution, announced today at SAPPHIRE '99, the SAP Americas annual customer conference, is planned to allow companies to outsource all or part of their supply-chain to a single provider, thus enabling them to concentrate on their core competencies while benefiting from cost-effective, globally synchronized distribution of their products.
    "There is a growing industry demand for a single orchestrator who can analyze, streamline and manage the entire supply-chain," said Dennis H. Jones, executive vice president and CIO of FDX. "The FDX/SAP total solution is planned to enable companies to improve their competitive performance by delivering products with more precision and by providing their customers with more accurate time and product availability estimates while reducing overall supply-chain costs."
    "This alliance further underscores FDX's strategic intent to become the most compelling end-to-end supply-chain solution provider in the industry," added Jones.
    "This strategic alliance with FDX is a perfect complement to the SAP extended supply-chain vision, carrying the solution all the way through distribution," said Kevin McKay, chief executive officer and president, SAP America, Inc. "For companies to operate at peak efficiency and stay ahead of the competition, they must look beyond the enterprise and collaborate effectively throughout their supply chain. Through the mySAP.com(TM) collaborative business environment, the SAP(TM) APO(TM) solution, in conjunction with FDX capabilities, will provide companies with the most complete and easy-to-use solution available."
    This total solution, driven by FDX capabilities, is planned to offer the following:

--	Supply-chain Consulting, which will provide customers with a design of information-enabled streamlined business processes;
--	Supply-chain Planning and Monitoring, which will incorporate SAP Advanced Planner and Optimizer (SAP APO(TM)) solution and the SAP Business Information Warehouse(TM) (SAP BW(TM)) decision-support system, allowing companies to create integrated models of their internal and extended enterprise supply-chain processes and to use advanced planning and scheduling functions to manage their supply-chain planning processes effectively. This capability will enable entire supply-chain communities to participate in collaborative planning processes that may significantly reduce costs and increase revenue. The SAP APO and SAP BW solutions were released for general availability in 1998, and are significant components in the mySAP.com strategy to enable inter-enterprise visibility and collaboration capabilities in managing the supply-chain.
--	Supply-chain Execution Management Services, which will integrate FDX information services and coordination of operations capabilities to provide global synchronized distribution of products and orders. Other services include single point of access for supply-chain visibility, just-in-time facility management and global order management.

    Providing end-to-end solutions will be supported by the FDX e Supply-chain Services and FDX WorldWide Services groups in their work with selected accounts.
    The groups' primary roles are to analyze the supply-chain processes of FDX customers and identify and implement streamlined processes that reduce costs, improve cycle time and increase revenues with solutions that leverage state-of-the-art technology.
    Testing of the capability will begin later this month, with an expected rollout in mid-2000. SAP customers will be given a preview of its capabilities at this year's SAPPHIRE '99(R) conference in the FDX booth No. 901.
    FDX Corp., a $17 billion holding company, provides comprehensive transportation, logistics, e-commerce and supply-chain management solutions. FDX Corp. principal operating subsidiaries are Federal Express Corp., the world's largest express transportation company; RPS Inc., a business-to-business ground small package carrier; Viking Freight Inc., a less-than-truckload carrier operating principally in the western U.S.; Roberts Express Inc., a critical-shipment carrier; and FDX Global Logistics Inc., a contract logistics provider.

    SAP, SAPPHIRE, mySAP.com, SAP Advanced Planner and Optimizer, SAP APO, SAP Business Information Warehouse, SAP BW and all SAP product or service names herein are trademarks or registered trademarks of SAP AG. Other company and product names used herein may be trademarks of their respective owners. (c)Copyright 1999 SAP AG

     --30--AR/na*

     CONTACT:  Federal Express Corp., Memphis
               Sally Davenport, 901/395-3466
               sddavenp@fedex.com

     KEYWORD:  TENNESSEE
     INDUSTRY KEYWORD:  TRANSPORTATION TRAVEL/AIRLINES PRODUCT