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FedEx Archives: 2002 Press Releases

( BW)(TN-FEDEX)(FDX) FedEx Express and Airbus Complete Agreement on A380-800F; Deal for New Long-Range Aircraft Signed at Ground-Breaking Ceremony

Business Editors
NOTE TO MEDIA: Multimedia assets available

TOULOUSE, France--(BUSINESS WIRE)--July 16, 2002--Officials from Federal Express Corp., a subsidiary of FedEx Corp. (NYSE:FDX), and Airbus signed in a ceremony today a definitive purchase agreement for FedEx Express to acquire the A380-800F, the new high-capacity, long-range aircraft. The agreement was signed by Frederick W. Smith, chairman, president and chief executive officer, FedEx Corp., and Noel Forgeard, Airbus chief executive officer, prior to a ground-breaking ceremony for the facility where final assembly of the aircraft will take place.

"Today is a major milestone for FedEx Express on two counts," said Smith. "The agreement secures the most efficient, long-range aircraft in the world for the future needs of the FedEx fleet and it reinforces our commitment to France which is the home of our European hub and thousands of FedEx employees at Charles de Gaulle airport."
Capable of flying a gross payload of more than 330,000 pounds on routes of nearly 6,000 nautical miles, the A380 will significantly increase the company's operational efficiencies on long-range routes. Rather than flying multiple daily MD-11 aircraft between FedEx Express hubs in Europe, North America and Asia, FedEx can operate a single A380 aircraft on those routes.

"FedEx was one of 20 carriers that worked from the beginning with Airbus on the concept of the A380," said Forgeard. "It's very rewarding to see that early participation in the program results in the creation of an aircraft that our customers not just want, but actually order. After all, the FedEx commitment launched the A380 freighter program."
FedEx Express will take delivery of ten of the aircraft, three each in 2008-2010 and one aircraft in 2011. FedEx Express also holds options from Airbus for ten additional A380 aircraft. Other terms of the agreement were not disclosed.

The company's selection of the engine to power the A380 will be announced during the upcoming Farnborough Air Show in England later this month.

With annual revenues of $21 billion, FedEx Corp. is the premier global provider of transportation, e-commerce and supply chain management services. The company offers integrated business solutions through a network of subsidiaries operating independently, including: FedEx Express, the world's largest express transportation company; FedEx Ground, North America's second largest provider of small-package ground delivery service; FedEx Freight, the largest U.S. provider of regional less-than-truckload freight services; FedEx Custom Critical, the world's largest provider of expedited time-critical shipments; and FedEx Trade Networks, a provider of customs clearance, international freight forwarding and trade facilitation.

Certain statements made in this press release may be considered forward-looking statements, such as statements relating to management's views with respect to future events and financial performance. Such forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, the performance characteristics and reliability achieved by the aircraft acquired by the company, economic and competitive conditions in the markets we serve, matching capacity to volume levels and other factors which can be found in FedEx Corporation's, and its subsidiaries', press releases and filings with the SEC.

Editors Note: Further information including an A380 fact sheet and graphics are available at www.fedex.com

    --30--KO/na*

    CONTACT: FedEx Express, Memphis
             Ed Coleman, 901/434-7784 or 901/508-2099
             eacoleman@fedex.com
             or
             FedEx Corporation, Memphis
             Greg Rossiter, 901/818-7303 or 901/553-4178
             gmrossiter@fedex.com

    KEYWORD: TENNESSEE FRANCE INTERNATIONAL EUROPE
    INDUSTRY KEYWORD: TRANSPORTATION AIRLINES AEROSPACE/DEFENSE
E-COMMERCE MARKETING AGREEMENTS PRODUCT PHOTO PHOTOWIRE
    SOURCE: FedEx
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