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FedEx Archives: 2002 Press Releases

( BW)(TN-FEDEX)(FDX) FedEx Express Offers More Shipping Options Within Intra-Asia Market; Newly Awarded U.S.- Hong Kong Interim Frequencies Provides Customers with Greater Connectivity Within the Region

Business Editors

MEMPHIS, Tenn.--(BUSINESS WIRE)--Dec. 5, 2002--On December 3, 2002, FedEx Express, a subsidiary of FedEx Corp. (NYSE:FDX), began utilizing the first of six recently awarded interim frequencies that allow FedEx Express to carry local traffic on key flights within the Asia Pacific region. The six interim frequencies, which strengthen the company's competitive stance in that fast-growing region, mean that FedEx can offer additional direct service on flights between Hong Kong and other Asian markets with minimal start up costs.

FedEx is using two of the interim frequencies on Seoul, Korea to Hong Kong flights. Two other frequencies are in use on Manila to Hong Kong flights. One frequency will be applied to an existing flight between the FedEx Asia Pacific Hub in Subic Bay, the Philippines, and Hong Kong, beginning December 8, 2002. The remaining frequency will be used to initiate a new round-trip flight between Hong Kong and Subic Bay, effective December 8.

"Due to our extensive operations in the Asia Pacific region, FedEx Express was able to take immediate advantage of the additional frequencies, providing greater market connectivity for our customers," said Michael L. Ducker, executive vice president, International, FedEx Express. "The new frequencies also help FedEx Express make more efficient use of our existing assets in the region."
The DOT moved quickly to award the interim authority so that US carriers can take immediate advantage of these new opportunities while it decides on how to allocate those rights. The interim rights will remain in effect until 90 days after the DOT awards the permanent rights.

Last month, FedEx Express submitted an application to the Department of Transportation for a number of permanent fifth-freedom frequencies, which will allow FedEx Express to offer greater access to Asia from the U.S. and Europe as well as within the Asia-Pacific region.

FedEx expanded its presence in Asia when the company opened a hub in Subic Bay, the Philippines in 1995. The FedEx AsiaOne(R) network, which offers direct service into, out of and within 19 markets the Asia Pacific region, was launched in September 1995.

The Asia Pacific region was the company's fastest-growing international market during the first quarter of this fiscal year and Greater China is an important part of FedEx's growth in the division. FedEx entered the Chinese marketplace in 1984 and has demonstrated its commitment to working with government authorities to help bring world-class express transportation to the region. FedEx operates 160 flights per month into and out of Hong Kong.

About FedEx

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, North America's largest provider of expedited time-critical shipments; and FedEx Trade Networks, a provider of customs clearance, international freight forwarding and trade facilitation.

    --30--LC/na*

    CONTACT: FedEx Corp., Memphis
             Sally Davenport, 901/434-7765
             sddavenport@fedex.com

    KEYWORD: TENNESSEE PHILIPPINES HONG KONG CHINA INTERNATIONAL ASIA
PACIFIC EUROPE
    INDUSTRY KEYWORD: TRANSPORTATION AIRLINES
    SOURCE: FedEx Corp.