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					2008 Pacific Region
International Review

Diana Stopford
April 07, 2008
   Services Overview

  International Small Package

One to Three Days                 Best Available Flight            Contractual Service:
UPS Worldwide ExpressSM           UPS SonicAir®                    UPS WorldEase
  Day-definite                     From the U.S. to more           Consolidated customs
                                     than 180 countries and           clearance for packages
  Overnight to/from Canada
                                     territories; typically           to multiple recipients
  2 days to/from Europe and         completed within 24 hours        within a country or the
   Latin America                                                      EU.
                                    Available 24/7/365
  2 to 3 days to/from Asia                                          Available in 75
                                  UPS Worldwide Express              countries
Two to Five Days
                                  PlusSM
UPS Worldwide ExpeditedSM
                                    Day-definite by 8 a.m. for
  Day-definite service to/from      import, 8:30 a.m. or 9 a.m.
   63 countries throughout           for export
   Europe, Asia and Central
   and South America

                                                                                                2
A Partnership for Growth
                                               Supply
   Customer
                                                Chain
   Solutions                                  Solutions

                                      • UPS Freight Services
                                      • International
                              Your      Consolidation
• Technology Solutions
                            Company   • Warehouse Management
• Warehouse design
                                      • Service Parts Logistics
• Supply Chain consulting




                                                UPS
      Mail                                     Capital
  Innovations

                                       • Global Trade Financing
   •UPS Mail Innovations
                                       • Lease Financing
                                       • Payment Solutions


                                                                  3
   Strategic Supply Chain Mapping
    Sourcing         International       Domestic
                                                           DC Network        Sales Channel       Returns
 Manufacturing         Logistics      Transportation




Characteristics                                        Benefits

Strategic View Across Reporting Structures            Yields greater results for the company as whole

Executive Sponsorship (C-Level, Finance)              Allows the Supply Chain to be a Competitive
                                                       Advantage
Coordination Across Divisions
                                                       Supply Chain Professionals Drive Thought
Data Sharing                                          Leadership
Time Commitment


                                                                                                           4
UPS Suite of Shipping and Information Solutions
 Service                                      Description
 UPS Internet Shipping /                      Internet Shipping is a fast and convenient way to create UPS shipping
                      ®                       labels – with an online address book and no software to install
 UPS CampusShip
                                              CampusShip gives you web-based control over the shipping activities
                                              of your employees from a centralized location.
                 TM                           High volume shipping software that streamlines export shipment
 UPS WorldShip
                                              processing by creating and electronically transmitting critical export
                                              documents.

 Internet Control and Visibility Solution     A flexible and robust solution that can meet all of your business rules
 (ICVS)                                       and still ensure on-time delivery of your shipments.

                                              Enables integrators to incorporate shipping, rating and routing
 ConnectShip                                  functionality into your enterprise, e-commerce and supply chain
                                              environment.
                ®                             Provides a comprehensive view of shipping status information of small
 Quantum View Manage
                                              package and freight activity by placing up-to-date information about the
                                              packages you are sending and receiving at your fingertips.

                                              Provides UPS billing information in a raw-data format that can
 UPS Billing Data and Billing Analysis Tool   be integrated into your systems, as well as a reporting tool to analyze
                                              all your UPS charges across 36 countries
                                              Online suite of information-based services to help customers effectively
 UPS TradeAbility™                            manage the movement of international goods in a compliant, timely
                                              and efficient manner.




                                                                                                                         5
Global Trade Growth
 Cross-border global transactions

   – $3T in 1990

   – $10T in 2007

   – $70T in 2025

 1B new global consumers in next
  10 years

 Imports/Exports 25% of U.S. GDP,
  growing to 37% by 2025


                                     6
Great Opportunities for Small
Business to Go Global
U.S. Business Monitor:
  67% of small businesses don't participate in
   cross-border trade
  Small and medium businesses account for 97%
   of U.S. exporters, but
   only 30% of total export value of U.S. goods
  Two-thirds of Small businesses sell to only one
   foreign market
  Canada and Mexico seen as best opportunities;
   China fastest-growing export market
SBA:
  Companies engaged in international trade are
   20% more productive, have 20% greater job
   growth and are 9% more likely to stay solvent


                                                     7
Overcoming Obstacles to Global Growth
  How do I distribute my products to customers outside the U.S.?
    – Adopt a trusted network




                                                                    8
UPS’s Global Network to Meet Customer Needs

 UPS leverages its global network to offer a broad portfolio of services


  UPS’s services include small package delivery, heavy freight
   transportation, ocean freight, supply chain management, trade financing
   and customs clearance. UPS helps companies simplify international
   trade, streamline worldwide operations and improve revenue.
  Serving more than 215 countries and territories worldwide with more
   than 577 aircraft, UPS can help meet any global transportation need.




                                                                             9
                                                                                       Operational Profile:
UPS Presence:
                                                                                        Region headquarters
    Asia                                                                                 in Singapore
                                                                               Japan
                                                                                        40 countries and territories
                                                              S. Korea
                                                                                         served in Asia
                                                                                        6,500 employees in region

                                  China
                                                                                       UPS Access Points:
                                                              Taipei
                                                                  Taiwan                23 UPS Customer Centers
                                                       Hong
  India
                                                       Kong                             136 Mail Boxes Etc.®
                                                                       Philippines
                                                          CLARK                         Two The UPS Store®
                                 Thailand
                                                                                        2,147 Affiliates
                                                Vietnam

                                                                                                        Australia
                                            Malaysia
 Clark Air Hub

 Air Hubs
                                          Singapore
                                                          Indonesia
 UPS Facilities

 UPS Supply Chain Solutions® Facilities




                                                                                                                        10
UPS Presence:                                                            Operational Profile:
Canada                                                                      Every address in Canada served

                                                                            Over 11,000 employees

                                                                            Six international airports served Daily
                                                                                 Flight Segments
                                                                                   – 73 Intra-Canada
                                                                                   – 12 International
                                                                            Delivery Fleet: 2,521 (package cars,
                                                                                 tractors, vans and trailers)
                                                                            49 UPS operating facilities*
                     Calgary
                                                                            83 UPS Supply Chain Solutions® facilities*

                                                                            One brokerage facility (Fredericton)
          Vancouver              Winnipeg                         Fredericton
                                                                         UPS Access Points:
                                                                       Halifax

                                            Hamilton                        288 The UPS Store
    Airports                                Toronto    Montreal
    UPS Facilities                                                          14 Mail Boxes Etc.
    UPS Supply Chain Solutions Facilities

    *Principal locations displayed
                                                                            510 Drop Boxes

                                                                            128 Affiliates


                                                                                                                       11
Operational Profile
                                                       UPS Presence:
 Region headquarters
   in Brussels, Belgium                                Europe
 57 countries and territories
   served across Europe
   (112 including the Middle
   East and Africa)
 32,000 employees
                                                                            Nottingham
   in the region
                                                                           London

                                                                Brussels                 COLOGNE
UPS Access Points:
                                                                           Paris

 304 UPS Customer
   Centers
 860 Mail Boxes Etc.
                                                          Madrid
 13 Drop Boxes       Cologne Air Hub
                      Airports
                      UPS Facilities*
 102 Affiliates      UPS Supply Chain Solutions® Facilities*

                      *Principal locations displayed




                                                                                                   12
                                                       Operational Profile:
                                                         Region headquarters
                                                          in Miami, FL, U.S.
    Mexico                                               Over 50 countries
                                                          and territories served
                                                          in Latin America
                                                         More than 6,000
                                                          employees in Latin
                                                          America
UPS Presence:
Latin America                                            More than 1,000
                                              Brazil      vehicles including
    Airports                                              trucks, vans and
    UPS Facilities*
    UPS Supply Chain Solutions® Facilities*               motorcycles
                                                       UPS Access Points:
                                                         45 UPS Customer
                                                          Centers
    *Principal locations displayed                       101 Mail Boxes Etc.

                                                         108 Affiliates

                                                                                   13
Overcoming Obstacles to Global Growth
  How do I simplify and comply with all that paperwork?
    – Automate and integrate




                                                           14
 Services Overview


New International Services For 2008:
 UPS International Return Service                UPS Paperless Invoice
   The only company in the shipping               The first carrier to enable you to submit
    industry to offer customers the ability         your CI electronically.
    to request international returns from
                                                   UPS enables the use of electronic
    98 countries through the PC or web
                                                    invoices.
    based shipping systems.
                                                   Another way to integrate technology to
   The new expansion leverages UPS’s
                                                    integrate order processing.
    superior technology providing
    shipping, visibility and billing solutions     Information is shared properly and
    that customers rely on and are                  correctly.
    unmatched in the shipping industry.
                                                   Works seamlessly with UPS Worldship
                                                    10.0 version
                                                   With electronic transmission, shipment
                                                    processing can begin, enabling timely
                                                    Customs clearance.

                                                                                                15
Overcoming Obstacles to Global Growth
  How do I meet my customers' delivery deadlines?
    – Release the choke points




                                                     16
Supply Chain Mapping Template




                                17
Overcoming Obstacles to Global Growth
  How do I price if I don't know my total logistics costs?
    – Find a carrier with landed cost engines




                                                              18
Overcoming Obstacles to Global Growth
  How do I know where my orders are and whether they’ve
   been delivered?
    – Maintain visibility




                                                           19
Overcoming Obstacles to Global Growth
  How do I facilitate global returns?
    – International returns service




                                         20
Overcoming Obstacles to Global Growth
  How can I bridge the physical and financial supply chains?
    – Find a supply chain “translator”
    – “Best run supply chains have stock market capitalization rates 7% to
      26% above industry average” Accenture
    – “Companies that open their internal processes to external
      collaboration will grow 20% faster than those who don’t” Gartner Group




                                                                               21
Who is there to help me?

UPS: Partnering with the United States Commercial
Service

   Counseling and advocacy: International Business
     consulting including Exporting & Importing, finance,
     logistics, Trade Compliance & understanding local
     business cultures

   Finding international partners: Trade Missions to Asia,
     Europe, Middle East & South America

   Develop & review International Business plans

   International Market Research & Trade Information

                                                              22
Partnering for Growth: Your
Market
  Use resources that make importing and
    exporting of products less complex and
    taxing on your organization’s resources

  Understand the markets for your products
    and aggressively pursue your target
    markets: Don’t sell “ice cubes to Eskimos”

  Concentrate on effectively serving and
    understanding these markets

  Maintain viability of your products;
    continue to evolve




                                                 23

				
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