FedEx Expansion Speeds India`s Connection to the World

FedEx Connects 4,348 Cities and Towns Across India to Global Distribution Network

MEMPHIS, Tenn.--(BUSINESS WIRE)--Oct. 20, 2005: FedEx Express, a subsidiary of FedEx Corp. (NYSE: FDX) and the world`s largest express transportation company, today announced new service expansions in India that will connect more of India to more of the world by providing customers with enhanced transit and cut-off times, increased cargo capacity and faster and more flexible access to the global marketplace.

FedEx has expanded its market leadership position by increasing flight frequencies in and out of India and improving connectivity between key export centers and regional hubs, resulting in improved service, especially for customers in Delhi and north India. The company also added capacity to move shipments of greater weight and size to key global markets within 24 to 48 hours. In addition, exporters will now be able to clear customs earlier allowing more time for production--a key benefit to manufacturing customers.

"India`s GDP is growing at a rate of seven percent a year, making it one of the fastest-growing economies in the world. This growth represents huge potential for our customers in terms of market expansion and global trade," said Robert W. Elliott, president, FedEx Express Europe Middle East and Africa. "Enhanced transit times, additional capacity and the ability to clear customs on location will facilitate faster and easier trade with powerful trading blocs like Europe, and help Indian businesses take advantage of the new trade opportunities in Eastern Europe."

"FedEx was the first air express company to establish direct international air routes in India and our commitment is to provide our customers with a superior international express service, with maximum connectivity by air," said Jacques Creeten, managing director, FedEx India. "The package of service enhancements announced today will help us do this--no matter where a small, medium or multi-national company is located in the country."

Through the FedEx India service expansion:

• FedEx continues to operate the largest number of international flights of any express carrier in India.
• FedEx is the first express carrier to have two gateways in India--Mumbai and Delhi.
• FedEx is the first to have eastbound and westbound capability for both Mumbai and Delhi, therefore has the best direct connectivity between India and Asia Pacific, Europe and the Americas.

FedEx will also be expanding service availability of FedEx International Priority Freight, FedEx International Express Freight and FedEx International Priority options for Valuables and Dangerous Goods to more markets through our new trucking network. This new network will allow later pickup times from all key markets providing additional manufacturing or production time for our customers.

As a result of this expansion FedEx leads the express industry in India with almost 3,500 people working for FedEx Express and its contractors, 250 FedEx branded retail outlets, and a transportation system connecting 4,348 cities and towns across India. Expanded operations and services will be effective from Nov. 1.