FedEx RESPONSE

1. How did FedEx, again, beat out competitors in a shipping test?

A. The results in the shipping test are a testament to the reliability of the FedEx network and the strong focus we have on meeting customer expectations every day. We invented the overnight express shipping business more than 30 years ago. Our transportation and information network, plus the people who support it, are dedicated to top performance and in ensuring that are customers are satisfied with the high level of service we provide.

That's our daily goal.

2. Costs? (There were two parts to this question: Why we are more expensive than the USPS and why we are less expensive than UPS).

A. (As compared to USPS, though we don't discuss competitor pricing ) Our costs are based on the type of service a customer needs. Because of our proven track record of consistent reliability in express shipments, whether it is a one day or two-day delivery, the pricing meets the high standard of the delivery option chosen by the customer. Our customers know our services meet their high standard of expectations. They know they can depend on us, and for overnight services will pay just a little more for that convenience and comfort of knowing that their packages will be delivered as on time.

(As compared to UPS). We don't discuss competitor pricing, but can say that FedEx offers shippers a variety of shipping options from any of the FedEx operating companies, whether it's FedEx Express or FedEx Ground. These shipping options, backed with the proven industry-leading reliability

FedEx is known for, give customers the best service at a fair and competitive price. They can pick and choose the service based on their own shipping needs.

Provided by Jim McCluskey, FedEx Media Relations

UPS Response:

1. What is the company's response to our results? Just as the shipping tests demonstrate, the best protection for a package is using proper packing materials and taking the time to learn how to do it correctly. Consumers must remember that when they ship a package it may travel on many modes of transportation and move down hundreds of miles of conveyor belts before making it to its final destination. Guidelines for packing everything from the unusual to the usual are available at www.ups.com

Or, The UPS Store packing experts can take care of packing it all for you. If in doubt of your packing technique, leave the box unsealed when bringing it to a UPS counter and we can check to make sure you've taken all the necessary precautions. Attached is a document with packing and food shipping tips.

2. Why is UPS more expensive than its competitors?

We feel that our pricing is extremely competitive and right on the mark when you consider the reliability guarantees and conveniences we offer. Our customers tell us that they choose UPS for "piece of mind" and the opportunity to customize their shipment and the delivery to their specific needs, such as:

• An online option to receive an automated alerts to your email and the consignee's email, or even a personal phone call from customer service, when a shipment leaves or arrives at its destination. Dozens of other options for customizing the delivery details of a particular package.
• Additionally, no carrier has more locations where you can originate a delivery, creating exceptional convenience for busy consumers (4,000 The UPS Store locations and 70,000 additional points of access).
• And especially important during the holidays -- UPS has unmatched contingency operations to keep packages moving to their destinations despite severe weather that may impact various part of the country during the winter and holiday season.

These are just a few of the reasons UPS remains the most popular shipping company in the U.S. (We deliver 8 million more packages a day than our nearest competitor).