Hyundai Names FedEx Exclusive Carrier in U.S.; Automaker Cites Reliability, Efficiency of FedEx Express, FedEx Ground Networks

    FOUNTAIN VALLEY, Calif.--March 12, 2002--Hyundai Motor America announced that FedEx Corporation through its operating subsidiaries will be the exclusive carrier for all of Hyundai's express document, small-package ground, and palletized express-freight shipments delivered to dealers within the United States. Hyundai will use both FedEx Express and FedEx Ground services under the new agreement.
    "Hyundai has been searching for greater efficiencies in its U.S. operations, and this agreement allows us to consolidate express document, small-package-ground and air-freight shipments with one company," said George S. Kurth, director of Supply Chain and Logistics for Hyundai. Hyundai also cited the high reliability of the FedEx services and said that its dealers have specifically asked that FedEx services be utilized for their priority freight requirements.
    "FedEx clearly demonstrated its wide range of capabilities, and that includes using FedEx Ground for 24-to-48-hour deliveries," added Mr. Kurth. "FedEx also provides highly robust information systems, which will enable us to provide tracking and delivery information to our dealers that we were unable to offer when we used multiple carriers. These information systems will also enable us to reduce backorders as we expand our referral network to the dealer level."
    Virtually everything that Hyundai Motor America distributes for dealer service requirements can be shipped under terms of the agreement -- from letters to large parts. Hyundai's integration with FedEx information systems will also provide increased efficiency to the Hyundai parts supply chain.
    The agreement covers Hyundai shipments using FedEx Express Priority Overnight, FedEx 2-Day and FedEx Express Freight services and FedEx Ground service to and from points within the United States. Initially, Hyundai expects to ship approximately 200,000 packages per year under the new agreement.
    Mark S. Maynard, managing director of Worldwide Services for FedEx, said "More and more companies are finding that the independent networks of FedEx Express and FedEx Ground can provide a total transportation solution that enables them to serve customers more efficiently and effectively."
    The monetary value of the agreement and its length were not announced. The contract was effective in February 2002.

    About Hyundai Motor America

    Hyundai Motor America, headquartered in Fountain Valley, California, is a subsidiary of Hyundai Motor Company of Korea. Hyundai automobiles and sport utility vehicles are distributed in the United States by Hyundai Motor America and are sold and serviced through more than 580 dealerships nationwide.

    About FedEx

    With annual revenues of $20 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 brokerage, consulting, information technology and trade facilitation solutions.