GM's HydroGen3 To Power FedEx Trucks

FOR RELEASE: December 17, 2002

FedEx Express And GM Announce First Commercial Test Of A Fuel Cell Vehicle In Japan

FedEx Express To Operate Vehicle For One Year

TOKYO - Federal Express Corporation ("FedEx Express") and General Motors Corp ("GM") announced a joint program to advance fuel cell technology by conducting the first commercial test of a fuel cell vehicle in Japan.

FedEx Express will participate in GM's HydroGen3 fuel cell testing program for one year by operating the HydroGen3 on its normal delivery schedules in the Tokyo area from June 2003 to June 2004. GM's HydroGen3 is the first fuel cell vehicle fueled with liquid hydrogen to run on public roads in Japan.

GM will collect and analyze the data gained from the FedEx Express operation to determine how its fuel cell vehicles operate under demanding, real-world commercial driving conditions. GM will contribute these results as part of its participation in the Japan Hydrogen and Fuel Cell Demonstration Project.

"To really prove that fuel cell vehicles are equal to or better than conventional, internal combustion vehicles, you need to operate them under tough, every-day conditions," said Raymond Grigg, Chairman and CEO, Representative Director, General Motors Japan Ltd. "Our fuel cell technology has advanced to the point where it's important to involve a real heavy-duty commercial user in our research and development activities. We expect to learn a lot by having FedEx Express put our HydroGen3 to the test on their daily delivery runs on the streets of Tokyo. This is how you truly prove durability and dependability."

HydroGen3, based on the Zafira MPV, is GM's first entry in the recently announced Japan Hydrogen and Fuel Cell Demonstration Project, which is being directed by Japan's Ministry of Economy, Trade and Industry (METI).

The JHFC Demonstration Program will begin full-scale operations in March 2003, and FedEx Express will begin operating the HydroGen3 in and around the Marunouchi area of Tokyo a few months later. Under terms of the recently signed memorandum of understanding between the two companies, GM will collect data from FedEx Express, and will provide all vehicle engineering and maintenance.

"We recognize effective environmental management as one of our most important corporate priorities," said David J. Ross, vice president, North Pacific Region, FedEx Express. "Our participation in advanced fuel cell vehicle testing in Japan reflects our commitment to the long-term goal of protecting and respecting the environment through outstanding environmental performance and efficiency in the conduct of our operations".

The HydroGen3 - with a range of 400 kilometers (250 miles) and a top speed of 160 km (100 miles per hour) - demonstrates several advances in technology and packaging compared to its predecessors. Some of the key breakthroughs include eliminating the need for a buffer battery - needed in previous generations to deal with specific peak-power demands - as well as developing an internal system for humidifying the fuel cell stack. HydroGen3's packaging and technology innovations move GM another step closer to developing a production-ready vehicle.

"Today's announcement in Tokyo is a further illustration of GM's global fuel cell leadership, most recently demonstrated earlier this month when 250 international journalists drove GM's revolutionary Hy-wire concept fuel cell vehicle and a fleet of HydroGen3 fuel cell vehicles in Monaco," said Grigg.

"FedEx Express involvement with our fuel cell vehicle in a truly demanding environment is a crucial part of our long-term strategy to provide the best fuel cell vehicles for our customers."

Hy-wire is the world's first drivable vehicle that combines a hydrogen fuel cell system with by-wire technology. Combining these two leading-edge technologies allows GM to completely re-invent the automobile.

GM has approximately 600 people working on fuel cell technology at its three U.S. facilities in Honeoye Falls, N.Y., Warren, Mich. and Torrance Calif., as well as at its research facility in Mainz-Kastel, Germany, and offices in Tokyo.

General Motors , the world's largest vehicle manufacturer, designs, builds and markets cars and trucks worldwide. It has been the global automotive sales leader since 1931. GM employs about 355,000 people around the world. More information on GM can be found at www.gm.com.

FedEx Express, a subsidiary of FedEx Corp., connects areas that generate 90% of the world's gross domestic product in 24-48 hours with door-to-door and customs-cleared service. The company's unmatched air route authorities and infrastructure make it the world's largest express transportation company, providing fast, reliable and time-definite transportation of more than 3.3 million items to 211 countries each working day. FedEx employs approximately 143,500 employees and has more than 45,800 drop-off locations, 640 aircraft and more than 45,000 vehicles in its integrated global network.