Keep Track of itall – with UPSQuantum ViewSM

In the course of a busy working dayshipments areconstantly coming in,going out, changingdestinations andmoving all over theworld. To stay on top of things, you’dneed a miracle tokeep everything insight. Or you needUPS Quantum Viewservices*.

The latest news and views from UPS

Forum

Inside Story

Winter 2004/2005

Service Updates Learn more about enhancements to UPS services on page 2.

Heavy Parcel Tip Take care of your back – read more on page 2.

Q&A Get the right know-how on customsregulations on page 3.

Customer Case Study Find out how UPS has helped YOOX.comstep out in style on page 3.

excess handling, your goods aredelivered directly to their finaldestination, eliminating the needfor receiving, sorting, handlingand labelling upon arrival. You increase efficiencies by:

■ Processing less individualpaperwork for eachshipment, allowing you to reduce brokerage fees andcut down on the risk of error from excessivedocumentation, which cancause delays at customs.

■ Improve resource allocationby decreasing inventory-carrying costs like distributioncentre handling, labour andstorage costs.

■ Reducing time to marketsince your goods get to yourend customers faster.

What’s more, with UPS’sunique Flex® Global Viewtracking system, you getcomplete online visibility fromorigin to destination for all keymilestones in your shipments’

UPS’s Quantum View NotifySM

and Quantum ViewSM Dataservices pack a powerfulpunch when it comes togetting full visibility on yourshipments’ movements.

While both Quantum Viewservices are geared to providingyou with the best possiblevisibility over your shipments,each service can cater toparticular needs, depending onwhat you need to do with therelevant information.

1. Inform

If you ship just a few packagesdaily, you’ll want to knowwhen your shipments get thereor if they get held up. In theunlikely event that they don’tget there on time, you’d like toshare this information withyour end customers and haveyour internal departments inthe know as well so everyonecan take the necessary action.Stay ‘Informed’ with UPSQuantum View Notify.* Levels of service may differ from country

to country. Check www.ups.com for service and destination availability.

aircraft. Rather, we’vestreamlined the consolidationand deconsolidation process so your goods can get to theirdestination even faster andmore efficiently. Shipping labelsand other relevant exportdocumentation can be preparedand applied to productsdirectly on the factory floor ifneeded. Your goods still needto undergo routine customsclearance but this can alreadybegin while the shipments are en route. By bypassingwarehousing and eliminating

UPS Trade Direct is anintegrated solution that allowsyou to bypass traditionaldistribution centres by shippingdirectly to retail stores or tocustomers’ doors. Leveragingthe breadth and reliability ofthe UPS global network andfreight expertise of UPS SupplyChain Solutions, UPS TradeDirect provides freightconsolidation, air and oceantransportation, customsclearance, deconsolidation anddoor-to-door delivery acrossthe United States, all through asingle source. Your productscross the ocean more efficiently,letting you reach customersand retail stores more quicklyand easily than ever before.

Here’s how UPS Trade Directworks. UPS:

■ collects your shipments andconsolidates them all into one ‘master’ shipment;

■ transports the shipment tothe US via air or ocean;

■ provides customs clearance;■ deconsolidates the master

shipment into individualshipments and;

■ delivers them via ourextensive US networkdirectly to your customers.

What this means for you istighter inventory control and a much reduced need forwarehousing. We haven’t putyour goods on a faster boat or

UPS on the NetA New Way to Forward Freight to the US – with UPSTrade DirectSM Air and OceanIt might surprise you to know that UPS can do freight as efficientlyas we deliver packages. Now, you’ll be glad to know that UPS TradeDirect, our freight solution, aims to meet your air and ocean freightneeds to the US.

Story continues on page 2

Story continues on the back page

With any newyear comes newbeginnings andthis year we’vemade some of ourfamiliar serviceseven better, byrolling them outto more markets!

Forum Winter 2004/2005

progress, providing shipmentvisibility twenty-four hours a day, seven days a week. With the service also comesseveral value-added featureslike having a return address in the destination country for goods that need to bereturned, having a single UPS point of contact from start to end and having oneconsolidated invoice containingall transportation charges,duties, taxes, brokerage feesand other costs.

New Enhancements for a New Year

Expansion of UPS ExpressSaver coverage

Tight budget, but still need fastdelivery? UPS Express Savercan make all the differencewhen it comes to getting yourgoods there fast, but at a pricethat suits your pocket.

Those of you who have usedUPS Express Saver know howuseful it is when you need to getyour goods across the EU in thecourse of the next business day.Now you’ll be even more pleasedto note that UPS Express Saverhas been extended outside theEU to Liechtenstein, Norwayand Switzerland allowing youto send your shipments to andfrom these countries with thesame ease you have enjoyed foryour shipments within the EU.

Also starting in January, you’ll be able to importshipments into your countriesusing UPS Express Saver from these countries: Albania,Belarus, Bosnia-Herzegovina,Bulgaria, the Channel Islands,Croatia, Iceland, Macedonia(FYROM), Moldova,Romania, Russia, San Marino,Serbia & Montenegro,

Service Updates

Turkey and Ukraine, givingyou more shipping optionswhen you receive shipmentsfrom these countries.

UPS Collect on Delivery (COD)service rolled out to the tennew EU Member States

Now that the EU has expandedto include ten new countries,you’re probably also looking to expand your business across new territory. To gainassurance of prompt paymentwhen doing business with new customers in unknownwaters, take advantage of ourUPS Collect on Delivery service,which has been expanded toencompass all EU MemberStates. With COD, UPS collectsthe payment for your goodsupon delivery so you can ensurethat your new customers

across the continent stay in yourgood books and your booksstay out of the red!

UPS Return Services – bringing them back should be as easy as sending them out

Like our COD service, allmembers of the enlargedEuropean Union can nowpartake in our UPS ReturnServices. Starting in January2005, the full portfolio ofReturn services is now availableacross all EU Member States.Let your goods come back toyou as easily as they get sent orpurchased. Keep your customerssatisfied by making it easier forthem to do business with yourcompany should they need tosend something back to you.Some of UPS’s Return servicesinclude enclosing a return labelwith your original outgoingshipment, making it availableon your company’s web pagefor your customers to print anduse, emailing the label to yourcustomers to print when theyneed it, or you can simply letUPS do all the work by havingus print and deliver the returnlabel to your customer.

Fuel surcharge applied to UPS Standard shipments

Starting from January 2005, a fuel surcharge will also beapplied for UPS Standardshipments. Currently a fuelsurcharge is applied only to UPS Express services(Express Plus, Express andSaver) and UPS Expedited.This extension of the surcharge reflects dramaticincreases in fuel costs over the past several months. The fuel surcharge willfluctuate based on the average consumer prices of diesel fuel inclusive of duties and taxes published bythe European CommissionDirectorate General for Energy and Transport. As an example, the fuelsurcharge is 2.5% of the UPS Standard net invoicedamount in January. Details regarding the fuelsurcharge information can beobtained on www.ups.com.

For more information check www.ups.com for details or contact your UPS representative.

For people working in thedistribution industry, liftingheavy packages is part andparcel of everyday work. But for those amongst you whoare not used to lifting heavyobjects, doing it the wrong way can hurt your back. To alert people handling yourpackages to take the necessaryprecautions, UPS has developeda ‘Heavy Package’ sticker foryou to stick on those packagesover 25 kgs which mightrequire a fair bit of lifting.

You can also help reduce the risk of injury for everyoneinvolved by:

■ Placing the UPS HeavyPackage sticker on packagesweighing over 25 kgs.

■ Applying this sticker to theright of the shippingdocument and recording theweight in the space provided.

■ Marking the heaviest side ofthe package for parcels withuneven weight distribution.

■ Ensuring that packages arenot excessively heavy bydividing them into two ormore lighter parcels.

Should you require ‘Heavy Package’ stickers, simply contact us.

Slap on a Sticker,Save your Back

Heavy Parcel Tip

Story continued from the front pageUPS has two Trade DirectSM

options to meet yourinternational supply chainneeds: UPS Trade DirectSM Airand UPS Trade DirectSM Ocean– for your time-sensitive airand ocean freight needsrespectively. In addition, in thecourse of 2005, UPS TradeDirect will also becomeavailable for your inboundfreight shipments from the restof the world and outbound toother international destinations.For more information, pleasecontact your UPS representative.

With the right know-how, turn customsregulations into a competitive advantage.UPS TradeAbility, our new onlinecustoms and brokerage tool, makes iteasier to access the information you need.Read on to find out more.

Q & A

Forum Winter 2004/2005

user-provided transportationcosts based on the origin,destination and products in a shipment.

■ International Forms

Gain immediate access to themost current forms anddocuments required for yourinternational shipments. Youcan access forms necessary to fulfil your internationalshipping needs, completethem online and print them.

■ Import Compliance

Import Compliance helps youproactively verify compliancewith country-specific traderegulations, procedures andadministrative rulings, suchas license needs and importquotas, based on your origin,destination and product

■ Harmoniser

Harmonised tariff codes arestandard product codesnecessary when tradinginternationally. Harmoniserhelps you quickly identifythese tariff codes for yourproducts. By simply keying in the necessary details, theinformation is made availablein a matter of seconds.

■ Landed Cost

Duties, customs clearanceand taxes can differ greatlybetween countries and canincrease the variability ofestimating landed costs. UPS TradeAbility’s Landed Cost engine helpsderive cost estimates for your international shipments,which includes applicableduties, fees, taxes and

Q: What is UPS TradeAbility?UPS TradeAbility is aweb-based suite of informationservices aimed at helpingcustomers obtain current data and forms needed forshipments to clear customs.These can be found onwww.ups.com, providing you with a seamless andcompatible set of customs and brokerage informationavailable to your customersand employees at all times.

Q: What kind of customsinformation does UPSTradeAbility provide?UPS TradeAbility is dividedinto several different servicetypes, corresponding to variouscustoms needs. Some of themore important ones are:

Don’t always Know your Way around Customs Regulations? Get Help with UPS TradeAbility™

information. It also providesadditional informationregarding trade agreements,such as NAFTA, APEC, etc.

Q: Will UPS TradeAbilityprovide information for allcountries worldwide?UPS TradeAbility currentlyprovides trade data for thirty-five countries and territories:Austria, Belgium, Channel Islands, Denmark,Finland, France, Germany,Greece, Ireland, Italy,Luxembourg, Netherlands,Portugal, Spain, Sweden,United Kingdom, Argentina,Brazil, Canada, Chile, Mexico, Peru, Puerto Rico, US Virgin Islands, Australia,China, Guam, Hong Kong,Japan, New Zealand,Singapore, South Korea,

Taiwan, Thailand and the United States. This list will be expanded to include morecountries over time.

Q: How often is theinformation updated?The results provided by UPS TradeAbility are quitecurrent. The UPS TradeAbilitydatabases are under constantreview for updating.

Q: Will UPS TradeAbilityservices be charged?Some services are free-of-charge,but others are provided on afee-per-transaction basis. You will be prompted onlineshould there be a charge.Pricing information can befound online at www.ups.comor in your 2005 UPS Serviceand Tariff Guide.

Customer Case Study

Who is YOOX.com?Italy-based YOOX.com beganin September 2000 and is nowknown as YOOX, the leadingglobal e-concept store, whichpresents a unique mix ofproducts that consumers can’tfind anywhere else including:exclusive collections by leadingdesigners; hand-picked end-of-season pieces at value prices; rarevintage collectibles and cuttingedge creations by talented up-and-coming designers. All ofthese items are currentlyavailable only on YOOX.com.

YOOX initially sold itsproducts just within theEurope Union and is now theonly player that has operationsin three continents: Europe(25 countries), North Americaand recently Japan.

What does YOOX do andwhere does it ship?At present, YOOX’smerchandise is shipped directlyfrom Italy. It reaches the US

customers through a HUB inNew Jersey. Similarly, a Japaneselogistics centre will open shortlyto fulfill nationwide orders.

YOOX selects items from theleading fashion houses, retailersand manufacturers, collectingthe products in a centralwarehouse where informationrelated to each piece is insertedinto a database (sex, size,colors, etc). Then, the YOOXphotographers take detailedpictures of each item. Once thiscatalogue process is finished,each article is put online at the start of the appropriateseason and customers buy at50 percent off the original retailprice. Each of the 28 countriesserviced has a specific

version of the website,delivering targeted content and communication, withproduct assortment and pricestailored for each local market.

What UPS products andservices do they use?To ship merchandiseinternationally, YOOX utilises a combination of small package options such as UPS Express, whichguarantees time definitedelivery, and UPS Expedited,which offers scheduleddelivery. When shippinginternationally, YOOX alsouses UPS World EaseSM, whichallows them to send multiplepackages to many destinationsin the same country throughcustoms as one consolidatedpackage movement.To return a product to YOOX in the United States forany reason, customers can send it back free through UPS’sAuthorised Return System,

which includes a pre-printedlabel inserted in the outboundshipment with necessaryinformation for a customerreturn. In Europe, the label forreturns is printed at the sametime as the original sendinglabel by UPS Worldship™.

YOOX uses the QuantumViewSM system in order toproactively contact customersin case of delivery exceptions.

What has UPS done for YOOX?■ Meet changing needs

UPS has been with YOOXsince its inception and hasprovided services to help itsbusiness grow. YOOX hasdoubled its revenue each year for the past four years,and UPS has been able togrow with them – offeringservices to fit the company’schanging needs.

■ Providing excellent customer serviceYOOX customers can speak to UPS representativesin their own languageregarding their shipments in any country that YOOXmerchandise is available.

■ Saving time and moneyYOOX uses UPS because it offers global solutions onan efficient scale. UPS offersthe company reasonable ratesalong with the flexibility of early deliveries and late collections.

■ Utilising UPS World EaseThis service allows YOOXmerchandise to move directlythrough customs as a singleunit, reducing the need for warehousing, inventory and shipping.

Cool Facts■ YOOX was the first

customer in Italy to utiliseUPS World Ease

■ The United States is currentlyYOOX’s second largest market

■ Number of Employees: 65■ 300 prestigious

designer names■ Most popular item

sold online: shoes■ More than 130,000

satisfied customers■ 7 languages spoken■ 7 awards as

best e-commerce site

UPS and YOOX.com

Forum Winter 2004/2005

ENG/IE/NORD/PT

UPS Forum is published several times a year by UPS for managers and executives of firms whose scope forbusiness is within Europe, Middle East and Africa.Reproduction of UPS Forum in whole or in part isprohibited without written permission. Persons orpublications quoted and the comments of guestcontributors do not necessarily represent the corporateopinion of UPS. We welcome questions and commentsfrom readers. Please forward correspondence to: Forum Editor, UPS Europe SA/NV, 5 Avenue Ariane,1200 Brussels, Belgium.

We Want to Hear from YOU

Story continued from the front page

You can select Quantum ViewNotifySM whenever you shipusing a UPS shipping system.Just indicate which option(s)you want as you process your shipment.

■ Ship notificationNotification which includesdate of shipment, trackingnumber and scheduled date of arrival.

■ Exception notification Presents a rescheduled deliverydate in the event of delays.

■ Delivery notification Provides delivery andshipment details like time ofdelivery and signatory.

2. Integrate

When you have an immensevolume of goods being shippedeveryday, you need a moresophisticated solution than just email alerts. Use QuantumViewSM Data to integrate andmanipulate our shipping datadirectly into your systems soyou can analyse, report andview as you need.

Far from being just aninformational alert aboutshipment status, you receiveweb-based updates concerninginbound and outboundmovements in the form of puredata. Quantum View Datacomprises both Quantum ViewData Inbound and Outboundviews, corresponding to yourincoming and outgoingshipments but in a format thatpopulates your internal datasystems as you require.

The benefits go across all threeservices. With UPS QuantumView, you’re in a position to:

■ Enhance your customerservice Keep customers or internaldepartments informed ofexceptions to delivery.

■ Improve cash flow All Quantum View servicesprovide delivery confirmationso your finance departmentscan invoice promptly.

■ Streamline your supply chain Start identifying trends,revising strategies andincrease your company’soverall efficiencies.

■ Save time Reduce time spent onmanually locating and key-entering tracking numbers.

■ Reduce inventory cost Lower your need forwarehousing and planning.Start selling your goods evenwhile they’re in transit.

To make Quantum View even more attractive to you as a customer, starting fromJanuary 2005, all ourQuantum View services* arefree-of-charge. So why wait?Gain sight of the full pictureright now by going ontowww.ups.com or contactingyour UPS representative.* Levels of service may differ from country

to country. Check www.ups.com for service and destination availability.

Please note: this list is not exhaustive. It represents a sample of smaller and bigger, religious and non-religiousholidays that are observed around the globe. For a complete picture, visit www.earthcalendar.net which indicatesholidays and festival dates around the world.

Calendar

International Holidays Spring 2005February

2 Groundhog Day USA and Canada

8 Mardi Gras/Carnival Countries include Panama,Portugal, Mexico,…

9 Chinese New Year China, Hong Kong, Taiwan and Singapore

10 Islamic New Year Observed in predominantlyIslamic nations

14 Valentine’s Day International

22 People Power Day Philippines

25 National Day Kuwait

28 Andalusia Day Spain

March

1 National Independence Day Bosnia-Herzegovina

8 Women’s Day Celebrated in manycountries including Angola,Belarus, China, Eritrea,Kazakhstan, Poland, Russiaand Vietnam

14 Commonwealth Day Antigua and Barbuda,British Virgin Islands,Dominica, St. Kitts andNevis, St. Lusia, Turks and Caicos Islands

17 St. Patrick’s Day Ireland

21 Earth Day International

Human Rights DaySouth Africa

24 Maundy Thursday Denmark, Norway

25 Good Friday Observed in predominantlyChristian nations

28 Easter Monday Predominantly Christiannations

29 Memorial DayMadagascar

April

4 Independence Day Senegal

7 World Health Day International

11 National Heroes’ Day Costa Rica

13 Pi Mai (Laos New Year) Laos

18 Full Moon Day of Kason Myanmar

25 Children’s Day Iceland

29 Midori no Hi / Greenery Day Japan

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