Nippon Express Improves Facilities in Europe

With the ties between EU member nations growing stronger and European logistics becoming increasingly liberalized, Nippon Express has been pursuing a concept of pan-European logistics whereby proposals on intra-regional logistics are made to customers and optimal approaches determined in the context of Europe as a whole. In keeping with this concept and with the aim of developing logistics functions responsive to changes in customer/market logistics requirements, Nippon Express is augmenting its traditional forwarder operations by taking the following steps to improve its facilities in the UK and Germany.

1.

In October 2003, Nippon Express (U.K.) Co., Ltd. (Kiyofumi Sakurai, Managing Director), Nippon Express' local subsidiary in the UK, completed an expansion of warehouse facilities at its Midland Distribution Centre (Magna Park, Lutterworth, Leicestershire) located in south central England. The Midland Distribution Centre was opened in 1992 as a distribution point for locations throughout the UK, and it has provided warehousing services that combine air/ocean cargo forwarding and distribution. Home to this Centre, Magna Park and vicinity feature an industrial zone dominated by the automotive industry as well as a concentration of trunk lines that make it the "navel" of the UK. Its favorable geographic location as a distribution point for consumer logistics gives support to forecasts that logistics business in the region will continue to grow. The recently completed expansion involved the introduction of a high rack, narrow aisle system using high-reach forklifts. With a storage capacity of approximately 21,000 pallets, the warehouse facility can adequately meet the logistics needs of customers setting up operations in the area.

2.

Nippon Express (Deutschland) GmbH (Keiichi Nakatani, Managing Director), Nippon Express' local subsidiary in Germany, has decided to build a facility in the southern cargo zone of Frankfurt International Airport that is scheduled to start operations in August 2004. In addition to in-house handling of airline pallet build-and-break operations (import/export cargo) that have thus far been outsourced primarily to the shared airport warehouse, the new facility will bring airport logistics operations, including short-term bonded storage, entirely under the control of the company, increasing the speed and quality of services. This facility will serve as an air cargo hub for Germany and for Europe and it will play a key role in meeting the expanding logistics needs of Central/Eastern Europe. Due consideration has also been given to security at this facility, which upon completion will endeavor to acquire Grade A certification, the highest rating granted by the security and safety standards organization TAPA (Technology Asset Protection Association).

Nippon Express intends to pursue further expansion and improvements to its facilities in Europe in support of pan-European logistics services that ensure customer satisfaction.

Address:	Unit 5110, Hunter Boulevard, Magna Park, Lutterworth, Leicester LE17 4XN U.K.
TEL:	44 (1455) 550727
FAX:	44 (1455) 558473
Warehouse area:	20,077m2 (12,077m2 before expansion)

Address:	Cargo City South, Frankfurt Airport, 60549, Frankfurt, Germany
Lot area:	15,743m2
Total floor space:	8,104m2
Scope of business:	Break-bulk for import cargo, build-up for export cargo, short-term bonded storage, logistics operations
Inquiries:	Frankfurt Branch, Nippon Express (Deutschland) GmbH
TEL:	49 (6107) 774-0
FAX:	49 (6107) 774-142