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UPS SCS Announces Strategic Alliance With AFL To Expand Field Stocking Location Network In India
Press Release

 
INDIA, May, 2009 - UPS SCS (India) Pvt Ltd has signed a Memorandum of Understanding leading to an agency agreement with AFL, one of India's leading logistics and domestic transportation service providers. The agreement will significantly expand UPS's Post Sales network in India, with plans to offer more than 130 field stocking locations and extend UPS's final-mile delivery service across India.

The expanded network will greatly benefit UPS's customers in India by bringing them closer to field stocking facilities and a transportation network that supports same-day, Next Flight Out and next-business-day delivery for critical service parts. As a result, these customers will have the ability to service their end-customers extensively throughout India and maintain visibility and connectivity to their global supply chain through UPS's global Post Sales product offering.

"We are extremely pleased to partner with AFL in India as this development further strengthens our commitment to provide Post Sales coverage across India," said Mark Khambatta, Country Manager of UPS SCS (India) Pvt. Ltd. "With this enhancement, UPS is well-positioned to support the after-market needs of local Small and Medium Enterprises (SME's) and Multi-National Corporations (MNC's). In addition, it gives our global customers the opportunity to gain a foothold in the service parts industry within one of the world's fastest growing economies."

This partnership follows the announcement of UPS's first strategic alliance with AFL in November 2007 for UPS's international express delivery service in India. As part of the new partnership, the FSL's and final-mile delivery network in India will use UPS's global Post Sales IT system. The IT system manages UPS's customers forward stocking inventory at multiple locations throughout India, with the ability to view inventory in FSL's worldwide. The Post Sales model by UPS SCS also provides value-added services such as inventory planning and returns management services in India and globally.

"India is a priority market for UPS and we aim to become the leader in Post Sales by offering customers an extensive FSL network that's connected through one centralized technology system," added Khambatta. "We will continue to meet the Post Sales needs of our customers by providing a comprehensive range of after-market services; including plans to operate more than 300 FSL's across India."

Speaking on the occasion, Juzar Mustan, CEO of AFL Logistics, said, "The collaboration with UPS SCS will enable both parties to jointly fulfill a core requirement in the Post Sales vertical. The combination of core technology, process know-how, trained resources and a responsive network will offer unbeatable benefits to our business partners and raise the bar in the area of parts serviceability."

He added,"the after-market vertical is an important sector for AFL and we aim to revolutionize the way our clients approach inventory ownership and service parts management. Clients benefit from an innovative business model that provides the opportunity to reduce inventory storage and deliver operational cost savings. This alliance will further consolidate our position in this vertical and help us drive competitive advantage for our customers."

About UPS
UPS (NYSE: UPS) is the world's largest package delivery company and a global leader in supply chain and freight services. With more than a century of experience in transportation and logistics, UPS is a leading global trade expert equipped with a broad portfolio of solutions. Headquartered in Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. The company can be found on the Web at UPS.com. To get UPS news direct, visit pressroom.ups.com/RSS.

About UPS Post Sales Service
UPS is a leading global Post Sales service provider in the industry. UPS's Post Sales network is the world's largest with more than 700 field stocking locations in 120 countries. Our global footprint which is fully integrated with UPS's transportation network enables our customers to locate their products closer to their customers and suppliers. UPS's comprehensive service capabilities combined with our operational excellence and best-in-class technology helps our business partners achieve an optimized service parts supply chain.

About AFL
AFL Private Limited, an acknowledged industry leader, has pioneered three different segments in the logistics industry over the last six decades, namely Air and Ocean Freight Forwarding, Express Courier Services and Logistics & Distribution Services, backed by a state-of-the-art IT infrastructure and an extensive network of locations across India. This market leadership position has been achieved by focusing and investing in advanced technology, consistency in operating processes and setting high standards of customer service.

AFL's Logistics Division offers its customers (i.e. consumer durables, IT hardware, retail & engineering), third party logistics services with technology and people as a key differentiator. Its services are accompanied by best-in-class management of product, information, documentation and financial flows. AFL has 20 networked modern hubs at metros and mini-metros and over 50 'intelligent' warehouses covering over 1 million sq. ft. area, across the country equipped with hi-tech security devices, and the latest tracking and material handling infrastructure.

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