NE South China Established in Shenzhen in Response to Customer Needs

31 October 2008

Nippon Express Co., Ltd. (Masanori Kawai, President), via Nippon Express (H.K.) Co., Ltd. (Shuji Kojima, President), has established a new company in Shenzhen, China - Nippon Express (South China) Co., Ltd. ("NE South China") - to strengthen sales and operations in South China, where remarkable growth has been achieved by the automobile industry and other sectors and where future market expansion is anticipated, and to satisfy the logistics needs of shipper companies. This latest addition to the Nippon Express network opened for business on November 1, 2008.

South China (including Hong Kong) has long been a key base for various supply chain functions - parts procurement, production, product sales - and Hong Kong has generally served as the gateway for logistics to and from this area. In recent years, however, the improvement of logistics facilities in South China such as Shenzhen Port (Yantian, Shekou) and Guangzhou New Baiyun Airport has opened up new gateways on the mainland.

In view of the unmistakable shift by customers toward South China, Nippon Express decided to establish a new company in Shenzhen as a one-stop sales liaison offering a wide range of logistics services tailored to customer needs. NE South China will assign sales staff to various locations in South China, develop proposals for optimal transport means and gateways suited to specific locations, cargo attributes and types of trade, and enhance services across the board for the benefit of customers.

With South China serving as the engine driving China's economic growth, Nippon Express will further bolster its operational structure via the new NE South China and its network of local subsidiaries and will continue to improve customer convenience.

[Profile of new company]

Name: NIPPON EXPRESS (SOUTH CHINA) CO., LTD. Address: (Head Office)
Room 1312, Hongchang Plaza, No. 2001 Shennan East Road, Luohu District, Shenzhen City, Guangdong Province, People's Republic of China
(Guangzhou Branch)
Ganzhu Road, Yonghe Economic Technical Development Area, Luogang District, Guangzhou City, Guangdong Province, People's Republic of China Legal representative: Shuji Kojima, Officer and Regional General Manager (Asia & Oceania),
Nippon Express Co., Ltd. President: Akira Horiuchi Capital: 20 million yuan (approximately 300 million yen) Scope of business: International cargo forwarding services for import/export cargo, international exhibition cargo, and removals cargo; NVOCC operations; ordinary trucking services; container transport; warehousing; loading/unloading operations; other incidental services and operations Start of business: November 1, 2008 Employees: 314