Exel wins £42 million MOD contract

London, UK – 21 October 2003) Exel, the global leader in supply chain
management, has won a three-year Ministry of Defence (MoD) contract worth in
excess of #42 million. The Company will now manage the MoD’s commercial global
freight operations including transportation via air, land and sea for its
Defence Transport Movement Agency (DTMA), part of the Defence Logistics
Organisation (DLO). This will support the MoD’s intention of working with a
single freight forwarding supplier that can provide a comprehensive service.

Building upon an existing 20-year relationship between Exel and the MoD, the new
contract includes all global surface and airfreight forwarding to any MoD
location in the world. The Company will integrate and consolidate all
distribution processes, except where the Armed Forces directly handles freight
forwarding.

DLO Director General (Defence Supply Chain) Major General Malcolm Wood said, “We
are pleased to award the contract to Exel. The rationalisation of global freight
forwarding will not only save MoD money but also enable us to more effectively
track and trace commercial freight, streamline business processes and ultimately
improve the service we provide to the Armed Forces.”

Commenting on the new contract win, Geoff Corpe, Regional Managing Director,
Technology and Global Freight Management – UK & Ireland at Exel said, “Now we
can build upon our knowledge and experience of working with the MoD to ensure we
can match all future requirements and demands. We are looking forward to
extending our range of activities, particularly in the seafreight area.”

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