Statement on UPS Security Review

cheryl

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As part of the immediate response to investigations involving suspicious packages in cargo networks and new security directives, UPS (NYSE:UPS) has reviewed its security protocols with authorities involved, both in the U.S. and internationally.

Through on-going collaboration with government authorities, UPS shares a responsibility for information exchange, risk assessment and preventative action. UPS is ensuring it meets or exceeds current regulatory requirements globally with a multi-layered approach to security. UPS does not anticipate any difficulty in achieving compliance with the latest cargo screening requirements.

The company continues to review all processes and systems to identify areas where security could be further enhanced. This applies not only to UPS operations, facilities and transportation networks, but also to procedures defined for all service contractors and agents who support UPS logistics capabilities.

"Our commitment to detailed security review won't deter the UPS priority for safety and service, even with the demands of a holiday peak season," said UPS Chairman and CEO Scott Davis. "We participate in and lead various industry security working groups that are actively sharing best practices for threat response to ensure safe transport for global trade."

Security has been an integral element of UPS's global expansion. When UPS established its own airline in 1988, the company became the first to develop a domestic security program that was later adopted and shared by the U.S. Federal Aviation Administration with other carriers.

UPS adheres to the U.S. Transportation Security Administration's Standard Security Program that defines security requirements and compliance standards for individual sectors within the airline industry. The specific protocols are Sensitive Security Information that cannot be shared by law. As a freight forwarder, UPS participates in the TSA's Certified Cargo Screening Program which requires the company to meet security standards in order to tender cargo to passenger airlines. UPS was an early participant in the voluntary program known as C-TPAT, the Customs-Trade Partnership Against Terrorism, which provides a higher level of information exchange with authorities about air freight.
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