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UPS Quest for Health-Care Boost Spurs Flu Vaccine Trek
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<blockquote data-quote="cheryl" data-source="post: 1126097" data-attributes="member: 1"><p><a href="http://www.bloomberg.com/news/2013-04-24/ups-quest-for-health-care-boost-spurs-flu-vaccine-trek.html" target="_blank"><strong>UPS Quest for Health-Care Boost Spurs Flu Vaccine Trek - Bloomberg</strong></a></p><p></p><p>When a ship’s crew in the Bering Sea contracted an intestinal illness in late 2012, United Parcel Service Inc. (UPS) flew in medicine by helicopter. It sent $9 million of flu vaccines to Laos, too, keeping them at a constant temperature for five days across 9,000 miles.</p><p></p><p>Those journeys show how far UPS is venturing beyond its signature brown delivery vans in pursuit of a $50 billion global health-care supply chain market. Seeking new business as overnight shipments slump, Atlanta-based UPS and FedEx Corp. (FDX) want to take advantage of annual gains in medical cargo demand topping 20 percent. </p><p></p><p>Both companies have more than doubled their dedicated health-care storage and handling space in the past five years to take advantage of a business with potential operating margins of 15 percent or higher, dwarfing industrywide operating margins that average 5 percent, according to data compiled by Bloomberg.</p></blockquote><p></p>
[QUOTE="cheryl, post: 1126097, member: 1"] [URL="http://www.bloomberg.com/news/2013-04-24/ups-quest-for-health-care-boost-spurs-flu-vaccine-trek.html"][B]UPS Quest for Health-Care Boost Spurs Flu Vaccine Trek - Bloomberg[/B][/URL] When a ship’s crew in the Bering Sea contracted an intestinal illness in late 2012, United Parcel Service Inc. (UPS) flew in medicine by helicopter. It sent $9 million of flu vaccines to Laos, too, keeping them at a constant temperature for five days across 9,000 miles. Those journeys show how far UPS is venturing beyond its signature brown delivery vans in pursuit of a $50 billion global health-care supply chain market. Seeking new business as overnight shipments slump, Atlanta-based UPS and FedEx Corp. (FDX) want to take advantage of annual gains in medical cargo demand topping 20 percent. Both companies have more than doubled their dedicated health-care storage and handling space in the past five years to take advantage of a business with potential operating margins of 15 percent or higher, dwarfing industrywide operating margins that average 5 percent, according to data compiled by Bloomberg. [/QUOTE]
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