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INTERNATIONAL GROWTH MARKED BY LOWER YIELDS

INTERNATIONAL GROWTH MARKED BY LOWER YIELDS

   Integrated carrier air freight yields in the U.S. international market decreased in 1999, as shipment growth failed to keep up with growth in tonnage, according to data released this week by express industry consulting firm The Colography Group.

   Meanwhile, FedEx Corp.'s market share nearly topped the combined international export shares of its four closest competitors.

      According to Colography's annual U.S. international air cargo study, FedEx Express, the air services unit of FedEx Corp., expanded its U.S. air export shipments by 5.9 percent compared to 1998, garnering a 35.1 percent share of the market. By comparison, second place DHL Express Worldwide took 12.2 percent of the market, and United Parcel Service Inc. captured 12.1 percent. Together, DHL, UPS, the U.S. Postal Service and Airborne Express control 35.7 percent of the international air market.

   Growth was more sluggish for non-integrated carriers, according to the report. This segment grew by 2.4 percent in air export revenue and 1.9 percent in tonnage.

   “Our findings reflect the fact that an increasing percentage of air freight exports are moving in smaller lot sizes, at lighter weights and with tighter delivery windows,” said Ted Scherck, president of The Colography Group.