UPS is First to Accept "Return" Ground Packages at Its 40,000 Drop Boxes

UPS (NYSE: UPS) today announced it has begun accepting UPS Ground Authorized Return Service® packages and other ground return services at its 40,000 drop box locations. No other carrier in the industry offers this option, which is made possible by UPS’s unique network of integrated air, ground and international operations.

This new option significantly expands the level of convenience retailers can offer their customers without sacrificing the economical pricing of UPS Ground service, the most popular choice for consumer returns. Additionally, the service will provide greater flexibility to other businesses such as those seeking to recover small-sized returns from mobile workers such as field service technicians.

"Although UPS far outpaces the industry with its range of returns options, we challenge ourselves to innovate with new services that make the process more efficient for retailers and more convenient for their customers," said Kurt Kuehn, senior vice president, worldwide sales and marketing. "More than ever, returns are a critical phase in the customer life cycle, which is why they continue to be a focus for UPS’s product development initiatives."

Post-sales customer service is crucial to maintaining a competitive edge in today’s intense battle for home-based shoppers. In fact, in a survey conducted by Harris Interactive, 92 percent of online shoppers say they are "somewhat" or "very likely" to shop again with a retailer whose returns process suits them. Conversely, 85 percent said that if the returns process is inconvenient, they are "not very" or "not at all likely" to shop again with a direct retailer.

Decades ago, UPS introduced the industry’s first returns service using a system named "Call Tags." Later, UPS was the first to develop Authorized Returns Service to aid in the return of printer cartridges. In recent years, UPS amassed a broad reverse logistics portfolio with everything from Web-based solutions to Electronic Return Labels, which can be e-mailed directly to customers and printed right from their computers. These innovations harnessed technology to meet the growing needs of online retail customers.

Additionally, UPS offers disposition, repair, and recycling services through its UPS Supply Chain Solutions unit. Some of these returns programs utilize the 3,800 locations of The UPS Store® as access channels for these customers. This approach was adopted by Toshiba for laptop repairs, effectively reducing the typical turnaround time within the industry from weeks to as little as three days.

With this latest UPS service, acceptable drop box ground packages must be labeled as a UPS returns package. These include Authorized Return Service, UPS Electronic Return Labels, UPS ReturnsSM on the Web, UPS Print Return Label and UPS Print and Mail Return Label. Package dimensions cannot exceed 16x13x2 inches. The online UPS Drop-Off Locator, which provides a complete list of box locations along with detailed maps and directions, can be found at UPS.com.

UPS is the world’s largest package delivery company and a global leader in supply chain services, offering an extensive range of options for synchronizing the movement of goods, information and funds. Headquartered in Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. UPS's stock trades on the New York Stock Exchange (UPS) and the company can be found on the Web at UPS.com.

Two New UPS Initiatives Deliver Environmental Benefits

Two New UPS Initiatives Deliver Environmental Benefits

Company Powers Down Computers, Purchases “Green” Power

ATLANTA, March 29, 2005 – UPS (NYSE:UPS) is implementing two new initiatives to protect the environment – 11,000 computers soon will automatically go to “sleep” when not in use, and 14 California facilities have begun purchasing “green” power.

UPS also has joined the U.S. Environmental Protection Agency’s Green Power Partnership.
“Energy conservation and choosing renewable energy sources are just two of the many ways UPS actively pursues its commitment to sustainable business practices,” said Mike Herr, UPS vice president of environmental affairs. “We have always believed that working green and working smart are synonymous.”

The computer initiative is part of what’s known as the ENERGY STAR® Million Monitor Drive. UPS is installing “sleep” software on 11,000 of its computers in Atlanta, Louisville, Towson, Md., and Mahwah, N.J., to conserve energy while saving the company almost US$145,000 per year.

Most computers are used only an average of four hours each business day but continue to consume energy even when idle. The Million Monitor Drive challenges organizations to set computer monitors to go into a low-power “sleep” mode during periods of inactivity.

In addition to reducing energy use with its computers, UPS now has 14 facilities in California currently using “green” power as part of their electricity supply. This power is supplied by 3 Phases Energy Services and comes from biomass sources. Biomass refers to a waste-to-energy process and can take the form of converting landfill gas, human and animal waste or agricultural waste to energy.

UPS is purchasing 10 percent of its electricity at the 14 California facilities from these cleaner, more renewable sources.

“This commitment, which will prevent the release of 2.4 million pounds of carbon dioxide, a leading cause of global warming, has the equivalent environmental impact of removing 213 cars from the road for a year,” said Herr. “This carbon reduction is equal to the carbon absorption capacity of 330 acres of trees.”

UPS also recently joined the EPA’s Green Power Partnership, which recognizes companies that demonstrate environmental leadership by choosing cleaner and renewable energy sources. UPS already generates green power with solar panels at its facility in Palm Springs, Calif., in addition to the 14 facilities now operating on electricity created from biomass sources.

California UPS facilities using green power include operations in South San Francisco, Sunnyvale, West Sacramento, Victorville, Visalia, San Bernardino, Romoland, Ventura, Newbury Park, Goleta, Laguna Hills, Cerritos, Baldwin Park and Ontario.

UPS is the world’s largest package delivery company and a global leader in supply chain services, offering an extensive range of options for synchronizing the movement of goods, information and funds. Headquartered in Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. UPS’s stock trades on the New York Stock Exchange (UPS), and the company can be found on the Web at UPS.com.