Moody's said that "new surcharges.....>

US CORPORATES: Moody's said that "new surcharges imposed by United Parcel

Service Inc. and FedEx Corporation on year-end holiday delivery services are

credit positive because they will help shield the companies from the higher

costs of handling e-commerce deliveries when volumes peak." The new report said

that "for now, however, the surcharges will have little impact on the companies'

revenue and earnings."

- "Although peak-season surcharges being added by UPS and FedEx will be

immaterial to revenue, at least initially, they reflect the companies'

common interest in improving their ability to adapt to the retail

industry's continued transition to e-commerce sales," says Jonathan Root,

Moody's Senior Credit Officer. "Over the long term, these measures will

help offset pressure on profit margins and returns on investment."