DHL Strengthens Partnership with Malaysia's Transmile.

KUALA LUMPUR, Malaysia -- DHL, the world's leading express and logistics company, today announced that it has signed a long-term strategic network alliance with Transmile, an air cargo carrier based in Malaysia. The initial five-year agreement will allow DHL the flexibility to add new air services or upgrade existing service offerings to its customers.

Through the partnership, both parties will work closely on the strategic development of both intra-Asia and inter-continental air services, to meet the booming trade within the region and beyond. According to the WTO International Trade Statistics 2005, intra-Asia trade in 2004 totaled US$1.2 trillion. In terms of intra-continental trade, this is second only to intra-Europe trade. Trade between Asia and Europe was worth about US$725 billion, while trade between Asia and North America recorded US$782 billion.

The new strategic network alliance with Transmile will boost DHL's current service offerings to its customers, and significantly strengthens DHL's market-leading position in the region. Currently, through guaranteed blocked space with Transmile, DHL's customers already enjoy air connections beyond Hong Kong to the United States, as well as to Asia Pacific countries such as India, Indonesia and Vietnam.

The enhanced partnership comes shortly after the recent upgrading of DHL's 2,200sqm gateway facility at Sultan Abdul Aziz Shah Airport in Subang, Malaysia. With regular, scheduled Transmile services operating at the Subang facility, DHL's customers in the Klang Valley gain a half-day delivery advantage for shipments to Asia Pacific, Europe and the west coast of the United States, as well as extended pick up cut-off times of up to two hours.

DHL offers a direct, ten times weekly service out of Subang to and from DHL's Central Asia Hub (CAH) in Hong Kong - DHL's major hub in the Asia Pacific and a gateway to China - operated by Transmile. The CAH, the largest facility of its kind in Asia, links DHL's customers in the region with DHL's global network.

"The strategic alliance is an important step for both DHL and Transmile, as it offers us opportunities to tap on the growth of intra-Asia and inter-continental trade volumes to elevate the strategic importance of Malaysia and other Asian countries in world trade," said Scott Price, CEO, DHL Express - Asia Pacific.

"Our strategic alliance with DHL is a win-win scenario for both of us as we strongly believe that the alliance will be mutually beneficial to both DHL and us, with the main benefactors being our customers as it will significantly enhance our value propositions to them," said Tun Ling Liong Sik, Chairman, Transmile Group Berhad.

DHL has invested US$1.6 billion in Asia Pacific in the last few years to strengthen its network infrastructure, to meet the evolving demands of customers. In Malaysia, DHL has invested US$1.3 million in its new gateway at Subang, US$65 million in its Global Information Services Center in Cyberjaya, and US$7.9 million into DHL Global Forwarding's largest logistics center in Kuala Lumpur.

About DHL

DHL is the global market leader of the international express and logistics industry, specializing in providing innovative and customized solutions from a single source.

DHL offers expertise in express, air and ocean freight, overland transport and logistics solutions, combined with worldwide coverage and an in-depth understanding of local markets. Over 285,000 employees are dedicated to providing fast and reliable services that exceed customers' expectations. Founded in San Francisco in 1969, DHL's international network links more than 220 countries and territories worldwide. For more information on DHL, please visit http://www.dhl.com.