US 07/29/15

Washington, DC

Company Plans to Reduce GHG Emissions by 20% by 2020

UPS® (NYSE:UPS) Chief Sustainability Officer and Vice President of Environmental Affairs Rhonda Clark joined Secretary of State John Kerry, senior White House officials and 12 other companies to launch the American Business Act on Climate Pledge.

The American Business Act on Climate Pledge shows that the U.S. private sector, with its history of innovation and ingenuity, is committed to stepping up and doing its part in taking on this global challenge. The White House fact sheet can be found at https://www.whitehouse.gov/the-press-office/2015/07/27/fact-sheet-white-house-launches-american-business-act-climate-pledge.

"UPS understands that the scope of tomorrow's sustainability challenges requires us to adapt and innovate if we are to deliver more goods for our customers while increasing the efficiency of the transportation fleet," said Clark. "Once individuals as well as businesses understand the value proposition, sustainability will become a way of life."

UPS puts forth our pledge as follows:

One of the key tools we use to evaluate our carbon reduction progress is the UPS Transportation Intensity Index, which normalizes our greenhouse gas (GHG) emissions to business volume (such as by reducing the amount of fuel required to travel a given distance or to carry a given amount of cargo or packages); covers 96 percent of our worldwide Scope 1 and Scope 2 CO2e emissions; and combines data from separate carbon intensity metrics associated with our business segments. In 2013, successful execution of our global GHG strategy enabled us to exceed a 10 percent reduction in carbon intensity three years ahead of our 2016 goal. In 2014, we achieved a 14.1 percent reduction in our carbon intensity versus a 2007 baseline as a result of successfully executing carbon reduction strategies in our ground and air fleet. Accordingly, we have pledged to double the goal to a 20 percent reduction by 2020, as measured by our UPS Transportation Intensity Index, off a 2007 baseline.

To achieve by 2017 a cumulative billion miles of package or freight movement in our alternative fuel/technology truck fleet that we expect will number over 7,700 trucks by the end of 2015.

Our UPS plan includes:

* Network and mode optimization to minimize the miles traveled and energy consumed.
* Investments in fuel-saving technologies to reduce our dependency on petroleum-based fuels.
* Investments in alternative fuel vehicles to help offset the use of conventional petroleum fuels.
* Energy conservation through facility design, operational practices, renewable energy, and retrofitting.
* Accurate, verified disclosure of global greenhouse gas emissions data per recognized standards.

The companies participating in the American Business Act on Climate Pledge launch include: Alcoa, Apple, Bank of America, Berkshire Hathaway Energy, Cargill, Coca-Cola, General Motors, Goldman Sachs, Google, Microsoft, Pepsi-Co, UPS, and WalMart. The companies making pledges as part of today's launch represent more than $1.3 trillion in revenue in 2014 and a combined market capitalization of at least $2.5 trillion.

About UPS

UPS (NYSE: UPS) is a global leader in logistics, offering a broad range of solutions including transporting packages and freight; facilitating international trade, and deploying advanced technology to more efficiently manage the world of business. Headquartered in Atlanta, UPS serves more than 220 countries and territories worldwide.ups.com ® and its corporate blog can be found at longitudes.ups.com. To get UPS news direct, visit pressroom.ups.com/RSS.

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