Expeditors International of Washington, Inc.
Seattle, WA
NASDAQ:  EXPD
Peter Rose, CEO & Chairman
206-674-3400
www.expeditors.com

3PL Turnover:

$5.2b

Service Area:

Tier 1 – Global Supply Chain Manager – Major Markets

3PL Assets:

12,321 employees
110 warehouses

Information Systems:

Good
TMS – Proprietary--Tradeflow, exp.o

Services:

Air and ocean freight forwarding, NVOCC, customs brokerage, transportation management, warehousing and distribution, supply chain consulting

Industry Focus/Key Customers:

Automotive, chemicals, computers and electronics, industrial, oil and energy, pharmaceuticals, retail
Key Customers:  ACE Hardware, Case New Holland, Cisco Systems, General Electric, Merck, Philips Consumer Electronics, Schlumberger, Toyota, Trane

Armstrong & Associates’ Evaluation:

Expeditors is the best run North American-based freight forwarder. It continued its strong organic growth in 2007, growing by 13.3%. Net revenues reached $1.5 billion and produced an 18.5% gross margin. Net revenues are 36% air freight forwarding, 40% customs brokerage and 24% ocean freight forwarding. U.S. and Asia business account for 68% of revenues. Expeditors is the largest forwarder/NVOCC in the Asia/U.S. lane. It handles 770,000 TEUs per year with a 4:1 imbalance. 462,000 TEUs are from China to the U.S. Expeditors’ European operations are primarily in airfreight and constitute 17% of revenues, growing 14% in 2007. Expeditors net revenues are 40% high-tech, 33% retail, 10% pharmaceuticals, 10% automotive, 5% furniture and 2% other.