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The Team's Board Report - Mainfreight

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30<br />

McAllen, TX-Reynosa, TAM;<br />

Brownsville, TX-Matamoros, TAM)<br />

Mexico is the United States’<br />

third-largest trading partner. In this<br />

global market every company in<br />

America does business with<br />

Mexico. It’s normally not managed<br />

by the international department, or<br />

even the domestic transportation<br />

department. More often than not,<br />

due to the complexities of this<br />

country, it’s handled in an area that<br />

is not associated with the other<br />

transportation departments.<br />

<strong>Mainfreight</strong> USA becomes a CRAF partner.<br />

<strong>Mainfreight</strong> USA Government<br />

Division- recently became a CRAF<br />

(Civil Reserve Air Fleet) partner with<br />

Ryan International Airlines in the<br />

US Transcom CRAF program. This<br />

will give MFI the authority to handle<br />

any US Government shipment to<br />

and from any point in the world. In<br />

addition, MFI has become an<br />

awarded carrier on the WWX4<br />

(World Wide Express) contract. This<br />

contract is mandated for all US<br />

Government facilities for shipments<br />

151 lbs and up to and from<br />

anywhere in the world.<br />

<strong>Mainfreight</strong> is one of nine carriers<br />

that were awarded this contract.<br />

Frank Crossan, Director of<br />

Government Services, and George<br />

Frey, Vice President Global<br />

Accounts have been visiting<br />

Defense Depots, defense<br />

contractors and military bases<br />

with MFI sales teams to ensure<br />

<strong>Mainfreight</strong> gets their share of<br />

this contract.<br />

<strong>The</strong>re are many US military<br />

bases and defense contractors<br />

in Europe, Asia, and Australia.<br />

<strong>Mainfreight</strong>, by becoming a<br />

CRAF carrier has a golden<br />

opportunity to expand its<br />

presence worldwide in the<br />

Government marketplace.<br />

FMS – Foreign Military Sales<br />

is another large segment of<br />

Government business for<br />

foreign governments buying<br />

Defense equipment from the US<br />

Government. <strong>The</strong> transportation of<br />

these shipments is controlled by<br />

the foreign government. What they<br />

spent on FMS for 2009-2010 was<br />

$42 billion US dollars.<br />

<strong>The</strong> <strong>Mainfreight</strong> USA Government<br />

division is ready to work with its<br />

overseas team members to develop<br />

Government business worldwide.<br />

Global Shipment Update<br />

<strong>Mainfreight</strong>’s Global International products have grown well over the past year.<br />

Sea Freight<br />

Shipment numbers 325,500 up 15.9%<br />

Container numbers 183,000 up 22.4%<br />

Air Freight<br />

Shipment numbers 115,000 up 14.5%<br />

Kilogrammes handled 58,100,000 up 13.2%<br />

Customs Brokerage<br />

Entries 96,000 up 13.9%<br />

We can see from the graph that sea freight is our main product<br />

with 61%, followed by air with 21% and finally customs brokerage<br />

at 18%. Our export product (including sea and air) is 53% of our business mix and imports at 47%.

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