UPS Capital Triples Small Business Lending

Atlanta, January 31, 2006

Illustrating its commitment to helping small businesses grow, UPS Capital, the financial services arm of UPS (NYSE:UPS), dramatically increased its lending activity last year through the government-guaranteed 7(a) loan program of the U.S. Small Business Administration.

For the fiscal year that ended Sept. 30, 2005, UPS Capital Business Credit, a unit of UPS Capital, facilitated 248 SBA 7(a) loans valued at more than $153.4 million. That activity placed UPS Capital Business Credit among the SBA's Top 25 lenders as measured by dollar volume and more than tripled the number of SBA 7(a) loans and dollar volume facilitated in fiscal 2004.

"Small businesses are the engines that drive our economy's growth and UPS Capital is committed to helping supply the financial fuel for these smaller UPS customers, just as we today facilitate their small package needs" said Bob Bernabucci, president, UPS Capital.

UPS Capital took a number of steps in 2005 to bolster its ability to deliver financial solutions to small companies. For starters, the company added personnel to its nationwide small business lending sales force. It also expanded its geographic participation in the SBA's Preferred Lender Program (PLP), which slashes the amount of time and effort it takes for business customers to secure SBA loans. UPS Capital Business Credit has been designated a PLP participant in all of the SBA's 75 districts covering the contiguous United States.

UPS Capital Business Credit also is a leading lender in the government-guaranteed loan programs of the U.S. Department of Agriculture and the Export-Import Bank of the U.S.