UPS Story REVISED 1/7/03

Mention UPS to a race fan and the response is sure to be either, “Dale Jarrett’s sponsor” or “We want them to race the brown truck.” UPS’s NASCAR Winston Cup sponsorship does grace the # 88 Ford Taurus from the shop of Robert Yates Racing, but it is more than just paint on a car.

UPS’ sponsorship is, in fact, a living, breathing example of how a company can leverage its team sponsor dollars into an overall, impactful marketing program that reaches employees and consumers alike.

In 2001, UPS launched its award winning and immensely popular “We Want to Race the Truck advertising campaign with a variety of people trying to convince Jarrett to race the big brown truck, and the 2002 series included celebrities attempting to persuade Jarrett. With George Thorogood singing a special version of Bad to the Bone with his Brown to the Bone rendition, The Charlie Daniels Band performing The Devil Went Down to Georgia, Joe Walsh’s revision of Life’s Been Good and Wayne Newton singing his pleas through a Las Vegas lounge performance of HelloDolly, it appeared as though all types of performers were in on the act – or rather petition. Even Kermit and Miss Piggy joined the fun, trying to persuade Jarrett. The theme will continue in 2003 – and Jarrett is expected to maintain continue his “Are you kidding me?” demeanor with the latest commercials.

In addition to the accolades received from the media, motorsports fans and even non-racing fans, UPS received NASCAR’s 2001 Marketing Achievement Award – the first time a first-year team sponsor was honored with the award. In 2002, the UPS campaign won the Horizon Award for the best sports-themed advertising, recognizing bottom-line success in leveraging sports involvement. Street and Smith’s Sports Business Journal named UPS its Winston Cup Sponsor of the Year and the company was named “Best In Show” and received the Grand AMY Award from the Atlanta chapter of the American Marketing Association.

The innovative advertising campaign has captured the enthusiasm of the team – and the fans in attendance at tracks throughout the country. UPS crewmembers are constantly asked when the team and Jarrett are going to race the brown truck. “If I had a penny for every time that I have been asked that,” team jackman John Bryan jokes, “I would be retired and sitting home on Sundays, watching on television. We thought eventually it would stop, but it hasn’t.”

Team shock specialist Chris Hill echoes Bryan’s comments. “At the race track, I probably get asked about racing the truck 30 to 40 times a weekend. I compare it to the ‘Where’s The Beef?’ ad campaign from years ago. Someone is always yelling ‘when is Dale racing the truck?’ when we are pushing the car out to the line.”

With crew members peppered with The Question daily at the track, other Robert Yates Racing team members credit UPS’s involvement with its sponsorship and with the sport for other team benefits as well.

Team engineer Garth Finley notes “the support UPS provides our team allows us to concentrate on research, purchase additional equipment and hire the additional engineers needed to compete at a high level. We are not short on anything. It also allows us to hire better people, better mechanics, have higher salaries and have more qualified people. In addition, the ‘Race the Truck’ campaign has brought our team to the forefront and helps attract other associate sponsors that we might not have had without a well-rounded company like UPS on board.”

Competition Director Todd Parrott quickly points out that the UPS personnel involved in the sport “contribute a great deal. From UPS Trackside Services to the advertising campaign to their support of Dale and all of us on and off the track, UPS is a first-class operation.”

“It’s the level of involvement that has made the biggest impression on all of us,” Bryan noted. “No one knew what it was going to be like when UPS stepped on board as a team sponsor with RYR. I have never seen a sponsor get as involved as UPS has done. From the UPS representatives who we see at the track every weekend to those who make one trip a year to see a race, they are not only sponsors, but they are also race fans. Their support means everything to our team.”

Reynolds echoed Bryan, pointing out that “UPS is a family-oriented company and when the UPS folks come to the race track they are friendly and immediately fit in as part of the team.”

What’s the best “brown truck” story a crewmember can tell from the last season? Hands down, the nod goes to team engineer Finley, who proudly said “when I was married, I drove the big brown truck to my wedding – with all my groomsmen in the back!”

The UPS NASCAR program is much more than just the award-winning advertising campaign centered on its race team sponsorship. The UPS racing website continues to average more than 24,000 daily visits from customers and race fans and in its second year provided information for more than 800,000 visiting with more than 47 percent of racing fans logging on more than once a week.

UPS increased production of a special NASCAR edition UPS Next Day Air envelope featuring the #88 car and Dale Jarrett, with demand exceeding more than 12 million express envelopes in each of the past two years.

During the 2002 season, UPS initiated its Trackside Services program, with both inbound and outbound counter and distribution services in Winston Cup garage areas. Race teams, sponsors, officials, vendors and media member used Trackside Services each weekend during the season with on-call pick up and scheduled deliveries made to garage, merchandising and hospitality locations around the track. Over and over throughout the season, UPS made last-minute deliveries of uniforms, carburetors, helmets, safety equipment and other parts to race teams in time for the green flag. UPS Trackside Services includes ground and air express services as well as UPS SonicAir for same day emergency deliveries.

UPS also continued to extend opportunities to its 330,000 U. S. employees, integrating its NASCAR partnership and forming a direct bond to the #88 team, UPS’s Racing Crew program promotes employee development, continual improvement and a sense of community by using a balance scorecard of points incorporating a variety of performance categories for all UPS operations. The 2002 winning UPS Racing Crew was the UPS East Long Island District, who received a guest visit from Dale Jarrett. Awards to participating employees in the UPS Racing Crew program included NASCAR-themed prizes, UPS racing gear, tickets to races, hospitality events and the opportunity to have breakfast with Dale Jarrett and the 88 crew.

In a way to further bond the workforce with its NASCAR program, UPS offers Dale Jarrett and UPS show car appearances at facilities throughout the country and discounted prices for employees on UPS NASCAR merchandise.

The 2002 season also saw the grand opening of the NASCAR Technical Institute last July, where UPS provided five Technical Edge scholarships offering $80,000 in financial assistance to minority students seeking careers in racing and automotive technology.

Those receiving the first UPS Technical Edge scholarships were Lael McMurray of Tularosa, NM, Reginald Douthit of Winston-Salem, NC, Cody Brown of Dandridge, TN, Arnold Lettsome, Jr. of Lithonia, GA and Hai Link “Mike” Ngo of Clover, SC. McMurray, a 19-year-old who has competed on local racetracks for the past four years, hopes her training at the NASCAR Technical Institute will lead to work with Dale Earnhardt, Inc. She is a long-time fan of Dale Earnhardt, and plans to graduate from NTI in September 2003.

“I am thrilled and grateful to UPS for selecting me to one of these scholarships,” she said after being selected as one of the first five to receive the UPS Technical Edge awards. “Automotive technology and racing are two of my greatest passions and having the opportunity to attend the NASCAR Technical Institute is a dream fulfilled.”

Another five students will benefit from the UPS Racing Technical Edge Scholarships this year.

The scholarship program unites two important UPS goals: to encourage diversity and advance educational opportunity. UPS is supportive of the sport’s growing and diverse fan base with active participation on the NASCAR Diversity Council and in 2002 employed a minority student in a paid two-week internship as part of NASCAR’s Minority Internship Program. Using its highly successful and award-winning Supplier Diversity Program, UPS had been aggressive in including minority businesses supplying NASCAR and UPS-licensed merchandise in the UPS Racing employee catalog as well as introducing new suppliers to the process of becoming a licensee.

Throughout its 95-year history, USP has been committed to the safety of its drivers and the public and has developed industry-leading safety training programs and safety equipment. Dale Jarrett was featured in media interviews and public service announcements during the summer of 2002, urging the public to practice safe driving habits. During the fall months, UPS took its safety message into the classrooms in NASCAR race venues, hoping to educate first-time teen drivers on the importance of road safety. Adapting UPS's own comprehensive defensive driving course, UPS provided interactive CD-ROM and printed materials providing information to parents and teens that stressed back-to-school safety tips.

Through the years, UPS has taken great pride in its driving safety record and two of UPS’s Circle of Honor members – drivers who have completed a minimum of 25 years of safe driving – helped close the New York Stock Exchange trading day last February 15. Helping UPS Chairman and CEO Mike Eskew ring the closing bell were Jose “Joey” Martinez (39 years) and Clarence Tyson (34 years) – as was Dale Jarrett on a live feed from Daytona International Speedway. That ceremony also recognized the Metro New York District’s work and contributions for September 11 operations and service recovery.

From team sponsorship and award-winning advertising campaigns to employee motivational programs; from educational opportunities to helping young drivers understand the need for safety at all times, the facets of UPS’s wide-ranging NASCAR partnership are a gleaming example of how a company can leverage its sponsorship dollars. As the UPS/NASCAR partnership continues to grow and mature, UPS will continue to search for – and fill – needs that benefit both employees and consumers.

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