uti worldwide overview presentation fy14

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UTi Worldwide Overview Presentation

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Page 1: UTi Worldwide Overview Presentation FY14

UTi Worldwide Overview Presentation

Page 2: UTi Worldwide Overview Presentation FY14

Our company profile

2

Revenues: $4.6 billion

Net Revenues: $1.6 billion

Adjusted Operating Income: $84 million

Adjusted Net Income: $41 million

Service Lines

21,000+ employees

313 owned Freight Forwarding locations

in 272 cities in 59 countries

Operate in 26+ million ft2 / 2.4+ million m2

180 UTi leased and 65 client-owned Contract

Logistics centers

Financial Highlights (FY13)

Comprehensive Global Network

Page 3: UTi Worldwide Overview Presentation FY14

Our company profile

3

• Aerospace & Defense

• Automotive

• Chemical

• Consumer & Retail

• Cruise

• Fashion & Apparel

• Hi-Tech

• Pharmaceutical & Healthcare

• Projects, Mining, & Energy

• Air & Ocean Freight Forwarding

• Contract Logistics

• Distribution

• Customs Brokerage

• Transportation Management

• Supply Chain Consulting

Industry Verticals

Key Services

Page 4: UTi Worldwide Overview Presentation FY14

REVENUE BY REGION

We deliver a globally balanced service portfolio

across multiple industries

4

AMERICAS

34%

EMENA

25%

AFRICA

19%

ASIA PACIFIC

22%

Page 5: UTi Worldwide Overview Presentation FY14

Comprehensive global network

5

ASIA PACIFIC

95 offices & facilities in 17 countries

34 logistics centers in 7 countries

AMERICAS

63 offices & facilities in 9 countries

40 logistics centers in 3 countries

AFRICA

33 offices & facilities in 7 countries

69 logistics centers in 1 countries

EMENA

122 offices & facilities in 26 countries

37 logistics centers in 14 countries

Page 6: UTi Worldwide Overview Presentation FY14

5-year revenue and net revenue results

6

Figures in $ millions

Revenue

Figures in $ millions

Net Revenue

Page 7: UTi Worldwide Overview Presentation FY14

Freight Forwarding revenue

7

Figures in $ millions Figures in $ millions

Revenue Net Revenue

Page 8: UTi Worldwide Overview Presentation FY14

Contract Logistics & Distribution revenue

8

Figures in $ millions Figures in $ millions

Revenue Net Revenue

Page 9: UTi Worldwide Overview Presentation FY14

Air Freight Services – Our extensive experience and

solutions will meet any time or cost constraint

9

Next Flight Out Fastest transit time possible

Express 1-3 days* transit time

Standard 3-5 days* transit time

Economy 5-7 days* transit time

Air Charter For oversized cargo or emergency shipments

Sea-Air Faster than ocean, more economical than air

* Airport to Airport – calendar days

• Get the visibility and information you need to manage your supply chain

• Access to all your markets through our global network

• Realize a balance between cost and speed to market that fits your needs

• Get special handling: dangerous goods, temperature control, garment on hanger, project cargo, high security

Page 10: UTi Worldwide Overview Presentation FY14

Ocean Freight Services – Our configurable solutions

ensure that your freight arrives “when you need it”

10

Full Container Load service

Less then Container Load service

For oversized, non-containerized freight

• Get the visibility and information you need for shipment

tracking, sailing schedules, reports, etc.

• Access all your markets through our global network

• Use LCL for when shipping volumes won’t fill a full container

• Get special handling for all dangerous goods, temperature

controlled, oversized or high security shipments

FCL

LCL

Project

Page 11: UTi Worldwide Overview Presentation FY14

Customs Brokerage – We offer compliant solutions

that focus on your unique requirements

UTi can help with a wide range of expanded trade services to help

you manage the complexities of international trade and regulatory

compliance:

• Customs clearances / In-transit declarations

• Export compliance / Export clearances

• Import compliance

• Post-entry

• Duty drawback / Reclaim

• Free Trade Agreement qualification

• Consulting

11

Page 12: UTi Worldwide Overview Presentation FY14

Contract Logistics – We offer a full spectrum of services

and solutions based on individual client needs

Solutions include:

• Storage and distribution

• Cross-docking

• Value Added Services (VAS)

• Vendor Managed Inventory (VMI)

• Inventory management solutions

• Order management

• Assembly and sequencing

• In-plant logistics

• Dedicated and multi-client services

• Comprehensive global presence:

» 180 UTi leased and 65 client owned logistics centers

» Combined space: 26+ million ft2 / 2.4+ million m2

12

Page 13: UTi Worldwide Overview Presentation FY14

Distribution – We offer comprehensive services and

solutions for your unique supply chain requirements

13

Management

Services

Transportation Management

Order Management

uOptimize SM

Truckload (TL)

Less that Truckload (LTL)

uBook (LTL) SM

Intermodal

Truckload (TL)

Specialized Transportation

Intermodal

Dedicated

Page 14: UTi Worldwide Overview Presentation FY14

Our aim describes who we will become by

the end of our CLIENTasONE strategy

14

We earn client loyalty.

We work as an enterprise team delivering

outstanding performance, service excellence and

quantified value so that each Client embraces us

as their Primary Logistics Partner (PLP).

We cherish long term relationships.

We deliver world class supply chain services and

integrated solutions that optimize, control and

sustain our Clients’ supply chains.

We are the market leader in Client centricity.

Page 15: UTi Worldwide Overview Presentation FY14

The four CORE elements of CLIENTasONE

produce Client Centricity

15

1

2

4

3

Client (Create

Client

Value)

Organization (Engage

Employees)

Reliability (Execute and

Operate with

Excellence)

Earnings (Deliver

Shareholder

Value)

• Focus on clients’

strategic objectives

• Build the optimal

solution for each client

• Quantify value

• Value high performing

teams that together

produce a superior client

experience

• Empower team members

to set and achieve goals

• Reward those who deliver

our CORE

• Produce repeatable and

sustainable outcomes

• Enhance capabilities to

consistently exceed client

expectations

• Configure services into flexibly

engineered solutions

• Drive growth by

creating client value

• Improve returns through

increased productivity and

operational efficiency gains

• Generate cash flow to

reinvest for growth

Page 16: UTi Worldwide Overview Presentation FY14

Executing CORE achieves our CLIENTasONE

strategic objectives

16

Everything Begins with the Client

Delivering Quality Service by Operating and Executing with

Excellence

Our Engaged People Make the Difference

Producing Shareholder Value through Superior

Financial Results

C Client

O Organization

R Reliability

E Earnings

Page 18: UTi Worldwide Overview Presentation FY14

We serve a growing client base focused

on nine industry verticals

18

Chemical

Consumer & Retail

Page 19: UTi Worldwide Overview Presentation FY14

We serve a growing client base focused

on nine industry verticals

19

Fashion & Apparel

Cruise Lines

Page 21: UTi Worldwide Overview Presentation FY14

Service and Solutions – North America

UTi Distribution

21

FTL

Van, Dedicated, Regional Fleet

Specialized Transportation (flatbed, over-

dimensional)

Inter-modal

Full Truckload (FTL) brokerage

Less-than-truckload (LTL) brokerage

uBook LTLSM

Flatbed Transportation brokerage

TM-VantageSM (optimization)

Transportation Management

(inbound/outbound)

Transportation Optimization (uOptimizeSM)

Freight Audit and Pay Solutions

Network Engineering

Page 22: UTi Worldwide Overview Presentation FY14

North American ground transportation services - Truckload, Van, Reefer,

Flatbed, Specialized, Intermodal and LTL. Over 30 years of transportation

experience has led us to be an industry leader in providing solutions for Clients

and Carriers that uniquely meet their needs.

Driven by an entrepreneurial spirit, our force of over 200 offices are linked

together with industry leading technology.

Contracts with over 43,000 carriers representing more than 1,000,000

power units nationwide. Our custom-developed technology allows us to

communicate instantly with our carriers and clients, book over 18,000 loads

every month, and maintain an inventory of over 4,000 available loads at any

given moment.

Look at the big picture. We can optimize a shipper's traffic patterns by

utilizing our various transportation solutions to better meet service needs while

staying cost effective. Load tracking and paperwork can be immediately

accessed from our website for real-time information. Our Carrier Services

Department verifies insurance, safety rating and authority on each carrier used.

UTi Distribution Solutions

Page 23: UTi Worldwide Overview Presentation FY14

• Proprietary technology developed by our corporate development team

• EDI - Technology

• Designed to handle full truckload, partial truckload and LTL shipments

• Access to information in VFT is also available to clients on the website in real time

• Enables real-time sharing of information between affiliates, corporate support staff and our external clients and carriers

• A fully integrated solution for managing clients, carriers, freight, issues

• Establishes and enforces rules of conduct with respect to company policies

VFT

Page 24: UTi Worldwide Overview Presentation FY14

•Eight full-time Carrier Service Evaluators

•Authority, safety rating and insurance is confirmed on each carrier

•SmartWay certification is verified at the time of set up and each time carrier’s information is updated in our system

•Insurance companies are contacted directly to verify coverage limits and expiration dates

•Radius restrictions and reefer breakdown coverage

•FreightTrak® software cross references load value vs. carrier’s insurance coverage, carriers are not allowed to haul a load that is valued higher than their coverage amount

•Confirmation of all phone, fax, cell and email All carriers required to sign a contract indemnifying and holding UTi and its client harmless

•$50,000 minimum cargo required

•$750,000 minimum liability required

Carrier Services

Page 25: UTi Worldwide Overview Presentation FY14

Business Development Support

Claims Full-time Claims Department that facilitates the settlement of

the claim by supplying and processing claim forms and interacting with both the shipper and the carrier.

UTi carries a contingent cargo insurance policy of $250,000 and a liability policy to protect our customers and company from

business risks.

Settlement, Accounting and Marketing Full -time support staff comprised of over 30 individuals that:

Process bills of lading, pay carriers within 15 days, give advances and immediate pay to carriers, image all paperwork

for website retrieval, process all commission reports and payroll, electronic letter request, marketing material and

network assistance.

Carrier Insurance/Liability Coverage Notification Eight Carrier Service Evaluators that check and process:

authority, insurance, safety rating contracts and contact information on every carrier utilized. The computer

automatically tracks the carriers cargo expiration and freeze utilization until the insurance is updated. All load values are cross referenced with carrier insurance amounts to ensure

cargo is properly covered.

Page 26: UTi Worldwide Overview Presentation FY14

•Member of TIA’s premium performance program

•Honored Membership in P3 is limited to brokers who

have demonstrated superior business practices, credit

and track record in the industry

•In addition, we are now a member of the Guaranteed

Payment Program, which raises our payment bond to

carriers from $10,000 to $250,000

•GPP would pay out $250,000 to carriers if we fail to

pay freight bills rightfully due

•Less than 1% of all US third parties are performance

certified

TIA $250,000 Performance Certification

Page 27: UTi Worldwide Overview Presentation FY14

EPA Smartway

We joined the SmartWay program to show our

Clients and Carriers we are committed to promoting

greater energy efficiency and air quality.

We encourage our Carriers to become part of the

SmartWay program. This is done during our setup

process, again during the profiling stage and we

follow-up with regular industry updates.

Page 28: UTi Worldwide Overview Presentation FY14

• A very select group of premier LTL partners

with direct service within the 48 states as well

as most points within Canada

• Reduced rates as compared to carrier direct or

other 3PL providers

• BOL generated via web or can be emailed to

pickup location upon shipment entry

• Shipments can be rated, tendered, tracked via

EDI or the UTi website

• Freight invoice, proof of delivery and copy of

bill of lading is available via web

• EDI invoicing is available

• Full-time claims management

• Freight audit and payment

• Direct management of Carrier billing disputes

• Pricing team to help submit bids to clients

LTL Service Benefits

Page 29: UTi Worldwide Overview Presentation FY14

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UTi North America Network