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Name and title: Teri McClure, general counsel, senior vice president and management committee member Age: 43 Global footprint: United Parcel Service Inc. (UPS) is the world’s largest package-delivery company, with 2005 revenues of $42.6 billion. The company averaged 14.8 million daily deliveries in 200 nations and territories last year. Its fleet of 268 company-owned jet aircraft comprises the 9th largest airline in the world. UPS began package delivery flights from the United States to China in April 2005. The company operates 21 flights daily between the two countries and is constructing an air hub in Shanghai. The purchase of long-time partner Sinotrans in December 2004 put UPS in business in 23 cities accounting for 80% of China’s gross domestic product. Revenues in 2005 included $6 billion derived from “supply chain and freight”-that is, corporate logistics, freight forwarding, service parts logistics, supply chain design, returns management, urgent parts delivery, international trade management and customs brokerage, all aimed at quickening the pace of transactions. UPS employs 4,000 people in technology development and controls more than 800 patents. UPS proprietary shipping software is used by 600,000 customers to track shipments from drop-off to delivery. Since 1999, UPS has made 30 acquisitions, expanding into logistics, technology and banking through UPS Capital, and into retail with 5,700 franchised UPS stores. The 2005 acquisition of Overnite Transportation Co. brought UPS into the less-than-truckload freight transportation business-the complex but profitable process of combining freight from multiple shippers into a single truckload. UPS ranks among the world’s largest employers, counting a staff of 407,200 employees in 2005, of whom 348,400 worked in the United States and 58,800 at facilities around the world. UPS employs 321,000 members of the International Brotherhood of Teamsters, making it the largest employer of Teamsters in the world. Headquarters is in Atlanta. Route to present position: McClure is a notable exception to the UPS tradition of developing talent from within. The company hired her in 1995 as employment counsel for the corporate legal department. In 1998, she was promoted to coordinator of the labor and employment practice group and assumed responsibility for management and technology administration for the legal department. McClure took a two-year hiatus from corporate legal work to learn the nuts and bolts of UPS before ascending to the executive summit. In 2003, she took over management of the UPS Central Florida district, which counted $1 billion in revenues and employed 4,000 people. “A district manager is a little CEO, with responsibility for costs and profits,” McClure said. “I got a very good sense of the challenges our people face and the impact of our legal and corporate decisions.” Before returning to the legal department, McClure took an assignment in UPS Supply Chain Solutions, a business unit focused on logistics and supply chain management. McClure was promoted to her current job in December 2005, the youngest person ever appointed to the UPS management committee-the 12 executives who manage the company’s day-to-day affairs. McClure reports to Chief Executive Officer Mike Eskew. Legal team and outside counsel: “We have a lean legal department,” McClure said. Her staff of 59 attorneys is clustered by areas of expertise that include employment and labor-related matters, commercial litigation, customer contracts and corporate and transactional matters. A network of 25 “core counsel” firms and 22 “specialty” firms handles work as diverse as airline regulation, franchise, contracts, intellectual property, patents, banking and finance, labor and employment and package-claim. These firms include Morrison & Foerster; Frost Brown Todd; DLA Piper Rudnick Gray Cary; Holland & Knight; Akin Gump Strauss Hauer & Feld; Atlanta’s Alston & Byrd and King & Spalding; and Milwaukee’s Quarles & Brady. The legal team devoted to intellectual property rights is among the largest “spends” in the legal department, McClure said. The attorneys work closely with staff throughout the technology development process. “We try to be creative and become involved as early in the process as possible.” The international nature of UPS operations requires that McClure remain attuned to both the law and the strength of the rule of law around the world. China, with its immense commercial potential, is a primary focus. “We’re seeing more recognition in China of the importance of a stable legal environment for business to grow,” McClure said. “We are seeing it change for the better.” Daily duties: “I rely on good people with expertise,” McClure said, referring to the legal demands created by the scope, nature and diversity of UPS’ worldwide operations. The company is proud of its progressive policies in workplace safety, environmental responsibility and fair employment practices. McClure is responsible for the uniform enforcement of those corporate policies at 1,788 operating facilities in 200 countries and territories. “Compliance is an ongoing dialogue,” she said. “We do things the UPS way, and that is often above the standards in many jurisdictions. We want a strong UPS ethic wherever we do business. We recognize cultural differences in the different countries where we operate, but we uphold UPS standards everywhere.” Personal: McClure took her undergraduate degree at Washington University in St. Louis and her law degree from Emory University School of Law. She and her husband, Roderick, a church minister, have two daughters, ages 11 and 13. The couple recently returned from 10 days of volunteer service in Zambia, a trip organized annually by her husband’s church. “It was a great experience for me,” she said. “I came back refreshed and more energized.” McClure serves on the boards of Junior Achievement of Georgia, the Anne E. Casey Foundation, the UPS Foundation and the Center for Working Families. She soon will join the board of the Children’s Health Care Network of Atlanta. “I think I’m maxing out,” she said. Last book and movie: Economic Structure of Intellectual Property Law, by William M. Landes and Richard A. Posner, and Hustle & Flow.

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