Summary of Expeditors International of Washington (EXPD) Update / Briefing Company Overview - **Company Name**: Expeditors International of Washington (EXPD) - **Founded**: 1979 - **Business Model**: Non-asset based organization - **Global Presence**: Over 340 office locations in 100+ countries with 18,000+ employees [9][10] Core Business Segments - **Wholly Owned Subsidiaries**: Includes Cargo Signal, Tradewind, and Expeditors Cargo Insurance Broker (ECIB) [10] - **Specialization**: Focus on marine cargo insurance and claims management [10][11] - **Annual Claims**: Handles over 27,000 cargo claims annually [11] Industry Insights - **Incoterms**: Discussed the importance of Incoterms in determining the responsibilities of buyers and sellers regarding cost, risk, and obligations during cargo transit [12][17] - **Historical Context**: Incoterms were first developed in 1936 and have been revised 8 times, with the next revision anticipated in 2030 [17][18] - **Types of Incoterms**: There are 11 total Incoterms, with 7 being multimodal and 4 specific to ocean transport [22][24] Key Points on Incoterms - **Purpose**: Incoterms help clarify the responsibilities of buyers and sellers, reducing misunderstandings [22][23] - **Common Terms**: Terms like EXW, FOB, DDP, and CIF are frequently used in international trade [18][24] - **Limitations**: Incoterms do not address legal aspects such as passage of title or revenue recognition [19][20] Risk Management - **Carrier Liability**: Carriers can limit their liability based on the mode of transport, with specific limits for ocean, air, and trucking [49][50] - **Liability Limits**: - International Ocean: $500 per customary freight unit - International Air: 22 SDR per kilo (approximately $30) - Trucking: $0.50 per pound [50][51] Notable Incidents - **Container Loss**: An average of 1,382 containers are lost at sea each year, with many never recovered [57][58] - **Risk Factors**: Factors such as packaging insufficiency and acts of God can exempt carriers from liability [59][60] Communication and Best Practices - **Importance of Clarity**: Emphasized the need for clear communication between buyers and sellers regarding responsibilities and terms [62] - **Recommendations**: Suggested having a copy of the Incoterms book for reference and understanding [45] Q&A Highlights - **Common Questions**: Addressed various questions regarding the application of Incoterms, including differences between terms like FCA and DDP, and the responsibilities of parties involved [63][64][68][70] - **Follow-Up**: Indicated that further clarifications would be provided for complex inquiries post-webinar [63][94] Conclusion - **Webinar Purpose**: Aimed to educate participants on the basics of Incoterms and their application in international trade, highlighting the importance of understanding responsibilities to mitigate risks [3][4][7]