THE CORPORATE LIBRARY

Related Party Transactions and Outside Related Director Information

Expeditors International of Washington, Inc. (EXPD)

4/4/2006 Proxy Information

The following section describes, for the year ended December 31, 2005, (i) transactions in which the Company or any of its subsidiaries was a party, in which the amount involved exceeded $60,000 and in which a director, a director nominee, an executive officer or a security holder known to own more than five percent of the Company’s Common Stock had, or will have, a direct or indirect material interest or (ii) certain business relationships that existed between the Company and directors or director nominees, or between the Company and entities affiliated with such directors or director nominees.

Eugene K. Alger, the brother of Glenn M. Alger, President and Chief Operating Officer, was employed as Senior Vice President-North America and executive officer of the Company at a base salary of $120,000 and was paid incentive compensation based on North American profitability in the amount of $1,398,995 in addition to standard benefits. On May 4, 2005, Mr. Alger was granted a 10,000 share stock option at fair market value.

Brian Coughlin, the brother of Philip M. Coughlin, Senior Vice President-North America, was employed as District Manager of the Company’s Cincinnati office at a base salary of $48,000 and was paid incentive compensation based on branch profitability in the amount of $237,981 in addition to standard benefits. On May 4, 2005, Mr. Coughlin was granted a 3,000 share stock option at fair market value.

Julie A. Higgins, the spouse of Peter J. Rose, Chairman and Chief Executive Officer, was employed as an administration manager in the corporate office and was paid a base salary of $60,000. No stock options were granted to Ms. Higgins in 2005.

Jeffrey S. Musser, the son-in-law of Peter J. Rose, Chairman and Chief Executive Officer, was employed as Senior Vice President-Chief Information Officer and executive officer of the Company at a base salary of $106,667 and was paid incentive compensation based on Company profitability in the amount of $1,518,010 in addition to standard benefits. On May 4, 2005, Mr. Musser was granted a 10,000 share stock option at fair market value.

Rachel Mancuso, the daughter of Jean-Claude Carcaillet, Senior Vice President-Australasia, was employed as District Manager of the Company’s Sydney office at a base salary of $33,554 (AUD 44,013) and was paid incentive compensation based on branch profitability in the amount of $258,659 (AUD 339,283) in addition to standard benefits. On May 4, 2005, Ms. Mancuso was granted a 1,300 share stock option at fair market value.

Allen J.L. Wang, the son of James L.K. Wang, President-Asia and director, was employed as General Manager-Accounting Support at a base salary of $65,333 (HKD 509,600) and was paid incentive compensation based on the profitability of Asia offices in the amount of $734,025 in addition to standard benefits. On May 4, 2005, Mr. Wang was granted a 2,500 share stock option at fair market value.

In connection with the acquisition of the assets of certain Asia affiliates including Taiwan effective January 1, 1984, the Company agreed to use its best efforts, so long as James L.K. Wang remains a shareholder of the Company and is employed by the Company or any of its affiliates or exclusive agents, to cause one person nominated by Mr. Wang to be elected to the Company’s Board of Directors. In addition, the Company agreed that it will make no appointment of a manager for any Asia office without prior consultation with Mr. Wang so long as he remains a shareholder of the Company and is employed by the Company or one of its affiliates or exclusive agents. Pursuant to this agreement, Mr. Wang has been nominated for re-election to the Company’s Board of Directors.

3/31/2005 Proxy Information

In connection with the acquisition of the assets of certain Far East affiliates including Taiwan effective January 1, 1984, the Company agreed to use its best efforts, so long as James L.K. Wang remains a shareholder of the Company and is employed by the Company or any of its affiliates or exclusive agents, to cause one person nominated by Mr. Wang to be elected to the Company’s Board of Directors. In addition, the Company agreed that it will make no appointment of a manager for any Far East office without prior consultation with Mr. Wang so long as he remains a shareholder of the Company and is employed by the Company or one of its affiliates or exclusive agents. Pursuant to this agreement, Mr. Wang has been nominated for re-election to the Company’s Board of Directors.

3/31/2004 Proxy Information

In connection with the acquisition of the assets of certain Far East affiliates including Taiwan effective January 1, 1984, the Company agreed to use its best efforts, so long as James L.K. Wang remains a shareholder of the Company and is employed by the Company or any of its affiliates or exclusive agents, to cause one person nominated by Mr. Wang to be elected to the Company's Board of Directors. In addition, the Company agreed that it will make no appointment of a manager for any Far East office without prior consultation with Mr. Wang so long as he remains a shareholder of the Company and is employed by the Company or one of its affiliates or exclusive agents. Pursuant to this agreement, Mr. Wang has been nominated for re-election to the Company's Board of Directors.

3/31/2003 Proxy Information

In connection with the acquisition of the assets of certain Far East affiliates including Taiwan effective January 1, 1984, the Company agreed to use its best efforts, so long as James L.K. Wang remains a shareholder of the Company and is employed by the Company or any of its affiliates or exclusive agents, to cause one person nominated by Mr. Wang to be elected to the Company's Board of Directors. In addition, the Company agreed that it will make no appointment of a manager for any Far East office without prior consultation with Mr. Wang so long as he remains a shareholder of the Company and is employed by the Company or one of its affiliates or exclusive agents. Pursuant to this agreement, Mr. Wang has been nominated for re-election to the Company's Board of Directors.