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The FedExaminer website was started 6/26/04

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Some News Articles On FedExaminer

FedEx Lost $30 Million Suit
Posted on Tuesday, July 06 @ 14:47:53 EDT

WASHINGTON, July 2, 2004 - A federal appeals court on Friday upheld Bush administration rules for calculating post-Sept. 11 aid to airlines, strengthening the government's claim it overpaid FedEx Corp. NYSE:FDX by $30 million.

The three-judge appeals panel denied or dismissed claims by the cargo giant that Transportation Department regulations for distributing $5 billion in cash grants to airlines to offset losses from the 2001 hijack attacks were flawed.

FedEx sued on grounds accounting and other formulas for calculating payments were inconsistent with the law that established the $15 billion emergency program of cash grants and loan guarantees for the airline industry.

The Transportation Department has distributed $4.63 billion in cash to 427 airlines. The government also awarded loan guarantees to six airlines totaling $1.56 billion.

The Transportation Department has not formally demanded reimbursement from FedEx but an agency spokesman said the decision clearly upholds the basis for its contention that FedEx was overpaid.

A spokeswoman for FedEx had no immediate comment.
Source - Reuters

Rate Increase
Posted on Sunday, June 27 @ 17:12:15 EDT

MEMPHIS, Tenn., May 24, 2004 (BUSINESS WIRE) -- FedEx Freight NYSE:FDX will implement a 5.9 percent general rate increase effective June 14, 2004.

The increase will apply to interstate and intrastate traffic, and selected shipments between the United States and Mexico and Canada. Various additional adjustments will include select minimum and accessorial charges as well as some select lanes and service areas.

FedEx Freight is a leading U.S. provider of regional and inter-regional less-than-truckload (LTL) freight services and a subsidiary of FedEx Corp. NYSE:FDX.
Source: Business Wire

Special Delivery
Posted on Saturday, June 26 @ 03:43:47 EDT

FedEx Corp. NYSE:FDX - News, the world's No. 1 air-express shipper, on Wednesday delivered a 47 percent jump in quarterly earnings on healthy demand across its U.S. and global markets.

FedEx also signaled more good business ahead and raised its earnings guidance.

For the fiscal fourth quarter ended May 31, the Memphis, Tennessee-based transport group said profit rose to $412 million, or $1.36 a share, from $280 million, or 92 cents a share, a year earlier. Excluding business realignment costs and the benefit of a tax rate change, FedEx said it earned $1.33 per share.

Wall Street analysts' average profit forecast for FedEx, whose businesses include U.S. ground deliveries and trucking, was $1.33 a share excluding the unusual items, according to Reuters Estimates.

Shares of FedEx rose $1.62, or 2.07 percent, to $80.05 after the earnings report and a conference call with analysts.

"FedEx is hitting on all cylinders," said Jim Corridore, an analyst at Standard & Poor's who owns no FedEx stock.

He reiterated a "buy" rating on the stock, with a 12-month target of $106, and raised his fiscal 2005 share-profit forecast for FedEx from $4.25 to $4.35.

FedEx raised its fiscal 2005 profit guidance to a range of $4.20 to $4.40 per share from the $4 to $4.20 estimate given in April, with executives telling institutional investors that strong demand for FedEx services had continued into June.

"We have strong momentum in our business," FedEx Chief Executive Officer Frederick Smith said.

Quarterly revenue, which included $521 million from FedEx's February acquisition of the Kinko's chain of business centers, totaled $7.04 billion, up 21 percent from $5.83 billion a year earlier. Analysts had projected just under $6.8 billion, according to Reuters Estimates.

Revenue at the company's signature FedEx Express unit rose 10 percent to $4.7 billion, while revenue at the smaller Ground unit rose 15 percent and Freight increased 21 percent.

FedEx Ground, which competes directly with United Parcel Service Inc. (NYSE:UPS), the segment leader, topped $1 billion in quarterly revenue for the first time, executives said.

Operating income at Express, which specializes in rapid deliveries, jumped 38 percent to $407 million, in part because of staff reductions and other savings from a restructuring. Domestic volume rose 2 percent at Express, while International Priority volume jumped 12 percent.

The company's FedEx Freight unit, which is a shared-loads transporter of large cargoes under 10,000 pounds, had revenue of $758 million. Operating income leaped 63 percent surge to $80 million as it benefited from booming demand for U.S. shared-loads transport.

Source: Michael Connor - MIAMI (Reuters)

Critical Pickup Missed
Posted on Friday, July 09 @ 03:07:36 EDT

A shipping mix-up has cost dozens of UC Berkeley students a chance to win prestigious Fullbright Fellowships.

University officials had the applications ready to send out on the due date but a FedEx courier did not pick them up until the following day. The US Department Of Education says a deadline is a deadline and will not make an exception.

Fullbright awards range from $20,000 to more than $60,000. Last year half of the Cal students who applied were successful.

Source: KTVU Morning News 2/5/04

Pilots, Home Delivery Contractors, Couriers, Customers, FedEx Kinko's

Undercover Investigation
Posted on Saturday, June 26 @ 03:37:43 EDT

FEDEX RACISM, DRUGS, THEFTS & FRAUD - An undercover investigation by Gary Rullo for the Air Force Office of Special Investigations (OSI).

According to Gary Rullo, the OSI uncovered nationwide FRAUD by FedEx of every CSS military shipment which they investigated and he learned racism, drugs, theft and fraud were common at FedEx.

View or download FedEx Racism, Drugs, Thefts & Fraud pdf inside or
Read 177 pages from FedEx Racism, Drugs, Thefts & Fraud online

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