FedEx completes acquisition of Parcel Direct
FedEx Corporation (NYSE:FDX) today announced it has completed the $120 million acquisition of leading national parcel consolidator Parcel Direct from Quad/Graphics.
With this acquisition, FedEx adds to its range of distinct, yet complementary, residential services, including FedEx Express and FedEx Home Delivery. Parcel Direct extends the unequalled FedEx portfolio to customers in the fast-growing e-tail and catalog industries who are looking for a cost-effective means of shipping low-weight, less-time-sensitive goods.
“This acquisition adds another proven solution to our portfolio and offers customers even greater choice for residential shipping,” said Daniel J. Sullivan, president and chief executive officer of FedEx Ground. “I’m confident that we can build on the successful operating model put in place by Parcel Direct to quickly meet increasing customer demand.”
Parcel Direct will operate as a subsidiary of FedEx Ground and will be led by newly-appointed President and Chief Executive Officer Ward Strang. Strang is a 16-year veteran of FedEx Ground and was instrumental in the growth and success of the company’s dedicated residential ground service, FedEx Home Delivery. From Parcel Direct headquarters in New Berlin, Wisc., Strang will direct all operations for the company’s low cost, highly efficient network of 12 distribution hubs and 450 employees.
About FedEx
FedEx Corp. provides customers and businesses worldwide with the broadest portfolio of transportation, e-commerce and business services. With annual revenues of $25 billion, the company offers integrated business applications through operating companies competing collectively and managed collaboratively, under the respected FedEx brand. Consistently ranked among the world’s most admired and trusted employers, FedEx inspires its more than 240,000 employees and contractors to remain “absolutely, positively” focused on safety, the highest ethical and professional standards and the needs of their customers and communities. For more information, visit www.fedex.com.
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CONTACT: FedEx Corporation, Memphis
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