FedEx will continue with cuts despite strong share price

FedEx has vowed to push ahead with its USD 1bn internal cost cutting exercise, despite seeing an increased share price of USD 1.58.

FedEx has vowed to push ahead with its USD 1bn internal cost cutting exercise, despite seeing an increased share price of USD 1.58.

By the end of the second quarter of 2008, it had risen from USD 1.54 on the same period last year. However, Fred Smith, boss of FedEx, warned trading was set to become tougher through 2009.

“Our financial performance is increasingly being challenged by some of the worst economic conditions in the company’s 35-year operating history.”

He said FedEx was working hard to manage costs while maintaining customer service levels.

“With the decline in shipping trends during our second quarter and the expectation that economic conditions will remain very difficult through calendar 2009, we are taking additional actions necessary to help offset weak demand, protect our business and minimize the loss of jobs.”
FedEx has embarked on massive USD 1bn cost saving exercise that included a freeze on temporary labour, reduction in working hours, job cuts at FedEx Freight and company-wide salary reductions.

During the second quarter FedEx saw total revenues up just 1% to USD 9.54bn, from USD 9.45bn the previous year. Operating income was at USD 784m for the same period, up from USD 783m the previous year.

Relevant Directory Listings

Listing image

SwipBox

Focus on the user experience SwipBox is focused on creating the world’s best user experience for delivering and picking up parcels using parcel lockers. Through a combination of intuitive network management software and hassle-free, app-operated parcel lockers, SwipBox delivers maximum convenience to logistics providers, retailers […]

Find out more

Other Directory Listings

Advertisement

Advertisement

Advertisement

P&P Poll

What's the future of the postal USO?

Thank you for voting
You have already voted on this poll!
Please select an option!



Post & Parcel Magazine


Post & Parcel Magazine is our print publication, released 3 times a year. Packed with original content and thought-provoking features, Post & Parcel Magazine is a must-read for those who want the inside track on the industry.

 

News Archive

Pin It on Pinterest

Post & Parcel
Aramex: We are pleased to conclude 2024 with double digit topline growth
THG “poised to disrupt and redefine the future of warehousing and logistics”
DHL: The future of global supply chains lies in a flexible, sustainable and diversified structure
Pošta Slovenije combines advanced AI and a human approach,to help customers “get the information they want even faster”
Parcelsea and Jetbeep join forces
Aramex: We are pleased to conclude 2024 with double digit topline growth
THG “poised to disrupt and redefine the future of warehousing and logistics”
DHL: The future of global supply chains lies in a flexible, sustainable and diversified structure
Pošta Slovenije combines advanced AI and a human approach,to help customers “get the information they want even faster”
Parcelsea and Jetbeep join forces
1
2
3
4
5
Listing image
Listing image
Listing image
Listing image
FedEx: This is yet another step on our journey to make supply chains smarter for everyone
Emirates Post collaboration “reflects our broader vision to transform our branches”
FedEx: Our new facility in Plzeň is part of a series of investments in Central and Eastern Europe
FedEx France: We are delighted to announce this further enhancement to our operations
Share This