FedEx predict flat market for 2010
FedEx has said that it expects continued softness in demand for their services in 2010.
FedEx has said that it expects continued softness in demand for their services in 2010.
The company stated that “shipping volumes are expected to remain relatively flat as the global recession persists, particularly in the first half of 2010.”
A FedEx statement read: “Our results for the first half of 2009 included the benefit of significantly stronger economic activity and rapidly declining fuel costs, creating difficult year-over-year comparisons.
“The timing and pace of any economic recovery is difficult to predict, and our outlook for 2010 reflects our expectations for continued challenges in growing volume and yield in this environment.
“Revenues in 2010 are expected to be negatively impacted by lower yields resulting from lower fuel surcharges due to more stable fuel prices and an aggressive pricing environment for our services.
“We anticipate volume growth at the FedEx Ground segment due to continued market share gains and flat volumes at the FedEx Express segment for 2010. Further, we expect LTL shipments to decrease for 2010 due to the continued excess capacity in this market.”
