FedEx Express to rebrand as FedEx in 2024
Federal Express Corporation (FedEx[1]) told an investor event earlier this month that it will consolidate its various operating brands into a single entity known as FedEx by mid-2024. The move is expected to save FedEx’s air network and international operations approximately USD1.3 billion in fiscal 2025. Presently, FedEx operates what its terms “a broad portfolio of transportation, e-commerce and business services,” under various brands, including FedEx Express, FedEx Ground, and FedEx Services, among others.
Except for FedEx Freight, which will remain a stand alone entity, the other brands will merge into a single company which aims to provide customers with “a unified, fully integrated air-ground network.” FedEx’s aviation operations fall under FedEx Express[2] (FX, Memphis International[3]), which according to data from the company, operates 697 aircraft to 650 airports worldwide. FedEx expects the reorganisation, which it is calling DRIVE, will save it USD4 billion in permanent costs by fiscal 2025.
A further USD2 billion in incremental costs are expected by fiscal 2027 under another cost-savings program called Network 2.0.
During the transition period, Richard W.
Smith, current President and CEO of FedEx Express will serve as President and CEO, Airline and International at FedEx Express, overseeing all regions outside North America as well as FedEx Logistics.
References
- ^ FedEx (www.ch-aviation.com)
- ^ FedEx Express (www.ch-aviation.com)
- ^ Memphis International (www.ch-aviation.com)