FedEx was founded in 1973 by Frederick Smith and pioneered overnight express delivery using a hub and spoke system. It has since grown into a $45 billion global transportation company serving over 220 countries. The presentation provides an overview of FedEx's portfolio and operations, including its large aircraft fleet, focus on targeted growth and yield management, and recognition through various awards. Financial results for 2015 are presented along with the company's market share globally and in India.

1. FedEx Express
Managerial Economics Presentation
By: Jyoti Singh & Nakul Bhardwaj
13th September 2015

2. 2
FedEx Corporation - Portfolio

3. 3
Introduction
 It’s not every day that a new industry takes modern form, but that’s what happened when
FedEx President, Chairman and CEO Frederick Smith founded Federal Express.
 Federal Express officially began operations on April 17, 1973.
 The company’s “hub and spoke” system enabled efficient overnight express service, and
FedEx was the first to pioneer tracking and tracing capability so customers would know
where their shipments were.
 Over more than four decades, FedEx has built a portfolio of innovative solutions that connect
customers to more than 220 countries and territories. That’s 99 percent of the world’s global
gross domestic product. Imagine the possibilities.
 FedEx Express operates the world's largest cargo air fleet with over 700 aircraft.
 FedEx Corporation is a $45 billion global transportation, business services, and logistics
company.

4. 4
Milestones
 1978 - Federal Express becomes publicly held and quoted on the New York Stock
Exchange.
 1983 - Federal Express reaches US$1 billion in revenue – the first U.S. business to achieve
this status without merger or acquisition.
 2003 - FedEx is successfully recertified for the revised ISO 9001:2000 international quality
management standard for its entire worldwide operations.
 2008 - FedEx Corporation ranks ninth in the business Superbrands list.
 2011 - FedEx Corporation acquires the logistics, distribution and express businesses of AFL
and its affiliate Unifreight India.
 2015 - FedEx Corporation acquires TNT Express.

5. 5HUB & Spoke System
We Connect the World
FedEx offers the best of both worlds — global reach backed by local expertise. Our worldwide
network is served by five regions outside the U.S

6. 6
Customer Mix
11%
15%
11%
11%
7%
25%
14%
6%
AIRCRAFT PARTS
AUTO PARTS
ELECTRONIC GOODS
ENGINEERING GOODS
MEDICAL EQUIPMENT
PHARMACEUTICALS
SPARE PARTS
OTHERS

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Targeted Growth and Yield Management
At FedEx, we are focusing on delivering the right solutions for the right customers at the right
price.
 Retain the majority of our annual rate increases.
 Utilize the Revenue Management Committee to optimize yield, market share and profitability
growth.
 Remain willing to walk away from less-profitable accounts.
 Expand our small to medium-sized customer base.
 Pricing includes Band Pricing, RevGen Pricing, GTI Pricing, High Season Pricing & Low
Season Pricing.

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Mission & Goals
 FedEx Corporation will produce superior financial returns for its shareowners by providing
high value-added logistics, transportation and related business services through focused
operating companies.
 Customer requirements will be met in the highest quality manner appropriate to each market
segment served.
 FedEx will strive to develop mutually rewarding relationships with its employees, partners
and suppliers. Safety will be the first consideration in all operations.
 Corporate activities are being conducted to the highest ethical and professional standards.
 FedEx will continue to implement the Earth Smart program.

9. 9
Investor News
FedEx Corporation reported adjusted earnings of $2.66 per diluted share for the fourth quarter
ended May 31, compared to adjusted earnings of $2.54 per diluted share a year ago.
The Board of Directors of FedEx Corporation declared a quarterly cash dividend of 25% per
share on FedEx Corporation common stock.

10. 10
Economic Update
Global GDP growth is expected to be 2.5% in 2015 and 3.0% in 2016. The U.S., Europe and
other developed markets will drive global growth. Risks to the outlook include geopolitical
tensions and financial conditions in several emerging markets.

11. 11
New York Stock Exchange

12. 12
Annual Reports

13. 13
Result 2015

14. 14
Market Share
30%
21%19%
12%
18%
FedEx Express
DHL
UPS
TNT
OTHERS

15. 15
Market Share – India
18%
24%
18%
15%
9%
5%
11%
FedEx Express
DHL & BlueDart
GATI
Speed Post
UPS
TNT
Others

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Awards
 2001 - FedEx was awarded America’s Most Admired Company.
 2005 - FedEx has been honored as one of the Fortune “100 Best Companies to Work" list in
10 of the past 11 years and was named to the Fortune “100 Best Companies to Work” Hall
of Fame.
 2012 - FedEx Express was ranked the 24th Best Multinational Workplace.
 2012 - FedEx Express was named Super Eco-Airline of the Year by Air Transport World.

17. 17
Bibliography
 Website: www.fedex.com/in
 Intranet: www.home.fedex.com
 Igor Collaco, All India Sales Manager - Mumbai
 Stephanie Stewart, Marketing Manager - Memphis
 Tasha Newson, Operations Manager - Phoenix
 Heather Davis, Sales Manager - Houston