Air Cargo News.


Dec 31, 2006


FedEx Chairman, President and CEO Frederick Smith said holiday season volumes have been "solid" and he expects "continued global economic growth in 2007." Dec 21, 2006


FedEx Express airline segment registered second-quarter operating income of $502 million, up 5% from $476 million last year, on a 6% rise in revenues to $5.69 billion. The segment's operating margin was 8.8%, down 0.1 point from the year-ago period, a falloff the company attributed to costs associated with a new pilot labor contract including signing bonuses and other upfront compensation that totaled about $143 million as well as pay increases and enhanced benefits. Dec 21, 2006


FedEx pointed out that the Express unit is growing its international network, evidenced by recent agreements to buy UK domestic express operator ANC Holdings and its Indian service provider Prakash Air Freight. Dec 21, 2006


FedEx posted total operating expenses were $8.09 billion, up 11%, leading to operating income of $839 million, a 6% increase from $790 million last year. The Express segment generated more revenue and operating income than the company's other three units combined. Its per-lb. yield on international shipments grew 6% to 86 cents with overall per-lb. yield rising 8% to 98 cents. Dec 21, 2006


FedEx reports $511 million profit, says pilot contract lowers operating margin. FedEx reported net income of $511 million for its fiscal second quarter ended Nov. 30, up 8% over earnings of $471 million in the year-ago quarter, on a 10% jump in revenues to $8.93 billion. Dec 21, 2006

FedEx, ANC Holdings

FedEx acquired ANC Holdings, a UK express delivery operator, in a [pounds sterling]120 million ($234 million) move the global air cargo power said will enable it "to directly serve the entire UK domestic market." ANC has annual revenues of more...

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