Federal Express Expands to Offer Variety of Delivery Options.

• Author: SAUNDERS, STACEY

Federal Express, known for its overnight delivery, now offers a less expensive ground service for business clients.

Most people associate Federal Express with its slogan "absolutely positively has to get there overnight." But Federal Express has expanded well beyond overnight delivery and now offers other cost-savings delivery options.

FedEx Express, the worldwide leader in express transportation, has been present in Alaska since 1989. However, FedEx Express, which provides overnight service, is only one of five companies held by FedEx Corp. The others are FedEx Ground, FedEx Custom Critical, FedEx Logistics and FedEx Trade Networks. (OnlyFedEx Ground and FedEx Express operate in Alaska.) Last year FedEx Corp. earned $19 billion while undertaking a major realignment, which included renaming its holding company (formerly FDX Corp.) and each of its subsidiaries to include the FedEx brand name.

In June of 2000, FedEx's Alaska Operations welcomed FedEx Ground (formerly known as RPS Inc.) to the state. FedEx Ground is North America's second largest ground carrier for small packages. With this addition, FedEx increases its presence in Alaska and offers a cheaper shipping alternative.

Dennis Bird, managing director of FedEx Alaska Operations, has been involved in FedEx Express and FedEx Ground in Alaska since their inception. "When I arrived in 1989, there was only the concrete foundation," says Bird. In less than 10 years, increased air cargo traffic between Asia and the continental United States caused FedEx's Alaska operations to outgrow its package sorting space. With a major expansion in 1998, today's FedEx airport facility spans 330,000 square feet and has doubled both the work force and the volume of packages sorted. Fourteen to 18 aircraft arrive and depart daily.

FedEx Express is highly visible, being responsible for getting letters, packages and freight from point A to point B in 24 to 48 hours. FedEx Corp.'s menu of services recommends FedEx Express as "the best choice for shipments that must meet deadlines reliably and on time," while FedEx Ground provides cost-effective ground transportation. Bird describes the typical FedEx Express client as one whose package has time-sensitive contents like legal documents, bikes used in this past summer's Alaska AIDS Vaccine Ride or perishables like frozen fish.

"Fed Ex Ground picks up where FedEx Express leaves off," explains Peter Ricks, senior manager for FedEx Ground's new Anchorage terminal...