Opening of New Incheon Gateway by Fedex Express

 

FedEx Express (FedEx), an auxiliary of FedEx Corp. what's more, one of the world's biggest express transportation organizations, is reinforcing support for cross-line exchange and web based business development in Korea with the send off of its new FedEx Incheon Gateway situated at Incheon Global Air terminal, South Korea. The new office offers upgraded capacities that will help neighborhood organizations hoping to get to global business sectors and backing the developing interest for e-commerce business and cold-chain shipments.

The new Incheon Gateway ranges 23,395 sq m, over two times the size of the previous infrastructure, and is outfitted with 78 transport lines and a high level robotized sortation framework that can sort up to 12,000 packages each hour, multiplying the past arranging limit. It likewise incorporates a 15,207 sq m distribution center that can securely stockpile to 40,000 bundles. With 31 week after week flights, the new office associates Korea to 220 nations and domains through the FedEx worldwide organization. The new Door upholds merchants and exporters including little and medium-endeavors (SMEs) and bulk transporters with more prominent and more solid admittance to and from worldwide business sectors.

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Fedex Singapore to Sydney flight 4 times a week

To give a boost to cargo movements , Fedex has launched new flight connecting markets of Europe, Middle east , Asia & Australia.

As per Fedex the new flight is designed to meet increased demand for these sectors especially heavy weight shipments. This will benefit customers based in Australia & Singapore with increased reliability & capacity for general as well as healthcare & perishable cargo.

The dedicated flight will operate 4 times a week between Sydney, Australia & Singapore.

Also with this service Sydney customer will enjoy a 3 hrs cut off time improvement for Singapore & Malaysia 4 times a week.

This will help respond to last minute request more readily than before.

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Mike Ducker , Fedex Freight President Retiring After 43 yrs service..

Michael L. "Mike" Ducker the Fedex Freight President after 43yrs service is retiring Aug. 15 as announced by company. The new successor would be named soon.

Ducker native of Chattanooga joined FedEx Express in 1975 and served in frontline operations staff at the Memphis hub. He rose through operations rank in 1980s & handled international assignments staring 1991 as Vice-president for South Europe based out of Milan, Italy.

Ducker rose through the U.S. ground operations ranks in the 1980s and took a series of international assignments starting in 1991 as vice president of Southern Europe, based in Milan, Italy. He also served as vice president for South pacific & middle east region & senior vice president for Asia / Pacific region till 1999 . He was chief operating officer at Fedex Express for five years starting in 2009.

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FedEx updates on freighter retirements and TNT acquisition

FedEx has provided more details on its decision to retire freighters early, while also providing an update on its proposed takeover of TNT Express and saying that it will continue on the acquisition trail.
Speaking shortly after the announcement of its fiscal year fourth quarter results, the US express giant said its decision to retire 15 aircraft and 21 related engines and also adjust the retirement schedule of an additional 23 airframes and 57 engines was part of a profit improvement plan.
FedEx chairman, president and chief executive officer Frederick Smith said: “We’re getting rid of very inefficient fuel burning aircraft of high maintenance to a newer fleet, better maintenance, better reliability, better fuel efficiency.
“So we’re balancing our fleet in the US and around the world and that’s part of our profit improvement plan.
“We need to buy [to modernise the fleet] 12, 15 airplanes a year and we continue to do that and you can count on us continuing to that because they are aluminum, they oxidize, they wear out and the new models fortunately burn a lot less fuel and are much more reliable.
“One of the reasons that the fleet can go down is that we don’t need as many spares with the new technology airplanes as we did with the old ones.
FedEx Express president and chief executive David Bronczek said the planes that were to be retired were “basically parked in the desert”.
“They were in engine repair that was going to be too expensive to bring back,” Bronczek said.
The company also said it hoped to complete the acquisition of TNT earlier than expected, although no new time line was provided.
In May, it predicted it would take a year for the purchase to gain regulatory clearance.
Executive vice president, general counsel and secretary Christine Richards said: “We’re doing a tremendous job. We are preparing to submit our initial offering documents as required by Dutch law by the end of this month.
“And we are well underway with the preparation of the necessary filings with competition authorities.
“We have been in consultation with European Competition Commission and continue to believe FedEx and TNT operations are highly complementary in Europe and we do not believe that the transaction faces any competition issues for the commission.
“So we’re in good shape. We’re going to try to get this done as quickly as we can.”
FedEx said it would also continue to be “aggressive in the acquisition space” over the coming years.
“As to any specifics about any specific space,” said executive vice president and chief financial officer Alan Graf. “I will just say that depends on the fit, the culture, the price and all three of those things are vital.”

Source : http://www.aircargonews.net/news/airlines/single-view/news/fedex-updates-on-freighter-retirements-and-tnt-acquisition.html

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FedEx takes axe to 15 freighters

US parcels and logistics giant FedEx has "permanently retired" 15 aircraft and 21 related engines as it continues to “rationalise capacity and modernise its aircraft fleet to more effectively serve FedEx Express customers”.
FedEx has taken a non-cash impairment charge of $246m recorded in May 2015 and has also adjusted the retirement schedule of an additional 23 airframes and 57 engines, with an associated $30m in cash charges.
In April this year, FedEx made a $4.8bn bid to acquire rival operator TNT Express of the Netherlands, with both sides reaching a conditional agreement on the deal, which is expected to receive regulatory approval in early 2016.
FedEx in a short statement on its investors website said: “These combined retirement changes will not have a material impact on near-term depreciation expense."
The permanent retirement of FedEx aircraft and related engines includes: seven MD11 airframes and 12 related engines; three A300 airframes and three related engines; four A310-300 airframes and three related engines; and one MD10-10 airframe and three related engines.
As of February this year, FedEx fleet totalled 673 aircraft, including 383 jet aircraft.
During the four quarters ended February, 2015, FedEx spent $3.15bn on 1.14bn gallons of jet fuel.
“The B767 provides similar capacity as the MD10, with improved reliability, an approximate 30% increase in fuel efficiency and a minimum of a 20% reduction in unit operating costs,” said FedEx.

Source :  http://www.aircargonews.net/news/airlines/express/single-view/news/fedex-takes-axe-to-15-freighters.html

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FedEx set to buy TNT Express for $4.8bn

US parcels and logistics giant FedEx has made a $4.8bn  bid to acquire rival operator TNT Express of the Netherlands, with both sides reaching a conditional agreement on the deal.
The agreement recommends an all-cash offer by FedEx for all issued and outstanding ordinary shares, including shares represented by American Depositary Receipts of TNT Express for a cash offer price of €8.00 per share.
The surprise transaction gives TNT Express an implied equity value of approximately €4.4bn ($4.8bn).
Fred Smith, chairman and chief executive of FedEx Corp, said: “We believe that this strategic acquisition will add significant value for FedEx shareowners, team members and customers around the globe.
"This transaction allows us to quickly broaden our portfolio of international transportation solutions to take advantage of market trends – especially the continuing growth of global e-commerce – and positions FedEx for greater long-term profitable growth.”
Tex Gunning, chief executive of TNT Express, said: “This offer comes at a time of important transformations within TNT Express and we were fully geared to executing our stand-alone strategy. But while we did not solicit an acquisition, we truly believe that FedEx’s proposal, both from a financial and a non-financial view, is good news for all stakeholders.
"Our people and customers can profit from the true global reach and expanded propositions, while with this offer our shareholders can already reap benefits today that otherwise would only have been available in the longer run."

Source : http://www.aircargonews.net/news/airlines/express/single-view/news/fedex-and-tnt-express-agree-on-recommended-all-cash-public-offer-for-all-tnt-express-shares.html

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FedEx sees peak season bounce

US parcels giant FedEx saw third quarter revenues up four per cent to $11.7bn.
“We had a very successful peak season as volumes grew across all transportation segments, and our profit improvement programs are moving ahead as scheduled,” said Fred Smith, FedEx Corp chairman, president and chief executive officer.
Operating results for the third quarter ended February 28 improved due to volume and base yield growth in all three transportation segments of ground, freight and express.
There was also a “significant net benefit” from fuel, benefits from profit improvement program initiatives, a lower year-over-year weather impact and reduced pension expense.
These improvements were partially offset by higher variable incentive compensation accruals.

Source : http://www.aircargonews.net/news/single-view/news/fedex-sees-peak-season-bounce.html

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FedEx swaps sides in Illinois

Federal Express officially started operations at Central Illinois Regional Airport (CIRA) in Bloomington on February 2. It follows an announcement in May 2014 that it was pulling out of its operation at nearby Peoria airport, on the west bank of the Illinois River.
The express carrier said the move would allow it to upgrade its priority overnight service and offer earlier delivery times to the central Illinois market, while maintaining delivery times to Peoria itself. Flights will operate mainly to Indianapolis and Memphis.
FedEx’s arrival fills a gap for CIRA, which lost passenger carrier Frontier Airlines in November and also suffered from the shutdown of DHL’s US operations in 2008.

Source : http://www.aircargonews.net/news/single-view/news/fedex-swaps-sides-in-illinois.html

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FedEx strengthens its domestic ground and supply chain services in India.......

Mumbai, May 7, 2014 — FedEx Corp. (NYSE: FDX) announces the successful integration of its acquired AFL and UFL businesses in India.  Since the acquisition in 2011, FedEx has focused on strengthening its domestic transportation and supply chain capabilities to meet the demands of Indian businesses. FedEx now offers end-to-end logistics solutions, including international and domestic air express services, domestic ground services, warehousing and supply chain management.

With the integration complete, FedEx has:

• Expanded its service coverage from 4,000 postal codes to over 19,000 in India
• Strengthened its ground transportation service: it now has a fleet of over 1,000 trucks connecting cities and towns across India, leading technology and competitive pricing
• Increased its office and hub space capacity from 300,000 to over a million square feet
• Added inventory management services via more than 900,000 square feet of warehousing space across the country

“In a little over a decade, India is expected to have as many as 18 mega-demand cities with a GDP surpassing $20 billion.[1]  The internet is also propelling small towns such as Guntur in Andhra Pradesh or Choryasi in Gujarat, into the league of top rural hubs for eCommerce in India.  This is why we have expanded our network to over 90% of India’s manufacturing GDP, thereby providing seamless access to Indian businesses with diverse logistics needs,” said David Canavan, vice president, Operations, FedEx Express India.
“Increasingly, the success of modern retail chains, hi-tech industries or booming eCommerce sites depends on the efficiencies and intelligence of their supply chain.  Innovative services such as cash on delivery, repair-and-return, pick and pack and returns management are critical.  Our successful integration places us in a formidable position to meet all of these logistics requirements.”
Now, customers using FedEx domestic ground services can also benefit from shipping applications that enable them to create waybills for single or multi-piece shipments. In addition, they can monitor incoming and outgoing packages, get status notifications and near real-time tracking. High volume businesses such as eCommerce are supported with robust web integration for faster processing.
Industries with complex supply chain requirements (particularly hi-tech, retail, medical equipment or consumer durables) will gain a competitive advantage by using FedEx domestic ground and supply chain services.

Source : http://news.van.fedex.com/fedex-strengthens-its-domestic-ground-and-supply-chain-services-india-following-successful-integrati

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