FedEx Corporation
 

FedEx Corporation includes 6 companies in addition to FedEx Express. These are FedEx Ground, FedEx Freight, FedEx Kinko's, FedEx Trade Networks, FedEx Supply Chain Services, and FedEx Custom Critical. The FedEx web page details these companies with an overview and facts. http://www.fedex.com/us/about/today/companies/?link=4
Total FedEx Corporation revenues for FY 2005 were 29.3 Billion of which FedEx Express generated 19.5 Billion or 66% of the total FedEx Corporation revenues. Checking FY 2004, FedEx Express accounted for 71% of the total revenues and in FY 2003, FedEx Express had 73% of the total Corporation revenues. Consider that the domestic US ground freight business is 4 times the size of the airfreight business. At this rate of growth of these 6 FedEx companies, FedEx Corporation will derive more revenue from these 6 companies in FY 2009 than what you will see on the Fedex Express ledger.
Fedex is a great company with excellent mangement. When pited against FedEx Corporation, ALPA is in a tug boat compared to a Ocean Freighter. Hopefully u'all will find some common ground. But if this is not possible, expect to see a repeat of what transpired 7 years ago with Captain Fato and FedEx management.

Ocean freighters need tugboats to make it to port. :)



Dave Webb is no Frank Fato, and ALPA is not FPA. Your comparison falls flat.






- The truth only hurts if it should -

What sort of experience or background causes "Cub Pilot" to write that, anyway? What is that person's agenda? It is totally misleading and draws a faulty conclusion.

Tony, you have to be kidding!:( I will have to admit they may do better with the adult supervision from Herndon.:)

[QUOTE=cub pilot]... The FedEx web page details these companies with an overview and facts.
Total FedEx Corporation revenues for FY 2005 were 29.3 Billion of which FedEx Express revenues were 19.5 Billion or 66% of the total FedEx Corporation revenues. Checking FY 2004, FedEx Express accounted for 71% of the total revenues and in FY 2003, FedEx Express had 73% of the total revenues of the FedEx Corporation. Consider that the domestic US ground freight business is 4 times the size of the airfreight business. At this rate of growth of these 6 FedEx companies, FDX Corporation will derive more revenue from these 6 companies in FY 2009 than what you will see on the Fedex Express ledger.
[QUOTE]

...so, what? Get rid of those pesky pilots and the company will be better off?

The only reason that FDX Corp does so well is due to all of the components working together to a common goal. If the planes didn't fly, the trucks wouldn't roll.

The Fact that FedEx Express had 73% of the total revenues means that the company could be a little more charitable to its pilots, don't you think?

With which statement do you disagree?







- The truth only hurts if it should -

I agree with all, but not your intent. ALPA is not FPA, agreed. ALPA has different priorities. 1) ALPA National, 2) ALPA pilots in general 3) FedEx pilots, in that order. With the events at DAL, NWA, USAIR, and all the other ALPA properties ALPA is just attempting to survive. The only cash cow ALPA has remaining today are the FedEx pilots. ALPA national can't afford any action that would jepordize that income stream. You may not believe that, but management does. Should be interesting to see how IPA does compared with ALPA, or at least the membership perception of it.:)

FDX+Pilots= $$$$$$$$$
 

So what's your point?? Were all spineless, or just enough to cause us to collapse to the floor when things get hot?? :mad:
I take it based on your bio, your a Lear pilot either flying for FDX or a corporate lurker just trying to pimp us unionized social malcontents. ;)
Well if I haven't misread slant on Fedex pilots and our relationship with our employer, than join the list of aviation spoilers on this BB which think we're (all) overpaid and underworked. And if you do fly for a living, I would suggest you read another post (I) wrote concerning who has helped determine what you earn and the benefits you enjoy.

My point is this: The leverage of the FedEx pilots union is not equal to Delta's pilots union's leverage. The union pilots at Delta could walk and Delta Airlines would become another Eastern. This won't happen at FedEx. If Push comes to Shove on the unions part, expect FedEx Corporation to repeat itself. FedEx Corporation said 7 years ago, "We will do it with you or without you". The resultant pilot contract was the companies previous best offer minus the costs associated with the contingentcy setup for that 2nd option. (costs were 25 Mil $ /correct me if I am off on this)

Several of my pilot friends at FedEx have said privately that they would have accepted the companies offer early this year.

Ben over, I got something to give you
 

Well I guess we should count ourselves lucky we don't have you count on your support :p

I do not count myself as a spoiler; just presenting my opinion. One reply from DaveP2 is really a work of art " If the planes didn't fly, the trucks wouldn't roll." Dave, you really believe this? Virtually all of the state Arkansas is served by FedEx Express trucks.
Also, in days after September 11th, 2001; all the domestic freight got to it's destination via truck (some of it was late but the freight rolled on trucks).

Yes, I do. If Arkansas ONLY received freight from Arkansas (no inbreeding jokes, please), then your premise would be valid, but for interstate (and international) commerce to work, it ALL has to work, not just the ground portion. I doubt a FedEx truck could get from Memphis to Seattle (or Frankfurt, for that matter) and honor the overnight guarantee.

No doubt. The same "pilot" friends who made the offer in the first place. They work in the next cubicle over...

'nother management drone...

September 11th was an isolated incident, and I'm sure that the "absolutely, positively overnight" guarantee didn't apply.

And you're right, my statement was a work of art, because the reverse of it also applies; if the trucks didn't roll, the planes wouldn't fly! It's an interconnected system. The overnight concept would not exist at all without the cooperation of the two.

Yawn
 

Even if true, "several" does not equate to "50% plus 1" or a simple majority. I am putting my faith in the group as a whole, not simply your "pilot friends" who share your defeatist attitude.

DaveP2,
Concerning your quote: "if the trucks don't roll " When would the trucks not roll? Would you say: when there is a squall line to the west and the truck drivers refuse to depart Memphis until the squall line passes by.
Also on a side note: DaveP2, why do you have P2 with your name and not P1? Do you know that P2 freight is trucked in many instances say even from the West Coast. Another tid-bit from the last quarters earnings report from FedEx and that is: "Express domestic freight volumes decreased 3% / Dave, you might look up the percentage change in International volumes and report back to the class.

I try to stay out of the rants but frankly, cub pilot writes just like another management stooge. We will win this one regardless of the disinformation he and others like him publish at the behest of our management.

Cub,

I think you're missing the point here. You seem to be busy engaging in the "us vs. them" game; the only point I'm trying to make here is that FedEx corp as a whole depends on all of its subsidiaries for it's massive profits, not just the ground side or the air side. To get bogged down in the numbers is to miss the main point, that it is a team effort all around.

I'm not sure what's up with "P2 freight," my experience is with military cargo movement. I used "DaveP2" because my original login (DaveP) got jacked up and I couldn't post replies or start threads. No, I wasn't blacklisted either, I only had 4 posts to my credit before I started having problems. Not even you could seriously irritate someone that much in so short a time:D

Dave's quote
The only point I'm trying to make here is that FedEx corp as a whole depends on all of its subsidiaries for it's massive profits, not just the ground side or the air side.

Well Said !!
Totally agree with you and please don't picture me as one who is playing the flight side against the ground side. The FedEx companies complement each other and all the FedEx information service and shipping companies add to the big pie of massive revenues.
My initial point was the amount of leverage that APLA has. I am tired of hearing on this site that U'all (AKA some line pilots and I don't think that it is 50% plus 1) will show Fred we mean business when in reality this company has positioned itself to not have all its eggs in one basket. FedEx is way ahead of our competition AKA UPS and reading the financial reports reinforces this. The real sleeping Bear is Kinkos vs UPS stores and what the future holds. Don't be misled by Kinkos operating percentage profit on last quarters statement. Kinkos will someday be a major profit center for FedEx.
Smith is 10 years ahead of everyone on the future; stay tuned
Also FedEx International volumes increased 10% last quarter to help you with your class assignment.

We have the first glimmer of understanding here, cub. The real growth of this company is INTERNATIONAL, specifically, but not exclusively, China.

Now YOUR class assignment is to provide us with the TRUCK shipping times from the following locations to the U.S.: Shanghai, Guangzhou, Hong Kong, Singapore, Penang, Taipei, Seoul, Tokyo, New Delhi, and Frankfurt. That would be, what, P32?

We wait with bated breath.

As far as "Kinkos will someday be a major profit center for FedEx." You DO realize that real pilots are subject to drug testing, do you not? I'm not sure if that applies to management not, so you may be safe. :rolleyes:

-'Frater

Real pilot take drug tests. And Management does not so this blemishes their capabilities. Fratter, Get A Life outside the Cockpit.
I know drugs were not a factor in any of the hull losses experienced by FedEx so back off when I state the following. FedEx Express has now gone 29 months without a hull loss. Thank the Check Airmen for weeding out the bad apples. Now, Lets go back over the past 6 years for what the non-drug tested management has done to make this company grow (Ground, Freight, Kinko's, DTW, etc.). Zap Mail crashed years ago and FedEx mangement learned from that mistake. Tell me one action by our non-drug tested mangement that has caused another crash like Zap Mail.
Fratter, the facts I have presented here are valid; Opinions are mine and if you disagree, Do so without baited breath.

Judging by the recently TAed section 11 the instructors would be better off with Fato.

What?
 

I can't believe I or anyone else wasted their time reading this provider of management propaganda. But how exactly do you get express packages from China to Arkansas WITHOUT an airplane?

Wow. Not only a management drone, an indignant management drone.

No cub, I didn't imply that lack of drug testing blemishes management's capabilities. I implied that if YOU believe that "Kinkos will be a major profit center" then you might be under the influence of some illegal substance, and that since you're not subject to drug testing, you might get away with it. (see below) The implication doesn't carry to management in general unless you're a fairly senior policy maker. (ARE you?) Most of the managers I know DON'T believe that Kinkos will be a "major profit center." It's not on par with ZapMail, but neither is it a particularly stellar acquisition.

You haven't presented the facts for the truck shipping times. Back to your assignment.

(disclaimer for the narrow-minded reader: the suggestion of drug use in this manner is meant to convey the perception that the subject has presented some really weird views, and is not meant to be an actual charge of criminal activity. We now return you to your regularly scheduled whatever the %#@ this is)

Nitefrater ol' buddy,
You are right, I have been indignant and apologize for this. No, as far as policy goes, I have no say and I am not in management. Just a passionate FedEx guy who after working in the Hub (36 months) made it out with all my attachments intact. Truck times are never coming your way so hang in there Nitefrater and give that 100% without this valueable information. In your cocoon at FedEx, your managers would give you a opinion that Kinkos is a bad deal. Try visitng a Kinkos especially during Christmas rush and see this side of the company. In June, read the FY2006 earnings report and see the big picture of FedEx. Good luck on the contract.

That's too easy. The MD-10 conversion.

I'm beginning to get a feel for who you are, or at least your type. Your agenda is becoming clearer now.


The trouble with the above is that many people, pilots included, believed the threat. Anyone familiar with the system form knows it's nothing more than a thinly-veiled threat. The fact of the matter is, it cannot be done without us. First, you must certainly know that what sets FedEx aside from UPS and the other guys is the "Absolutely, Positively Overnight" promise - - not the Purple Promise. What allows FedEx to charge FedEx rates is the concept of Guaranteed Reliability. Absent this quality, we are nothing more than an overpriced Airborne, and the UPS Teamsters strike of 1997 showed in a dramatic fashion how quickly customers will change their loyalties when their packages don't get where they want them when they want them to.

We also saw that customers that switched away from UPS stayed with FedEx in large numbers. We know that the first night that Guaranteed Reliability is compromised will signal the end of the Cinderella story - - the clock will strike twelve, the carriage will become a pumpkin, and, like virginity, it will be gone forever. Don't believe it? Count the number of airplanes that are prepared across the globe to rescue freight that is stranded by a broken airplane. Count the crews on reserve or standby to handle last-second contingencies. Count the number of packages that are sent by the first available passenger belly-freight space to their destinations after missorts. Count the value of resources devoted to the guarantee every day of "Absolutely, Positively." Everyone knows that our reputation is firmly planted in that concept, and will not jeapordize it over trivial matters.


Frank Fato and the non-union union (and while we're castigating people, we might as well mention the man who sent Frank to the parking lot, namely Byron Cobb) did not have the proper focus or determination to advance the goals of the membership. I believe that Dave Webb and the organization that represents us today have the knowledge, resources, and determination to see this process through to a successful conclusion. Comparing now with then is about like comparing apples with turtles.


If you think that FedEx can do it with or without us, then it's no surprise that you would cite Sept of 2001 as a demonstration of how FedEx Express can survive with nothing but trucks. I'm sorry if you find this insulting, but that parallel is simply ludicrous. Not a soul in the United States expected FedEx to honor its guarantee under those unique conditions, and not a soul would expect it under a similar scenario. A work action is not such a scenario.

How many packages crossed the US borders to/from China, Japan, France ... well, you're familiar with the system form, you know the list goes on and on ... how many packages, how many airplanes? On a similar topic, how many of the airplanes flying outside of the US were grounded? Surely you're aware that FedEx did not resort to trucking freight from Subic Bay to the Pacific rim, and it did not service London to Paris through the Chunnel.

No, September 2001 was an extraordinary time, and it has no bearing on the day-to-day operation of the system now.



Quick quiz, cub: Standard Overnight, P1 or P2?

Hurry, the jet's waiting.


Yes, in some instances, P2 is trucked. In fact, I would say that wherever possible, it makes sense to truck P2. But, guess what, a large percentage of P2 can't be trucked either, or the delivery guarantee would not be met.


Standard Overnight, the product that is guaranteed to be there Absolutely, Positively tomorrow afternoon, is P2. Let's say you and I are in Shreveport, LA, and we both want to ship a package to the same destination in Knoxville, TN. I want it there tomorrow afternoon, and you want it there tomorrow morning. (That would make your package P1, and mine P2.) We both call the 800 number and scehdule a pickup. The same courier collects both of our packages, the same courier finishes his pickup route and returns to the same station at the same time. The boxes are loaded into the same ULD, delivered by the same CTV to the same ramp. There's only one cutoff time for the station, whether it's First Overnight or 2-Day. From the ramp, the packages (in the ULD) are loaded onto the same airplane, flown to the same hub, and sorted in the same system. They both arrive in ULDs that are loaded in the same airplane bound for Knoxville. They both arrive at the same ramp (TYS) at the same time, are loaded onto the same CTV, and arrive at the same station at the same time.

Now, since we're shipping to the same destination, both packages will be offloaded from the CTV onto a conveyor belt from where they will both be retrieved by the same courier and placed into the same delivery van. Yours will be given the first attention, since you selected Priority Overnight, and your delivery deadline precedes mine. However, when the astute carrier sees that he has P1 and P2 destined for the same address, he will place mine with yours, and he will deliver them at the exact same time. (Since we conducted this experiment without our employee discounts, you paid more. :))

Now, had we chosen to send the packages to different addresses in Knoxville, and mine was destined for an address for which he had no P1 packages, mine would be delivered seperately at some point in time after 1030. However, what remains the same is the time the package leaves the origin station, and the time the package arrives at the destination station. These two times give us a fixed time during which a package must travel from point A to point B. Park a truck at every station in the US that is destined for every other station in the US. Well, OK, line them up for miles - - our stations don't have parking for hundreds of trucks. Let them leave the origin stations in the evening, and head straight for the destination stations where they will join hundreds of other trucks from other origins, and let's see how much next-day freight we can deliver. How about Shreveport to Knoxville, can we do that? Nope. OK, try something easier, how about Little Rock to Knoxville? Sorry, can't make it.

As it turns out, we can serve any city with P1 to any other city that is within about a 350 miles road distance. Until we get those 600 mph trucks, we're fairly limited in what we can do with trucks. Don't try Paris or Narita with the 600 mph trucks, either. ;)

The bottom line is this: Anyone familiar with the system form, and I'm not talking about just the airline schedule, can attest that FedEx cannot be run with trucks alone. Anyone with a sliver of common sense should know that if it could be done with trucks alone, it would be done that way already.


"With or without you?" It was a fantastic Madison Avenue marketing scheme for which FedEx won a Silver Anvil Award. (Google it if you like. By the way, IPA won a lesser award the same year for its handling of UPS.) If you believed it, you are one of those to which P.T. Barnum referred that are born every minute. Be not dismayed, however, as you were in good company. Many of our fellow pilots fell for it, too. Be of good cheer - - today is another day, and we are smarter and stronger and more determined. We have a leadership that is more concerned with its membership and our goals than with cozying up with the Company in hopes of landing some sweet post-retirement deal. This is not FPA, and it's not October of `98.





- The truth only hurts if it should -

You joined Airline Pilot Central just to post this flamebait?






- The truth only hurts if it should -

I'm thinking that the line check folks might be happy. But our lifer flex instructors may not appreciate the TA. That's sure not a big deal to me. The LCA folks are the ones who hang their butts out in a real, live moving airplane that can't be reset after the crash. They should get any extra money our benevolent management gives for instructors.

Tony,
7 years ago, the admonition by the company of "with you or without you" was real. 100 million was budgeted for setting up the contingency planning for this. The company figured that at least 1000 pilots would cross the picket. Throw in every operator they could get their hands on to contract freight and this was the plan. What you presume here is that the airline would lose a tremendous base of business and would never really pull this plan off. Are you correct? We will never really know since the union backed down. If the union had carried out its threats, the surviving FedEx system was forecast by the company to be dramatically downsized from it pre-strike predecessor. Over time, it would be built back up to pre-strike level of service. The company was prepared to downsize to do this and had spent 25 million on this program when Fato said "lets talk". The resultant contract was the company’s last best offer less that 25 million
.

You are right, that was flamebate,my apologies but section 11 is consessionary,and now Dave can't figure out why the company wants more concessions.

I must have missed something. In what way is section 11 concessionary? I think you could call it non-concessionary based just on what the company DIDN'T get. No up or out, no max training failures over a lifetime and they backed off on a lot of the disciplinary measures they wanted in that section of the contract.

If I'm wrong someone please educate me.

You didn't Google "Silver Anvil" and FedEx, did you?


P - R - O - P - A - G - A - N - D - A

Fool you once, shame on them, fool you twice, shame on you.


I don't care if they budgeted a billion dollars, I don't care if they hired every available cargo airplane on the planet, I don't care if they furloughed pilots out of seniority order, I don't care what training syllabi were approved by the FSDO, I don't care how many foreign pilots were staying in the Holiday Inn Express across the street - - it was propaganda - - a bluff - - fiction - - all straight out of the pages of Union Busting 101.


Fred Smith's baby is FedEx Express. He won't destroy it for two reasons. First, because it's his baby. Second, because he has a fiduciary responsibility to the Board of Directors.


Hey, listen, I tell ya what. I know you're not a union member, so why don't you send me your name and address, and I'll send you a copy of the DVD from the last Fedex ALPA rally. There were some very informative speeches, and I think you'll be enlightened. Whadya say?






- The truth only hurts if it should -

Tony C:

Very nice, sane, understandable report!! I like it!

Not to burst the pilots bubble, but there are a lot of FDX employees that deserve and need a pay increase more than you.. You guys are kind of greedy arent you.. I've been in many positions at FDX.. I've worked my tail off for more than 10 years at FedEx.. You guys make more money in a month than I do all year.. And your threatening to strike for more money??

I remember a jumpseat I took.. I was so excited to look out the window on a gorgeous Sunday afternoon.. Leaving Memphis, the pilots decided to cover the windows with newspaper because the sun was bugging them.. So much for my view.. The only time I could see anything was when one of the pilots took a piece of newspaper down to read.. But what do ya know, he quickly replaced it with another piece of paper.. I got to sit there and look at the back of 3 heads for a several hour flight.. Pilots did not even offer me a section..

Many people would say, so much for pilots working hard.. I know better.. I know the pilot job is very stressful and you have a lot of responsibility.. But there is no way in the world you guys work harder or longer hours than the courier work force does.. You guys have it made.. You have your dream job making super amounts of money.. Are you willing to throw that away by striking for more money? How many other airlines are actually making money?

Not to mention you will be hurting the future income of every FedEx employee.. The average FedEx employee does not deserve that..

Please do not threaten a strike.. Please do not burn more fuel or burn up your tires.. Please do not throw a wrench in the day of our couriers by showing up to your destination late (on purpose) because of a BS mechanical delay..

In short, if you guys ever go on strike.. 99.9% of other FedEx employees will be rooting against you..

And dont start that "Well, if yall had a union" BS.. I dont want to hear it.. I deal with a lot of couriers.. And we have a lot of disgruntled couriers.. But I must say after reading topic after topic in this forum, our pilots are the most disgruntled group of employees at FedEx.. That is freaking ridiculous..

Most of the issues we have with management are not for more money like you said. It is about keeping promises they have already made to us, and now want to take away. These include scope, healthcare, and retirement. These issues are important to all employees. We ARE looking out for other employees becuase they deserve what we are asking for, too.

If the pilots have it so good, then become one. This isn't a communist state, we all should not make the same amount. I'm not saying we are more important or better than any other group- it wouldn't happen without everyone else. But if you don't like what you make, then do what it takes to get a job that pays you more. I did. And I did some crummy, low paying jobs to get where I am. And I would never begrudge anyone doing better than me or making more money, or think it wasn't "fair" - because it wouldn't have changed my situation. Good for them! It doesn't take away from me.

Besides, if you really are one of our dispatchers, you don't make 1/12th of what a pilot makes, like you said. I made about $8000 last month- is that your annual salary? Once they took out union dues, insurance, and taxes, I got about half of that in my 2 checks.

Sorry the jumpseat experience wasn't a positive one. When I jumpseat, I don't expect a view, and I bring my own food and reading material. And I do that even when I am a PAYING passenger on any regular airline, like NWA. Perhaps you could have asked for a section of the paper? Or asked what landmarks you were over, and asked to see it? Or perhaps the comfort of the pilots flying into the sun was all the guys were thinking of- we don't get a lot of people up front who WANT to look out, so it probably didn't register that you wanted to see out. But instead you pouted, took your toys away, and are holding a grudge. YOU could have made it a better experience, too..... No, you shouldn't have HAD to. But sometimes, doing whatever it takes to get the RESULTS that you want.... will.... get you the results that you want.

Not to burst your bubble, but you're right. I wish there was a way to get you a raise, too. I've been a courier - - I know how it works. Have you been a pilot?


If you're really interested in learning about the issues, you'll find that pay is not even in the top four "Cornerstone" issues that concern us. Work Rules, Job Security, Retirement Security, and Health Care are issues that I am sure you can agree are essential to our current and future well-being. I suggest that you browse FedEx Labor Talks to learn more.


The last thing we want is a strike. IF we do, it will be because FedEx management left us no other choice.


Thanks for your support!





- The truth only hurts if it should -

TonyC, The more of your posts I read, the more impressed I become. I can not agree with you more. I, like most of the rest of the Crewmembers at FedEx have friends who are not pilots at FedEx but do very important jobs. To me the main issue is not what I make or they make, it's what WE ALL deserve to make. I have never resented the money any of our Corporate management make, just like I don't care what the Corporate impression is of what I make. It is a matter of supply and demand. Don't mean to belittle the job that any of our fellow employees do but I would put the training required to do my job up against what is requird to do theirs any day of the week. I bet it didn't take 10 years to get to be a courier.

How many "happy FedEx campers" are wondering "what the hell happened to the People-Service-Profits mentality?" And how can a 'Best Company to Work For' continue to make record profits yet FAIL TO REWARD ITS NON-MANAGEMENT EMPLOYEES WITH ABOVE-INFLATION RAISES?

Keep drinking the Purple Kool-Aid, good luck with your retirement security and find someplace else to vent! Perhaps the "Truck Drivers aka Independent Contractors Class Action Forum" or maybe the "Kinkos Workers Brace for FedEx Inquisition Discussion Group." Leave us "disgruntled pilots" alone so we can try to hold management fiscally responsible (and you can then reap the downstream benefits)!

"Leave us disgruntled pilots alone". Get a life outside the cockpit. The "union" and your peers have convinced many pilots that FedEx management is so bad. It must to Hell to go to work with that attitude. You got it great and try making your point with the Delta and NWA pilots group. The previous post that 99.9% of the employees at FedEx Express would be on the companies side is very true