FDX defers 11 Boeing 777F, orders 767
 

Just posted the am on MarketWatch plus
"FedEx to buy 27 new Boeing 767 planes
37 min ago - Steve Gelsi"

"Regarding new aircraft, delivery of the 27 new 767-300F 767s will begin with three planes in fiscal 2014, followed by six per year in 2015 through 2018. They replace aging MD10s, which have 30% less fuel efficiency.

Delivery of the 777s will be delayed slightly. Instead of adding six new aircraft in fiscal 2013, FedEx will add four. Instead of seven in 2014, FedEx will add two. Additional delays are projected for 2015 through 2018."
From this story: FedEx Beats Estimates, Orders 27 Boeing 767s - TheStreet

FedEx Orders 27 New Boeing Freighters - Bloomberg

FedEx Corp. (FDX) posted a quarterly profit that beat analysts’ estimates and ordered 27 Boeing Co. 767 jet freighters to retire some of the older planes at the world’s largest cargo airline.

Profit for the fiscal second quarter ended Nov. 30 rose to $497 million, or $1.57 a share, from $283 million, or 89 cents, a year earlier, the Memphis, Tennessee-based company said in a statement. Delivery of 11 larger Boeing 777 aircraft already on order will help balance capacity with lower demand from FedEx Express customers using up inventory, the company said today.

The 767s will be about 30 percent more fuel-efficient than the MD10 jets they’re replacing, some of which are more than 40 years old, FedEx said. Three of the jets will be delivered in 2014 and six a year from 2015 through 2018. The jets have a catalog price of $175.4 million, though carriers typically negotiate discounts.

Delaying delivery of the 777s is a continuation of efforts during the quarter to adjust the company’s network, particularly in Asia, “as recent destocking trends have impacted demand for our FedEx Express services,” said Chief Financial Officer Alan Graf.

FedEx and rival United Parcel Service Inc. (UPS) are considered economic barometers because they deliver goods ranging from pharmaceuticals and financial documents.

Adjusted earnings for the quarter ending Feb. 29 will be $1.25 to $1.45 a share, the company said. That’s in line with the $1.31 average estimate from 21 analysts in a Bloomberg survey.

FedEx rose 2.9 percent to $79.50 at 7:57 a.m. in New York before regular trading.

To contact the reporter on this story: Natalie Doss in New York at [email protected]

To contact the editor responsible for this story: Ed Dufner at [email protected].

The title of this thread actually makes it look like bad news.

Great news about the 767!

Little disappointing with the 777 news, but glad that the company is being aggressive with capacity control. Hopefully things will become more stable in a few years and we will see the 777s come back sooner.

At least they're only deferred/delayed and not cancelled. Buying 27 new airplanes (and a new type!) can't be a bad thing:D

Having an aggressive, forward thinking, proactive management structure doesn't hurt either. Lots of folks reading these boards are not afforded that luxury.
Merry Christmas and Happy New Year.

They actually took the options on 2 additional 777s....They slowed down the deliveries though. Rumor I heard, this was at Boeings request and part of the deal to get a substantial discount on the 767s.

Heard from a LCA that in 2012 were taking delivery of 4 more 777.

........deleted