FedEx To Increase Shipping
September 30, 2010
- FedEx has reported that they will increase shipping rates for FedEx
Express by a net average of 3.9% for
The full average rate increase of 5.9% will be partially offset by adjusting the fuel price threshold at which the fuel surcharge begins, reducing the fuel surcharge by two percentage points.
In addition, FedEx
Express and FedEx Ground will implement a change to the dimensional
weight volumetric divisor from 194 to 166 for
FedEx Freight and
FedEx National LTL also will implement 6.9% general rate increases (GRI)
effective Nov. 1, 2010. These rate increases apply to interstate and
intrastate less-than-truckload (LTL) shipments, as well as shipments
FedEx Freight's and FedEx National's fuel surcharge will remain unchanged and one of the lowest in the LTL industry. On average, the FedEx LTL companies' fuel surcharge is 4.5 to 6.5 percentage points below the next five largest LTL carriers. The new base rates, rules tariff and fuel surcharge information for the LTL companies will be available at FedEx?s website on Nov. 1, 2010.
"FedEx understands the needs of our customers and is focused on providing exceptional service," said T. Michael Glenn, FedEx executive vice president, Market Development and Corporate Communications. "This pricing adjustment will allow for key investments that will enable FedEx to continue to provide industry leading service and shipping solutions."
subsidiaries included RPS, a small-package ground service; Roberts
Express, an expedited shipping provider; Viking Freight, a regional,
less-than-truckload freight carrier serving the Western United States;
Caribbean Transportation Services, a provider of airfreight forwarding
between the United States and the Caribbean; and Caliber Logistics and
Caliber Technology, providers of logistics and technology solutions. FDX
Corporation was founded to oversee all of the operations of those
companies and its original air division, Federal Express.
In January 2000,
FDX Corporation changed its name to FedEx Corporation and re-branded all
of its subsidiaries. Federal Express became FedEx Express, RPS became
FedEx Ground, Roberts Express became FedEx Custom Critical, and Caliber
Logistics and Caliber Technology were combined to make up FedEx Global
Logistics. A new subsidiary called FedEx Corporate Services was formed
to centralize the sales, marketing, customer service for all of the
subsidiaries. In February 2000, FedEx acquired Tower Group
International, an international logistics company. FedEx also acquired
WorldTariff, a customs duty and tax information company, TowerGroup and
WorldTariff were re-branded to form FedEx Trade Networks.
acquired privately held Kinko's Inc. in February 2004 and rebranded it
FedEx Kinko's. The acquisition was made to expand FedEx retail access to
the general public. After the acquisition, all FedEx Kinko's locations
exclusively offered only FedEx shipping.
In June 2008, FedEx announced that they would be dropping the Kinko's name from their ship centers, with FedEx Kinko's changing to FedEx Office. In September 2004, FedEx acquired Parcel Direct, a parcel consolidator, and re-branded it FedEx SmartPost.
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