Thursday, March 28, 2013
Tuesday, March 26, 2013
Wednesday, March 20, 2013
FedEx's Third Quarter Profit Down More Than 30 Percent
JOC Staff | Mar 20, 2013 10:52AM EDT
FedEx today reported net income in the third quarter of fiscal year 2013, ending Feb. 28, 2013, totaled $361 million, dropping 31 percent from $521 million in the same quarter in the previous year.
The U.S. global courier delivery services company said profit was negatively impacted by an accelerating demand shift toward lower-yielding international services, lower international export yields and fewer operating days in each transportation segment, as well as business realignment costs totaling $47 million related to the company’s voluntary buyout program for eligible U.S. officers and managing directors.
“Our lower-than-expected results for the quarter and reduced full-year earnings outlook were driven by third quarter international revenue declining approximately $100 million versus our guidance, primarily due to accelerating customer preference for lower-yielding international services, lower rate per pound and weight per shipment,” said Alan B. Graf Jr., FedEx’s executive vice president and CFO, in a written statement.
Meanwhile, total quarterly revenue was $11 billion, increasing 4 percent from $10.6 billion in the same quarter in fiscal year 2012. For the FedEx Express segment, revenue was $6.7 billion, up 2 percent from last year’s $6.5 billion. FedEx Ground reported revenue rose 11 percent from $2.5 billion to $2.8 billion. Revenue for the FedEx Freight division was $1.2 billion, relatively stable year-over-year.
Tuesday, March 19, 2013
Updated, 1:31 p.m. |
FedEx’s ground-carrier division will pay New York City $2.4 million to settle a claim that the shipping giant delivered untaxed cigarettes to consumers in New York, the city announced Friday.
From 2006 to 2009, the city said, FedEx Ground delivered about 160,000 cartons of cigarettes that New Yorkers had ordered from CigarettesDirect2U.com, a site based in Kentucky that was shut down in 2009 by the federal authorities for violating statutes on tobacco sales.
The $2.4 million in damages is equivalent to the $15-a-carton tax that should have been paid to the city on those sales, said Eric Proshansky, a lawyer for the city.
FedEx Ground said in a statement that it had “admitted no wrongdoing, but agreed to the settlement to avoid what would have certainly been a prolonged and much more expensive resolution process.” It added, “We fully support New York City’s efforts in this matter and are cooperating with New York City to ensure that shippers comply with our policy against illegal tobacco shipments.”
The city also has a pending suit against CigarettesDirect2U.com itself. The company sold 400,000 cartons to city residents before it was forced to fold, Mr. Proshansky said.
The federal Contraband Cigarette Trafficking Act forbids the delivery of untaxed cigarettes to anyone other than licensed stamping agents, such as cigarette wholesalers.
Wednesday, March 13, 2013
Is this FedEx way of letting us know ahead of time of things to come? We already had full time dock workers becoming part time.
In Fontana we have part time drivers. Line drivers routes cut and becoming dock drivers. And our brothers and sisters at Express are not getting a raise until October!
Did Fred Smith get the same email like us? I doubt it.
Stand up and be counted FedEx employees if not for yourself, do it for your family!
03/06/2013 05:43:05 PM EST Judge: Whistle-Blower Will Be Given Chance To Plead His Claims Posted by LexisNexis® Mealey's™ Daily Legal News
HARRISON, Ark. - A federal judge in Arkansas on March 5 refused to dismiss a motion to dismiss in a whistle-blower wrongful termination lawsuit, ruling that the former employee will be given an opportunity to show that his assistance in a Securities and Exchange Commission investigation into alleged federal securities law violations led to his employment termination (Bryan Hix v. FedEx Corp., et al., No. 12-3050, W.D. Ark.; 2013 U.S. Dist. LEXIS 29224). Full story on lexis.com.
SUIT FILED AGAINST FEDEX CORP (FDX) AND SUBSIDIARIES PURSUANT TO SARBANES-OXLEY / DODD-FRANK ANTI-RETALIATION PROVISIONS
Federal suit alleges retaliation and harassment following protected disclosures to U.S. Department of Justice and Securities Exchange Commission.
FAYETTEVILLE, AR – A former employee is suing FedEx Corporation (FDX), along with subsidiary operating companies FedEx Freight and FedEx Corporate Services, claiming that several company agents conducted a yearlong campaign of harassment against him, culminating in the termination of his employment with FedEx Services in April 2011.
The suit alleges that the employee repeatedly raised concerns regarding deceptive schemes and practices he believes the company is conducting, with the intent of defrauding shareholders. Following disclosure of his concerns to FedEx management and law enforcement authorities, as mandated by published FedEx policies and federal law, the employee says his direct supervisors, working in collusion with FedEx employees and agents, harassed, defamed and retaliated against him in an effort to discredit his claims, punish him financially and emotionally, and discourage any similar, future disclosure activity on the part of other FedEx employees.
Anti-retaliation provisions contained in the Sarbanes-Oxley Act of 2002 and the Dodd-Frank Wall Street Reform and Consumer Protection Act expressly prohibit retaliation against employees who engage in protected activity, as defined by law. Specifically, covered employers are prohibited from discharging, demoting, suspending, threatening, harassing, directly or indirectly, or in any other matter discriminate against, a whistleblower in the terms and conditions of employment because of any lawful act done by the whistleblower (i) in providing information to the SEC; (ii) in initiating, testifying in, or assisting in any investigation or judicial or administrative action of the Commission based upon or related to such information; or (iii) in making disclosures that are required or protected under the Sarbanes-Oxley Act of 2002 (15 U.S.C. 7201 et seq.), the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.), including section 10A(m) of such Act (15 U.S.C. 78f(m)), section 1513(e) of title 18, United States Code, and any other law, rule, or regulation subject to the jurisdiction of the Commission.
Among the claims at issue in the suit, the former employee alleges that a number of FedEx business practices were intentionally designed to artificially manipulate key financial metrics, thereby affecting the value of company stock.
The style of the lawsuit is Hix v. FedEx Corporation, et al.; Case No. 3:2012cv03050; Cause No. 28:1391 United States District Court for the Western District of Arkansas, Harrison Division.
Monday, March 11, 2013
Monday, March 4, 2013
From The Brown Cafe
I'm topped-out, and very senior, and obviously very pro-union. It's pretty hard for me to understand other senior employees who don't favor a union, and let me explain why:
1. Even if you topped-out 25 years ago, Fred has still been paying you 5 or 6 dollars less than UPS, and the disparity grows if you're not in a major market. You are also paying very high rates for poor medical and dental coverage.
2. He eliminated your Traditional Pension Plan. A 25-year Traditional Pension payout is about half what a UPS pension is for the same number of years. Fred has bent you over big-time here.
4. Injuries and sickness. As you get older, the target on your back glows even more brightly. Don't believe me? Ask someone who has been hurt or has had a serious illness, regardless of years with the company.
5. The predatory nature of FedEx. You are always one minor mis-step away from the door. Open Door and GFT are pale comparisons to a legitimate grievance process. "At-will" means FedEx's will, not yours.
6. They want you gone. Topped-out and over 45 means you're a liability, not an asset. Always be aware that they would much rather kill you off and replace you with two 20-somethings.
As a human being, consider your co-workers and their situation(s). Compared to you, they've got very little and no real retirement plan or decent future on the horizon.
FedEx has been stealing from your pile for a very long time, and maybe you think you've "made-it" at Express. Well, you haven't, and if you think you've somehow "beat" Fred or are getting a square deal, you are sadly mistaken. There is nothing they would rather do than get rid of you.
Be smart and sign that card.
"Same Job, Different Trucks"