FedEx slashes its earnings forecast, blames weak global economy for cut

The world's second-biggest package delivery company said the shortfall is primarily in its express division, which moves 3.5 million packages on an average day. That indicates customers have continued to switch from overnight air delivery to slower, cheaper methods. Poor economic conditions in Europe and slowing growth elsewhere, including Asia, have forced the shifts.

FedEx expects to earn between US$1.37 and US$1.43 per share in the fiscal first quarter that ended Aug. 31. That's down from an original forecast of US$1.45 to US$1.60 per share. Analysts were expecting US$1.56 per share, according to FactSet. Shares fell 3 percent in after-hours trading.

SHARE CLOSE
Blogger		Google+
Live Journal		Plurk
Stumble Upon

Tweet

	PREVIOUS ARTICLE
	British airline easyJet reports plan to introduce paid-for allocated seating

NEXT ARTICLE
Dutch banking giant ING announces plan to sell its stake in Capital One

Write a Comment

Terms

Enter your comments - 3000 characters max

Type in image code

 Receive China Post promos
 Respond to this email

Submit