FedEx Freight to start June 1. What to know about spinoff company
FedEx Freight will begin operating as a standalone, publicly traded company on June 1 after approval from FedEx Corp.’s board, with 40,000 employees and plans to serve industries like healthcare, technology, and grocery. The company will trade under the symbol FDXF on the New York Stock Exchange and aims to deliver up to 40% faster shipping than competitors, leveraging its 365 North American locations and 30,000 vehicles.
FedEx Freight will launch as an independent, publicly traded company on June 1 following FedEx Corp.’s board approval on May 13. The spin-off was first announced in December 2024, with FedEx filing a registration statement with the SEC in January. John A. Smith, FedEx’s President and CEO, will lead the new company, which will begin trading on the New York Stock Exchange under the ticker FDXF. The company employs 40,000 workers, including 2,500 in Memphis, with an average driver experience of 14 years and executive leadership boasting over 100 years of combined LTL and transportation industry expertise. FedEx Freight will operate as North America’s largest Less-Than-Truckload (LTL) carrier, offering priority, economy, and direct shipping services. According to an Investor Day presentation in April, 90% of FedEx Freight’s LTL volume can be delivered within three days or less, with priority service claimed to be 40% faster than competitors. The company operates across 365 locations in North America—355 shipping terminals and 10 relay sites—along with 30,000 motorized vehicles, including 17,000 tractors spanning the U.S., Mexico, and Canada. FedEx Freight will target industries such as healthcare, technology, food, and pharmaceuticals, focusing on high-quality revenue opportunities like small businesses, data centers, and energy sectors. Its subsidiary, FedEx Custom Critical, will serve the $6 billion healthcare and pharmaceutical industries with premium shipping for urgent, temperature-sensitive, or hazardous shipments. The company also plans to support the $1 billion grocery industry with temperature-controlled deliveries and the $2 billion tech sector, particularly data centers and AI infrastructure demands. The separation aims to strengthen both FedEx and FedEx Freight’s industry leadership while creating value for shareholders. R. Brad Martin, incoming chairman of FedEx Freight’s board, emphasized a seamless transition to allow both companies to excel independently.
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