FedEx closing 30% of package facilities to save money and improve efficiency.

From Yahoo Finance: 2025-06-26 15:24:00

FedEx Corp. plans to close 30% of U.S. package distribution facilities in 2 years, aiming to save $200 million this quarter. The company is integrating its Express and Ground networks to improve efficiency, reduce costs by $2 billion annually, and enhance service reliability.

The consolidation program has already optimized operations in Canada and the U.S., with plans to blend 33 more stations this month. FedEx expects about 40% of total volume to flow through redesigned facilities by the end of the fiscal year, with $1 billion in structural cost reductions anticipated this year.

Read more: FedEx to close 30% of package facilities as network integration ramps up