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FedEx Freight | Falling behind to other LTL’s

T Force Driver said:
“In January 2021, TFI agreed to purchase UPS' LTL and truckload subsidiary UPS Freight for US$800 million.
At the time, the acquisition was the second largest deal in North American trucking history after the 2017 merger of Swift Transportation and Knight Transportation and made TFI one of the largest trucking companies in North America.”

Just saying TFI doesn’t screw around….

“Since the mid 1990s, the company's main source of growth has been complete takeovers of companies (over 190 between 1996 and 2021) many of which continue operating as subsidiaries”
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The difference here being that Fedex Freight is profitable to the tune of nearly 20 percent margin. If TFI or anyone was to use the "times revenue" method to buy Fedex Freight, who generated around $9 billion last year, it would be a lot more than the $800 million they paid for UPS freight.
 
No F-bdy Bs said:
Not sure if you worked out the math on that, but $6.50 over 4yrs is disgraceful. That's what? $1.62ish a year, or around 4.8%.

God bless you if you only gain $6.50hr beyween now and Oct 2027.
With inflation, that $6.50 MAY have $4 in buying power by then.




Sheesh. Talk about low expectationa.
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Glad I wasn't the only one who saw the math.
 
T Force Driver said:
I agree, it can be mind boggling to be bought out!

Just ask the former UPS Freight drivers!!
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He's saying it doesn't make sense because of the comparison your making. The relationship between UPS and UPSF is very different from the relationship between FDXEG and FDXF. First part being UPS is profitable and UPSF was not. FDXF is the most profitable part of FedEx corp. FedEx also let's FedEx freight stand on it's own, while UPS was using UPSF to feed business to UPS.

Because of that the number required to purchase FDXF would be astronomical. Its not impossible, but highly unlikely.
 
Streaker69 said:
He's saying it doesn't make sense because of the comparison your making. The relationship between UPS and UPSF is very different from the relationship between FDXEG and FDXF. First part being UPS is profitable and UPSF was not. FDXF is the most profitable part of FedEx corp. FedEx also let's FedEx freight stand on it's own, while UPS was using UPSF to feed business to UPS.

Because of that the number required to purchase FDXF would be astronomical. Its not impossible, but highly unlikely.
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Exactly, their margins with some of the freight that they were moving was so bad that they were basically paying the customer to move their freight.
 
Streaker69 said:
He's saying it doesn't make sense because of the comparison your making. The relationship between UPS and UPSF is very different from the relationship between FDXEG and FDXF. First part being UPS is profitable and UPSF was not. FDXF is the most profitable part of FedEx corp. FedEx also let's FedEx freight stand on it's own, while UPS was using UPSF to feed business to UPS.

Because of that the number required to purchase FDXF would be astronomical. Its not impossible, but highly unlikely.
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Typically a company sells for at or near it's annual revenue. So FxF would sell for somewhere around $10 billion with a B. That's a lot to spend for a trucking company...
 
ABF381 said:
There are Cola raises to cover that...but you already knew that.....Sheesh
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While the COLA will be nice if we get it, I’m not counting my chickens just yet. If I’m not mistaken, I believe before 2 years ago, the last COLA was around 2003….
 
Streaker69 said:
I asked sea for a loan because slave convinced him to make it interest free, but he doesn't remember where he put them. He knows where the squirrel gravy is, but FedEx said the shareholders wouldn't accept squirrel gravy as payment. They'd consider chipmunk gravy, but not squirrel gravy.

True story
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Shareholders like their lawns mowed……. :17142:
 
Big Dave said:
Shareholders like their lawns mowed……. :17142:
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Ooo I know. I offered up Billy mowing services as additional compensation, but they said no because he works for the competition.


And they said he goes off on how they're not real men and back in his day there was no a/c and that they should shutdown because they're not a real company and maybe one day if they're lucky they can own a real trucking company.

Billy was banned from the premises.
 
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