Fragiledonthrow
Well-Known Member
http://www.bloomberg.com/gadfly/art...nario-running-the-numbers?cmpid=yhoo.headline
Amazon-FedEx: Crazy or Worth Considering?
Amazon-FedEx: Crazy or Worth Considering?
Amazon buying fedex.. Whaaat!
- Thread starter Fragiledonthrow
- Start date
I heard talk of that on a financial show. It's just a rumor...for now.
dezguy
Well-Known Member
There has been talk for years that the Federal government, here is going to disband Canada Post and have mail operated by a Hewlet Packard/FedEx lead company.
Talk is just that. I'd be flabbergasted if Amazon bought FedEx.
Brownslave688
You want a toe? I can get you a toe.
That would be one large buyout. I don't see why fedex would sell they are very successful but Fred's getting old maybe he's ready to retire.
The stock price would go way up. Fat Freddy just might!
Brownslave688
You want a toe? I can get you a toe.
The almost have to buy someone. I don't see how they could use the contractor model if they are just moving their own stuff and that would make it very costly.
Do you think that merger would be approved?
dezguy
Well-Known Member
Maybe but the buying FedEx route just isn't Bezo's style. He's not interested in paying anything above minimum wage and don't even talk about benefits.
Buying FedEx would involve taking on all those Express and Freight employees. Unless Amazon is just going to get rid of all those employees and give it a go with a ground only model, trying somehow to keep a union movement that is sure to follow; I just don't see it happening. Especially when Amazon can just buy up a few regional carriers instead and save themselves from that headache.
They want the airline.
dezguy
Well-Known Member
Then that means letting go of every other division. Does Amazon really want the publicity of knowing they gutted an entire corp. and fired a couple hundred thousand people?
If it increases the profit for the shareholders and lowers what they can sell a product for =yes.
sailfish
Master of Karate and Friendship for Everyone
I'd a say the majority of people who buy from Amazon really wouldn't care if it means getting stuff cheaper with free next day shipping.
Exactly
This matter has been floating on the back channels of the industry for at least a year.However there is one possibilty you guys aren't thinking about. Amazon buys Fedex then spins off what it doesn't want into a seperate publicly traded company. Go ahead and laugh and scoff like you always do but don't think for a minute that the 3 billion dollar hair ball X is hoarking up to buy back stock does not have something to do with it.
If M&A activity overall starts picking up the likelihood of a bid for X becomes more likely. Rate concessions and same day delivery is clearly what Bezos wants. If he doesn't get a satisfactory deal then his billions combined with a hedge fund or two makes a hostile takeover bid possible . I don't think that something of this nature is imminent but in a few years when corporate bylaws require Smith to leave the board you can't rule it out. A cash and stock swap combined with a partial spin off into a new public trading company with Amazon or whoever controlling 51% cannot be dismissed outright . In the meantime button your chin straps.
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