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FedEx Discussions
FedEx 3Q earnings tumble 75%
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<blockquote data-quote="TechGrrl" data-source="post: 547141" data-attributes="member: 4932"><p>No, the airfeed costs actually are lower. Although superficially it appears that we fly the same routes, small differences add up. I was once involved in a project that demonstrated one less airplane equaled over $100 million in annual costs. UPS flys fewer airplanes to cover more volume. I know FedEx IE's are working hard to make up ground, but airplanes are really really really expensive. One airplane = at least 6 pilots + mechanics + fuel + spare parts + yada yada yada.</p></blockquote><p></p>
[QUOTE="TechGrrl, post: 547141, member: 4932"] No, the airfeed costs actually are lower. Although superficially it appears that we fly the same routes, small differences add up. I was once involved in a project that demonstrated one less airplane equaled over $100 million in annual costs. UPS flys fewer airplanes to cover more volume. I know FedEx IE's are working hard to make up ground, but airplanes are really really really expensive. One airplane = at least 6 pilots + mechanics + fuel + spare parts + yada yada yada. [/QUOTE]
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