FedEx CEO: Company Has No Strategic Need For Acquisition In Europe

[cheryl]

FedEx CEO: Company Has No Strategic Need For Acquisition In Europe - Smart Money

FedEx Corp. (FDX) Chief Executive Fred Smith said Wednesday that an acquisition in Europe isn't strategically essential, throwing some cold water on persistent speculation that the company might bid for TNT NV's (TNT.AE) express business.

"We don't have to do anything in Europe" in terms of an acquisition, Smith said, responding to an audience question at the end of FedEx's meeting for investors and lenders in Memphis, Tenn.

Still, Smith didn't completely rule out the idea of making a run at TNT's express business, saying only that "there's no indication to me that TNT is for sale." If it were, he said, "we would have to get under the hood" and determine if it met FedEx's strategic objectives.

[MrFedEx]

FedEx CEO: Company Has No Strategic Need For Acquisition In Europe - Smart Money

FedEx Corp. (FDX) Chief Executive Fred Smith said Wednesday that an acquisition in Europe isn't strategically essential, throwing some cold water on persistent speculation that the company might bid for TNT NV's (TNT.AE) express business.

"We don't have to do anything in Europe" in terms of an acquisition, Smith said, responding to an audience question at the end of FedEx's meeting for investors and lenders in Memphis, Tenn.

Still, Smith didn't completely rule out the idea of making a run at TNT's express business, saying only that "there's no indication to me that TNT is for sale." If it were, he said, "we would have to get under the hood" and determine if it met FedEx's strategic objectives.

Translation: FedEx is actively pursuing TNT and Smith is trying to keep the price down by lying. He's used this tactic several times before, so expect a TNT purchase in the near future.