brownmonster
Man of Great Wisdom
FDX is opening at about 80 and bringing UPS down to 65 this morn. How do we seperate from these guys in the eyes of Wall Street?
FDX is opening at about 80 and bringing UPS down to 65 this morn. How do we seperate from these guys in the eyes of Wall Street?
Doesn't seem likely, with the whole contractor/non employee shenanigans. Perhaps once the IRS gets their back taxes and Fred has to deal with a union they will have to raise their cost of service to what UPS charges.Maybe before it's all over, ups will become cheaper than fdx.
AGREED! Imagine what ups could do if operations had the authorityWe should get out of wall street. Have this company run by people who know what the hell is going on with it, instead of guys who don't live in the real world.
Maybe before it's all over, ups will become cheaper than fdx.
This is an interesting post because I believe this is a crack in their financial base which will lead to an even bigger crack next quarter. People (Shippers) are looking for ways to save money and one of the things I've read is that shippers aren't sending packages overnight anymore unless they really have to which affects FEDEX main revenue source.
I think you will see an increase of ground shipments for us knowing this is our strongpoint. I can see where people are reluctant to turn anything to FEDEX ground since many of the shipper's in my area are set up for UPS shipments.
This may sound crazy but would Fred S in desperation perhaps have the Express side start delivering ground in order to fill their trucks?? or cut losses and keep ground only in big cities??
This next quarter will be interesting for FEDEX and their shareholders.
FedEx has been viewed as an "indicator" stock for a long time on Wall Street, and the whole market took a tumble today as a result, not just UPS. Apparently, if FedEx is doing poorly, it "indicates" the entire spectrum of businesses in our economy must also be having problems. Seems like a broad brush approach that needs some revisions. It's only logical that fuel-intensive businesses like FedEx would be taking a hit right now. Duh!!!
This is an interesting post because I believe this is a crack in their financial base which will lead to an even bigger crack next quarter. People (Shippers) are looking for ways to save money and one of the things I've read is that shippers aren't sending packages overnight anymore unless they really have to which affects FEDEX main revenue source.
Fred can't have express delivering ground packages. They would lose their designation as an airline and become a common carrier, like us. They would be totally union within a couple of years. As an airline they are covered by the Railway Labor Agreement, which requires a national vote to unionize. This is how FedEx has stayed non union for this long. As a common carrier, they could vote on wheather to unionize by terminal.
Smith is actually starting to move Express pkgs by Ground right now, and I'm not sure how he thinks he's going to get away with it. Besides pissing-off FedEx Express RTD's (Feeder Drivers), he's blurring the lines (again) of the independent contractor vs. employee issue. Express personnel are forbidden to touch Ground pkgs because we are "employees", yet it's OK for "independent" Ground contractors to move in-house freight? I've also read on this site that Ground is already moving freight from FedEx Freight, and displacing Freight drivers from their positions.
I've seen FedEx express semis on the road for years. It makes economic sense for them to move short haul parcels over the road, and keep them off planes whenever possible, as ups has done the same thing for years. But express drivers still actually deliver them, and can't deliver ground, or FX loses their designation as an airline.
As far as the "contractor vs. employee" issue hasn't Fred lost enough court cases on this that eventually this will not be an issue?
FDX is opening at about 80 and bringing UPS down to 65 this morn. How do we seperate from these guys in the eyes of Wall Street?
Look at ti this way: if you don't already buy stock through the employee purchase program, now would be a good time to start. You get a 10% discount on your purchases.Update--UPS is at $59.47 this morning (7/5). Of course, this does not become an issue until you either buy/sell as the loss is only on paper but it is most certainly cause for concern.
Look at ti this way: if you don't already buy stock through the employee purchase program, now would be a good time to start. You get a 10% discount on your purchases.