FedEx Freight provided a comprehensive look on Friday via securities documents for how it will distinguish itself in the LTL market as a standalone company.
The FedEx subsidiary, slated for a June 1 spin-off from its parent company, is seeking to stake out its industry dominance via 26,000 doors, 355 service terminals and 39,000 employees. The LTL carrier has clustered density in key areas as part of its strategy in the market.
The stats were part of presentation materials and securities documents, pinned to a Form 10 registration prepared for shareholders.
“Today’s filing is a key milestone in our journey toward being an independent company, positioned to deliver greater value as the premier LTL freight carrier in North America,” John Smith, FedEx Freight’s incoming president and chief executive officer, said in a news release.
The FedEx subsidiary bills itself as the largest LTL carrier in North America by revenue, based on its $8.9 billion in business for its 2025 fiscal year.
“We believe door count — not terminal count — is the most relevant measure of our network capacity,” a Form 10 exhibit for shareholders says.
FedEx Freight has been rightsizing its network in recent years, closing 37 terminals while adding terminal capacity in dense strategic markets, the business said. “This targeted investment strategy reflects our distinct focus on aligning capacity with demand and optimizing service coverage,” the exhibit said.
That’s created a network of terminals centered on approximately 65% of industry volume, according to the business.
FedEx Freight on Friday also identified its full 10-member board of directors from a variety of transportation, logistics, supply chain management and technology sectors.
Additionally, FedEx disclosed that it plans to retain up to 19.9% of shares, allowing the parent company to benefit from tax benefits by divesting that at a later date, per the exhibit. The business suggested that disposing those retained shares could happen within 12 months of the reorganization shifts.
FedEx Freight’s Investor Day, where leadership will highlight the spinoff’s competitive advantages and growth prospects, is slated for April 8.
