Early history , with several other 727s in the background. The Boeing 727s remained the backbone of the fleet until the mid-2000s. The concept for what became Federal Express came to
Fred Smith in the mid-1960s, while an undergraduate student For an economics class, he submitted a paper which argued that in modern technological society time meant money more than ever before and with the advent of miniaturized electronic circuitry, very small components had become extremely valuable. He argued that the consumer society was becoming increasingly hungry for mass-produced electronic items, but the decentralizing effect induced by these very devices gave manufacturers tremendous logistic problems in delivering the items. Smith felt that the necessary delivery speed could only be achieved by using air transport. But he believed that the U.S. air cargo system was so inflexible and bound by regulations at that time that it was completely incapable of making really fast deliveries. Despite the professor's opinion, Smith held on to the idea. Smith founded Federal Express Corporation in 1971 with $4 million from his inheritance and $91 million in venture capital in
Little Rock, Arkansas, where Smith was operating Little Rock Airmotive. After a lack of support from
Little Rock National Airport, Smith moved the company to Memphis, Tennessee and
Memphis International Airport in 1973. named
Wendy, on display at
Steven F. Udvar-Hazy Center The company started overnight operations on April 17, 1973, with fourteen
Dassault Falcon 20s that connected twenty-five cities in the United States. In the end, he raised somewhere between $50 and $70 million, from twenty of the US's leading risk venture speculators, including such companies as the First National City Bank of New York and the Bank of America in California. At the time, Federal Express was the most highly financed new company in U.S. history, in terms of venture capital. Federal Express' sales topped $1 billion for the first time in 1983. In the 1970s, with the enormous growth, FedEx needed a method for quality control. They developed the tracking number for internal use to find that packages were moving properly. This info was eventually applied to all packages and be made available to the public to find the status of one's own package. In 1986, the company introduced the "SuperTracker", a hand-held bar code scanner which brought
parcel tracking to the shipping industry for the first time.
Ron Ponder, a vice president at the time, was in charge of this proposed venture. In 1998, FedEx merged with
Caliber System and reorganized as a holding company, FDX Corporation. In 2000, FDX changed its name to
FedEx Corporation and standardized the names of its subsidiaries around the "FedEx" brand. The original "Federal Express" cargo airline changed its name to "FedEx Express" to distinguish its express shipping service from others offered by the FedEx parent company. In December 2006, FedEx Express acquired the British courier company ANC Holdings Limited for £120 million. The acquisition added 35 sort facilities to the FedEx network and the company introduced Newark, Memphis, and Indianapolis routes directly to UK airports instead of stopping at FedEx's European hub at Charles de Gaulle Airport. In September 2007, ANC was rebranded as FedEx UK. FedEx Express also acquired Flying-Cargo Hungary Kft to expand service in Eastern Europe. In December 2008, FedEx postponed delivery of the new
Boeing 777 Freighter; four were delivered in 2010 as previously agreed, but in 2011, FedEx only took delivery of four, rather than the ten originally planned. The remaining aircraft were delivered in 2012 and 2013. FedEx Express closed a hub for the first time in its history, when operations at its Asian-Pacific hub at
Subic Bay International Airport in the
Philippines ceased on February 6, 2009. The operations were transferred to
Guangzhou Baiyun International Airport in southern China. FedEx Express had planned to open the new Chinese hub in December 2008, but in November 2008, the company delayed the opening until early 2009, citing the need to fully test the new hub. On June 2, 2009, FedEx opened the new hub building at
Piedmont Triad International Airport in
Greensboro, North Carolina. FedEx announced in December 2008 that it still intended to open the building on time despite the bad economy. The hub's operations would be scaled back from 1,500 employees to only 160, the size of the previous operations at the much smaller sorting facility. FedEx gave no time line as to when the hub would be operating at expected hub levels. The hub had been delayed many years since FedEx first picked the airport to be its
Mid-Atlantic U.S. hub back in 1998. FedEx had to fight many complaints from nearby homeowners about the anticipated noise generated by its aircraft, because most of its flights take place at night. A third runway was built to accommodate the hub operation and the extra aircraft. FedEx began full hub operations at the Greensboro facility on September 2, 2018. On October 27, 2010, FedEx opened its Central and Eastern European hub at
Cologne Bonn Airport. The hub features a fully automated sorting system that can process up to 18,000 packages per hour. The roof of the hub features FedEx's largest solar power installation, producing 800,000 kilowatt hours per year. On December 7, 2018, the company announced the retirement of David Cunningham on December 31, 2018. He was succeeded as CEO and president by
Raj Subramaniam.
Expansion On November 6, 2019, FedEx Express announced its return to the
Philippines, an Asia–Pacific hub. The company says it does not want to relocate Asia–Pacific hub to the Philippines, but they are planning to expand operations in
Clark,
Pampanga. On October 6, 2020, FedEx celebrates its 36 Years of Operations with new Philippines gateway in Clark. The company built and opened a 17,000 sq.m. facility (costing US$30 million) at
Clark in July 2021. ==Fleet==