FedEx Freight Becomes Independent Public Company, Largest LTL Carrier

Key Details FedEx completed the spin-off of FedEx Freight into a separate, publicly-traded company on June 1. The division is now positioned as North America's largest less-than-truckload (LTL) carrier operating independently from its parent company. Operational Scale FedEx Freight operates 30,000 vehicles including nearly 17,000 tractors and employs 40,000 people across its network. The company maintains over 26,000 service center doors throughout North America to support customer operations. Why It Matters The separation allows both entities to pursue focused strategies and optimize their respective business models. FedEx Freight gains the agility to accelerate profitable growth in the LTL sector while maintaining operational efficiencies with its parent company. What's Next FedEx distributed 80.1% of FedEx Freight shares to existing FedEx stockholders on a pro-rata basis. FedEx retained a 19.9% stake that will be disposed of within 24 months through debt repayment or shareholder distributions. This structure maintains strategic alignment while enabling independent growth and decision-making for the newly separated carrier.