FedEx Freight debuts as standalone LTL carrier after spin-off, with $4.3B debt and 62% drop in operating income

Filed August 5, 2026 · Period ending May 31, 2026 · ~1 min read

Key Changes

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  Subsequent event: Completion of the Spin-Off. Immediately prior to the Spin-Off on June 1, 2026, FedEx transferred to us pension plan obligations associated with our active U.S. employees, which were measured using an actuarial valuati…

  Notes: Subsequent Events verify on EDGAR →
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  FY2026 operating income fell 62% to $540M and net income fell 51% to $655M, driven by $492M in spin-off costs and weaker demand.

  MD&A: FY2026 results verify on EDGAR →
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  Company took on $4.3B of new long-term debt to fund a $4.1B cash distribution to FedEx as part of the spin-off.

  MD&A: Debt issuance verify on EDGAR →