Shareholders Meeting 2010 Part Two ...

Ray Mercado
FedEx Freight

Mr. Chairman, my name is Ray Mercado. I'm from
FedEx Freight out of California. I'm here [inaudible]
from all the dock workers, which — 90% are all parttimers
-- no benefits. They're only allowed to work 29
hours a week, and sometimes less hours. From a
dock worker point of view, I think we do most of the
[inaudible] work of the freight division because, if we
don't have dock workers, we can't load your trailers to
move the freight.
You keep saying that it's — you're making all this
money or these profits. We're not asking for millions,
we're just asking for simple benefits, a decent pension
so we can retire, have a decent life. It's a great
company, but working inside, I mean…

Frederick W. Smith
Chairman, President & CEO, FedEx Corp.

Is that your question?

Ray Mercado
FedEx Freight

Yes.

Frederick W. Smith
Chairman, President & CEO, FedEx Corp.

Bill?

William J. Logue
President & CEO, FedEx Freight

Yes, sir. Dock work is a very important part of our
business. And, obviously, our focus is on every
employee we have in the organization, whether it be a
driver -- road driver, city drivers and dock workers, full
time, part time.
The full-time opportunities is our number one
objective, try to make sure every employee gets a
chance to become a full-timer. You're factual right
now, in that part-time dock workers do not have fulltime
benefits. Our objective is hours and move them
into full-time jobs, whether it be full-time dock or fulltime
road drivers. That's our objective. We try to move
them through the process. And I will tell you we are
looking long term at a solution for our part-time dock
workers. And that is something we have discussed
with the team, and we will continue to look at it.

Ray Mercado
FedEx Freight

But it seems like it never works, but there's still a lot of
part-timers that have been here for five, ten years.
They're still part-timers and not even given an
opportunity.

William J. Logue
President & CEO, FedEx Freight

And, remember, when we get into part time dockers,
our objective is to move them to a full-time
opportunity, and that's what our goal is as the
business moves along.

Ray Mercado
FedEx Freight

What kind of opportunity you were talking about?

William J. Logue
President & CEO, FedEx Freight

Excuse me?

Ray Mercado
FedEx Freight

What kind of opportunity are we talking about?

William J. Logue
President & CEO, FedEx Freight

Opportunities we're looking for -- full-time jobs on the
road, city, dock or -- in the city, road or dock. We're…

Ray Mercado
FedEx Freight

What if they don't want to work the road or the city,
rather they're just happy where they're at, at the
dock?

William J. Logue
President & CEO, FedEx Freight

That's what we want. We believe…

Frederick W. Smith
Chairman, President & CEO, FedEx Corp.

I think you two should talk after the meeting. But let
me just say this, again, to the two FedEx Freight
employees that are here. The one thing, as much as
we would like to do perhaps that we cannot do, is to
produce work when we don't have it. And I again point
12
out the stark numbers of the LTL business. In 2007,
the LTL business was a $35 billion business; it
collapsed to $25 billion.
It is a very, very intense, competitive situation in the
LTL business, which was marked by one of the
competitors, Yellow Roadway -- I don't remember the
exact number, but I think it was over 10,000 people
that were had to let go. So, there's nothing that we
can do other than try to respond to that. And, as the
CEO of FedEx Freight told you, as the new plan
comes out and business grows, our objective is to try
to move our part-timers into full-time positions in
Freight.
Other questions? Anything else? Well, with that,
ladies and gentlemen, thank you very much for
coming to the meeting, and we look forward to seeing
you next year with some good results to report. Thank
you.