From the Chairman
& CEO

We are about to enter an important milestone year for our company and for me. On 17 April 1973, Federal Express began operations with 389 team members who delivered 186 packages using 14 aircraft. We were a small startup and had our share of skeptics. But that first night of operations set into motion what would become a global connector of people and possibilities that would change our world for the better.

While I am immensely proud of what we have created, I don’t like to look backward. We must always be looking ahead. Accordingly, as we enter our 50th year of operations, it is with a great sense of satisfaction that I am stepping into the role of Executive Chairman of the Board on June 1st. I do this with full confidence because I can transition the role of Chief Executive Officer of this great company to a leader of the caliber of Raj Subramaniam.

The Right Leader

Raj has more than 30 years of experience at FedEx in key global leadership roles across the FedEx portfolio of operating companies. When he served as Chief Marketing Officer, Raj developed many of the strategies that are in place today, and I am confident they will continue to drive outstanding results for our customers, team members, suppliers, communities, and shareholders.

Raj is a brilliant and humble man with great empathy for our various constituencies, especially our frontline team members and customers. He is a gentleman of impeccable integrity and is a consummate team player. He has a wonderful family and a broad network of friends around the globe. Given his mix of experience, I can’t think of a better executive in the world to take on the role of CEO of FedEx. There is no doubt he is the right leader to take FedEx into a successful future.

Succession Planning

Today’s announcement is the result of a thoughtful and thorough process. From my days in the service and throughout the history of FedEx, I have focused on succession planning. Accordingly, we have a rigorous and thorough succession planning process, and senior officer succession plans are carefully reviewed with our Board of Directors every year. Of particular importance are the roles of CEO and Chairman of our Board of Directors, positions I have held for many years.

My recommendation to the Board for several years now, in the event of my death or disability, was to appoint an independent Chairman of the Board and to name Raj Subramaniam as our Chief Executive Officer. When Raj took over as President and Chief Operating Officer on 1 March 2019, I recommended to our Board that we should put into effect a transition plan for Raj to step into the CEO role on an orderly basis with a timeline focused on FY23 and our momentous 50th anniversary.

In this vein, upon my recommendation at last week’s meeting, our Board of Directors appointed Raj our CEO effective 1 June, which is the first day of FY23. It is also extremely important that we named Raj as the CEO-elect now, as he can oversee the development of our FY23 business plan. In addition, this timing allows me to efficiently transition the oversight of the Executive Committee (CEO, CFO, CIO, and General Counsel) and the Strategic Management Committee to Raj.

Board Changes

The Board also appointed Brad Martin, Chairman of our Audit Committee, as the non-executive Vice Chairman of our Board of Directors. The Vice Chairman is my designated successor as Chairman. Also, we have recently expanded the scope of our Nominating and Governance Committee to include a focus on our commitment to “Safety Above All.” David Steiner will continue to serve as our Lead Independent Director and will chair the newly named Governance, Safety, and Public Policy Committee. I know Brad and David will continue to serve with distinction as directors of the Corporation as they have done for 11 and 13 years respectively. Both have a deep knowledge of FedEx, our strategies and operations, and our key leaders.

What’s Next

In the role of Executive Chairman, I look forward to focusing my attention on matters of importance to our industry and world such as sustainability, public policy, and innovation. One of the things that I am most looking forward to as FY23 begins is the ability to travel more frequently and more widely. I plan to again regularly visit FedEx team members around the globe, to meet and thank them in person, which I have been unable to do in FY20 and FY21 because of the pandemic.

Thank you for your support and most of all for keeping the Purple Promise every day. I hope to see many of you soon.

I’m confident FedEx’s best years lie ahead!

About From the Chairman & CEO

Here you’ll find Fred Smith’s perspectives on our company, our industry, and FedEx team members who connect people with possibilities around the world. This site includes Mr. Smith’s archived From the Chairman & CEO letters through March 2022.