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Company History

FedEx History: Founding, Growth & Key Milestones

Founded 1971 in Little Rock, United States

When was FedEx founded?

FedEx was founded in 1971 in Little Rock, United States by Frederick W. Smith, making it 55 years old.

Founded
1971
Founding place
Little Rock, United States
Founders
Frederick W. Smith
Headquarters today
Memphis, Tennessee
Milestones documented
12 (1971–2026)
Current CEO
Raj Subramaniam
Acquisitions
6
YearEvent
1971Federal Express Founded
1973Commercial Operations Begin
1978FedEx Goes Public
1989Flying Tiger Line Acquired
1998Caliber System Acquisition
2000Renamed FedEx Corporation
2004Acquired Kinko's
2016TNT Express Acquisition
2022Raj Subramaniam Becomes CEO
2025Founder Fred Smith Dies
2026FedEx Freight Spin-Off Completed
2026FY2026 Revenue Reaches $94.7B
Where was FedEx founded?
FedEx was founded in Little Rock, United States in 1971. wikidata.org
Who founded FedEx?
FedEx was founded by Frederick W. Smith.
When did FedEx start?
FedEx was founded in 1971.
How old is FedEx?
FedEx is 55 years old as of 2026.

Founding Story

Federal Express started flying in 1973 and lost money heavily in its first years because of high jet-fuel costs and slow volume growth. The best-known story from that period, often repeated by Smith, is that he took the company's last few thousand dollars to Las Vegas, won at blackjack, and used the winnings to cover a fuel bill until new financing came through. FedEx reached profitability in 1976, and air cargo deregulation in 1977 let it fly larger jets.

Founders

Frederick W. Smith

Frederick W. Smith founded Federal Express in 1971 and ran it for more than 50 years, building the hub-and-spoke overnight delivery model now used across the express industry. He lobbied for the 1977 air cargo deregulation that let FedEx fly larger aircraft, handed the CEO role to Raj Subramaniam in 2022, and died on June 21, 2025 at age 80. Education: Presbyterian Day School. Frederick W. Smith was born in 1944.

Key Milestones

1971

Federal Express Founded

Frederick W. Smith incorporates Federal Express Corporation, planning to build an overnight air-delivery network around a central Memphis hub.

Source: en.wikipedia.org
1973

Commercial Operations Begin

Federal Express begins commercial service from Memphis using a hub-and-spoke overnight model, surviving early near-bankruptcy on fuel costs.

Source: en.wikipedia.org
1978

FedEx Goes Public

The company completes its initial public offering to finance network expansion.

Source: en.wikipedia.org
1989

Flying Tiger Line Acquired

Federal Express bought the cargo airline Flying Tiger Line in 1989, gaining international routes.

Source: en.wikipedia.org
1998

Caliber System Acquisition

FedEx acquires Caliber System for about $2.4 billion, adding the assets that become FedEx Ground and FedEx Freight.

Source: en.wikipedia.org
2000

Renamed FedEx Corporation

The parent company FDX was renamed FedEx Corporation in January 2000.

Source: en.wikipedia.org
2004

Acquired Kinko's

FedEx acquired Kinko's for $2.4 billion. FedEx bought Kinko's for about $2.4 billion and rebranded the stores as FedEx Office.

Source: en.wikipedia.org
2016

TNT Express Acquisition

FedEx acquires TNT Express for about $4.4 billion to expand its European and international express network.

Source: en.wikipedia.org
2022

Raj Subramaniam Becomes CEO

Raj Subramaniam succeeds founder Frederick W. Smith as CEO, becoming only the second CEO in FedEx history, and launches the DRIVE and Network 2.0 transformation programs.

Source: en.wikipedia.org
2025

Founder Fred Smith Dies

Frederick W. Smith dies on June 21, 2025. Longtime director R. Brad Martin becomes chairman and later executive chairman.

Source: fedex.com
2026

FedEx Freight Spin-Off Completed

On June 1, 2026 FedEx completes the spin-off of FedEx Freight Holding Company, which begins trading on the NYSE as FDXF.

Source: investors.fedex.com
2026

FY2026 Revenue Reaches $94.7B

FedEx reports $94.720 billion in FY2026 revenue, $4.433 billion in net income, and capex of 4.0% of revenue, a record low ratio.

Source: sec.gov

Major Acquisitions

Caliber System

1998

FedEx acquired Caliber to expand beyond express delivery into ground parcel and freight.

American Freightways

2001

FedEx acquired LTL carrier American Freightways, combining it with Viking Freight to form FedEx Freight.

Kinko's

2004

FedEx bought Kinko's for about $2.4 billion and rebranded the stores as FedEx Office.

Parcel Direct

2004

FedEx acquired Parcel Direct in 2004.

TNT Express

2016

FedEx acquired TNT to expand European and international express capabilities.

ShopRunner

2020

FedEx acquired e-commerce membership platform ShopRunner in 2020 to strengthen its online retail tools.

Keep researching FedEx

FedEx Company History FAQ

When was Federal Express founded and when did it complete its inaugural flight?

Federal Express was incorporated in 1971 by Frederick W. Smith and officially launched operations on April 17, 1973, when 14 Falcon jets transported 186 packages through the Memphis hub, establishing the world's first overnight express air system.

When did Federal Express complete its initial public offering on the NYSE?

Federal Express went public on April 12, 1978, listing on the New York Stock Exchange under the ticker symbol 'FDX', raising capital to purchase large Boeing 727 commercial freighters following federal air cargo deregulation.

When did Federal Express officially adopt the shortened brand name 'FedEx'?

In 1994, Federal Express officially adopted 'FedEx' as its global brand name and unveiled its well-known logo designed by Lindon Leader of Landor Associates, featuring a hidden white arrow between the 'E' and 'x' symbolizing speed, precision, and forward motion.

When did FedEx launch online package tracking on the World Wide Web?

In 1994, FedEx became the first transportation company in the world to launch a public website (fedex.com) that allowed customers to track package delivery status online via tracking numbers, transforming digital customer self-service.

When did FedEx create its corporate holding company structure?

In 2000, the company formed FDX Corporation (renamed FedEx Corporation), establishing separate operating subsidiaries: FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services, to pursue distinct market segments.

When did FedEx acquire European logistics giant TNT Express?

FedEx finalized its landmark ~$4.97 billion (€4.4 billion) acquisition of TNT Express in May 2016, expanding its European road logistics network and integrating hundreds of European ground sortation depots.

When did founder Fred Smith step down as CEO and pass the reins to Raj Subramaniam?

On June 1, 2022, founder Frederick W. Smith transitioned to Executive Chairman of the Board of Directors after 51 years at the helm, and Raj Subramaniam officially took office as President and Chief Executive Officer.

When was the historic 'One FedEx' consolidation announced?

In April 2023, CEO Raj Subramaniam announced the historic 'One FedEx' consolidation, unifying FedEx Express, FedEx Ground, and FedEx Services into a single organization (Federal Express Corporation) to drive billions in structural cost savings and streamline operations.

When did FedEx spin off FedEx Freight?

FedEx completed the spin-off of FedEx Freight on June 1, 2026; FedEx Freight Holding Company trades on the NYSE as FDXF.

How did FedEx start?

FedEx was founded in 1971 by Fred Smith. He had written a paper at Yale proposing an overnight delivery network (which supposedly got a "C" grade). Early on, the company was heavily bleeding cash. In a legendary move, Smith took the company's last $5,000 to Las Vegas, played blackjack, won $27,000, and used it to pay the jet fuel bill, saving the company.

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Content is for informational purposes only. Not financial advice. Data sourced from SEC filings, annual reports, and public records. See our full disclaimer and methodology.