FedEx Freight has negotiated a five-year, $1.2 billion revolving credit facility alongside a three-year, $600 million delayed-draw term loan. The revolving facility provides immediate liquidity for working capital and capital expenditures, while the term loan—available in multiple draws through January 2029—offers flexibility for network expansion and technology investments. Both facilities are unsecured, priced at LIBOR plus a spread tied to leverage ratios, and include customary covenants and a spring‐lock feature that will convert the term loan into a revolving line if drawn prior to June 1, 2026. Goldman Sachs & Co. LLC structured the transactions as lead arranger, with commitments from 12 banks including JPMorgan Chase and Bank of America.

FedEx Corp. filed its Form 10 registration statement with the SEC on January 16, 2026, detailing the planned spin-off of FedEx Freight as an independent less-than-truckload carrier. The submission lays out FedEx Freight’s strategy to leverage a network of approximately 355 service centers, 29,800 tractors, and 39,000 employees to capture growth in high-margin verticals such as automotive aftermarket and heavy machinery. Projected standalone EBITDA margins range between 12% and 14% by fiscal 2028, supported by targeted investments in yard management systems and automated sortation hubs. The spin-off is expected to be tax-free for U.S. stockholders, with FedEx Freight shares listed on the NYSE under “FDXF” following a June 1, 2026 effective date, subject to board approval and customary closing conditions.

FedEx announced a ten-member board of directors for the future FedEx Freight, led by R. Brad Martin as chairman and John Smith as president and CEO and director. The board includes executives with deep logistics and financial expertise: Jeffrey Davis, former CFO of Dollar Tree and Labcorp audit chair; Donald Frieson, former EVP of supply chain at Lowe’s and U.S. Department of Commerce advisor; Stephen Gorman, ex-COO of Delta Air Lines and Greyhound CEO; Robert King, retired FedEx internal audit VP; Cindy Miller, ex-CEO of Stericycle and UPS freight executive; Amy Salcido, ex-Kyndryl U.S. president; John Sauerland, CFO of The Progressive Corporation; and Samantha Smith, FedEx global public policy director. Skadden, Arps, Slate, Meagher & Flom LLP serves as legal counsel for the spin-off process.