FedEx to Raise Express Service Rates

FedEx Cargo Plane, Federal Express, Shipping Company
AP
Package delivery service FedEx Corp. said Wednesday it will raise shipping rates for FedEx Express by an average of 3.9 percent for both U.S. domestic and export services, effective Jan. 3.

The full average rate increase of 5.9 percent will be partly offset by adjusting the price threshold at which the fuel surcharge begins, cutting the fuel surcharge by two percentage points.

FedEx Freight and FedEx National will also raise general rates 6.9 percent for amounts that are less than a truckload, effective Nov. 1.

FedEx said pricing changes for FedEx Ground and FedEx SmartPost pricing changes for calendar 2011 will be announced later this year.

Shares or the Memphis-based package courier climbed $1.15, or 1.4 percent, to $85.90 in afternoon trading.