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FedEx Freight US shipping rates will increase by an average of 5.9% from January 17 September 2019

No additional residential surcharges for third straight Holiday Season

FedEx announced that, for the third year in a row, the Company will not apply additional residential surcharges during the holiday season, except for shipments that are oversized, unauthorised or that require additional handling.

Dates for such peak surcharges vary. Details can be found at: fedex.com/peak-surcharge.

In addition, FedEx Express, FedEx Ground and FedEx Freight, all subsidiaries of FedEx Corp., will increase shipping rates and surcharges effective January 6, 2020:

> FedEx Express shipping rates will increase by an average of 4.9% for US domestic, US export and US import services.

> FedEx Ground and FedEx Home Delivery shipping rates will increase by an average of 4.9%. FedEx SmartPost shipping rates will also increase.

> FedEx Freight shipping rates will increase by an average of 5.9% for shipments within the US (including Alaska, Hawaii, Puerto Rico and the US Virgin Islands) and between the contiguous US and Canada. FedEx Freight shipping rates will also increase for shipments within Canada, within Mexico, and between the contiguous US and Mexico.

The following FedEx Express, FedEx Ground and FedEx Freight surcharge changes will also take place effective January 20, 2020:

> Applicable services, criteria and pricing for FedEx Express and FedEx Ground packages that require additional handling or are oversized will change.

> There will be changes to applicable surcharges for FedEx Express and FedEx Ground fuel surcharge assessment.

> Applicable criteria for the FedEx Freight Capacity Load minimum charge will change.

The list of Delivery Area Surcharge ZIP Codes for FedEx Express, FedEx Ground and FedEx SmartPost will also be changed effective January 6, 2020.