FedEx CEO Fred Smith to step down in June

FedEx founder Fred Smith will step down as CEO of the package delivery company he founded, the company announced Monday.

Smith will resign in June and will be succeeded by the company’s president and chief operating officer Raj Subramaniam, FedEx said in a press release. Subramaniam will serve as CEO and chairman, while Smith will become executive chairman.

Smith started FedEx in 1971, delivering small packages and documents faster than the post office. Over the next half century, he oversaw the growth of a company that combined air and ground service and became a kind of economic claim because of his service to other companies.

Today, FedEx is worth $ 60 billion and has 290,000 employees in the U.S., according to data provider FactSet. Smith is its largest shareholder, with a 7% stake worth about $ 4.3 billion, according to FactSet.

“FedEx has changed the world by connecting people and opportunities over the last 50 years,” Smith said in a statement that also expressed confidence in Subramaniam’s ability to lead the company.

Smith said he will focus on global issues such as sustainability, innovation and public policy.

Subramaniam joined the Memphis, Tennessee-based company in 1991 and held various marketing and management jobs in Asia and the United States. He became the director of marketing and communications, and was also the chief executive of FedEx Express. He joined the FedEx board in 2020 and will continue to be a director.

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