Rates for FedEx Ground, FedEx Home Delivery to Raise 3.9 Percent

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FedEx Corp. announced late on Friday that it will increase the standard list rates for FedEx Ground and FedEx Home Delivery by an average of 3.9 percent in addition to other changes to FedEx Express, FedEx Ground and FedEx Home Delivery surcharges effective Jan. 2.

FedEx Corp. previously announced an increase to the average shipping costs for FedEx Express by 3.5 percent, which comprises a 5.5 percent average increase in standard list rates, offset by a 2.0 percent point reduction in its fuel surcharge. These rates are also effective Jan. 2, and apply to U.S. domestic and U.S. export packages and freight.

Other FedEx Express and FedEx Ground changes effective Jan. 2,

2006 include:

· The delivery area surcharge for select ZIP codes will increase by 5 cents per package for commercial locations and 10 cents per package for residential locations for FedEx Express and FedEx Ground.

· A residential surcharge increase for FedEx Express and FedEx Ground shipments of 10 cents per package and a residential surcharge increase for FedEx Home Delivery of 25 cents per package.

· An increase in the charge for direct signature required of 25 cents a package and an increase in the adult signature required charge of 50 cents per package for FedEx Express and FedEx Ground shipments.

· The additional handling surcharge for FedEx Express and FedEx Ground shipments will increase $1.00 per package.

· The FedEx Express and FedEx Ground collect on delivery charge as well as the FedEx Ground electronic collect on delivery charge will increase by $1.00 per package.

· There will be no changes to most FedEx Retail Counter Rates for FedEx Express and FedEx Ground shipments.

· Details on 2006 standard list rates and surcharges will be available to customers on www.fedex.com/us/2006rates beginning Dec. 3 for FedEx Express and by Dec.19 for FedEx Ground.

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