Summary
FedEx Corporation (FDX) filed this 8-K report on January 6, 2015, primarily to incorporate by reference revised financial disclosures into its existing SEC registration statement. The company announced a change in how it allocates corporate headquarters costs, ceasing to allocate these to its transportation segments and instead including them in "Corporate, eliminations and other" starting in fiscal year 2015. This change enhances segment reporting transparency. Additionally, FedEx is consolidating and revising its disclosures related to the net impact of fuel costs to improve clarity. These revisions, impacting the Management's Discussion and Analysis (MD&A), business segment information (Note 14), and market risk disclosures for the fiscal year ended May 31, 2014, do not alter previously reported operating results, financial condition, or cash flows. The revised financial statements have been audited by Ernst & Young LLP.
Key Highlights
- 1FedEx is reclassifying corporate headquarters costs, moving them out of transportation segments into 'Corporate, eliminations and other' for fiscal year 2015 onwards.
- 2This change aims to improve the transparency and accuracy of segment reporting.
- 3The company is also enhancing the clarity of its disclosures regarding the net impact of fuel costs.
- 4These reporting and disclosure updates do not change previously reported financial results, financial condition, or cash flows for the fiscal year ended May 31, 2014.
- 5Revised financial statements, including Note 14 (business segment information), have been prepared and audited.
- 6The filing incorporates these revised disclosures into FedEx's Form S-3 registration statement.