FedEx expands services in India
FedEx Express has expanded its three-tier premium services within India from 58 to 331 destinations.
“India’s GDP is expected to grow between 8 to 9 percent in FY 2010-2011, making it one of the fastest-growing economies in the world. This growth represents enormous potential for businesses in terms of domestic trade and exploring new market opportunities within the country,” said Kenneth Koval, vice president, Operations, FedEx Express India. “Our expansion is designed to facilitate faster and easier domestic trade and enhance our customers’ ability to leverage the country’s growth potential and take advantage of new trade opportunities.”
The company has also launched import services to India from 220 countries and territories worldwide to complement its export and domestic operations. Customers will be able to raise invoices and make payments in Indian Rupees.
“FedEx aims to stimulate this growth further by providing customers with the widest range of shipping solutions for all business needs in India — export, import and domestic,” added Koval.
In an unrelated move, FedEx has reportedly agreed to buy four MD11 freighters from ailing cargo airline Transmile Air Services (TAS), part of the Transmile Group, for RM208.8 million ($68.5 million). TAS, based in Subang, Malaysia, owes RM528milion ($173 million) to creditors in the form of convertible bonds and medium-term notes. A condition of sale is dependent on TAS's restraining order against closing down the company.
In a statement, TAS said the proposed sale to FedEx would reduce its debt obligations to RM320 million ($105 million).