FEDEX CORP, 10-K filed on 7/21/2025
Annual Report
v3.25.2
Cover Page - USD ($)
$ in Billions
12 Months Ended
May 31, 2025
Jul. 17, 2025
Nov. 30, 2024
Document Information [Line Items]      
Document Type 10-K    
Document Annual Report true    
Document Period End Date May 31, 2025    
Current Fiscal Year End Date --05-31    
Document Transition Report false    
Entity File Number 1-15829    
Entity Registrant Name FedEx Corporation    
Entity Incorporation, State or Country Code DE    
Entity Tax Identification Number 62-1721435    
Entity Address, Address Line One 942 South Shady Grove Road    
Entity Address, City or Town Memphis    
Entity Address, State or Province TN    
Entity Address, Postal Zip Code 38120    
City Area Code (901)    
Local Phone Number 818-7500    
Entity Well-known Seasoned Issuer Yes    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Interactive Data Current Yes    
Entity Filer Category Large Accelerated Filer    
Entity Small Business false    
Entity Emerging Growth Company false    
ICFR Auditor Attestation Flag true    
Document Financial Statement Error Correction [Flag] false    
Entity Shell Company false    
Entity Public Float     $ 66.8
Entity Common Stock, Shares Outstanding   235,899,098  
Documents Incorporated by Reference Portions of the Registrant’s definitive proxy statement to be delivered to stockholders in connection with the 2025 annual meeting of stockholders to be held on September 29, 2025 are incorporated by reference in response to Part III of this Report.    
Amendment Flag false    
Entity Central Index Key 0001048911    
Document Fiscal Year Focus 2025    
Document Fiscal Period Focus FY    
Common
Stock      
Document Information [Line Items]      
Title of 12(b) Security Common Stock, par value $0.10 per share    
Trading Symbol FDX    
Security Exchange Name NYSE    
0.450% Notes due 2025      
Document Information [Line Items]      
Title of 12(b) Security 0.450% Notes due 2025    
Trading Symbol FDX 25A    
Security Exchange Name NYSE    
1.625% Notes due 2027      
Document Information [Line Items]      
Title of 12(b) Security 1.625% Notes due 2027    
Trading Symbol FDX 27    
Security Exchange Name NYSE    
0.450% Notes due 2029      
Document Information [Line Items]      
Title of 12(b) Security 0.450% Notes due 2029    
Trading Symbol FDX 29A    
Security Exchange Name NYSE    
1.300% Notes due 2031      
Document Information [Line Items]      
Title of 12(b) Security 1.300% Notes due 2031    
Trading Symbol FDX 31    
Security Exchange Name NYSE    
0.950% Notes due 2033      
Document Information [Line Items]      
Title of 12(b) Security 0.950% Notes due 2033    
Trading Symbol FDX 33    
Security Exchange Name NYSE    
v3.25.2
Audit Information
12 Months Ended
May 31, 2025
Audit Information [Abstract]  
Auditor Name Ernst & Young LLP
Auditor Firm ID 42
Auditor Location Memphis, Tennessee
v3.25.2
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
CURRENT ASSETS    
Cash and cash equivalents $ 5,502 $ 6,501
Receivables, less allowances of $773 and $775 11,368 10,087
Spare parts, supplies, and fuel, less allowances of $308 and $288 602 614
Prepaid expenses and other 914 1,005
Total current assets 18,386 18,207
PROPERTY AND EQUIPMENT, AT COST    
Aircraft and related equipment 31,584 30,525
Package handling and ground support equipment 18,878 17,880
Information technology 9,706 9,203
Vehicles and trailers 10,949 10,568
Facilities and other 16,505 16,215
Total property and equipment, at cost 87,622 84,391
Less accumulated depreciation and amortization 45,980 42,900
Net property and equipment 41,642 41,491
OTHER LONG-TERM ASSETS    
Operating lease right-of-use assets, net 16,453 17,115
Goodwill 6,603 6,423
Other assets 4,543 3,771
Total other long-term assets 27,599 27,309
TOTAL ASSETS 87,627 87,007
CURRENT LIABILITIES    
Current portion of long-term debt 1,428 68
Accrued salaries and employee benefits 2,731 2,673
Accounts payable 3,692 3,189
Operating lease liabilities 2,565 2,463
Accrued expenses 4,995 4,962
Total current liabilities 15,411 13,355
LONG-TERM DEBT, LESS CURRENT PORTION 19,151 20,135
OTHER LONG-TERM LIABILITIES    
Deferred income taxes 4,205 4,482
Pension, postretirement healthcare, and other benefit obligations 1,698 2,010
Self-insurance accruals 4,033 3,701
Operating lease liabilities 14,272 15,053
Other liabilities 783 689
Total other long-term liabilities 24,991 25,935
COMMITMENTS AND CONTINGENCIES
COMMON STOCKHOLDERS’ INVESTMENT    
Common stock, $0.10 par value; 800 million shares authorized; 318 million shares issued as of May 31, 2025 and 2024 32 32
Additional paid-in capital 4,290 3,988
Retained earnings 41,402 38,649
Accumulated other comprehensive loss (1,362) (1,359)
Treasury stock, at cost; 80 million shares as of May 31, 2025 and 72 million shares as of May 31, 2024 (16,288) (13,728)
Total common stockholders’ investment 28,074 27,582
TOTAL LIABILITIES AND COMMON STOCKHOLDERS’ INVESTMENT $ 87,627 $ 87,007
v3.25.2
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Statement of Financial Position [Abstract]    
Allowances for receivables $ 773 $ 775
Allowances for spare parts, supplies and fuel $ 308 $ 288
Common stock, par value (in dollars per share) $ 0.10 $ 0.10
Common stock, shares authorized (in shares) 800,000,000 800,000,000
Common stock, shares issued (in shares) 318,000,000 318,000,000
Treasury stock (in shares) 80,000,000 72,000,000
v3.25.2
CONSOLIDATED STATEMENTS OF INCOME - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Income Statement [Abstract]      
REVENUE $ 87,926 $ 87,693 $ 90,155
OPERATING EXPENSES:      
Salaries and employee benefits 31,232 30,961 31,019
Purchased transportation 21,768 20,921 21,790
Rentals and landing fees 4,647 4,571 4,738
Depreciation and amortization 4,264 4,287 4,176
Fuel 3,775 4,710 5,909
Maintenance and repairs 3,245 3,291 3,357
Goodwill and other asset impairment charges 21 157 117
Business optimization and realignment costs 756 582 309
Other 13,001 12,654 13,828
TOTAL OPERATING EXPENSES 82,709 82,134 85,243
OPERATING INCOME 5,217 5,559 4,912
OTHER INCOME (EXPENSE):      
Interest expense (789) (745) (694)
Interest income 363 370 198
Other retirement plans income 713 722 1,054
Other, net (63) (70) (107)
TOTAL OTHER INCOME (EXPENSE) 224 277 451
INCOME BEFORE INCOME TAXES 5,441 5,836 5,363
PROVISION FOR INCOME TAXES 1,349 1,505 1,391
NET INCOME $ 4,092 $ 4,331 $ 3,972
BASIC EARNINGS PER COMMON SHARE (in dollar per share) $ 16.96 $ 17.41 $ 15.60
DILUTED EARNINGS PER COMMON SHARE (in dollar per share) $ 16.81 $ 17.21 $ 15.48
v3.25.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Statement of Comprehensive Income [Abstract]      
NET INCOME $ 4,092 $ 4,331 $ 3,972
OTHER COMPREHENSIVE LOSS:      
Foreign currency translation adjustments, net of tax benefits of $13 in 2025, $5 in 2024, and $25 in 2023 2 (60) (214)
Prior service credit arising during period, net of tax (expense) of $0 in 2025, ($11) in 2024, and $0 in 2023 0 36 0
Amortization of prior service credits and other, net of tax benefit of $6 in 2025, $2 in 2024, and $2 in 2023 (5) (8) (10)
TOTAL OTHER COMPREHENSIVE LOSS (3) (32) (224)
COMPREHENSIVE INCOME $ 4,089 $ 4,299 $ 3,748
v3.25.2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Other Comprehensive Income, Tax Amounts      
Foreign currency translation adjustments, tax benefit $ 13 $ 5 $ 25
Prior service credit arising during period, net of tax (expense) 0 (11) 0
Amortization of prior service credits and other, tax benefit $ 6 $ 2 $ 2
v3.25.2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
OPERATING ACTIVITIES      
Net income $ 4,092 $ 4,331 $ 3,972
Adjustments to reconcile net income to cash provided by operating activities:      
Depreciation and amortization 4,264 4,287 4,176
Provision for uncollectible accounts 521 421 696
Other noncash items including leases and deferred income taxes 3,156 2,919 3,472
Stock-based compensation 154 163 182
Retirement plans mark-to-market adjustments (515) (561) (650)
Goodwill and other asset impairment charges 21 157 117
Business optimization and realignment costs, net of payments 43 26 23
Changes in assets and liabilities:      
Receivables (1,780) (270) 782
Other current assets 90 (43) 48
Pension and postretirement healthcare assets and liabilities, net (553) (522) (623)
Accounts payable and other liabilities (2,445) (2,553) (3,331)
Other, net (12) (43) (16)
Cash provided by operating activities 7,036 8,312 8,848
INVESTING ACTIVITIES      
Capital expenditures (4,055) (5,176) (6,174)
Purchase of investments (262) (176) (84)
Proceeds from sale of investments 110 38 0
Proceeds from asset dispositions, and other investing activities, net 115 114 84
Cash used in investing activities (4,092) (5,200) (6,174)
FINANCING ACTIVITIES      
Principal payments on debt (157) (147) (152)
Proceeds from stock issuances 524 491 231
Dividends paid (1,339) (1,259) (1,177)
Purchase of common stock (3,017) (2,500) (1,500)
Other, net (30) (11) 1
Cash used in financing activities (4,019) (3,426) (2,597)
Effect of exchange rate changes on cash 76 (41) (118)
Net decrease in cash and cash equivalents (999) (355) (41)
Cash and cash equivalents at beginning of period 6,501 6,856 6,897
Cash and cash equivalents at end of period $ 5,502 $ 6,501 $ 6,856
v3.25.2
CONSOLIDATED STATEMENTS OF CHANGES IN COMMON STOCKHOLDERS' INVESTMENT - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance $ 27,582 $ 26,088 $ 24,939
Net income 4,092 4,331 3,972
Other comprehensive loss, net of tax (3) (32) (224)
Purchase of common stock (3,020) (2,517) (1,500)
Issuance of treasury stock for acquisition 90    
Cash dividends declared (1,339) (941) (1,495)
Employee incentive plans and other 672 653 396
Ending balance 28,074 27,582 26,088
Common
Stock      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance 32 32 32
Ending balance 32 32 32
Additional
Paid-in
Capital      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance 3,988 3,769 3,712
Purchase of common stock (21) (22) (82)
Issuance of treasury stock for acquisition 42    
Employee incentive plans and other 281 241 139
Ending balance 4,290 3,988 3,769
Retained
Earnings      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance 38,649 35,259 32,782
Net income 4,092 4,331 3,972
Cash dividends declared (1,339) (941) (1,495)
Ending balance 41,402 38,649 35,259
Accumulated
Other
Comprehensive
Loss      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance (1,359) (1,327) (1,103)
Other comprehensive loss, net of tax (3) (32) (224)
Ending balance (1,362) (1,359) (1,327)
Treasury
Stock      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance (13,728) (11,645) (10,484)
Purchase of common stock (2,999) (2,495) (1,418)
Issuance of treasury stock for acquisition 48    
Employee incentive plans and other 391 412 257
Ending balance $ (16,288) $ (13,728) $ (11,645)
v3.25.2
CONSOLIDATED STATEMENTS OF CHANGES IN COMMON STOCKHOLDERS' INVESTMENT (Parenthetical) - USD ($)
shares in Millions, $ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Statement of Stockholders' Equity [Abstract]      
Other comprehensive loss, tax $ 19 $ 4 $ 27
Purchase of common stock (in shares) 10.9 9.8 9.2
Cash dividends declared (in dollars per share) $ 5.52 $ 3.78 $ 5.86
Employee incentive plans and other, shares issued (in shares) 2.9 3.1 1.9
v3.25.2
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
12 Months Ended
May 31, 2025
Accounting Policies [Abstract]  
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
DESCRIPTION OF BUSINESS SEGMENTS. FedEx Corporation (“FedEx”) provides a broad portfolio of transportation, e-commerce, and business services, offering integrated business solutions utilizing our flexible, efficient, and intelligent global network. During the fiscal years ended May 31, 2025 and 2024, our primary operating companies were Federal Express Corporation (“Federal Express”), the world’s largest express transportation company and a leading North American provider of small-package ground delivery services, and FedEx Freight, Inc. (“FedEx Freight”), a leading North American provider of less-than-truckload (“LTL”) freight transportation services.
In connection with our one FedEx consolidation plan, on June 1, 2024, FedEx Ground Package System, Inc. (“FedEx Ground”) and FedEx Corporate Services, Inc. (“FedEx Services”) were merged into Federal Express, becoming a single company operating a unified, fully integrated air-ground express network under the respected FedEx brand. FedEx Freight continues to provide LTL freight transportation services as a separate subsidiary. Beginning in the first quarter of 2025, Federal Express and FedEx Freight represent our major service lines and constitute our reportable segments. Additionally, the results of FedEx Custom Critical, Inc. (“FedEx Custom Critical”) are included in the FedEx Freight segment instead of the Federal Express segment in 2025. Prior-year amounts were revised to reflect this presentation.
We evaluated our reporting units with significant recorded goodwill during the fourth quarter of 2024, and the estimated fair value of each reporting unit exceeded its carrying value as of the end of 2024 immediately before our one FedEx consolidation. We reevaluated the conclusion of our 2024 goodwill impairment tests as of June 1, 2024 immediately after our one FedEx consolidation and concluded that the estimated fair values of our reporting units with significant goodwill continued to exceed their respective carrying values.
In December 2024, we announced that FedEx’s Board of Directors decided to pursue a full separation of FedEx Freight through the capital markets, creating a new publicly traded company. The transaction, which would be implemented through the spin-off of shares of the new company to FedEx stockholders, is expected to be tax-free for U.S. federal income tax purposes for FedEx stockholders and be completed by June 2026.
FISCAL YEARS. Except as otherwise specified, references to years indicate our fiscal year ended May 31, 2025 or ended May 31 of the year referenced, and comparisons are to the corresponding period of the prior year.
In January 2025, the Board of Directors approved a change in FedEx's fiscal year end from May 31 to December 31. The fiscal year change will be effective for the period beginning June 1, 2026.
PRINCIPLES OF CONSOLIDATION. The consolidated financial statements include the accounts of FedEx and its subsidiaries, substantially all of which are wholly owned. All significant intercompany accounts and transactions have been eliminated in consolidation.
REVENUE RECOGNITION.
Satisfaction of Performance Obligation
A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the basis of revenue recognition in accordance with U.S. generally accepted accounting principles (“GAAP”). To determine the proper revenue recognition method for contracts, we evaluate whether two or more contracts should be combined and accounted for as one single contract and whether the combined or single contract should be accounted for as more than one performance obligation. For most of our contracts, the customer contracts with us to provide distinct services within a single contract, primarily transportation services. Substantially all of our contracts with customers for transportation services include only one performance obligation, the transportation services themselves. However, if a contract is separated into more than one performance obligation, we allocate the total transaction price to each performance obligation in an amount based on the estimated relative standalone selling prices of the promised goods or services underlying each performance obligation. We frequently sell standard transportation services with observable standalone sales prices. In these instances, the observable standalone sales are used to determine the standalone selling price.
For transportation services, revenue is recognized over time as we perform the services in the contract because of the continuous transfer of control to the customer. Our customers receive the benefit of our services as the goods are transported from one location to another. If we were unable to complete delivery to the final location, another entity would not need to reperform the transportation service already performed. As control transfers over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the products or services to be provided. We use the cost-to-cost measure of progress for our package delivery contracts because it best depicts the transfer of control to the customer which occurs as we incur costs on our contracts. Under the cost-to-cost measure of progress, the extent of progress towards completion is measured based on the ratio of costs incurred to date to the total
estimated costs at completion of the performance obligation. Revenue, including ancillary or accessorial fees and reductions for estimated customer incentives, is recorded proportionally as costs are incurred. Costs to fulfill include labor and other direct costs and an allocation of indirect costs. For our FedEx Freight and freight forwarding contracts, an output method of progress based on time-in-transit is utilized as the timing of costs incurred does not best depict the transfer of control to the customer.
We also provide customized customer-specific solutions, such as supply chain management solutions and inventory and service parts logistics, through which we provide the service of integrating a complex set of tasks and components into a single capability. For these arrangements, the majority of which are conducted by our FedEx Logistics, Inc. (“FedEx Logistics”) operating segment, the entire contract is accounted for as one performance obligation. For these performance obligations, we typically have a right to consideration from customers in an amount that corresponds directly with the value to the customers of our performance completed to date, and as such we recognize revenue in the amount to which we have a right to invoice the customer.
Contract Modification
Contracts are often modified to account for changes in the rates we charge our customers or to add additional distinct services. We consider contract modifications to exist when the modification either creates new enforceable rights and obligations or alters the existing arrangement. Contract modifications that add distinct goods or services are treated as separate contracts. Contract modifications that do not add distinct goods or services typically change the price of existing services. These contract modifications are accounted for prospectively as the remaining performance obligations are distinct.
Variable Consideration
Certain contracts contain customer incentives, guaranteed service refunds, and other provisions that can either increase or decrease the transaction price. These incentives are generally awarded based upon achieving certain performance metrics. We estimate variable consideration as the most likely amount to which we expect to be entitled. We include estimated amounts of revenue, which may be reduced by incentives or other contract provisions, in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based on an assessment of anticipated customer spending and all information (historical, current, and forecasted) that is reasonably available to us.
Principal vs. Agent Considerations
Transportation services are provided with the use of employees and independent businesses that contract with FedEx. GAAP requires us to evaluate whether our businesses themselves promise to transfer services to the customer (as the principal) or to arrange for services to be provided by another party (as the agent) using a control model. Based on our evaluation of the control model, we determined that FedEx is the principal to the transaction for most of these services and revenue is recognized on a gross basis based on the transfer of control to the customer. Costs associated with independent businesses providing transportation services are recognized as incurred and included within “Purchased transportation” in the accompanying consolidated statements of income.
Our contract logistics, global trade services, and certain transportation businesses engage in certain transactions wherein they act as agents. Revenue from these transactions is recorded on a net basis. Net revenue includes billings to customers less third-party charges, including transportation or handling costs, fees, commissions, and taxes and duties.
Contract Assets and Liabilities
Contract assets include billed and unbilled amounts resulting from in-transit shipments, as we have an unconditional right to payment only once all performance obligations have been completed (e.g., packages have been delivered). Contract assets are generally classified as current, and the full balance is converted each quarter based on the short-term nature of the transactions. Our contract liabilities consist of advance payments and billings in excess of revenue. The full balance of deferred revenue is converted each quarter based on the short-term nature of the transactions.
Gross contract assets related to in-transit shipments totaled $673 million and $672 million at May 31, 2025 and May 31, 2024, respectively. Contract assets net of deferred unearned revenue were $526 million and $463 million at May 31, 2025 and May 31, 2024, respectively. Contract assets are included within “Receivables” in the accompanying consolidated balance sheets. Contract liabilities related to advance payments from customers were $23 million and $23 million at May 31, 2025 and May 31, 2024, respectively. Contract liabilities are included within “Accrued expenses” in the accompanying consolidated balance sheets.
Payment Terms
Certain of our revenue-producing transactions are subject to taxes and duties, such as sales tax, assessed by governmental authorities. We present these revenues net of tax. Under the typical payment terms of our customer contracts, the customer pays at periodic
intervals (e.g., every 15 days, 30 days, 45 days, etc.) for shipments included on invoices received. It is not customary business practice to extend payment terms past 90 days, and as such, we do not have a practice of including a significant financing component within our revenue contracts with customers.
Disaggregation of Revenue
See Note 15 for disclosure of disaggregated revenue for the periods ended May 31. This presentation is consistent with how we organize our segments internally for making operating decisions and measuring performance.
CREDIT RISK. We routinely grant credit to many of our customers for transportation and business services without collateral. The risk of credit loss in our trade receivables is substantially mitigated by our credit evaluation process, short collection terms, and sales to a large number of customers, as well as the low revenue per transaction for most of our services. Allowances for potential credit losses are determined based on historical experience and the impact of current economic conditions. Historically, credit losses have been within management’s expectations.
ADVERTISING. Advertising and promotion costs are expensed as incurred and are classified in other operating expenses. Advertising and promotion expenses were $425 million in 2025, $421 million in 2024, and $435 million in 2023.
CASH EQUIVALENTS. Cash in excess of current operating requirements is invested in short-term, interest-bearing instruments with maturities of three months or less at the date of purchase and is stated at cost, which approximates market value.
SPARE PARTS, SUPPLIES, AND FUEL. Spare parts (principally aircraft-related) are reported at weighted-average cost. Allowances for obsolescence are provided for spare parts currently identified as excess or obsolete as well as expected to be on hand at the date the aircraft are retired from service. These allowances are provided over the estimated useful life of the related aircraft and engines. The majority of our supplies and fuel are reported at weighted-average cost.
PROPERTY AND EQUIPMENT. Expenditures for major additions, improvements, and flight equipment modifications are capitalized when such costs are determined to extend the useful life of the asset or are part of the cost of acquiring the asset. Expenditures for equipment overhaul costs of engines or airframes prior to their operational use are capitalized as part of the cost of such assets as they are costs required to ready the asset for its intended use. Maintenance and repairs costs are charged to expense as incurred, except for certain aircraft engine maintenance costs incurred under third-party service agreements. These agreements result in costs being expensed based on cycles or hours flown and are subject to annual escalation. These service contracts transfer risk to third-party service providers and generally fix the amount we pay for maintenance to the service provider as a rate per cycle or flight hour, in exchange for maintenance and repairs under a predefined maintenance program. We capitalize certain direct internal and external costs associated with the development of internal-use software, including implementation of cloud computing service arrangements. Gains and losses on sales of property used in operations are classified within operating expenses and historically have been nominal.
For financial reporting purposes, we record depreciation and amortization of property and equipment on a straight-line basis over the asset’s service life or related lease term, if shorter. For income tax purposes, depreciation is computed using accelerated methods when applicable.
The depreciable lives and net book value of our property and equipment are as follows (dollars in millions):
Net Book Value at May 31,
Range20252024
Wide-body aircraft and related equipment
18 to 30 years
$18,202 $17,936 
Narrow-body and feeder aircraft and related equipment
5 to 30 years
1,750 1,849 
Package handling and ground support equipment
3 to 15 years
7,573 7,607 
Information technology
3 to 7 years
1,568 1,722 
Vehicles and trailers
3 to 15 years
4,075 4,053 
Facilities and other
1 to 33 years
8,474 8,324 
Substantially all property and equipment have no material residual values. The majority of aircraft costs are depreciated on a straight-line basis over 18 to 30 years. We periodically evaluate the estimated service lives and residual values used to depreciate our property and equipment.
Depreciation and amortization expense, excluding gains and losses on sales of property and equipment used in operations, was $4.3 billion in 2025, $4.3 billion in 2024, and $4.2 billion in 2023. Depreciation and amortization expense includes amortization of assets under finance leases.
CAPITALIZED INTEREST. Interest on funds used to finance the acquisition and modification of aircraft, including purchase deposits, construction of certain facilities, and development of certain software up to the date the asset is ready for its intended use, is capitalized and included in the cost of the asset if the asset is actively under construction. Capitalized interest was $55 million in 2025, $81 million in 2024, and $77 million in 2023.
IMPAIRMENT OF LONG-LIVED ASSETS. Long-lived assets are reviewed for impairment when circumstances indicate the carrying value of an asset may not be recoverable. For assets that are to be held and used, an impairment is recognized when the estimated undiscounted cash flows associated with the asset or group of assets is less than their carrying value. If impairment exists, an adjustment is made to write the asset down to its fair value, and a loss is recorded as the difference between the carrying value and fair value. Fair values are determined based on quoted market values, discounted cash flows, or internal and external appraisals, as applicable. Assets to be disposed of are carried at the lower of carrying value or estimated net realizable value.
We operate integrated transportation networks so cash flows for most of our operating assets to be held and used are assessed at a network level, not at an individual asset level, for our analysis of impairment.
In 2025 we made the decision to permanently retire from service 12 aircraft and eight related engines, resulting in a noncash impairment charge of $21 million ($16 million, net of tax, or $0.06 per diluted share). These retirements included two Boeing 757-200 aircraft, seven Airbus A300-600 aircraft, three Boeing MD-11 aircraft, and align with Federal Express’s fleet reduction and modernization strategy as we continue to improve our global network efficiency and better align air network capacity with anticipated demand. All of these permanently retired aircraft were temporarily idled and not in revenue service.
In 2024, we made the decision to permanently retire from service 22 Boeing 757-200 aircraft and seven related engines to align with Federal Express’s fleet reduction and modernization strategy. As a consequence of this decision, a noncash impairment charge of $157 million ($120 million, net of tax, or $0.48 per diluted share) was recorded in 2024.
In 2023, we made the decision to permanently retire from service 12 Boeing MD-11F aircraft and 25 related engines, four Boeing 757-200 aircraft and one related engine, and two Airbus A300-600 aircraft and eight related engines for the same reasons stated above. As a consequence of this decision, a noncash impairment charge of $70 million ($54 million, net of tax, or $0.21 per diluted share) was recorded in 2023.
In 2023 we accelerated the retirement of the entire Boeing MD-11 fleet by the end of 2028. In 2025 we made the decision to extend the retirement plan to have the fleet retired by the end of 2032 to better align air network capacity of Federal Express to match current and anticipated shipment volumes. As a result of this decision, we had a net decrease in depreciation expense in 2025 of $19 million.
In the normal management of our aircraft fleet, we routinely idle aircraft and engines temporarily due to maintenance cycles and adjustments of our network capacity to match seasonality and overall customer demand levels. Temporarily idled assets are classified as available-for-use, and we continue to record depreciation expense associated with these assets. These temporarily idled assets are assessed for impairment and remaining life on a quarterly basis. The criteria for determining whether an asset has been permanently removed from service (and, as a result, is potentially impaired) include, but are not limited to, our global economic outlook and the impact of our outlook on our current and projected volume levels, including capacity needs during our peak shipping seasons; the introduction of new fleet types or decisions to permanently retire an aircraft fleet from operations; and changes to planned service expansion activities. At May 31, 2025, we had 22 aircraft temporarily idled. These aircraft have been idled for an average of ten months and are expected to return to revenue service in order to meet expected demand.
GOODWILL. Goodwill is recognized for the excess of the purchase price over the fair value of tangible and identifiable intangible net assets of businesses acquired. Several factors give rise to goodwill in our acquisitions, such as the expected benefits from synergies of the combination and the existing workforce of the acquired business. Goodwill is reviewed at least annually for impairment. In our evaluation of goodwill impairment, we perform a qualitative assessment to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the qualitative assessment is not conclusive, we proceed to test goodwill for impairment, including comparing the fair value of the reporting unit to its carrying value (including attributable goodwill). Fair value for our reporting units is determined using an income or market approach incorporating market participant considerations and management’s assumptions on revenue growth rates, operating margins, discount rates, and expected capital expenditures. Fair value determinations may include both internal and third-party valuations. Unless circumstances otherwise dictate, we perform our annual impairment testing in the fourth quarter. See Note 5 for additional information.
INTANGIBLE ASSETS. Intangible assets primarily include customer relationships, technology assets, and trademarks acquired in business combinations. Intangible assets are amortized over periods ranging from 1 to 15 years, either on a straight-line basis or on a basis consistent with the pattern in which the economic benefits are realized. See Note 5 for additional information.
PENSION AND POSTRETIREMENT HEALTHCARE PLANS. Our defined benefit pension and other postretirement benefit plans are measured using actuarial techniques that reflect management’s assumptions for discount rate, investment returns on plan assets, salary
increases, expected retirement, mortality, and employee turnover. We determine the discount rate (which is required to be the rate at which the projected benefit obligation (“PBO”) could be effectively settled as of the measurement date) with the assistance of actuaries, who calculate the yield on a theoretical portfolio of high-grade corporate bonds (rated Aa or better) with cash flows that are designed to match our expected benefit payments in future years. We use the fair value of plan assets to calculate the expected return on assets (“EROA”) for interim and segment reporting purposes. Our EROA is a judgmental estimate which is reviewed on an annual basis and revised as appropriate.
The accounting guidance related to employers’ accounting for defined benefit pension and other postretirement plans requires recognition in the balance sheet of the funded status of these plans. We use “mark-to-market” (or “MTM”) accounting and immediately recognize changes in the fair value of plan assets and actuarial gains or losses in our results annually in the fourth quarter each year. The annual MTM adjustment is recognized at the corporate level and does not impact segment results. The remaining components of pension and postretirement healthcare expense, primarily service and interest costs and the EROA, are recorded on a quarterly basis. Only service cost is recognized in segment level operating results.
INCOME TAXES. Deferred income taxes are provided for the tax effect of temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements. The liability method is used to account for income taxes, which requires deferred taxes to be recorded at the statutory rate expected to be in effect when the taxes are paid.
Deferred income tax assets represent amounts available to reduce income taxes payable on taxable income in future years. Such assets arise because of temporary differences between the financial reporting and tax bases of assets and liabilities, as well as from net operating loss, capital loss, and tax credit carryforwards. We evaluate the recoverability of these future tax deductions and credits by assessing the adequacy of future expected taxable income from all sources, including reversal of taxable temporary differences, forecasted operating earnings, and available tax planning strategies. These sources of income rely heavily on estimates to make this determination and, as a result, there is a risk that these estimates will have to be revised as new information is received. To the extent we do not consider it more likely than not that a deferred tax asset will be recovered, a valuation allowance is established. We believe we will generate sufficient future taxable income to realize the tax benefits related to the remaining net deferred tax assets in the consolidated balance sheets that are not subject to valuation allowances. We record the taxes for global intangible low-taxed income as a period cost.
We recognize liabilities for uncertain income tax positions based on a two-step process. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step requires us to estimate and measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement. It is inherently difficult and subjective to estimate such amounts, as we must determine the probability of various possible outcomes. We reevaluate these uncertain tax positions on a quarterly basis or when new information becomes available to management. These reevaluations are based on factors including, but not limited to, changes in facts or circumstances, changes in tax law, successfully settled issues under audit, and new audit activity. Such a change in recognition or measurement could result in the recognition of a tax benefit or an increase to the related provision.
We classify interest related to income tax liabilities as interest expense, and if applicable, penalties are recognized as a component of income tax expense. The income tax liabilities and accrued interest and penalties that are due within one year of the balance sheet date are presented as current liabilities. The noncurrent portion of our income tax liabilities and accrued interest and penalties are included within “Other liabilities” in the accompanying consolidated balance sheets.
SELF-INSURANCE ACCRUALS. We are self-insured for costs associated with workers’ compensation claims, vehicle accidents, property and cargo loss, general business liabilities, and benefits paid under employee disability programs. Accruals are primarily based on the actuarially estimated cost of claims, which includes incurred-but-not-reported claims. Current workers’ compensation claims, vehicle and general liability, and long-term disability are included within “Accrued expenses” in the accompanying consolidated balance sheets. We self-insure up to certain limits that vary by operating company and type of risk. Claims costs are recognized on a gross basis and a receivable is recorded for amounts covered by third-party insurance. Periodically, we evaluate the level of insurance coverage and adjust insurance levels based on risk tolerance and premium expense.
We are also self-insured for certain short-term employee healthcare claims, which are included within “Accrued expenses” in the accompanying consolidated balance sheets.
LEASES. We lease certain facilities, aircraft, equipment, and vehicles under operating and finance leases. A determination of whether a contract contains a lease is made at the inception of the arrangement. Our leased facilities include national, regional, and metropolitan sorting facilities; retail facilities; and administrative buildings.
Our leases generally contain options to extend or terminate the lease. We reevaluate our leases on a regular basis to consider the economic and strategic incentives of exercising the renewal options, and how they align with our operating strategy. Therefore, substantially all the renewal option periods are not included within the lease term and the associated payments are not included in the measurement of the right-of-use asset and lease liability as the options to extend are not reasonably certain at lease commencement. Short-term leases with an initial term of 12 months or less are not recognized in the right-of-use asset and lease liability within the consolidated balance sheets.
The lease liabilities are measured at the lease commencement date and determined using the present value of the minimum lease payments not yet paid and our incremental borrowing rate, which approximates the rate at which we would borrow, on a collateralized basis, over the term of a lease in the applicable currency environment. The interest rate implicit in the lease is generally not determinable in transactions where we are the lessee.
For real estate leases, we account for lease components and non-lease components (such as common area maintenance) as a single lease component. Certain real estate leases require additional payments based on sales volume and index-based rate increases, as well as reimbursement for real estate taxes, common area maintenance, and insurance, which are expensed as incurred as variable lease costs. Certain leases contain fixed lease payments for items such as real estate taxes, common area maintenance, and insurance. These fixed payments are considered part of the lease payment and included in the right-of-use asset and lease liability. See Note 8 for additional information.
DERIVATIVE FINANCIAL INSTRUMENTS. We record all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether we have elected to designate a derivative in a hedging relationship and apply hedge accounting, and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Derivatives may also be designated as hedges of the foreign currency exposure of a net investment in a foreign operation. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. We may enter into derivative contracts that are intended to economically hedge certain of our risk, even though hedge accounting does not apply or we elect not to apply hedge accounting. We are not subject to any master netting agreements.
SUPPLIER FINANCE PROGRAM. We offer voluntary Supply Chain Finance (“SCF”) programs through financial institutions to certain of our suppliers. We agree to commercial terms with our suppliers, including prices, quantities, and payment terms, and they issue invoices to us based on the agreed-upon contractual terms. If our suppliers choose to participate in the SCF programs, they determine which invoices, if any, to sell to the financial institutions to receive an early discounted payment, while we settle the invoice amount with the financial institutions on the payment due dates. We guarantee these payments with the financial institutions.
Amounts due to our suppliers that participate in the SCF programs are included within “Accounts payable” in the accompanying consolidated balance sheets. We have been informed by the participating financial institutions that as of May 31, 2025 and May 31, 2024, suppliers have been approved to sell to them $71 million and $94 million, respectively, of our outstanding payment obligations. A rollforward of obligations confirmed and paid during the years ended May 31 is presented below (in millions):
20252024
Confirmed obligations outstanding at the beginning of the year$94 $83 
Invoices confirmed during the year625 686 
Confirmed invoices paid during the year(651)(678)
Currency translation adjustments
Confirmed obligations outstanding at the end of the year$71 $94 
FOREIGN CURRENCY TRANSLATION. Translation gains and losses of foreign operations that use local currencies as the functional currency are accumulated and reported, net of applicable deferred income taxes, as a component of accumulated other comprehensive loss (“AOCL”) within “Common stockholders’ investment” in the accompanying consolidated balance sheets. Transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the local currency are included within “Other, net” in the accompanying consolidated statements of income and were immaterial for each period presented.
EMPLOYEES UNDER COLLECTIVE BARGAINING ARRANGEMENTS. Our pilots, who are a small number of our total employees, are represented by the Air Line Pilots Association, International (“ALPA”) and are employed under a collective bargaining agreement that took effect on November 2, 2015. The agreement became amendable in November 2021. Bargaining for a successor agreement
began in May 2021, and in November 2022 the National Mediation Board (“NMB”) began actively mediating the negotiations. In July 2023, the pilots failed to ratify the tentative successor agreement that was approved by ALPA’s FedEx Master Executive Council the prior month. Bargaining for a successor agreement continues. In April 2024, the NMB rejected ALPA’s request for a proffer of arbitration. The conduct of mediated negotiations has no effect on our operations. Once a new agreement is ratified, we may amend our pension plan offered to the pilots, which would result in a remeasurement of our pension benefit obligation.
INVESTMENTS IN EQUITY AND DEBT SECURITIES. Investments in equity securities with a readily determinable fair value are carried at fair value. For equity securities without readily determinable fair values that qualify for the net asset value (“NAV”) practical expedient, we have elected to apply the NAV practical expedient to estimate fair value. Changes in fair value are included in “Other income (expense)” in the accompanying consolidated statements of income.
We apply the measurement alternative to all other investments in equity securities without a readily determinable fair value. Under the measurement alternative these equity securities are accounted for at cost, with adjustments for observable changes in prices and impairments included within “Other income (expense)” in the accompanying consolidated statements of income. We perform a qualitative assessment each reporting period to evaluate whether these equity securities are impaired. Our assessment includes a review of recent operating results and trends and other publicly available data. If an investment is impaired, we write it down to its estimated fair value.
Investments in debt securities, which are considered short-term investments, are classified as “available-for-sale” and are carried at fair value. Realized gains and losses on available-for-sale debt securities are included within “Other income (expense)” in the accompanying consolidated statements of income while unrealized gains and losses, net of tax, are included within AOCL in the accompanying consolidated balance sheet.
Investments in equity securities and debt securities are included within “Other assets” and “Prepaid expenses and other,” respectively, in the accompanying consolidated balance sheets.
STOCK-BASED COMPENSATION. The accounting guidance related to share-based payments requires recognition of compensation expense for stock-based awards using a fair value method. We use the Black-Scholes option pricing model to calculate the fair value of stock options. The value of restricted stock awards and restricted stock units (“RSUs”) are based on the stock price of the award on the grant date. We record stock-based compensation expense within “Salaries and employee benefits” in the accompanying consolidated statements of income. We issue new shares or treasury shares from stock repurchases to cover employee stock option exercises and restricted stock grants. Shares not issued for restricted stock grants are available to be issued for stock option grants.
TREASURY SHARES. In December 2021, our Board of Directors authorized a stock repurchase program of up to $5.0 billion of FedEx common stock. In March 2024, our Board of Directors authorized a new stock repurchase program for additional repurchases of up to $5.0 billion of FedEx common stock. As of June 1, 2024, $5.1 billion remained available to be used for repurchases under the 2021 and 2024 programs.
During 2025, we repurchased 10.9 million shares of FedEx common stock under accelerated share repurchase ("ASR") transactions with two banks and open market transactions at an average price of $274.34 per share for a total of $3.0 billion. Share repurchases had a benefit of $0.44 per diluted share in 2025. In fiscal 2026 we have completed $500 million of share repurchases through open market transactions and as of July 21, 2025, $1.6 billion remained available to be used for repurchases under the 2024 program, which is the only program that currently exists. During 2024, we repurchased 9.8 million shares of FedEx common stock at an average price of $255.34 per share for a total of $2.5 billion. During 2023, we repurchased 9.2 million shares of FedEx common stock at an average price of $163.39 per share for a total of $1.5 billion.
The final number of shares delivered upon settlement of the ASR agreements was determined based on a discount to the volume-weighted average price of our stock during the term of the transaction. The repurchased shares were accounted for as a reduction within “Common stockholders’ investment” in the accompanying consolidated balance sheets and resulted in a reduction of the outstanding shares used to calculate the weighted-average common shares outstanding for basic and diluted earnings per share.
Shares under the 2024 repurchase program may be repurchased from time to time in the open market or in privately negotiated transactions. The timing and volume of repurchases are at the discretion of management, based on the capital needs of the business, the market price of FedEx common stock, and general market conditions. No time limits were set for the completion of the programs, however the programs may be suspended or discontinued at any time.
DIVIDENDS DECLARED PER COMMON SHARE. On June 9, 2025, our Board of Directors declared a quarterly cash dividend of $1.45 per share of common stock. The dividend was paid on July 8, 2025 to stockholders of record as of the close of business on June 23, 2025. Each quarterly dividend payment is subject to review and approval by our Board of Directors, and we evaluate our dividend payment amount on an annual basis. There are no material restrictions on our ability to declare dividends, nor are there any material restrictions on the ability of our subsidiaries to transfer funds to us in the form of cash dividends, loans, or advances.
BUSINESS OPTIMIZATION AND REALIGNMENT COSTS. In the second quarter of 2023, we announced DRIVE, a comprehensive program to improve long-term profitability. This program includes a business optimization plan to drive efficiency within and among our transportation segments, lower our overhead and support costs, and transform our digital capabilities. We have commenced our plan to consolidate our sortation facilities and equipment, reduce pickup-and-delivery routes, and optimize our enterprise linehaul network by moving beyond discrete collaboration to an end-to-end optimized network through Network 2.0, the multi-year effort to improve the efficiency with which FedEx picks up, transports, and delivers packages in the U.S. and Canada.
We have implemented Network 2.0 optimization in approximately 290 locations in the U.S and Canada as of May 31, 2025. Service providers will handle the pickup and delivery of Federal Express packages in some locations while employee couriers will handle others. We completed Canada’s implementation of Network 2.0 in the fourth quarter of 2025.
In June 2024, Federal Express announced a workforce reduction plan in Europe as part of its ongoing measures to reduce structural costs. The plan will impact approximately 1,400 employees in Europe across back-office and commercial functions. The execution of the plan is subject to a consultation process that is expected to occur over an 18-month period in accordance with local country processes and regulations. We expect savings from the plan to be approximately $150 million on an annualized basis beginning in calendar 2026.
We expect the pre-tax cost of the severance benefits and legal and professional fees to be provided under and related to our workforce reduction plan in Europe to range from $250 million to $275 million in cash expenditures through fiscal 2026. The timing and amount of our business optimization expenses and the related cost savings from the workforce reduction plan may change as we revise and implement our plans. The identification of costs as business optimization-related expenditures is subject to our disclosure controls and procedures.
We incurred business optimization costs of $756 million ($577 million, net of tax, or $2.37 per diluted share) in 2025, including $235 million of costs related to the workforce reduction plan in Europe. These costs were primarily related to professional services and severance, and are included in Federal Express and Corporate, other, and eliminations. We incurred costs associated with our business optimization activities of $582 million ($444 million, net of tax, or $1.77 per diluted share) in 2024. These costs were primarily related to professional services and severance and are included in Corporate, other, and eliminations and Federal Express. We incurred costs associated with our business optimization activities of $273 million ($209 million, net of tax, or $0.81 per diluted share) in 2023. These costs were primarily related to consulting services, severance, professional fees, and idling our operations in Russia. These business optimization costs are included in Corporate, other, and eliminations and Federal Express. The aggregate pre-tax cost of our business optimization activities was $1.6 billion through 2025.
In 2021, Federal Express announced a workforce reduction plan in Europe related to the network integration of TNT Express. The plan affected approximately 5,000 employees in Europe across operational teams and back-office functions and was completed during 2023. We incurred costs of $36 million ($27 million, net of tax, or $0.11 per diluted share) in 2023 associated with our business realignment activities. These costs were related to certain employee severance arrangements. Payments under this program totaled approximately $118 million in 2023. The cumulative pre-tax cost of our business realignment activities was approximately $430 million. We did not incur any costs related to business realignment activities in 2024 or 2025.
FEDEX FREIGHT SPIN-OFF COSTS. We incurred costs related to the planned spin-off of FedEx Freight of $56 million ($44 million, net of tax, or $0.18 per diluted share) in 2025. These costs are included in Corporate, other, and eliminations and consist of $38 million of professional and legal fees included within “Other” operating expenses and $18 million related to the debt exchange offer and consent solicitation transactions discussed in Note 7 included within “Other, net” in the accompanying consolidated statements of income. We did not incur any FedEx Freight spin-off costs in 2024.
USE OF ESTIMATES. The preparation of our consolidated financial statements requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, the reported amounts of revenue and expenses, and the disclosure of contingent liabilities. Management makes its best estimate of the ultimate outcome for these items based on historical trends and other information available when the financial statements are prepared. Changes in estimates are recognized in accordance with the accounting rules for the estimate, which is typically in the period when new information becomes available to management. Areas where the nature of the estimate makes it reasonably possible that actual results could materially differ from amounts estimated include self-insurance accruals, retirement plan obligations, long-term incentive accruals, tax liabilities, loss contingencies, litigation claims, impairment assessments on long-lived assets (including goodwill) that rely on projections of future cash flows, and purchase price allocations.
v3.25.2
RECENT ACCOUNTING GUIDANCE
12 Months Ended
May 31, 2025
Accounting Standards Update and Change in Accounting Principle [Abstract]  
RECENT ACCOUNTING GUIDANCE RECENT ACCOUNTING GUIDANCE
New accounting rules and disclosure requirements can significantly affect our reported results and the comparability of our financial statements. We believe the following new accounting guidance is relevant to the readers of our financial statements.
Recently Adopted Accounting Standards
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which expands disclosures about a public entity’s reportable segments and requires more enhanced information about a reportable segment’s expenses, interim segment profit or loss, and how a public entity’s chief operating decision maker uses reported segment profit or loss information in assessing segment performance and allocating resources. We adopted this standard effective June 1, 2024 (fiscal 2025). The adoption of this standard did not have a material effect on our consolidated financial statements or internal controls. See Note 15 for further discussion about segment reporting.
New Accounting Standards and Accounting Standards Not Yet Adopted
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which expands disclosures in an entity’s income tax rate reconciliation table and regarding cash taxes paid both in the U.S. and foreign jurisdictions. The update will be effective for annual periods beginning after December 15, 2024 (fiscal 2026). We are assessing the effect of this update on our consolidated financial statements and related disclosures.
In March 2024, the Securities and Exchange Commission (“SEC”) adopted final rules requiring public entities to provide certain climate-related information in their registration statements and annual reports. As part of the disclosures, entities would have been required to quantify certain effects of severe weather events and other natural conditions in a note to their audited financial statements. The rules were originally scheduled to be effective for annual periods beginning in calendar 2025. In April 2024, the SEC voluntarily stayed implementation of the final rules pending certain legal challenges and in February 2025 requested that the court not schedule the matter for argument in order to allow time for the SEC to determine appropriate next steps. In March 2025, the SEC withdrew its defense of the rules. We are currently evaluating the status of these rules and the related litigation.
In November 2024, the FASB issued ASU 2024-03, Income Statement–Reporting Comprehensive Income–Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which expands disclosures about specific expense categories at interim and annual reporting periods. The update will be effective for annual periods beginning after December 15, 2026 and interim periods beginning after December 15, 2027. We are assessing the effect of this update on our consolidated financial statements and related disclosures.
Other accounting pronouncements issued, but not effective until after May 31, 2025, are not expected to have a material impact on our consolidated financial statements, related disclosures, or internal controls.
v3.25.2
CREDIT LOSSES
12 Months Ended
May 31, 2025
Credit Loss [Abstract]  
CREDIT LOSSES CREDIT LOSSES
We are exposed to credit losses primarily through our trade receivables. We assess ability to pay for certain customers by conducting a credit review, which considers the customer’s established credit rating and our assessment of creditworthiness. We determine the allowance for credit losses on accounts receivable using a combination of specific reserves for accounts that are deemed to exhibit credit loss indicators and general reserves that are determined using loss rates based on historical write-offs by geography and recent forecast information, including underlying economic expectations. We update our estimate of credit loss reserves quarterly.
Credit losses were $521 million in 2025, $421 million in 2024, and $696 million in 2023. Our allowance for credit losses was $438 million at May 31, 2025 and $436 million at May 31, 2024.
v3.25.2
BUSINESS COMBINATIONS
12 Months Ended
May 31, 2025
Business Combination [Abstract]  
BUSINESS COMBINATIONS BUSINESS COMBINATIONS
On February 4, 2025, we acquired RouteSmart Technologies, Inc. (“RouteSmart”), a global leader in route planning and optimization solutions, for $113 million in FedEx common shares from treasury stock and cash from operations. The majority of the purchase price was allocated to intangible assets and goodwill. The financial results of RouteSmart are included in the FedEx Dataworks, Inc. (“FedEx Dataworks”) operating segment under “Corporate, other and eliminations” from the date of acquisition and were not material to our results of operations or financial condition; therefore, pro forma financial information has not been provided.
v3.25.2
GOODWILL AND OTHER INTANGIBLE ASSETS
12 Months Ended
May 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS GOODWILL AND OTHER INTANGIBLE ASSETS
GOODWILL. The carrying amount of goodwill attributable to each reportable operating segment and changes therein are as follows (in millions):
Federal Express
Segment
FedEx Freight
Segment
Corporate, Other, and EliminationsTotal
Goodwill at May 31, 2023$5,781 $771 $1,961 $8,513 
Accumulated impairment charges— (133)(1,945)(2,078)
Balance as of May 31, 20235,781 638 16 6,435 
Other(1)
(12)— — (12)
Balance as of May 31, 20245,769 638 16 6,423 
Goodwill acquired(2)
38 — — 38 
Other(1)
142 — — 142 
Balance as of May 31, 2025$5,949 $638 $16 $6,603 
Accumulated goodwill impairment charges as of May 31, 2025$— $(133)$(1,945)$(2,078)
(1)Primarily currency translation adjustments.
(2)Goodwill acquired related to the acquisition of RouteSmart Technologies. See Note 4 for more information.
We evaluated each of our reporting units during the fourth quarters of 2025 and 2024 and the estimated fair value of each of our reporting units exceeded their carrying values as of the end of 2025 and 2024; therefore, no impairment was recorded during any of the years presented.
In connection with our annual impairment testing of goodwill conducted in the fourth quarter of 2023, we recorded an impairment charge of $36 million for all of the goodwill attributable to our FedEx Dataworks reporting unit. The key factors contributing to the goodwill impairment were underperformance of the ShopRunner business during 2023, including base business erosion, and the failure to attain the level of operating synergies and revenue and profit growth anticipated at the time of acquisition. Based on these factors, our outlook for the business changed in the fourth quarter of 2023.
OTHER INTANGIBLE ASSETS. The summary of our intangible assets and related accumulated amortization at May 31, 2025 and 2024 is as follows (in millions):
20252024
Gross
Carrying
Amount
Accumulated
Amortization
Net Book
Value
Gross
Carrying
Amount
Accumulated
Amortization
Net Book
Value
Customer relationships$580 $(454)$126 $570 $(405)$165 
Technology132 (53)79 62 (46)16 
Trademarks and other(1)— (1)— 
Total$713 $(508)$205 $633 $(452)$181 
As part of our review of long-lived assets in the fourth quarter of 2025 and 2024, there were no impairments recorded for our reporting units. During the fourth quarter of 2023, we recognized an $11 million asset impairment charge related to customer relationships from the ShopRunner acquisition.
Amortization expense for intangible assets was $48 million in 2025, $47 million in 2024, and $52 million in 2023.
Expected amortization expense for the next five years is as follows (in millions):
2026$54 
202753 
202850 
202911 
2030$10 
v3.25.2
SELECTED CURRENT LIABILITIES
12 Months Ended
May 31, 2025
Accounts Payable and Accrued Liabilities, Fair Value Disclosure [Abstract]  
SELECTED CURRENT LIABILITIES SELECTED CURRENT LIABILITIES
The components of selected current liability captions at May 31 were as follows (in millions)
20252024
Accrued salaries and employee benefits
Salaries$1,083 $757 
Employee benefits, including variable compensation796 977 
Compensated absences852 939 
$2,731 $2,673 
Accrued expenses
Self-insurance accruals$1,858 $1,931 
Taxes other than income taxes372 334 
Other2,765 2,697 
$4,995 $4,962 
v3.25.2
LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS
12 Months Ended
May 31, 2025
Debt and Lease Obligation [Abstract]  
LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS
The components of long-term debt (net of discounts and debt issuance costs), along with maturity dates for the years subsequent to May 31, 2025, are as follows (in millions):
May 31,
Interest Rate %Maturity20252024
Senior secured debt:
1.875 2034$729 $780 
Senior unsecured debt:
3.25 2026749 748 
3.40 2028498 498 
4.20 2029398 398 
3.10-4.25
20301,738 1,739 
2.40 2031992 992 
4.90 2034496 497 
3.90 2035495 495 
3.25 2041740 740 
3.875-4.10
2043985 986 
5.10 2044742 743 
4.10 2045641 642 
4.55-4.75
20462,462 2,464 
4.40 2047736 737 
4.05 2048986 987 
4.95 2049835 836 
5.25 20501,225 1,227 
4.50 2065245 246 
7.60 2098237 237 
Euro senior unsecured debt:
0.45 2026569 542 
1.625 20271,422 1,353 
0.45 2029679 647 
1.30 2032566 539 
0.95 2033734 699 
Total senior unsecured debt19,170 18,992 
Finance lease obligations680 431 
20,579 20,203 
Less current portion1,428 68 
$19,151 $20,135 
Interest on our U.S. dollar fixed-rate notes is paid semi-annually. Interest on our euro fixed-rate notes is paid annually. The weighted-average interest rate on long-term debt was 3.5% as of May 31, 2025. Long-term debt, including current maturities and exclusive of
finance leases, had estimated fair values of $17.2 billion at May 31, 2025 and $17.5 billion at May 31, 2024. The estimated fair values were determined based on quoted market prices and the current rates offered for debt with similar terms and maturities. The fair value of our long-term debt is classified as Level 2 within the fair value hierarchy. This classification is defined as a fair value determined using market-based inputs other than quoted prices that are observable for the liability, either directly or indirectly.
We have a shelf registration statement filed with the SEC that allows us to sell, in one or more future offerings, any combination of our unsecured debt securities and common stock and allows pass-through trusts formed by Federal Express to sell, in one or more future offerings, pass-through certificates.
Federal Express has issued $970 million of Pass-Through Certificates, Series 2020-1AA (the “Certificates”) with a fixed interest rate of 1.875% due in February 2034 utilizing pass-through trusts. The Certificates are secured by 19 Boeing aircraft with a net book value of $1.6 billion at May 31, 2025. The payment obligations of Federal Express in respect of the Certificates are fully and unconditionally guaranteed by FedEx.
The following table sets forth the future scheduled principal payments due by fiscal year on our long-term debt (in millions):
Debt Principal
2026$1,371 
20271,476 
2028552 
20291,135 
20301,802 
Thereafter13,777 
Subtotal20,113 
Discount and debt issuance costs$(214)
Total debt$19,899 
Exchange Offers and Consent Solicitations
In January 2025, in connection with the planned separation of FedEx Freight, we commenced offers to exchange any and all of $16.2 billion of FedEx’s outstanding senior notes (22 series in total) for new notes to be issued by FedEx. Concurrently with the exchange offers, we also solicited consents from eligible holders of such notes to adopt certain proposed amendments to each of the indentures governing such notes to provide for the automatic and unconditional release and discharge of the guarantee of FedEx Freight with respect to that series of notes at the time FedEx Freight ceases to be a subsidiary of FedEx in connection with the planned separation (the “Proposed Amendments”).
We completed the exchange offers and consent solicitations in February 2025. An aggregate of $10.7 billion principal amount of U.S. dollar-denominated notes and €940 million principal amount of euro-denominated notes were validly tendered and not properly withdrawn, and the requisite consents were received to adopt the Proposed Amendments with respect to an aggregate of $15.9 billion principal amount of our outstanding senior notes (21 of the 22 series in scope). The new notes issued in connection with the exchange offer have the same interest rate, interest payment dates, maturity date, and optional redemption provisions as the corresponding series of existing notes; provided that (a) the methodology for calculating any make-whole redemption price for the USD-denominated notes will reflect the SIFMA model provisions and (b) FedEx will be permitted to deliver notices of redemption that are subject to one or more conditions precedent with respect to the notes.
Credit Agreements
We have a $1.75 billion three-year credit agreement (the “Three-Year Credit Agreement”) and a $1.75 billion five-year credit agreement (the “Five-Year Credit Agreement” and together with the Three-Year Credit Agreement, the “Credit Agreements”). The Three-Year Credit Agreement and the Five-Year Credit Agreement expire in March 2027 and March 2029, respectively, and each has a $125 million letter of credit sublimit. The Credit Agreements are available to finance our operations and other cash flow needs. As of May 31, 2025, no amounts were outstanding under the Credit Agreements, no commercial paper was outstanding, and we had $250 million of the letter of credit sublimit unused under the Credit Agreements. Outstanding commercial paper reduces the amount available to borrow under the Credit Agreements.
Our Credit Agreements contain a financial covenant requiring us to maintain a ratio of debt (excluding up to $500 million of unrestricted cash and cash equivalents) to consolidated earnings (excluding noncash retirement plans mark-to-market adjustments, noncash pension service costs, noncash asset impairment charges, business optimization and restructuring expenses, and pro forma cost savings and synergies associated with an acquisition) before interest, taxes, depreciation, and amortization (“adjusted EBITDA”)
of not more than 3.5 to 1.0, calculated as of the last day of each fiscal quarter on a rolling four-quarters basis. The aggregate amount of adjustments for business optimization and restructuring expenses and pro forma cost savings and synergies associated with an acquisition may not exceed 10% of adjusted EBITDA (calculated after giving effect to any such addback and such cap and all other permitted addbacks and adjustments) in any period. Additionally, following the consummation of an acquisition for which the aggregate cash consideration is at least $250 million, FedEx may elect to increase the ratio to 4.0 to 1.0 with respect to the last day of the fiscal quarter during which such acquisition is consummated and the last day of each of the immediately following three consecutive fiscal quarters, provided that there must be at least two consecutive fiscal quarters between such elections during which the ratio is 3.5 to 1.0. The ratio of our debt to adjusted EBITDA was 1.9 to 1.0 at May 31, 2025.
The financial covenant discussed above is the only significant restrictive covenant in the Credit Agreements. The Credit Agreements contain other customary covenants that do not, individually or in the aggregate, materially restrict the conduct of our business. We are in compliance with the financial covenant and all other covenants in the Credit Agreements and do not expect the covenants to affect our operations, including our liquidity or expected funding needs. If we failed to comply with the financial covenant or any other covenants in the Credit Agreements, our access to financing could become limited. Our commercial paper program is backed by unused commitments under the Credit Agreements.
v3.25.2
LEASES
12 Months Ended
May 31, 2025
Leases [Abstract]  
LEASES LEASES
The following table is a summary of the components of net lease cost for the period ended May 31 (in millions)
20252024
Operating lease cost$3,421 $3,326 
Finance lease cost:
Amortization of right-of-use assets31 30 
Interest on lease liabilities17 24 
Total finance lease cost48 54 
Short-term lease cost484 494 
Variable lease cost1,840 1,714 
Net lease cost$5,793 $5,588 
Supplemental cash flow information related to leases for the period ended May 31 is as follows (in millions):
20252024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases$3,422 $3,319 
Operating cash flows paid for interest portion of finance leases17 15 
Financing cash flows paid for principal portion of finance leases101 80 
Right-of-use assets obtained in exchange for new operating lease liabilities1,945 2,083 
Right-of-use assets obtained in exchange for new finance lease liabilities352 10 
Supplemental balance sheet information related to leases as of May 31 is as follows (dollars in millions):
20252024
Operating leases:
Operating lease right-of-use assets, net$16,453$17,115
Current portion of operating lease liabilities$2,565$2,463
Operating lease liabilities14,27215,053
Total operating lease liabilities$16,837$17,516
Finance leases:
Net property and equipment$621$373
Current portion of long-term debt$59$18
Long-term debt, less current portion621413
Total finance lease liabilities$680$431
Weighted-average remaining lease term:
Operating leases9.79.5
Finance leases19.629.8
Weighted-average discount rate:
Operating leases3.98 %3.79 %
Finance leases3.90 %3.63 %
We utilize certain aircraft, land, facilities, retail locations, and equipment under finance and operating leases that expire at various dates through 2078. We leased less than 1% of our total aircraft fleet under operating leases as of May 31, 2025 and less than 1% as of May 31, 2024. A portion of our supplemental aircraft are leased by us under agreements that provide for cancellation upon 30 days’ notice. Our leased facilities include national, regional, and metropolitan sorting facilities; retail facilities; and administrative buildings.
A summary of future minimum lease payments under non-cancelable operating and finance leases with an initial or remaining term in excess of one year at May 31, 2025 is as follows (in millions):
Aircraft
and Related
Equipment
Facilities
and Other
Total
Operating
Leases
Finance LeasesTotal Leases
2026$126 $2,881 $3,007 $84 $3,091 
2027124 2,811 2,935 85 3,020 
2028124 2,450 2,574 84 2,658 
2029117 2,071 2,188 82 2,270 
203047 1,731 1,778 74 1,852 
Thereafter90 7,817 7,907 610 8,517 
Total lease payments628 19,761 20,389 1,019 21,408 
Less imputed interest(67)(3,485)(3,552)(339)(3,891)
Present value of lease liability$561 $16,276 $16,837 $680 $17,517 
While certain of our lease agreements contain covenants governing the use of the leased assets or require us to maintain certain levels of insurance, none of our lease agreements include material financial covenants or limitations.
As of May 31, 2025, FedEx has entered into additional leases which have not yet commenced and are therefore not part of the right-of-use asset and liability. These leases are generally for build-to-suit facilities and equipment and have undiscounted future payments of approximately $1.1 billion and will commence when FedEx gains beneficial access to the leased asset. Commencement dates are expected to be from calendar years 2025 to 2026.
Federal Express makes payments under certain leveraged operating leases that are sufficient to pay principal and interest on certain pass-through certificates. The pass-through certificates are not direct obligations of, or guaranteed by, FedEx or Federal Express.
We are the lessee under certain leases covering a portion of our leased aircraft in which the lessors are trusts established specifically to purchase, finance, and lease these aircraft to us. These leasing entities are variable interest entities. We are not the primary beneficiary of the leasing entities, as the lease terms are at market at the inception of the lease and do not include a residual value guarantee, fixed-price purchase option, or similar feature that obligates us to absorb decreases in value or entitles us to participate in increases in the value of the aircraft. Therefore, we are not required to consolidate any of these entities as the primary beneficiary. Our maximum exposure under these leases is included in the summary of future minimum lease payments.
LEASES LEASES
The following table is a summary of the components of net lease cost for the period ended May 31 (in millions)
20252024
Operating lease cost$3,421 $3,326 
Finance lease cost:
Amortization of right-of-use assets31 30 
Interest on lease liabilities17 24 
Total finance lease cost48 54 
Short-term lease cost484 494 
Variable lease cost1,840 1,714 
Net lease cost$5,793 $5,588 
Supplemental cash flow information related to leases for the period ended May 31 is as follows (in millions):
20252024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases$3,422 $3,319 
Operating cash flows paid for interest portion of finance leases17 15 
Financing cash flows paid for principal portion of finance leases101 80 
Right-of-use assets obtained in exchange for new operating lease liabilities1,945 2,083 
Right-of-use assets obtained in exchange for new finance lease liabilities352 10 
Supplemental balance sheet information related to leases as of May 31 is as follows (dollars in millions):
20252024
Operating leases:
Operating lease right-of-use assets, net$16,453$17,115
Current portion of operating lease liabilities$2,565$2,463
Operating lease liabilities14,27215,053
Total operating lease liabilities$16,837$17,516
Finance leases:
Net property and equipment$621$373
Current portion of long-term debt$59$18
Long-term debt, less current portion621413
Total finance lease liabilities$680$431
Weighted-average remaining lease term:
Operating leases9.79.5
Finance leases19.629.8
Weighted-average discount rate:
Operating leases3.98 %3.79 %
Finance leases3.90 %3.63 %
We utilize certain aircraft, land, facilities, retail locations, and equipment under finance and operating leases that expire at various dates through 2078. We leased less than 1% of our total aircraft fleet under operating leases as of May 31, 2025 and less than 1% as of May 31, 2024. A portion of our supplemental aircraft are leased by us under agreements that provide for cancellation upon 30 days’ notice. Our leased facilities include national, regional, and metropolitan sorting facilities; retail facilities; and administrative buildings.
A summary of future minimum lease payments under non-cancelable operating and finance leases with an initial or remaining term in excess of one year at May 31, 2025 is as follows (in millions):
Aircraft
and Related
Equipment
Facilities
and Other
Total
Operating
Leases
Finance LeasesTotal Leases
2026$126 $2,881 $3,007 $84 $3,091 
2027124 2,811 2,935 85 3,020 
2028124 2,450 2,574 84 2,658 
2029117 2,071 2,188 82 2,270 
203047 1,731 1,778 74 1,852 
Thereafter90 7,817 7,907 610 8,517 
Total lease payments628 19,761 20,389 1,019 21,408 
Less imputed interest(67)(3,485)(3,552)(339)(3,891)
Present value of lease liability$561 $16,276 $16,837 $680 $17,517 
While certain of our lease agreements contain covenants governing the use of the leased assets or require us to maintain certain levels of insurance, none of our lease agreements include material financial covenants or limitations.
As of May 31, 2025, FedEx has entered into additional leases which have not yet commenced and are therefore not part of the right-of-use asset and liability. These leases are generally for build-to-suit facilities and equipment and have undiscounted future payments of approximately $1.1 billion and will commence when FedEx gains beneficial access to the leased asset. Commencement dates are expected to be from calendar years 2025 to 2026.
Federal Express makes payments under certain leveraged operating leases that are sufficient to pay principal and interest on certain pass-through certificates. The pass-through certificates are not direct obligations of, or guaranteed by, FedEx or Federal Express.
We are the lessee under certain leases covering a portion of our leased aircraft in which the lessors are trusts established specifically to purchase, finance, and lease these aircraft to us. These leasing entities are variable interest entities. We are not the primary beneficiary of the leasing entities, as the lease terms are at market at the inception of the lease and do not include a residual value guarantee, fixed-price purchase option, or similar feature that obligates us to absorb decreases in value or entitles us to participate in increases in the value of the aircraft. Therefore, we are not required to consolidate any of these entities as the primary beneficiary. Our maximum exposure under these leases is included in the summary of future minimum lease payments.
v3.25.2
PREFERRED STOCK
12 Months Ended
May 31, 2025
Preferred Stock [Abstract]  
PREFERRED STOCK PREFERRED STOCKOur Certificate of Incorporation authorizes the Board of Directors, at its discretion, to issue up to 4,000,000 shares of preferred stock. The stock is issuable in series, which may vary as to certain rights and preferences, and has no par value. As of May 31, 2025, none of these shares had been issued.
v3.25.2
ACCUMULATED OTHER COMPREHENSIVE LOSS
12 Months Ended
May 31, 2025
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
ACCUMULATED OTHER COMPREHENSIVE LOSS ACCUMULATED OTHER COMPREHENSIVE LOSS
The following table provides changes in AOCL, net of tax, reported in the consolidated financial statements for the years ended May 31 (in millions; amounts in parentheses indicate debits to AOCL):
202520242023
Foreign currency translation loss:
Balance at beginning of period$(1,422)$(1,362)$(1,148)
Translation adjustments(60)(214)
Balance at end of period(1,420)(1,422)(1,362)
Retirement plans adjustments:
Balance at beginning of period63 35 45 
Prior service credit arising during period— 36 — 
Amortization of prior service credits(5)(8)(10)
Balance at end of period58 63 35 
AOCL at end of period$(1,362)$(1,359)$(1,327)
v3.25.2
STOCK-BASED COMPENSATION
12 Months Ended
May 31, 2025
Share-Based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
Our total stock-based compensation expense for the years ended May 31 was as follows (in millions):
202520242023
Stock-based compensation expense$154 $163 $182 
We have three types of equity-based compensation: stock options, restricted stock, and RSUs.
STOCK OPTIONS. Under the provisions of our incentive stock plan, key employees and non-employee directors may be granted options to purchase shares of our common stock at a price not less than its fair market value on the date of grant. Vesting requirements are determined at the discretion of the Compensation and Human Resources Committee of our Board of Directors. Option-vesting periods range from one to four years, with the majority of our options vesting ratably over four years. Compensation expense associated with these awards is recognized on a straight-line basis over the requisite service period of the award.
RESTRICTED STOCK AND RSUs. Under the terms of our incentive stock plan, restricted shares of our common stock are awarded to key employees and RSUs are awarded to non-employee directors. Restrictions on shares of restricted stock expire ratably over a four-year period and restrictions on the RSUs expire after one year (or the date of the next annual meeting of stockholders, if earlier). Restricted stock and RSUs are valued at the market price on the date of award. The terms of our restricted stock provide for continued vesting subsequent to the employee’s retirement. Compensation expense associated with these awards is recognized on a straight-line basis over the shorter of the requisite service period or the stated vesting period.
ASSUMPTIONS. The key assumptions for the Black-Scholes valuation method include the expected life of the option, stock price volatility, a risk-free interest rate, and dividend yield. The following table includes the weighted-average Black-Scholes value per share of our stock option grants, the intrinsic value of options exercised (in millions), and the key weighted-average assumptions used in the valuation calculations for options granted during the years ended May 31, followed by a discussion of our methodology for developing each of the assumptions used in the valuation model:
202520242023
Weighted-average Black-Scholes value per share$104.42$79.48$63.44
Intrinsic value of options exercised$263$290$160
Black-Scholes assumptions:
Expected lives6.3 years6.4 years6.4 years
Expected volatility37%35%34%
Risk-free interest rate4.59%3.94%1.68%
Dividend yield1.840%2.030%1.694%
The expected life represents an estimate of the period of time options are expected to remain outstanding, and we examine actual stock option exercises to determine the expected life of the options. Options granted have a maximum term of 10 years. Expected volatilities are based on the actual changes in the market value of our stock and are calculated using daily market value changes from the date of grant over a past period equal to the expected life of the options. The risk-free interest rate is the U.S. Treasury Strip rate posted at the date of grant having a term equal to the expected life of the option. The expected dividend yield is the annual rate of dividends per share over the exercise price of the option.
The following table summarizes information regarding stock option activity for the year ended May 31, 2025:
Stock Options
SharesWeighted-
Average
Exercise
Price
Weighted-
Average
Remaining
Contractual
Term
Aggregate
Intrinsic Value
(in millions)
(1)
Outstanding at June 1, 202413,457,990 $210.35 
Granted1,447,141 $285.19 
Exercised(2,733,218)$191.57 
Forfeited(459,561)$245.35 
Outstanding at May 31, 202511,712,352 $222.31 5.6$251 
Exercisable8,263,050 $209.31 4.6$244 
Expected to vest3,054,819 $253.99 8.2$
Available for future grants10,976,914 
(1)Only presented for options with market value at May 31, 2025 in excess of the exercise price of the option.
The options granted during 2025 are primarily related to our principal annual stock option grant in June 2024.
The following table summarizes information regarding vested and unvested restricted stock and RSUs for the year ended May 31, 2025:
Restricted Stock and RSUs
Shares/UnitsWeighted-
Average
Grant Date
Fair Value
Unvested at June 1, 2024349,972 $226.11 
Granted150,967 276.44 
Vested(185,286)214.78 
Forfeited(9,374)243.67 
Unvested at May 31, 2025306,279 $253.66 
Available for future grants609,193 
During the year ended May 31, 2024, there were 169,371 shares of restricted stock granted with a weighted-average fair value of $239.33 per share. During the year ended May 31, 2023, there were 160,286 shares of restricted stock granted with a weighted-average fair value of $208.57 per share.
Stock option vesting during the years ended May 31 was as follows:
Stock Options
Vested during
the year
Fair value
(in millions)
20251,896,584 $116 
20242,599,042 137 
20232,711,215 $137 
As of May 31, 2025, there was $219 million of total unrecognized compensation cost, net of estimated forfeitures, related to unvested share-based compensation arrangements. This compensation expense is expected to be recognized on a straight-line basis over the remaining weighted-average vesting period of approximately two years.
Total shares outstanding or available for grant related to equity compensation at May 31, 2025 represented 9% of the total outstanding common and equity compensation shares and equity compensation shares available for grant.
v3.25.2
COMPUTATION OF EARNINGS PER SHARE
12 Months Ended
May 31, 2025
Earnings Per Share [Abstract]  
COMPUTATION OF EARNINGS PER SHARE COMPUTATION OF EARNINGS PER SHARE
The calculation of basic and diluted earnings per common share for the years ended May 31 was as follows (in millions, except per share amounts):
202520242023
Basic earnings per common share:
Net earnings allocable to common shares(1)
$4,087 $4,325 $3,966 
Weighted-average common shares241248254
Basic earnings per common share$16.96 $17.41 $15.60 
Diluted earnings per common share:
Net earnings allocable to common shares(1)
$4,087 $4,325 $3,966 
Weighted-average common shares241248254
Dilutive effect of share-based awards232
Weighted-average diluted shares243251256
Diluted earnings per common share$16.81 $17.21 $15.48 
Anti-dilutive options excluded from diluted earnings per common share4.95.87.4
(1)Net earnings available to participating securities were $5 million in 2025, $6 million in 2024, and $6 million in 2023.
v3.25.2
INCOME TAXES
12 Months Ended
May 31, 2025
Income Tax Disclosure [Abstract]  
INCOME TAXES INCOME TAXES
The components of the provision for income taxes for the years ended May 31 were as follows (in millions):
202520242023
Current provision
Domestic:
Federal$891 $1,184 $579 
State and local146 218 157 
Foreign359 265 209 
1,396 1,667 945 
Deferred provision
Domestic:
Federal(302)(82)369 
State and local20 60 37 
Foreign235 (140)40 
(47)(162)446 
Total Provision$1,349 $1,505 $1,391 
Pre-tax earnings of foreign operations for 2025, 2024, and 2023 were $1.8 billion, $0.5 billion, and $0.6 billion, respectively. These amounts represent only a portion of total results associated with international shipments and do not represent our international results of operations.
A reconciliation of total income tax expense and the amount computed by applying the statutory federal income tax to income before income taxes for the years ended May 31 is as follows (dollars in millions):
202520242023
Taxes computed at federal statutory rate$1,143 $1,226 $1,126 
Increases (decreases) in income tax from:
U.S. and foreign return-to-provision adjustments11 (44)
State and local income taxes, net of federal benefit137 177 152 
Foreign operations101 65 96 
Non-deductible expenses72 48 40 
Uncertain tax positions(5)(21)60 
Benefits from share-based payments(18)(26)(18)
Valuation allowance21 59 59 
Foreign tax rate enactments— 
State deferred tax remeasurement— 54 — 
Goodwill impairment charges— — 
Corporate structuring transactions(66)— — 
Other, net(47)(88)(91)
Provision for income taxes$1,349 $1,505 $1,391 
Effective Tax Rate24.8 %25.8 %25.9 %
The 2025 tax provision includes an income tax benefit of $66 million from the write-off of U.S. deferred tax balances due to corporate structuring transactions.
The 2024 tax provision includes an unfavorable income tax expense of $54 million from the remeasurement of U.S. state deferred tax balances to reflect aggregate temporary differences at the expected applicable tax rates after the merger of FedEx Ground and FedEx Services into Federal Express Corporation.
The 2023 tax provision was negatively impacted by an expense of $46 million related to a write-down and valuation allowance on certain foreign tax credit carryforwards due to operational changes which impacted the determination of the realizability of the deferred tax asset. The 2023 tax provision was also negatively impacted by lower earnings in certain non-U.S. jurisdictions.
We regularly assess the need for cash in the U.S., as well as in our foreign subsidiaries, and will occasionally repatriate back to the U.S. excess earnings above working capital needs that can be repatriated with an immaterial tax cost. We assert all other earnings, both historical and current in our foreign subsidiaries, are permanently reinvested and therefore no deferred taxes or withholding taxes have been provided, including deferred taxes on any additional outside basis difference (e.g., stock basis differences attributable to acquisition or other permanent differences). Determination of the amount of unrecognized deferred income tax liability related to any remaining undistributed foreign earnings and additional outside basis differences is not practicable.
The significant components of deferred tax assets and liabilities as of May 31 were as follows (in millions):
20252024
Deferred Tax
Assets
Deferred Tax
Liabilities
Deferred Tax
Assets
Deferred Tax
Liabilities
Property, equipment, leases, and intangibles$4,515 $10,434 $4,597 $10,815 
Employee benefits725 291 744 68 
Self-insurance accruals1,247 — 1,183 — 
Other591 42 561 140 
Net operating loss/credit carryforwards1,123 — 1,306 — 
Valuation allowances(523)— (537)— 
$7,678 $10,767 $7,854 $11,023 
The net deferred tax liabilities as of May 31 have been classified in the balance sheets as follows (in millions):
20252024
Noncurrent deferred tax assets(1)
$1,116 $1,313 
Noncurrent deferred tax liabilities(4,205)(4,482)
$(3,089)$(3,169)
(1)Noncurrent deferred tax assets are included within “Other Assets” in the accompanying consolidated balance sheets.
We have approximately $3.2 billion of net operating loss carryovers in various foreign jurisdictions, $1.4 billion of state operating loss carryovers, and $139 million of U.S. federal operating loss and capital loss carryovers. The valuation allowances primarily represent amounts reserved for operating loss carryforwards, which expire over varying periods starting in 2026. Therefore, we establish valuation allowances if it is more likely than not that deferred income tax assets will not be realized. The total change in the valuation allowance reflects certain balance sheet items. Income statement impacts are reflected in our effective tax rate reconciliation. The decrease in the valuation allowance during 2025 includes a $42 million increase related to foreign net operating losses, which includes a $21 million increase in a branch valuation allowance which has been offset by a corresponding deferred tax asset in the U.S. We believe that we will generate sufficient future taxable income to realize the tax benefits related to the remaining net deferred tax assets in the consolidated balance sheets. See Note 1 for more information on our policy for assessing the recoverability of deferred tax assets and valuation allowances.
We are subject to taxation in the U.S. and various U.S. state, local, and foreign jurisdictions. We are currently under examination by the Internal Revenue Service for the 2016 through 2021 tax years. It is reasonably possible that certain income tax return proceedings will be completed during the next 12 months and could result in a change in our balance of unrecognized tax benefits. However, we believe we have recorded adequate amounts of tax, including interest and penalties, for any adjustments expected to occur.
During 2021, we filed suit in U.S. District Court for the Western District of Tennessee challenging the validity of a tax regulation related to the one-time transition tax on unrepatriated foreign earnings, which was enacted as part of the Tax Cuts and Jobs Act (“TCJA”). Our lawsuit sought to have the court declare this regulation invalid and order the refund of overpayments of U.S. federal income taxes for 2018 and 2019 attributable to the denial of foreign tax credits under the regulation. We have recorded a cumulative benefit of $249 million attributable to our interpretation of the TCJA and the Internal Revenue Code. In March 2023, the District Court ruled that the regulation is invalid and contradicts the plain terms of the tax code. On February 13, 2025, the District Court ruled again in our favor with regard to a new argument raised by the U.S. government. On June 4, 2025, the District Court validated the amount of refunds owed for 2018 and 2019, which includes the foreign tax credits previously denied. The U.S. government has until August 4, 2025, to appeal the decision to the U.S. Court of Appeals for the Sixth Circuit. If we are ultimately unsuccessful in defending our position, we may be required to reverse the benefit previously recorded.
A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended May 31 is as follows (in millions):
202520242023
Balance at beginning of year$186 $212 $169 
Increases for tax positions taken in the current year31 
Increases for tax positions taken in prior years33 68 
Decreases for tax positions taken in prior years(11)(3)(7)
Settlements(87)(31)(15)
Changes due to currency translation(1)(6)
Balance at end of year$155 $186 $212 
Our liabilities recorded for uncertain tax positions include $149 million at May 31, 2025 and $184 million at May 31, 2024 associated with positions that, if favorably resolved, would provide a benefit to our income tax expense. We classify interest related to income tax liabilities as interest expense and, if applicable, penalties are recognized as a component of income tax expense. The balance of accrued interest and penalties was $35 million at May 31, 2025 and $59 million at May 31, 2024.
It is difficult to predict the ultimate outcome or the timing of resolution for tax positions. Changes may result from the conclusion of ongoing audits, appeals, or litigation in state, local, federal, and foreign tax jurisdictions, or from the resolution of various proceedings between U.S. and foreign tax authorities. It is reasonably possible that the amount of the benefit with respect to certain of our unrecognized tax positions will increase or decrease within the next 12 months. However, estimates of the amounts or ranges for individual matters where a material change is reasonably possible cannot be made. We believe we have recorded adequate amounts of tax reserves, including interest and penalties, for any adjustments that may occur.
v3.25.2
RETIREMENT PLANS
12 Months Ended
May 31, 2025
Retirement Benefits [Abstract]  
RETIREMENT PLANS RETIREMENT PLANS
We sponsor programs that provide retirement benefits to most of our employees. These programs include defined benefit pension plans, defined contribution plans, and postretirement healthcare plans.
The accounting guidance related to postretirement benefits requires recognition in the balance sheet of the funded status of defined benefit pension and other postretirement benefit plans, and the recognition in either expense or accumulated other comprehensive income of unrecognized gains or losses and prior service costs or credits. We use MTM accounting for the recognition of our actuarial gains and losses related to our defined benefit pension and postretirement healthcare plans as described in Note 1. The funded status is measured as the difference between the fair value of the plan’s assets and the PBO of the plan.
A summary of our retirement plan costs for the years ended May 31 is as follows (in millions):
202520242023
Defined benefit pension plans$278 $363 $236 
Defined contribution plans1,144 968 955 
Postretirement healthcare plans87 85 92 
Pension plans MTM gain(515)(561)(650)
$994 $855 $633 
The components of the MTM adjustments for the years ended May 31 are as follows (in millions):
202520242023
Actual versus expected return on assets$75 $(67)$2,492 
Discount rate change(1,024)(1,139)(3,395)
Demographic experience:
Current year actuarial loss196 67 142 
Change in future assumptions247 577 110 
Pension plan amendments, including curtailment gains(9)
Total MTM gain$(515)$(561)$(650)
2025
Net of all fees and expenses, the actual rate of return on our U.S. Pension Plan assets was 6.50%, which was lower than our expected rate of return of 6.75%. Performance was driven by public equities and alternatives, offset by fixed income gains due to higher interest rates. The weighted-average discount rate for all our pension and postretirement healthcare plans increased from 5.53% at May 31, 2024 to 5.87% at May 31, 2025. The demographic experience in 2025 reflects an update to our retirement rate assumption.
2024
Net of all fees and expenses, the actual rate of return on our U.S. Pension Plan assets was 6.80%, which was higher than our expected rate of return of 6.50%. Performance was driven by public equities and alternatives, offset by modest losses in fixed-income due to higher interest rates. The weighted-average discount rate for all our pension and postretirement healthcare plans increased from 5.17% at May 31, 2023 to 5.53% at May 31, 2024. The demographic experience in 2024 reflects an update to our retirement rate and short-term cash balance interest crediting assumptions.
2023
Net of all fees and expenses, the actual rate of return on our U.S. Pension Plan assets was (2.70%), which was lower than our expected rate of return of 6.50%. Negative portfolio returns derived due to losses in both equities and our fixed-income assets due to market volatility and rising interest rates. The weighted-average discount rate for all our pension and postretirement healthcare plans increased from 4.21% at May 31, 2022 to 5.17% at May 31, 2023. The demographic experience in 2023 reflects an update to our short-term cash balance interest crediting assumption.
PENSION PLANS. Our largest pension plan covers certain U.S. employees age 21 and over, with at least one year of service. Pension benefits for most employees are accrued under a cash balance formula we call the Portable Pension Account (“PPA”). Under the PPA, the retirement benefit is expressed as a dollar amount in a notional account that grows with annual credits based on pay, age and years of credited service, and interest on the notional account balance. The PPA benefit is payable as a lump sum or an annuity at retirement at the election of the employee. The plan interest credit rate varies from year to year based on a U.S. Treasury index. Prior to 2009, certain employees earned benefits using a traditional pension formula (based on average earnings and years of service). Benefits under this formula were capped on May 31, 2008 for most employees.
We also sponsor or participate in nonqualified benefit plans covering certain of our U.S. employee groups and other pension plans covering certain of our international employees. The international defined benefit pension plans provide benefits primarily based on earnings and years of service and are funded in compliance with local laws and practices. The majority of our international obligations are for defined benefit pension plans in the United Kingdom.
In 2020, we announced the closing of our U.S.-based defined benefit pension plans to new non-union employees hired on or after January 1, 2020. We introduced an all-401(k) plan retirement benefit structure for eligible employees with a higher company match of up to 8% across all U.S.-based operating companies in 2022. During calendar 2021, current eligible employees under the PPA pension formula were given a one-time option to continue to be eligible for pension compensation credits under the existing PPA formula and remain in the existing 401(k) plan with its company match of up to 3.5%, or to cease receiving compensation credits under the PPA and move to the new 401(k) plan with the higher match of up to 8%. Changes to the new 401(k) plan structure became effective January 1, 2022. See Note 1 for additional information on potential amendments to our pension plan offered to Federal Express pilots.
POSTRETIREMENT HEALTHCARE PLANS. Certain of our subsidiaries offer medical, dental, and vision coverage to eligible U.S. retirees and their eligible dependents and a small number of international employees. U.S. employees covered by the principal plan become eligible for these benefits at age 55 and older, if they have permanent, continuous service of at least 10 years after attainment of age 45 if hired prior to January 1, 1988, or at least 20 years after attainment of age 35 if hired on or after January 1, 1988.
The U.S. postretirement healthcare benefit is a lump-sum benefit in a notional retiree health reimbursement account (“HRA”) for eligible participants. The HRA is available to reimburse a participant for qualifying healthcare premium costs and limits the company liability to the HRA account balance. The amount of the credit is based on age at retirement. Retiree health coverage was closed to most new employees hired on or after January 1, 2018.
PENSION PLAN ASSUMPTIONS. The accounting for pension and postretirement healthcare plans includes numerous assumptions, such as: discount rates; expected long-term investment returns on plan assets; future salary increases; employee turnover; mortality; and retirement ages.
Weighted-average actuarial assumptions used to determine the benefit obligations and net periodic benefit cost of our plans are as follows:
U.S. Pension PlansInternational Pension PlansPostretirement Healthcare Plans
202520242023202520242023202520242023
Discount rate used to determine benefit obligation5.94 %5.58 %5.20 %4.40 %4.29 %4.21 %5.60 %5.63 %5.37 %
Discount rate used to determine net periodic benefit cost5.58 5.20 4.25 4.29 4.21 3.09 5.63 5.37 4.35 
Rate of increase in future compensation levels used to determine benefit obligation5.36 5.29 5.13 3.11 3.06 3.04 — — — 
Rate of increase in future compensation levels used to determine net periodic benefit cost5.29 5.13 5.11 3.06 3.04 2.89 — — — 
Expected long-term rate of return on assets6.75 6.50 6.50 3.59 3.55 2.26 — — — 
Interest crediting rate used to determine benefit obligation4.10 4.32 4.23 2.30 2.90 2.40 — — — 
Interest crediting rate used to determine net periodic benefit cost4.32 4.23 4.00 2.90 2.40 3.70 — — — 
Our U.S. Pension Plan assets are invested primarily in publicly tradable securities, and our pension plans hold only a minimal investment in FedEx common stock that is entirely at the discretion of third-party pension fund investment managers. As part of our strategy to manage pension costs and funded status volatility, we follow a liability-driven investment strategy to better align plan assets with liabilities.
Establishing the expected future rate of investment return on our pension assets is a judgmental matter, which we review on an annual basis and revise as appropriate. Management considers the following factors in determining this assumption:
the duration of our pension plan liabilities, which drives the investment strategy we can employ with our pension plan assets;
the types of investment classes in which we invest our pension plan assets and the expected compound geometric return we can reasonably expect those investment classes to earn over time, net of all fees and expenses; and
the investment returns we can reasonably expect our investment management program to achieve in excess of the returns we could expect if investments were made strictly in indexed funds.
For consolidated pension expense, we assumed a 6.75% expected long-term rate of return on our U.S. Pension Plan assets in 2025 and 6.50% in 2024 and 2023. The historical annual return on our U.S. Pension Plan assets, calculated on a compound geometric basis, was 6.90%, net of all fees and expenses, for the 15-year period ended May 31, 2025.
The investment strategy for our U.S. Pension Plan assets is to utilize a diversified mix of public equities, fixed-income, and alternative investments to earn a long-term investment return that meets our pension plan obligations. Our largest asset classes are Corporate Fixed Income Securities and Government Fixed Income Securities (which are largely benchmarked against the Bloomberg Barclays Long Government, Bloomberg Barclays Long Corporate, or the Bloomberg Barclays 20+ STRIPS indices), and U.S. and non-U.S. Equities (which are mainly benchmarked to the S&P 500 Index and MSCI indices). Accordingly, we do not have any significant concentrations of risk. Active management strategies are utilized within the plan in an effort to realize investment returns in excess of market indices. Our investment strategy also includes the limited use of derivative financial instruments on a discretionary basis to improve investment returns and manage portfolio risk.
The following is a description of the valuation methodologies used for investments measured at fair value:
Cash and cash equivalents. Level 1 investments include cash, cash equivalents, and foreign currency valued using exchange rates. Level 2 investments include short-term investment funds, which are collective funds priced at a constant value by the administrator of the funds.
Domestic, international, and global equities. Level 1 investments are valued at the closing price or last trade reported on the major market on which the individual securities are traded.
Fixed income. We determine the fair value of Level 2 corporate bonds, U.S. and non-U.S. government securities, and other fixed-income securities by using bid evaluation pricing models or quoted prices of securities with similar characteristics.
Alternative Investments. The valuation of Level 3 investments requires significant judgment due to the absence of quoted market prices, the inherent lack of liquidity, and the long-term nature of such assets. Investments in private equity, debt, real estate, hedge funds, and other private investments are valued at estimated fair value based on quarterly financial information received from the investment advisor and/or general partner. These estimates incorporate factors such as contributions and distributions, market transactions, market comparables, and performance multiples.
The fair values of investments by level and asset category and the weighted-average asset allocations for our U.S. Pension Plans and our most significant international pension plan at the measurement date are presented in the following tables (in millions):
Plan Assets at Measurement Date
2025
Asset Class (U.S. Plan)Fair ValueActual %
Target
Range %(1)
Quoted Prices in
Active Markets
Level 1
Other Observable
Inputs
Level 2
Unobservable
Inputs
Level 3
Cash and cash equivalents$641 %
0 - 5%
$34 $607 $— 
Equities
25 - 40
U.S. large cap equity(2)
3,804 14 1,678 — — 
International equities(2)
2,869 11 1,994 — — 
Global equities(2)
1,224 — — — 
U.S. SMID cap equity671 662 — 
Fixed-income securities
40 - 60
Corporate6,625 25 — 6,625 — 
Government(2)
4,142 16 — 2,277 — 
Mortgage-backed and other(2)
1,648 — 229 — 
Alternative investments(2)
4,972 19 
15 - 25
— — 1,083 
Other— (16)21 — 
Total U.S. plan assets$26,601 100 %$4,352 $9,768 $1,083 
Asset Class (International Plan)
Cash and cash equivalents$12 %$12 $— $— 
Fixed-income securities
Corporate(2)
118 34 — — — 
Government(2)
184 53 141 — — 
Other(2)
35 10 — — — 
Total international plan assets$349 100 %$153 $— $— 
(1)Target ranges have not been provided for international plan assets as they are managed at an individual country level.
(2)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy but are included in the total.
Plan Assets at Measurement Date
2024
Asset Class (U.S. Plan)Fair ValueActual %
Target
Range %
(1)
Quoted Prices in
Active Markets
Level 1
Other Observable
Inputs
Level 2
Unobservable
Inputs
Level 3
Cash and cash equivalents$577 %
0 - 5%
$130 $447 $— 
Equities
25 - 40
U.S. large cap equity(2)
3,376 13 1,382 — — 
International equities(2)
2,631 10 1,780 — — 
Global equities(2)
1,397 — — — 
U.S. SMID cap equity926 916 10 — 
Fixed-income securities
40 - 60
Corporate6,502 25 — 6,502 — 
Government(2)
4,194 16 — 2,335 — 
Mortgage-backed and other(2)
1,514 — 205 — 
Alternative investments(2)
4,777 19 
15 - 25
— — 1,075 
Other(97)— (111)14 — 
Total U.S. plan assets$25,797 100 %$4,097 $9,513 $1,075 
Asset Class (International Plan)
Cash and cash equivalents$%$$— $— 
Fixed-income securities
Corporate(2)
62 18 — — — 
Government(2)
177 52 149 — — 
Other(2)
94 28 — — — 
Total international plan assets$341 100 %$157 $— $— 
(1)Target ranges have not been provided for international plan assets as they are managed at an individual country level.
(2)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy but are included in the total.
The change in fair value of Level 3 assets that use significant unobservable inputs is shown in the table below (in millions):
U.S. Pension Plans
20252024
Balance at beginning of year$1,075 $937 
Actual return on plan assets:
Assets held during current year(63)59 
Assets sold during the year75 30 
Purchases, sales, and settlements, net(4)49 
Balance at end of year$1,083 $1,075 
The following tables provide a reconciliation of the changes in the pension and postretirement healthcare plans’ benefit obligations and fair value of assets over the two-year period ended May 31, 2025 and a statement of the funded status as of May 31, 2025 and 2024 (in millions):
U.S. Pension PlansInternational
Pension Plans
Postretirement Healthcare Plans
202520242025202420252024
Accumulated Benefit Obligation (“ABO”)$25,501 $25,756 $938 $885 
Changes in PBO and Accumulated Postretirement Benefit Obligation (“APBO”)
PBO/APBO at the beginning of year$26,284 $26,426 $1,018 $990 $1,162 $1,169 
Service cost499 544 38 38 26 27 
Interest cost1,447 1,362 43 42 65 61 
Actuarial (gain) loss(581)(514)(4)18 
Benefits paid(1,674)(1,534)(39)(39)(62)(89)
Settlements— — (20)(11)— — 
Other— — 37 (5)(24)
PBO/APBO at the end of year$25,975 $26,284 $1,073 $1,018 $1,195 $1,162 
Change in Plan Assets
Fair value of plan assets at the beginning of year$25,797 $24,826 $602 $579 $— $— 
Actual return on plan assets1,661 1,674 12 — — 
Company contributions817 831 64 50 59 67 
Benefits paid(1,674)(1,534)(39)(39)(62)(89)
Settlements— — (22)(11)— — 
Other— — 33 11 22 
Fair value of plan assets at the end of year$26,601 $25,797 $644 $602 $— $— 
Funded Status of the Plans$626 $(487)$(429)$(416)$(1,195)$(1,162)
Amount Recognized in the Balance Sheet at May 31:
Noncurrent asset$746 $— $88 $73 $— $— 
Current pension, and other benefit obligations(33)(35)(25)(22)(79)(81)
Noncurrent pension, and other benefit obligations(87)(452)(492)(467)(1,116)(1,081)
Net amount recognized$626 $(487)$(429)$(416)$(1,195)$(1,162)
Amounts Recognized in AOCL and not yet reflected in Net Periodic Benefit Cost:
Prior service cost (credit)$(32)$(39)$$$(39)$(43)
Our pension plans included the following components at May 31 (in millions):
PBOFair Value of
Plan Assets
Funded Status
2025
Qualified$25,855 $26,601 $746 
Nonqualified120 — (120)
International Plans1,073 644 (429)
Total$27,048 $27,245 $197 
2024
Qualified$26,152 $25,797 $(355)
Nonqualified132 — (132)
International Plans1,018 602 (416)
Total$27,302 $26,399 $(903)
The table above provides the PBO, fair value of plan assets, and funded status of our pension plans on an aggregated basis. The following tables present our plans on a disaggregated basis to show those plans (as a group) whose assets did not exceed their liabilities. The fair value of plan assets for pension plans with a PBO or ABO in excess of plan assets at May 31 were as follows (in millions):
PBO Exceeds the Fair Value
of Plan Assets
20252024
U.S. Pension Benefits
Fair value of plan assets$— $25,797 
PBO(120)(26,284)
Net funded status$(120)$(487)
International Pension Benefits
Fair value of plan assets$268 $239 
PBO(784)(728)
Net funded status$(516)$(489)
ABO Exceeds the Fair Value
of Plan Assets
20252024
U.S. Pension Benefits
ABO(1)
$(115)$(124)
Fair value of plan assets— — 
PBO(120)(132)
Net funded status$(120)$(132)
International Pension Benefits
ABO(1)
$(627)$(575)
Fair value of plan assets242 216 
PBO(757)(703)
Net funded status$(515)$(487)
(1)ABO not used in determination of funded status.
Contributions to our qualified U.S. Pension Plans for the years ended May 31 were as follows (in millions):
20252024
Required$— $— 
Voluntary800 800 
$800 $800 
For 2026, no pension contributions are required for our U.S. Pension Plan as it is fully funded under the Employee Retirement Income Security Act. However, we expect to make voluntary contributions of up to $600 million to the plan in 2026.
Net periodic benefit (income) cost for the years ended May 31 were as follows (in millions):
U.S. Pension PlansInternational Pension PlansPostretirement Healthcare Plans
202520242023202520242023202520242023
Service cost$499 $544 $651 $38 $38 $44 $26 $27 $37 
Interest cost1,447 1,362 1,218 43 42 34 65 61 55 
Expected return on plan assets(1,721)(1,598)(1,688)(21)(18)(14)— — — 
Amortization of prior service credit(8)(7)(7)— (2)(4)(3)— 
Actuarial losses (gains) and other(521)(590)(487)13 (25)16 (138)
Net periodic benefit (income) cost$(304)$(289)$(313)$65 $75 $37 $89 $101 $(46)
Amounts recognized in other comprehensive loss were primarily related to amortization of prior service cost in our U.S. Pension Plans of $8 million in 2025 and $7 million in 2024 ($6 million, net of tax, in 2025 and $6 million, net of tax, in 2024).
Benefit payments, which reflect expected future service, are expected to be paid as follows for the years ending May 31 (in millions):
U.S. Pension PlanInternational
Pension Plans
Postretirement
Healthcare Plans
2026$1,758 $60 $79 
20271,793 56 90 
20281,839 61 100 
20291,879 74 110 
20301,935 81 121 
2031-203510,292 453 672 
These estimates are based on assumptions about future events. Actual benefit payments may vary significantly from these estimates.
Future medical benefit claims costs are estimated to increase at an annual rate of 6.90% during 2026, decreasing to an annual growth rate of 4.0% in 2045 and thereafter.
v3.25.2
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE
12 Months Ended
May 31, 2025
Segment Reporting [Abstract]  
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE BUSINESS SEGMENTS AND DISAGGREGATED REVENUE
Federal Express and FedEx Freight represent our major service lines and constitute our reportable segments. Our reportable segments include the following businesses:
Federal Express Segment
Federal Express (express transportation, small-package ground delivery, and freight transportation)

FedEx Freight Segment
FedEx Freight (LTL freight transportation)
FedEx Custom Critical (time-critical transportation)
In connection with our one FedEx consolidation plan, on June 1, 2024, FedEx Ground and FedEx Services were merged into Federal Express, becoming a single company operating a unified, fully integrated air-ground express network under the respected FedEx brand. FedEx Freight continues to provide LTL freight transportation services as a separate subsidiary. Beginning in the first quarter of 2025, Federal Express and FedEx Freight represent our major service lines and constitute our reportable segments. Additionally, the results of FedEx Custom Critical are included in the FedEx Freight segment instead of the Federal Express segment in 2025. Prior-year amounts were revised to reflect this presentation.

Our Chief Executive Officer is our chief operating decision maker (“CODM”). The CODM is responsible for the company’s operating strategy, growth, and profitability and reviews financial information for our two reportable segments. The CODM uses operating income as the primary measure of segment performance because it reflects the underlying business performance and provides the CODM with a basis for making resource allocation decisions. Operating income is defined as income before other income (expense), interest expense and income tax expense. Our CODM regularly reviews significant segment level expense details to assess segment performance and allocate resources.

References to our transportation segments include, collectively, the Federal Express segment and the FedEx Freight segment.
The Federal Express segment operates combined sales, marketing, administrative, and information-technology functions in shared service operations for U.S. customers of our major business units and certain back-office support to FedEx Freight and our other operating segments which allows us to obtain synergies from the combination of these functions. We allocate the net operating costs of these services to reflect the full cost of operating our businesses in the results of those segments. We review and evaluate the performance of FedEx Freight and our other operating segments based on operating income inclusive of these allocations.
Operating expenses for our FedEx Freight segment include allocations of these services from the Federal Express segment. These allocations also include charges and credits for administrative services provided between operating companies. The allocations of net operating costs are based on metrics such as relative revenue or estimated services provided. We believe these allocations approximate the net cost of providing these functions. Our allocation methodologies are refined periodically, as necessary, to reflect changes in our businesses.
Corporate, Other, and Eliminations
Corporate and other includes corporate headquarters costs for executive officers and certain legal and finance functions, certain other costs and credits not attributed to our core business, and certain costs associated with developing integrated business solutions through our FedEx Dataworks operating segment. FedEx Dataworks is focused on creating solutions to transform the digital and physical experiences of our customers and team members.
Also included in Corporate and other is the FedEx Office and Print Services, Inc. (“FedEx Office”) operating segment, which provides an array of document and business services and retail access to our customers for our package transportation businesses, and the FedEx Logistics operating segment, which provides integrated supply chain management solutions, specialty transportation, customs brokerage, and global ocean and air freight forwarding.
The results of Corporate, other, and eliminations are not allocated to the other business segments.
Certain FedEx operating companies provide transportation and related services for other FedEx companies outside their reportable segment in order to optimize our resources. Billings for such services are based on negotiated rates and are reflected as revenue of the billing segment. These rates are adjusted from time to time based on market conditions. Such intersegment revenue and expenses are eliminated in our consolidated results and are not separately identified in the following segment information because the amounts are not material.
The following table presents segment information for the year ended May 31, 2025 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
Corporate,
other, and eliminations
Consolidated
Total
Revenue$75,304 $8,892 

$3,730 

$87,926 
Operating expenses:



Salaries and employee benefits25,091 3,865 

2,276 

31,232 
Purchased transportation19,974 807 

987 

21,768 
Rentals and landing fees3,939 287 

421 

4,647 
Depreciation and amortization3,722 416 

126 

4,264 
Fuel3,316 457 


3,775 
Maintenance and repairs2,799 332 

114 

3,245 
Asset impairment charges21 — — 21 
Business optimization costs384 — 

372 

756 
Intercompany allocations (charges)(791)573 

218 

— 
Other(1)
11,964 666 371 13,001 
Total operating expenses70,419 7,403 4,887 82,709 
Operating income$4,885 $1,489 

$(1,157)

5,217 
Other income (expense):
Interest, net(426)
Other retirement plans, net(2)
713 
Other, net(3)
(63)
Total other income (expense)224 
Income before income taxes5,441 
Provision for income taxes1,349 
Net income$4,092 
(1)Includes $88 million of net expenses included in Federal Express for international regulatory and legacy FedEx Ground legal matters. Also includes costs related to the planned spin-off of FedEx Freight of $38 million included in "Corporate, other, and eliminations."
(2)Includes a pre-tax, noncash gain of $515 million associated with our MTM retirement plans accounting adjustments.
(3)Includes $18 million related to the debt exchange offer and consent solicitation transactions in connection with the planned spin-off of FedEx Freight.
The following table presents segment information for the year ended May 31, 2024 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
Corporate,
other, and eliminations
Consolidated
Total
Revenue$74,663 $9,429 $3,601 $87,693 
Operating expenses:
Salaries and employee benefits24,606 3,923 2,432 30,961 
Purchased transportation19,330 877 714 20,921 
Rentals and landing fees3,863 280 428 4,571 
Depreciation and amortization3,754 404 129 4,287 
Fuel4,137 571 4,710 
Maintenance and repairs2,848 330 113 3,291 
Goodwill and other asset impairment charges157 — — 157 
Business optimization costs251 — 331 582 
Intercompany allocations (charges)(684)543 141 — 
Other(1)
11,582 680 392 12,654 
Total operating expenses69,844 7,608 4,682 82,134 
Operating income$4,819 $1,821 $(1,081)5,559 
Other income (expense):
Interest, net(375)
Other retirement plans, net(2)
722 
Other, net(70)
Total other income (expense)277 
Income before income taxes5,836 
Provision for income taxes(3)
1,505 
Net income$4,331 
(1)Includes a $57 million benefit included in “Corporate, other, and eliminations" for an insurance reimbursement related to pre- and post-judgment interest in connection with a legacy FedEx Ground legal matter.
(2)Includes a pre-tax, noncash gain of $561 million associated with our MTM retirement plans accounting adjustments.
(3)Includes a $54 million tax expense related to the remeasurement of state deferred income taxes under the new one FedEx structure.
The following table presents segment information for the year ended May 31, 2023 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
Corporate,
other, and eliminations
Consolidated
Total
Revenue$75,884 $10,084 $4,187 $90,155 
Operating expenses:
Salaries and employee benefits24,523 4,057 2,439 31,019 
Purchased transportation19,677 1,078 1,035 21,790 
Rentals and landing fees4,035 269 434 4,738 
Depreciation and amortization3,655 387 134 4,176 
Fuel5,157 748 5,909 
Maintenance and repairs2,910 320 127 3,357 
Goodwill and other asset impairment charges70 — 47 117 
Business optimization costs47 — 262 309 
Intercompany allocations (charges)(689)542 147 — 
Other(1)
12,306 747 775 13,828 
Total operating expenses71,691 8,148 5,404 85,243 
Operating income$4,193 $1,936 $(1,217)4,912 
Other income (expense):
Interest, net(496)
Other retirement plans, net(2)
1,054 
Other, net(107)
Total other income (expense)451 
Income before income taxes5,363 
Provision for income taxes1,391 
Net income$3,972 
(1)Includes $35 million in connection with a FedEx Ground legal matter included in “Corporate, other, and eliminations.”
(2)Includes a pre-tax, noncash gain of $650 million associated with our MTM retirement plans accounting adjustments.
The following table provides a reconciliation of segment assets to consolidated financial statement totals (in millions) for the years as of May 31:
Federal
Express
Segment
FedEx
Freight
Segment
Corporate, other, and eliminationsConsolidated
Total
Segment assets(1)
2025$74,154 $12,899 $574 $87,627 
202473,259 11,615 2,133 87,007 
202385,128 10,416 (8,401)87,143 
(1)Segment assets include intercompany receivables. In the fourth quarter of 2024, legacy FedEx Ground settled an intercompany balance of $19.5 billion with FedEx in preparation for the one FedEx consolidation.
The following table provides a reconciliation of reportable segment capital expenditures to consolidated totals for the years ended May 31 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
OtherConsolidated
Total
2025$3,505 $437 $113 $4,055 
20244,591 461 124 5,176 
20235,480 557 137 6,174 
The following table presents revenue by service type and geographic information for the years ended or as of May 31 (in millions):
202520242023
REVENUE BY SERVICE TYPE
Federal Express segment:
Package:
U.S. priority revenue$10,520 $10,543 $10,896 
U.S. deferred revenue5,007 4,926 5,126 
U.S. ground revenue33,887 32,981 32,352 
Total U.S. domestic package revenue49,414 48,450 48,374 
International priority8,737 9,454 10,938 
International economy5,861 4,653 3,307 
Total international export package revenue14,598 14,107 14,245 
International domestic(1)
4,495 4,659 4,552 
Total package revenue68,507 67,216 67,171 
Freight:
U.S.1,536 2,391 2,883 
International priority2,320 2,205 3,059 
International economy1,975 1,874 1,719 
Total freight revenue5,831 6,470 7,661 
Other966 977 1,052 
Total Federal Express segment75,304 74,663 75,884 
FedEx Freight segment8,892 9,429 10,084 
Other and eliminations(2)
3,730 3,601 4,187 
$87,926 $87,693 $90,155 
GEOGRAPHICAL INFORMATION(3)
Revenue:
U.S.$62,916 $63,531 $64,890 
International:
Federal Express segment23,720 23,136 23,951 
FedEx Freight segment247 266 264 
Other1,043 760 1,050 
Total international revenue25,010 24,162 25,265 
$87,926 $87,693 $90,155 
Noncurrent assets:
U.S.$57,040 $56,822 $56,449 
International12,201 11,978 12,084 
$69,241 $68,800 $68,533 
(1)International domestic revenue relates to our intra-country operations.
(2)Includes the FedEx Office, FedEx Logistics, and FedEx Dataworks operating segments.
(3)International revenue includes shipments that either originate in or are destined to locations outside the United States, which could include U.S. payors. Noncurrent assets include property and equipment, operating lease right-of-use assets, goodwill, and other long-term assets. Our flight equipment is registered in the U.S. and is included as U.S. assets; however, many of our aircraft operate internationally.
v3.25.2
DERIVATIVE FINANCIAL INSTRUMENTS
12 Months Ended
May 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
DERIVATIVE FINANCIAL INSTRUMENTS DERIVATIVE FINANCIAL INSTRUMENTS
RISK MANAGEMENT OBJECTIVE OF USING DERIVATIVES. We enter into derivative financial instruments to reduce the effects of volatility in foreign currency exchange exposure on operating results and cash flows. Our derivative financial instruments are used to manage differences in the amount, timing, and duration of cash receipts and cash payments principally related to our investments.
Certain of our foreign operations expose us to fluctuations of foreign exchange rates. These fluctuations may impact the value of our cash receipts and payments in terms of our functional currency.
NET INVESTMENT HEDGES. We are exposed to fluctuations in foreign exchange rates on investments we hold in foreign entities. We use debt denominated in foreign currency and fixed-to-fixed cross-currency swaps to hedge our exposure to changes in foreign exchange rates on certain of our foreign investments. Cross-currency swaps involve the receipt of functional-currency-fixed rate amounts from a counterparty in exchange for us making foreign-currency-fixed rate payments over the life of the agreement. Cross-currency swaps also involve final exchanges of the functional-currency principal amounts for the foreign-currency principal amounts between us and the counterparty.
For debt and foreign currency derivatives designated as net investment hedges, the gain or loss on the derivative is reported in AOCL as part of the cumulative translation adjustment. Amounts are reclassified out of AOCL into earnings when the hedged net investment is either sold or substantially liquidated.
As of May 31, 2025 and 2024, we had €506 million and €173 million, respectively, of debt designated to reduce the volatility of the U.S. dollar value of a portion of our net investment in a euro-denominated consolidated subsidiary.
During 2025 and 2024, we entered into certain foreign currency derivatives to hedge our net investments in foreign operations. The following foreign currency derivatives were outstanding as of May 31, 2025 and 2024 (notional amounts in millions):
20252024
Foreign Currency DerivativeNumber of InstrumentsNotional SoldNotional PurchasedNumber of InstrumentsNotional SoldNotional Purchased
Cross-currency swaps4(949)$1,000 4(468)$500 
The following table presents the fair value of our derivatives, including their classification on the consolidated balance sheet, as of May 31, 2025 and 2024 (in millions):
Balance Sheet Location20252024
Asset Derivatives
Cross-currency swapsPrepaid expenses and other$13 $
Liability Derivatives
Cross-currency swapsOther liabilities$108 $14 
The estimated fair values were determined using pricing models that rely on market-based inputs such as foreign currency exchange rates and yield curves. The fair value of our derivative financial instruments is classified as Level 2 within the fair value hierarchy.
During 2025 and 2024, we recognized losses of $86 million and $6 million, respectively, in AOCL related to our cross-currency swaps, which excludes any adjustments for the impact of deferred income taxes.
As of May 31, 2025 and 2024, we had not posted any collateral related to our cross-currency swaps. No amounts have been reclassified out of AOCL during 2025 or 2024 for our net investment hedges. As of May 31, 2025 and 2024, our net investment hedges remained effective.
v3.25.2
SUPPLEMENTAL CASH FLOW INFORMATION
12 Months Ended
May 31, 2025
Supplemental Cash Flow Information [Abstract]  
SUPPLEMENTAL CASH FLOW INFORMATION SUPPLEMENTAL CASH FLOW INFORMATION
Cash paid for interest expense and income taxes for the years ended May 31 was as follows (in millions):
202520242023
Cash payments for:
Interest (net of capitalized interest)$814 $744 $694 
Income taxes$1,285 $1,555 $1,096 
Income tax refunds received(35)(122)(53)
Cash tax payments, net$1,250 $1,433 $1,043 
Noncash investing and financing activities for the years ended May 31 were as follows (in millions):
202520242023
Shares of common stock issued from treasury stock for acquisition$90 $— $— 
v3.25.2
GUARANTEES AND INDEMNIFICATIONS
12 Months Ended
May 31, 2025
Guarantees And Indemnifications [Abstract]  
GUARANTEES AND INDEMNIFICATIONS GUARANTEES AND INDEMNIFICATIONS
In conjunction with certain transactions, primarily the lease, sale, or purchase of real estate, operating assets, or services in the ordinary course of business and in connection with business sales and acquisitions, we may provide routine guarantees or indemnifications (e.g., environmental, fuel, tax, and intellectual property infringement), the terms of which range in duration, and often they are not limited and have no specified maximum obligation. The overall maximum potential amount of the obligation under such guarantees and indemnifications cannot be reasonably estimated. Historically, we have not been required to make significant payments under our guarantee or indemnification obligations and no material amounts have been recognized in our financial statements for the underlying fair value of these obligations.
v3.25.2
COMMITMENTS
12 Months Ended
May 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS COMMITMENTS
Annual purchase commitments under various contracts as of May 31, 2025 were as follows (in millions):
Aircraft and
Aircraft Related
Other(1)
Total
2026$889 $848 $1,737 
20271,114 581 1,695 
2028989 411 1,400 
2029410 338 748 
2030204 20 224 
Thereafter1,075 90 1,165 
Total$4,681 $2,288 $6,969 
(1)Primarily information technology and advertising contracts.
The amounts reflected in the table above for purchase commitments represent noncancellable agreements to purchase goods or services. Open purchase orders that are cancellable are not considered unconditional purchase obligations for financial reporting purposes and are not included in the table above.
We have several aircraft modernization programs under way that are supported by the purchase of Boeing 777 Freighter (“B777F”) and Boeing 767-300 Freighter (“B767F”) aircraft. These aircraft are significantly more fuel-efficient per unit than the aircraft types previously utilized, and these future expenditures are necessary to achieve significant long-term operational savings and to replace older aircraft. Our ability to delay the timing of these aircraft-related expenditures is limited without incurring significant costs to modify existing purchase agreements.
As of May 31, 2025, we had $590 million in deposits and progress payments on aircraft purchases and other planned aircraft-related transactions. These deposits are classified in the “Other assets” caption of our accompanying consolidated balance sheets. Aircraft and aircraft-related contracts are subject to price escalations. The following table is a summary of the key aircraft we were committed to purchase as of May 31, 2025, with the year of expected delivery:
Cessna SkyCourier 408ATR 72-600FB767FB777FTotal
202619 — 29 
2027— 12 
2028— — 
2029— — — 
2030— — — 
Thereafter— — — — — 
Total23 16 10 56 
During 2025, Federal Express exercised options to purchase eight B777F aircraft and ten ATR 72-600F aircraft. Of the eight B777F aircraft, three are expected to be delivered in calendar year 2026 and five are expected to be delivered in calendar year 2027. Of the ten ATR 72-600F aircraft, three are expected to be delivered in calendar year 2027, four in calendar year 2028, and three in calendar year 2029.
v3.25.2
INVESTMENTS
12 Months Ended
May 31, 2025
Investments, Debt and Equity Securities [Abstract]  
INVESTMENTS INVESTMENTS
EQUITY SECURITIES. Equity securities are included within “Other assets” in the accompanying consolidated balance sheets. The summary of our investments in equity securities at May 31, 2025 and 2024 is as follows (in millions):
20252024
Equity securities with readily determinable fair values$91 $100 
Equity securities without readily determinable fair values - NAV practical expedient51 37 
Equity securities without readily determinable fair values - measurement alternative364 223 
Total equity securities$506 $360 
Equity securities with a readily determinable fair value are Level 1 investments that are valued at the closing price or last trade reported on the major market on which the individual securities are traded. For equity securities without readily determinable fair values that qualify for the NAV practical expedient, we have elected to apply the NAV practical expedient to estimate fair value. We apply the measurement alternative for all other equity securities without readily determinable fair values, where adjustments to cost are made for observable price changes and any impairments. For equity securities where the measurement alternative is applied, annual and cumulative amounts of impairments, downward adjustments, and upward adjustments were immaterial for 2025 and 2024.
Unrealized gains and (losses) recognized during the reporting period on all equity securities still held at May 31, 2025, 2024, and 2023 were ($6) million, $14 million, and ($48) million, respectively.
DEBT SECURITIES. The carrying values of our investments in debt securities are classified as available-for-sale and reported at their estimated fair values within “Prepaid expenses and other” in the accompanying consolidated balance sheets. The summary of our investments in debt securities at May 31, 2025 and 2024 is as follows (in millions):
20252024
Gross UnrealizedGross Unrealized
CostGainsLossesEstimated Fair ValueCostGainsLossesEstimated Fair Value
Fixed-income securities$69 $$— $70 $76 $$— $77 
Total debt securities$69 $$— $70 $76 $$— $77 
Debt securities are classified as Level 2 within the fair value hierarchy. Realized gains and losses were immaterial for 2025 and 2024. We did not invest in debt securities during 2023.
v3.25.2
CONTINGENCIES
12 Months Ended
May 31, 2025
Loss Contingency [Abstract]  
CONTINGENCIES CONTINGENCIES
FedEx Ground Negligence Lawsuit. In December 2022, FedEx Ground was named as a defendant in a lawsuit filed in Texas state court related to the alleged kidnapping and first-degree murder of a minor by a driver employed by a service provider engaged by FedEx Ground. The complaint alleged compensatory and punitive damages against FedEx Ground for negligence and gross negligence, negligent hiring and retention, and negligent entrustment. The service provider and driver were also named as defendants in the lawsuit. In February 2025, we reached an agreement to settle the lawsuit for an amount below the previously established immaterial accrual, and the court approved the settlement and dismissed the case in March 2025.
Other Litigation Matters. FedEx and its subsidiaries are subject to various legal proceedings and claims, including lawsuits alleging that Federal Express should be treated as the employer or joint employer of drivers employed by service providers engaged by Federal Express, lawsuits containing various class-action allegations of wage-and-hour violations in which plaintiffs claim, among other things, that they were forced to work “off the clock,” were not paid overtime, or were not provided work breaks or other benefits, and lawsuits alleging that FedEx and its subsidiaries are responsible for third-party losses related to vehicle accidents that could exceed our insurance coverage for such losses. In the opinion of management, the aggregate liability, if any, with respect to these actions will not have a material adverse effect on our financial position, results of operations, or cash flows.
Environmental Matters. SEC regulations require us to disclose certain information about proceedings arising under federal, state, or local environmental provisions involving a governmental authority as a party if we reasonably believe that such proceedings may result in monetary sanctions above a stated threshold. Pursuant to the SEC regulations, FedEx uses a threshold of $1 million or more for purposes of determining whether disclosure of any such proceedings is required. Applying this threshold, there are no environmental matters required to be disclosed for this period.
v3.25.2
VALUATION AND QUALIFYING ACCOUNTS
12 Months Ended
May 31, 2025
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract]  
VALUATION AND QUALIFYING ACCOUNTS
VALUATION AND QUALIFYING ACCOUNTS
FOR THE YEARS ENDED MAY 31, 2025, 2024, AND 2023
(IN MILLIONS)
Additions
DescriptionBalance
at
beginning
of year
Charged
to
expenses
Charged to other accountsDeductionsBalance at end of year
Accounts Receivable Reserves:
Allowance for Credit Losses
2025$436 $521 $— $519 (a)$438 
2024472 421 — 457 (a)436 
2023340 696 — 564 (a)472 
Allowance for Revenue Adjustments
2025$339 $— $1,495 (b)$1,499 (c)$335 
2024328 — 1,534 (b)1,523 (c)339 
2023352 — 1,662 (b)1,686 (c)328 
Inventory Valuation Allowance:
2025$288 $41 $— $21 $308 
2024276 40 — 28 288 
2023360 33 — 117 276 
(a)Uncollectible accounts written off, net of recoveries, and other adjustments.
(b)Principally charged against revenue.
(c)Service failures, rebills, and other.
v3.25.2
Pay vs Performance Disclosure - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Pay vs Performance Disclosure      
NET INCOME $ 4,092 $ 4,331 $ 3,972
v3.25.2
Insider Trading Arrangements
3 Months Ended
May 31, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
v3.25.2
Cybersecurity Risk Management and Strategy Disclosure
12 Months Ended
May 31, 2025
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
FedEx has an information technology (“IT”) risk management process designed to identify and manage risk within its IT environment, including cybersecurity. The IT risk management process is based on an established framework for identification, measurement, and monitoring of cybersecurity and other risk areas and supplements our Enterprise Risk Management (“ERM”) process and framework. Our IT risk management, ERM, and compliance teams collaborate to regularly evaluate and manage cybersecurity-related risks using various tools and services. Leveraging components from multiple industry frameworks and best practices such as the International Organization for Standardization (“ISO”) 27001 and National Institute of Standards and Technology (“NIST”) standards, including the NIST Cybersecurity Framework, our cybersecurity program prioritizes governance, identification, protection, detection, response, and remediation measures.
We regularly assess our cybersecurity program’s capabilities and tools to help us enhance reliability and scan our environment for vulnerabilities. Our IT risk management team, including our Corporate Vice President – Chief Information Security Officer (“CISO”), communicates with senior management on the cybersecurity risk posture of our IT assets, strives to ensure consistent risk remediation activities, and monitors the effectiveness of our IT-related controls. In addition, our internal audit team performs reviews of our information security organization to help ensure controls are operating effectively and as designed.
Enterprise-wide information security training (including with respect to cybersecurity), supplemented by awareness programs, is crucial for risk reduction and safeguarding customer, employee, and company information. We provide training to employees and certain third-party contractors based on access to our network, risk, roles, policies, standards, and behaviors, which is updated to address emerging technology and security issues.
We periodically engage with assessors, consultants, auditors, and other third parties to review and improve our cybersecurity program. Compliance with regulatory requirements involves regular third-party assessments. Our processes are also designed to address cybersecurity risks associated with third-party service providers, including risk assessment and due diligence during selection and oversight. Key third parties undergo regular assessments to gauge cybersecurity control effectiveness, with heightened review of those with access to non-public data.
We regularly conduct table-top simulation exercises to test our cybersecurity incident response processes with the aim of enhancing effectiveness against evolving threats. Our incident response procedures guide our preparedness, detection, response, and recovery actions.
In the last three fiscal years to date, we have not identified any risks from cybersecurity threats or become aware of any cybersecurity incidents that have materially affected or are reasonably likely to materially affect our business, results of operations, or financial condition.
While we have significant security processes and initiatives in place, we may be unable to detect or prevent a breach or disruption in the future. For more information about cybersecurity-related risks, please see “Item 1A. “Risk Factors” of this Form 10-K.
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] FedEx has an information technology (“IT”) risk management process designed to identify and manage risk within its IT environment, including cybersecurity. The IT risk management process is based on an established framework for identification, measurement, and monitoring of cybersecurity and other risk areas and supplements our Enterprise Risk Management (“ERM”) process and framework. Our IT risk management, ERM, and compliance teams collaborate to regularly evaluate and manage cybersecurity-related risks using various tools and services. Leveraging components from multiple industry frameworks and best practices such as the International Organization for Standardization (“ISO”) 27001 and National Institute of Standards and Technology (“NIST”) standards, including the NIST Cybersecurity Framework, our cybersecurity program prioritizes governance, identification, protection, detection, response, and remediation measures.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] true
Cybersecurity Risk Board of Directors Oversight [Text Block] The FedEx Board of Directors has delegated to the Cyber and Technology Oversight Committee of the Board of Directors (“CyTOC”) responsibility for overseeing the company’s cyber and technology-related risks, including network security, information and digital security, data privacy and protection, and risks related to emerging technologies such as artificial intelligence and machine learning; the technologies, policies, processes, and practices for managing and mitigating such risks; and the company’s cyber incident response and recovery plan. The CyTOC also oversees the cybersecurity, cyber-resiliency, and technology aspects of the company’s business continuity and disaster recovery capabilities and contingency plans. Several of our Board members, including certain members of our CyTOC, have technological, digital, and/or cybersecurity experience.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] The FedEx Board of Directors has delegated to the Cyber and Technology Oversight Committee of the Board of Directors (“CyTOC”) responsibility for overseeing the company’s cyber and technology-related risks, including network security, information and digital security, data privacy and protection, and risks related to emerging technologies such as artificial intelligence and machine learning; the technologies, policies, processes, and practices for managing and mitigating such risks; and the company’s cyber incident response and recovery plan. The CyTOC also oversees the cybersecurity, cyber-resiliency, and technology aspects of the company’s business continuity and disaster recovery capabilities and contingency plans. Several of our Board members, including certain members of our CyTOC, have technological, digital, and/or cybersecurity experience.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] The FedEx Board of Directors has delegated to the Cyber and Technology Oversight Committee of the Board of Directors (“CyTOC”) responsibility for overseeing the company’s cyber and technology-related risks, including network security, information and digital security, data privacy and protection, and risks related to emerging technologies such as artificial intelligence and machine learning; the technologies, policies, processes, and practices for managing and mitigating such risks; and the company’s cyber incident response and recovery plan. The CyTOC also oversees the cybersecurity, cyber-resiliency, and technology aspects of the company’s business continuity and disaster recovery capabilities and contingency plans. Several of our Board members, including certain members of our CyTOC, have technological, digital, and/or cybersecurity experience.
Cybersecurity Risk Role of Management [Text Block]
The CyTOC receives regular updates from our CISO and other members of management on risks related to these matters. Specific topics may include updates to FedEx’s cyber risks and threats, the status of existing or new strategies and associated projects intended to strengthen FedEx’s information security systems, assessments of FedEx’s cybersecurity program, risks associated with third-party service providers, and the emerging threat landscape. The CyTOC also receives regular updates on key metrics related to our cybersecurity-related risks. The results of the IT risk management process are also presented at least annually to the CyTOC. Additionally, members of the CyTOC participate in certain of the simulation exercises conducted by management. The Chair of the CyTOC briefs the full Board on certain of these matters. In addition, the Board periodically receives cybersecurity updates directly from management. Separately, through our ERM program, key enterprise risks, including with respect to cybersecurity, are communicated to the Board and its Audit and Finance Committee at least annually, and any significant changes to these risks are reported to the Board and its Audit and Finance Committee.
Our CISO, who reports to the Chief Executive Officer, leads our information security team and has management responsibility for overseeing FedEx’s cybersecurity program, including assessing and managing material risks from cybersecurity threats. The CISO,
who has over 25 years of experience at FedEx and has received industry-recognized information security certifications, oversees an information security organization of more than 400 security, risk, and compliance professionals based in the U.S. and internationally across the FedEx enterprise. The leadership team of our information security organization has extensive experience in IT and cybersecurity and possess certifications in cybersecurity and related fields.
The FedEx Data and Technology Risk Council (“DTRC”), which is sponsored by the CISO, oversees the execution of FedEx’s comprehensive IT risk management program. The DTRC, which receives quarterly reports on FedEx’s IT risk management, is responsible for assessing the overall risk framework on an annual basis, setting acceptable risk tolerance levels, approving risk prioritization and associated risk mitigation activities, and monitoring the changing risk landscape and posture.
Both our CISO and other members of our cybersecurity leadership team participate in threat intelligence briefings provided by various government and industry entities. Our CISO reports to the Chief Executive Officer, and the FedEx Executive Committee oversees our business risk, with cybersecurity threat risks being a regular topic of discussion. Our cybersecurity incident response plan includes processes for communicating cybersecurity incidents to relevant levels of management, including the DTRC, Executive Committee, the CyTOC, and the full Board of Directors, as appropriate, and consideration of external reporting and disclosure requirements.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] The CyTOC receives regular updates from our CISO and other members of management on risks related to these matters.
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] The CISO, who has over 25 years of experience at FedEx and has received industry-recognized information security certifications, oversees an information security organization of more than 400 security, risk, and compliance professionals based in the U.S. and internationally across the FedEx enterprise. The leadership team of our information security organization has extensive experience in IT and cybersecurity and possess certifications in cybersecurity and related fields.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block]
The CyTOC receives regular updates from our CISO and other members of management on risks related to these matters. Specific topics may include updates to FedEx’s cyber risks and threats, the status of existing or new strategies and associated projects intended to strengthen FedEx’s information security systems, assessments of FedEx’s cybersecurity program, risks associated with third-party service providers, and the emerging threat landscape. The CyTOC also receives regular updates on key metrics related to our cybersecurity-related risks. The results of the IT risk management process are also presented at least annually to the CyTOC. Additionally, members of the CyTOC participate in certain of the simulation exercises conducted by management. The Chair of the CyTOC briefs the full Board on certain of these matters. In addition, the Board periodically receives cybersecurity updates directly from management. Separately, through our ERM program, key enterprise risks, including with respect to cybersecurity, are communicated to the Board and its Audit and Finance Committee at least annually, and any significant changes to these risks are reported to the Board and its Audit and Finance Committee.
Our CISO, who reports to the Chief Executive Officer, leads our information security team and has management responsibility for overseeing FedEx’s cybersecurity program, including assessing and managing material risks from cybersecurity threats. The CISO,
who has over 25 years of experience at FedEx and has received industry-recognized information security certifications, oversees an information security organization of more than 400 security, risk, and compliance professionals based in the U.S. and internationally across the FedEx enterprise. The leadership team of our information security organization has extensive experience in IT and cybersecurity and possess certifications in cybersecurity and related fields.
The FedEx Data and Technology Risk Council (“DTRC”), which is sponsored by the CISO, oversees the execution of FedEx’s comprehensive IT risk management program. The DTRC, which receives quarterly reports on FedEx’s IT risk management, is responsible for assessing the overall risk framework on an annual basis, setting acceptable risk tolerance levels, approving risk prioritization and associated risk mitigation activities, and monitoring the changing risk landscape and posture.
Both our CISO and other members of our cybersecurity leadership team participate in threat intelligence briefings provided by various government and industry entities. Our CISO reports to the Chief Executive Officer, and the FedEx Executive Committee oversees our business risk, with cybersecurity threat risks being a regular topic of discussion. Our cybersecurity incident response plan includes processes for communicating cybersecurity incidents to relevant levels of management, including the DTRC, Executive Committee, the CyTOC, and the full Board of Directors, as appropriate, and consideration of external reporting and disclosure requirements.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.2
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
12 Months Ended
May 31, 2025
Accounting Policies [Abstract]  
Description of Business Segments
DESCRIPTION OF BUSINESS SEGMENTS. FedEx Corporation (“FedEx”) provides a broad portfolio of transportation, e-commerce, and business services, offering integrated business solutions utilizing our flexible, efficient, and intelligent global network. During the fiscal years ended May 31, 2025 and 2024, our primary operating companies were Federal Express Corporation (“Federal Express”), the world’s largest express transportation company and a leading North American provider of small-package ground delivery services, and FedEx Freight, Inc. (“FedEx Freight”), a leading North American provider of less-than-truckload (“LTL”) freight transportation services.
In connection with our one FedEx consolidation plan, on June 1, 2024, FedEx Ground Package System, Inc. (“FedEx Ground”) and FedEx Corporate Services, Inc. (“FedEx Services”) were merged into Federal Express, becoming a single company operating a unified, fully integrated air-ground express network under the respected FedEx brand. FedEx Freight continues to provide LTL freight transportation services as a separate subsidiary. Beginning in the first quarter of 2025, Federal Express and FedEx Freight represent our major service lines and constitute our reportable segments. Additionally, the results of FedEx Custom Critical, Inc. (“FedEx Custom Critical”) are included in the FedEx Freight segment instead of the Federal Express segment in 2025. Prior-year amounts were revised to reflect this presentation.
We evaluated our reporting units with significant recorded goodwill during the fourth quarter of 2024, and the estimated fair value of each reporting unit exceeded its carrying value as of the end of 2024 immediately before our one FedEx consolidation. We reevaluated the conclusion of our 2024 goodwill impairment tests as of June 1, 2024 immediately after our one FedEx consolidation and concluded that the estimated fair values of our reporting units with significant goodwill continued to exceed their respective carrying values.
In December 2024, we announced that FedEx’s Board of Directors decided to pursue a full separation of FedEx Freight through the capital markets, creating a new publicly traded company. The transaction, which would be implemented through the spin-off of shares of the new company to FedEx stockholders, is expected to be tax-free for U.S. federal income tax purposes for FedEx stockholders and be completed by June 2026.
Fiscal Years
FISCAL YEARS. Except as otherwise specified, references to years indicate our fiscal year ended May 31, 2025 or ended May 31 of the year referenced, and comparisons are to the corresponding period of the prior year.
In January 2025, the Board of Directors approved a change in FedEx's fiscal year end from May 31 to December 31. The fiscal year change will be effective for the period beginning June 1, 2026.
Principles of Consolidation PRINCIPLES OF CONSOLIDATION. The consolidated financial statements include the accounts of FedEx and its subsidiaries, substantially all of which are wholly owned. All significant intercompany accounts and transactions have been eliminated in consolidation.
Revenue Recognition
REVENUE RECOGNITION.
Satisfaction of Performance Obligation
A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the basis of revenue recognition in accordance with U.S. generally accepted accounting principles (“GAAP”). To determine the proper revenue recognition method for contracts, we evaluate whether two or more contracts should be combined and accounted for as one single contract and whether the combined or single contract should be accounted for as more than one performance obligation. For most of our contracts, the customer contracts with us to provide distinct services within a single contract, primarily transportation services. Substantially all of our contracts with customers for transportation services include only one performance obligation, the transportation services themselves. However, if a contract is separated into more than one performance obligation, we allocate the total transaction price to each performance obligation in an amount based on the estimated relative standalone selling prices of the promised goods or services underlying each performance obligation. We frequently sell standard transportation services with observable standalone sales prices. In these instances, the observable standalone sales are used to determine the standalone selling price.
For transportation services, revenue is recognized over time as we perform the services in the contract because of the continuous transfer of control to the customer. Our customers receive the benefit of our services as the goods are transported from one location to another. If we were unable to complete delivery to the final location, another entity would not need to reperform the transportation service already performed. As control transfers over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the products or services to be provided. We use the cost-to-cost measure of progress for our package delivery contracts because it best depicts the transfer of control to the customer which occurs as we incur costs on our contracts. Under the cost-to-cost measure of progress, the extent of progress towards completion is measured based on the ratio of costs incurred to date to the total
estimated costs at completion of the performance obligation. Revenue, including ancillary or accessorial fees and reductions for estimated customer incentives, is recorded proportionally as costs are incurred. Costs to fulfill include labor and other direct costs and an allocation of indirect costs. For our FedEx Freight and freight forwarding contracts, an output method of progress based on time-in-transit is utilized as the timing of costs incurred does not best depict the transfer of control to the customer.
We also provide customized customer-specific solutions, such as supply chain management solutions and inventory and service parts logistics, through which we provide the service of integrating a complex set of tasks and components into a single capability. For these arrangements, the majority of which are conducted by our FedEx Logistics, Inc. (“FedEx Logistics”) operating segment, the entire contract is accounted for as one performance obligation. For these performance obligations, we typically have a right to consideration from customers in an amount that corresponds directly with the value to the customers of our performance completed to date, and as such we recognize revenue in the amount to which we have a right to invoice the customer.
Contract Modification
Contracts are often modified to account for changes in the rates we charge our customers or to add additional distinct services. We consider contract modifications to exist when the modification either creates new enforceable rights and obligations or alters the existing arrangement. Contract modifications that add distinct goods or services are treated as separate contracts. Contract modifications that do not add distinct goods or services typically change the price of existing services. These contract modifications are accounted for prospectively as the remaining performance obligations are distinct.
Variable Consideration
Certain contracts contain customer incentives, guaranteed service refunds, and other provisions that can either increase or decrease the transaction price. These incentives are generally awarded based upon achieving certain performance metrics. We estimate variable consideration as the most likely amount to which we expect to be entitled. We include estimated amounts of revenue, which may be reduced by incentives or other contract provisions, in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based on an assessment of anticipated customer spending and all information (historical, current, and forecasted) that is reasonably available to us.
Principal vs. Agent Considerations
Transportation services are provided with the use of employees and independent businesses that contract with FedEx. GAAP requires us to evaluate whether our businesses themselves promise to transfer services to the customer (as the principal) or to arrange for services to be provided by another party (as the agent) using a control model. Based on our evaluation of the control model, we determined that FedEx is the principal to the transaction for most of these services and revenue is recognized on a gross basis based on the transfer of control to the customer. Costs associated with independent businesses providing transportation services are recognized as incurred and included within “Purchased transportation” in the accompanying consolidated statements of income.
Our contract logistics, global trade services, and certain transportation businesses engage in certain transactions wherein they act as agents. Revenue from these transactions is recorded on a net basis. Net revenue includes billings to customers less third-party charges, including transportation or handling costs, fees, commissions, and taxes and duties.
Contract Assets and Liabilities
Contract assets include billed and unbilled amounts resulting from in-transit shipments, as we have an unconditional right to payment only once all performance obligations have been completed (e.g., packages have been delivered). Contract assets are generally classified as current, and the full balance is converted each quarter based on the short-term nature of the transactions. Our contract liabilities consist of advance payments and billings in excess of revenue. The full balance of deferred revenue is converted each quarter based on the short-term nature of the transactions.
Gross contract assets related to in-transit shipments totaled $673 million and $672 million at May 31, 2025 and May 31, 2024, respectively. Contract assets net of deferred unearned revenue were $526 million and $463 million at May 31, 2025 and May 31, 2024, respectively. Contract assets are included within “Receivables” in the accompanying consolidated balance sheets. Contract liabilities related to advance payments from customers were $23 million and $23 million at May 31, 2025 and May 31, 2024, respectively. Contract liabilities are included within “Accrued expenses” in the accompanying consolidated balance sheets.
Payment Terms
Certain of our revenue-producing transactions are subject to taxes and duties, such as sales tax, assessed by governmental authorities. We present these revenues net of tax. Under the typical payment terms of our customer contracts, the customer pays at periodic
intervals (e.g., every 15 days, 30 days, 45 days, etc.) for shipments included on invoices received. It is not customary business practice to extend payment terms past 90 days, and as such, we do not have a practice of including a significant financing component within our revenue contracts with customers.
Disaggregation of Revenue
See Note 15 for disclosure of disaggregated revenue for the periods ended May 31. This presentation is consistent with how we organize our segments internally for making operating decisions and measuring performance.
Credit Risk CREDIT RISK. We routinely grant credit to many of our customers for transportation and business services without collateral. The risk of credit loss in our trade receivables is substantially mitigated by our credit evaluation process, short collection terms, and sales to a large number of customers, as well as the low revenue per transaction for most of our services. Allowances for potential credit losses are determined based on historical experience and the impact of current economic conditions. Historically, credit losses have been within management’s expectations.
Advertising ADVERTISING. Advertising and promotion costs are expensed as incurred and are classified in other operating expenses.
Cash Equivalents CASH EQUIVALENTS. Cash in excess of current operating requirements is invested in short-term, interest-bearing instruments with maturities of three months or less at the date of purchase and is stated at cost, which approximates market value.
Spare Parts, Supplies, and Fuel SPARE PARTS, SUPPLIES, AND FUEL. Spare parts (principally aircraft-related) are reported at weighted-average cost. Allowances for obsolescence are provided for spare parts currently identified as excess or obsolete as well as expected to be on hand at the date the aircraft are retired from service. These allowances are provided over the estimated useful life of the related aircraft and engines. The majority of our supplies and fuel are reported at weighted-average cost.
Property and Equipment
PROPERTY AND EQUIPMENT. Expenditures for major additions, improvements, and flight equipment modifications are capitalized when such costs are determined to extend the useful life of the asset or are part of the cost of acquiring the asset. Expenditures for equipment overhaul costs of engines or airframes prior to their operational use are capitalized as part of the cost of such assets as they are costs required to ready the asset for its intended use. Maintenance and repairs costs are charged to expense as incurred, except for certain aircraft engine maintenance costs incurred under third-party service agreements. These agreements result in costs being expensed based on cycles or hours flown and are subject to annual escalation. These service contracts transfer risk to third-party service providers and generally fix the amount we pay for maintenance to the service provider as a rate per cycle or flight hour, in exchange for maintenance and repairs under a predefined maintenance program. We capitalize certain direct internal and external costs associated with the development of internal-use software, including implementation of cloud computing service arrangements. Gains and losses on sales of property used in operations are classified within operating expenses and historically have been nominal.
For financial reporting purposes, we record depreciation and amortization of property and equipment on a straight-line basis over the asset’s service life or related lease term, if shorter. For income tax purposes, depreciation is computed using accelerated methods when applicable.
Capitalized Interest CAPITALIZED INTEREST. Interest on funds used to finance the acquisition and modification of aircraft, including purchase deposits, construction of certain facilities, and development of certain software up to the date the asset is ready for its intended use, is capitalized and included in the cost of the asset if the asset is actively under construction.
Impairment of Long-Lived Assets
IMPAIRMENT OF LONG-LIVED ASSETS. Long-lived assets are reviewed for impairment when circumstances indicate the carrying value of an asset may not be recoverable. For assets that are to be held and used, an impairment is recognized when the estimated undiscounted cash flows associated with the asset or group of assets is less than their carrying value. If impairment exists, an adjustment is made to write the asset down to its fair value, and a loss is recorded as the difference between the carrying value and fair value. Fair values are determined based on quoted market values, discounted cash flows, or internal and external appraisals, as applicable. Assets to be disposed of are carried at the lower of carrying value or estimated net realizable value.
We operate integrated transportation networks so cash flows for most of our operating assets to be held and used are assessed at a network level, not at an individual asset level, for our analysis of impairment.
In 2025 we made the decision to permanently retire from service 12 aircraft and eight related engines, resulting in a noncash impairment charge of $21 million ($16 million, net of tax, or $0.06 per diluted share). These retirements included two Boeing 757-200 aircraft, seven Airbus A300-600 aircraft, three Boeing MD-11 aircraft, and align with Federal Express’s fleet reduction and modernization strategy as we continue to improve our global network efficiency and better align air network capacity with anticipated demand. All of these permanently retired aircraft were temporarily idled and not in revenue service.
In 2024, we made the decision to permanently retire from service 22 Boeing 757-200 aircraft and seven related engines to align with Federal Express’s fleet reduction and modernization strategy. As a consequence of this decision, a noncash impairment charge of $157 million ($120 million, net of tax, or $0.48 per diluted share) was recorded in 2024.
In 2023, we made the decision to permanently retire from service 12 Boeing MD-11F aircraft and 25 related engines, four Boeing 757-200 aircraft and one related engine, and two Airbus A300-600 aircraft and eight related engines for the same reasons stated above. As a consequence of this decision, a noncash impairment charge of $70 million ($54 million, net of tax, or $0.21 per diluted share) was recorded in 2023.
In 2023 we accelerated the retirement of the entire Boeing MD-11 fleet by the end of 2028. In 2025 we made the decision to extend the retirement plan to have the fleet retired by the end of 2032 to better align air network capacity of Federal Express to match current and anticipated shipment volumes. As a result of this decision, we had a net decrease in depreciation expense in 2025 of $19 million.
In the normal management of our aircraft fleet, we routinely idle aircraft and engines temporarily due to maintenance cycles and adjustments of our network capacity to match seasonality and overall customer demand levels. Temporarily idled assets are classified as available-for-use, and we continue to record depreciation expense associated with these assets. These temporarily idled assets are assessed for impairment and remaining life on a quarterly basis. The criteria for determining whether an asset has been permanently removed from service (and, as a result, is potentially impaired) include, but are not limited to, our global economic outlook and the impact of our outlook on our current and projected volume levels, including capacity needs during our peak shipping seasons; the introduction of new fleet types or decisions to permanently retire an aircraft fleet from operations; and changes to planned service expansion activities. At May 31, 2025, we had 22 aircraft temporarily idled. These aircraft have been idled for an average of ten months and are expected to return to revenue service in order to meet expected demand.
Goodwill GOODWILL. Goodwill is recognized for the excess of the purchase price over the fair value of tangible and identifiable intangible net assets of businesses acquired. Several factors give rise to goodwill in our acquisitions, such as the expected benefits from synergies of the combination and the existing workforce of the acquired business. Goodwill is reviewed at least annually for impairment. In our evaluation of goodwill impairment, we perform a qualitative assessment to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If the qualitative assessment is not conclusive, we proceed to test goodwill for impairment, including comparing the fair value of the reporting unit to its carrying value (including attributable goodwill). Fair value for our reporting units is determined using an income or market approach incorporating market participant considerations and management’s assumptions on revenue growth rates, operating margins, discount rates, and expected capital expenditures. Fair value determinations may include both internal and third-party valuations. Unless circumstances otherwise dictate, we perform our annual impairment testing in the fourth quarter.
Intangible Assets INTANGIBLE ASSETS. Intangible assets primarily include customer relationships, technology assets, and trademarks acquired in business combinations. Intangible assets are amortized over periods ranging from 1 to 15 years, either on a straight-line basis or on a basis consistent with the pattern in which the economic benefits are realized.
Pension and Postretirement Healthcare Plans
PENSION AND POSTRETIREMENT HEALTHCARE PLANS. Our defined benefit pension and other postretirement benefit plans are measured using actuarial techniques that reflect management’s assumptions for discount rate, investment returns on plan assets, salary
increases, expected retirement, mortality, and employee turnover. We determine the discount rate (which is required to be the rate at which the projected benefit obligation (“PBO”) could be effectively settled as of the measurement date) with the assistance of actuaries, who calculate the yield on a theoretical portfolio of high-grade corporate bonds (rated Aa or better) with cash flows that are designed to match our expected benefit payments in future years. We use the fair value of plan assets to calculate the expected return on assets (“EROA”) for interim and segment reporting purposes. Our EROA is a judgmental estimate which is reviewed on an annual basis and revised as appropriate.
The accounting guidance related to employers’ accounting for defined benefit pension and other postretirement plans requires recognition in the balance sheet of the funded status of these plans. We use “mark-to-market” (or “MTM”) accounting and immediately recognize changes in the fair value of plan assets and actuarial gains or losses in our results annually in the fourth quarter each year. The annual MTM adjustment is recognized at the corporate level and does not impact segment results. The remaining components of pension and postretirement healthcare expense, primarily service and interest costs and the EROA, are recorded on a quarterly basis. Only service cost is recognized in segment level operating results.
Income Taxes
INCOME TAXES. Deferred income taxes are provided for the tax effect of temporary differences between the tax basis of assets and liabilities and their reported amounts in the financial statements. The liability method is used to account for income taxes, which requires deferred taxes to be recorded at the statutory rate expected to be in effect when the taxes are paid.
Deferred income tax assets represent amounts available to reduce income taxes payable on taxable income in future years. Such assets arise because of temporary differences between the financial reporting and tax bases of assets and liabilities, as well as from net operating loss, capital loss, and tax credit carryforwards. We evaluate the recoverability of these future tax deductions and credits by assessing the adequacy of future expected taxable income from all sources, including reversal of taxable temporary differences, forecasted operating earnings, and available tax planning strategies. These sources of income rely heavily on estimates to make this determination and, as a result, there is a risk that these estimates will have to be revised as new information is received. To the extent we do not consider it more likely than not that a deferred tax asset will be recovered, a valuation allowance is established. We believe we will generate sufficient future taxable income to realize the tax benefits related to the remaining net deferred tax assets in the consolidated balance sheets that are not subject to valuation allowances. We record the taxes for global intangible low-taxed income as a period cost.
We recognize liabilities for uncertain income tax positions based on a two-step process. The first step is to evaluate the tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained on audit, including resolution of related appeals or litigation processes, if any. The second step requires us to estimate and measure the tax benefit as the largest amount that is more than 50% likely to be realized upon ultimate settlement. It is inherently difficult and subjective to estimate such amounts, as we must determine the probability of various possible outcomes. We reevaluate these uncertain tax positions on a quarterly basis or when new information becomes available to management. These reevaluations are based on factors including, but not limited to, changes in facts or circumstances, changes in tax law, successfully settled issues under audit, and new audit activity. Such a change in recognition or measurement could result in the recognition of a tax benefit or an increase to the related provision.
We classify interest related to income tax liabilities as interest expense, and if applicable, penalties are recognized as a component of income tax expense. The income tax liabilities and accrued interest and penalties that are due within one year of the balance sheet date are presented as current liabilities. The noncurrent portion of our income tax liabilities and accrued interest and penalties are included within “Other liabilities” in the accompanying consolidated balance sheets.
Self-Insurance Accruals
SELF-INSURANCE ACCRUALS. We are self-insured for costs associated with workers’ compensation claims, vehicle accidents, property and cargo loss, general business liabilities, and benefits paid under employee disability programs. Accruals are primarily based on the actuarially estimated cost of claims, which includes incurred-but-not-reported claims. Current workers’ compensation claims, vehicle and general liability, and long-term disability are included within “Accrued expenses” in the accompanying consolidated balance sheets. We self-insure up to certain limits that vary by operating company and type of risk. Claims costs are recognized on a gross basis and a receivable is recorded for amounts covered by third-party insurance. Periodically, we evaluate the level of insurance coverage and adjust insurance levels based on risk tolerance and premium expense.
We are also self-insured for certain short-term employee healthcare claims, which are included within “Accrued expenses” in the accompanying consolidated balance sheets.
Leases
LEASES. We lease certain facilities, aircraft, equipment, and vehicles under operating and finance leases. A determination of whether a contract contains a lease is made at the inception of the arrangement. Our leased facilities include national, regional, and metropolitan sorting facilities; retail facilities; and administrative buildings.
Our leases generally contain options to extend or terminate the lease. We reevaluate our leases on a regular basis to consider the economic and strategic incentives of exercising the renewal options, and how they align with our operating strategy. Therefore, substantially all the renewal option periods are not included within the lease term and the associated payments are not included in the measurement of the right-of-use asset and lease liability as the options to extend are not reasonably certain at lease commencement. Short-term leases with an initial term of 12 months or less are not recognized in the right-of-use asset and lease liability within the consolidated balance sheets.
The lease liabilities are measured at the lease commencement date and determined using the present value of the minimum lease payments not yet paid and our incremental borrowing rate, which approximates the rate at which we would borrow, on a collateralized basis, over the term of a lease in the applicable currency environment. The interest rate implicit in the lease is generally not determinable in transactions where we are the lessee.
For real estate leases, we account for lease components and non-lease components (such as common area maintenance) as a single lease component. Certain real estate leases require additional payments based on sales volume and index-based rate increases, as well as reimbursement for real estate taxes, common area maintenance, and insurance, which are expensed as incurred as variable lease costs. Certain leases contain fixed lease payments for items such as real estate taxes, common area maintenance, and insurance. These fixed payments are considered part of the lease payment and included in the right-of-use asset and lease liability. See Note 8 for additional information.
Derivative Financial Instruments DERIVATIVE FINANCIAL INSTRUMENTS. We record all derivatives on the balance sheet at fair value. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative, whether we have elected to designate a derivative in a hedging relationship and apply hedge accounting, and whether the hedging relationship has satisfied the criteria necessary to apply hedge accounting. Derivatives designated and qualifying as a hedge of the exposure to changes in the fair value of an asset, liability, or firm commitment attributable to a particular risk, such as interest rate risk, are considered fair value hedges. Derivatives designated and qualifying as a hedge of the exposure to variability in expected future cash flows, or other types of forecasted transactions, are considered cash flow hedges. Derivatives may also be designated as hedges of the foreign currency exposure of a net investment in a foreign operation. Hedge accounting generally provides for the matching of the timing of gain or loss recognition on the hedging instrument with the recognition of the changes in the fair value of the hedged asset or liability that are attributable to the hedged risk in a fair value hedge or the earnings effect of the hedged forecasted transactions in a cash flow hedge. We may enter into derivative contracts that are intended to economically hedge certain of our risk, even though hedge accounting does not apply or we elect not to apply hedge accounting. We are not subject to any master netting agreements.
Supplier Finance Program
SUPPLIER FINANCE PROGRAM. We offer voluntary Supply Chain Finance (“SCF”) programs through financial institutions to certain of our suppliers. We agree to commercial terms with our suppliers, including prices, quantities, and payment terms, and they issue invoices to us based on the agreed-upon contractual terms. If our suppliers choose to participate in the SCF programs, they determine which invoices, if any, to sell to the financial institutions to receive an early discounted payment, while we settle the invoice amount with the financial institutions on the payment due dates. We guarantee these payments with the financial institutions.
Amounts due to our suppliers that participate in the SCF programs are included within “Accounts payable” in the accompanying consolidated balance sheets.
Foreign Currency Translation FOREIGN CURRENCY TRANSLATION. Translation gains and losses of foreign operations that use local currencies as the functional currency are accumulated and reported, net of applicable deferred income taxes, as a component of accumulated other comprehensive loss (“AOCL”) within “Common stockholders’ investment” in the accompanying consolidated balance sheets. Transaction gains and losses that arise from exchange rate fluctuations on transactions denominated in a currency other than the local currency are included within “Other, net” in the accompanying consolidated statements of income and were immaterial for each period presented.
Employees Under Collective Bargaining Arrangements
EMPLOYEES UNDER COLLECTIVE BARGAINING ARRANGEMENTS. Our pilots, who are a small number of our total employees, are represented by the Air Line Pilots Association, International (“ALPA”) and are employed under a collective bargaining agreement that took effect on November 2, 2015. The agreement became amendable in November 2021. Bargaining for a successor agreement
began in May 2021, and in November 2022 the National Mediation Board (“NMB”) began actively mediating the negotiations. In July 2023, the pilots failed to ratify the tentative successor agreement that was approved by ALPA’s FedEx Master Executive Council the prior month. Bargaining for a successor agreement continues. In April 2024, the NMB rejected ALPA’s request for a proffer of arbitration. The conduct of mediated negotiations has no effect on our operations. Once a new agreement is ratified, we may amend our pension plan offered to the pilots, which would result in a remeasurement of our pension benefit obligation.
Investments in Equity and Debt Securities
INVESTMENTS IN EQUITY AND DEBT SECURITIES. Investments in equity securities with a readily determinable fair value are carried at fair value. For equity securities without readily determinable fair values that qualify for the net asset value (“NAV”) practical expedient, we have elected to apply the NAV practical expedient to estimate fair value. Changes in fair value are included in “Other income (expense)” in the accompanying consolidated statements of income.
We apply the measurement alternative to all other investments in equity securities without a readily determinable fair value. Under the measurement alternative these equity securities are accounted for at cost, with adjustments for observable changes in prices and impairments included within “Other income (expense)” in the accompanying consolidated statements of income. We perform a qualitative assessment each reporting period to evaluate whether these equity securities are impaired. Our assessment includes a review of recent operating results and trends and other publicly available data. If an investment is impaired, we write it down to its estimated fair value.
Investments in debt securities, which are considered short-term investments, are classified as “available-for-sale” and are carried at fair value. Realized gains and losses on available-for-sale debt securities are included within “Other income (expense)” in the accompanying consolidated statements of income while unrealized gains and losses, net of tax, are included within AOCL in the accompanying consolidated balance sheet.
Investments in equity securities and debt securities are included within “Other assets” and “Prepaid expenses and other,” respectively, in the accompanying consolidated balance sheets.
Stock-Based Compensation STOCK-BASED COMPENSATION. The accounting guidance related to share-based payments requires recognition of compensation expense for stock-based awards using a fair value method. We use the Black-Scholes option pricing model to calculate the fair value of stock options. The value of restricted stock awards and restricted stock units (“RSUs”) are based on the stock price of the award on the grant date. We record stock-based compensation expense within “Salaries and employee benefits” in the accompanying consolidated statements of income. We issue new shares or treasury shares from stock repurchases to cover employee stock option exercises and restricted stock grants. Shares not issued for restricted stock grants are available to be issued for stock option grants.
Treasury Shares
TREASURY SHARES. In December 2021, our Board of Directors authorized a stock repurchase program of up to $5.0 billion of FedEx common stock. In March 2024, our Board of Directors authorized a new stock repurchase program for additional repurchases of up to $5.0 billion of FedEx common stock. As of June 1, 2024, $5.1 billion remained available to be used for repurchases under the 2021 and 2024 programs.
During 2025, we repurchased 10.9 million shares of FedEx common stock under accelerated share repurchase ("ASR") transactions with two banks and open market transactions at an average price of $274.34 per share for a total of $3.0 billion. Share repurchases had a benefit of $0.44 per diluted share in 2025. In fiscal 2026 we have completed $500 million of share repurchases through open market transactions and as of July 21, 2025, $1.6 billion remained available to be used for repurchases under the 2024 program, which is the only program that currently exists. During 2024, we repurchased 9.8 million shares of FedEx common stock at an average price of $255.34 per share for a total of $2.5 billion. During 2023, we repurchased 9.2 million shares of FedEx common stock at an average price of $163.39 per share for a total of $1.5 billion.
The final number of shares delivered upon settlement of the ASR agreements was determined based on a discount to the volume-weighted average price of our stock during the term of the transaction. The repurchased shares were accounted for as a reduction within “Common stockholders’ investment” in the accompanying consolidated balance sheets and resulted in a reduction of the outstanding shares used to calculate the weighted-average common shares outstanding for basic and diluted earnings per share.
Shares under the 2024 repurchase program may be repurchased from time to time in the open market or in privately negotiated transactions. The timing and volume of repurchases are at the discretion of management, based on the capital needs of the business, the market price of FedEx common stock, and general market conditions. No time limits were set for the completion of the programs, however the programs may be suspended or discontinued at any time.
Dividend Declared per Common Share
DIVIDENDS DECLARED PER COMMON SHARE. On June 9, 2025, our Board of Directors declared a quarterly cash dividend of $1.45 per share of common stock. The dividend was paid on July 8, 2025 to stockholders of record as of the close of business on June 23, 2025. Each quarterly dividend payment is subject to review and approval by our Board of Directors, and we evaluate our dividend payment amount on an annual basis. There are no material restrictions on our ability to declare dividends, nor are there any material restrictions on the ability of our subsidiaries to transfer funds to us in the form of cash dividends, loans, or advances.
Business Optimization and Realignment Costs
BUSINESS OPTIMIZATION AND REALIGNMENT COSTS. In the second quarter of 2023, we announced DRIVE, a comprehensive program to improve long-term profitability. This program includes a business optimization plan to drive efficiency within and among our transportation segments, lower our overhead and support costs, and transform our digital capabilities. We have commenced our plan to consolidate our sortation facilities and equipment, reduce pickup-and-delivery routes, and optimize our enterprise linehaul network by moving beyond discrete collaboration to an end-to-end optimized network through Network 2.0, the multi-year effort to improve the efficiency with which FedEx picks up, transports, and delivers packages in the U.S. and Canada.
We have implemented Network 2.0 optimization in approximately 290 locations in the U.S and Canada as of May 31, 2025. Service providers will handle the pickup and delivery of Federal Express packages in some locations while employee couriers will handle others. We completed Canada’s implementation of Network 2.0 in the fourth quarter of 2025.
In June 2024, Federal Express announced a workforce reduction plan in Europe as part of its ongoing measures to reduce structural costs. The plan will impact approximately 1,400 employees in Europe across back-office and commercial functions. The execution of the plan is subject to a consultation process that is expected to occur over an 18-month period in accordance with local country processes and regulations. We expect savings from the plan to be approximately $150 million on an annualized basis beginning in calendar 2026.
We expect the pre-tax cost of the severance benefits and legal and professional fees to be provided under and related to our workforce reduction plan in Europe to range from $250 million to $275 million in cash expenditures through fiscal 2026. The timing and amount of our business optimization expenses and the related cost savings from the workforce reduction plan may change as we revise and implement our plans. The identification of costs as business optimization-related expenditures is subject to our disclosure controls and procedures.
We incurred business optimization costs of $756 million ($577 million, net of tax, or $2.37 per diluted share) in 2025, including $235 million of costs related to the workforce reduction plan in Europe. These costs were primarily related to professional services and severance, and are included in Federal Express and Corporate, other, and eliminations. We incurred costs associated with our business optimization activities of $582 million ($444 million, net of tax, or $1.77 per diluted share) in 2024. These costs were primarily related to professional services and severance and are included in Corporate, other, and eliminations and Federal Express. We incurred costs associated with our business optimization activities of $273 million ($209 million, net of tax, or $0.81 per diluted share) in 2023. These costs were primarily related to consulting services, severance, professional fees, and idling our operations in Russia. These business optimization costs are included in Corporate, other, and eliminations and Federal Express. The aggregate pre-tax cost of our business optimization activities was $1.6 billion through 2025.
In 2021, Federal Express announced a workforce reduction plan in Europe related to the network integration of TNT Express. The plan affected approximately 5,000 employees in Europe across operational teams and back-office functions and was completed during 2023. We incurred costs of $36 million ($27 million, net of tax, or $0.11 per diluted share) in 2023 associated with our business realignment activities. These costs were related to certain employee severance arrangements. Payments under this program totaled approximately $118 million in 2023. The cumulative pre-tax cost of our business realignment activities was approximately $430 million. We did not incur any costs related to business realignment activities in 2024 or 2025.
Fedex Freight Spin-Off Costs
FEDEX FREIGHT SPIN-OFF COSTS. We incurred costs related to the planned spin-off of FedEx Freight of $56 million ($44 million, net of tax, or $0.18 per diluted share) in 2025. These costs are included in Corporate, other, and eliminations and consist of $38 million of professional and legal fees included within “Other” operating expenses and $18 million related to the debt exchange offer and consent solicitation transactions discussed in Note 7 included within “Other, net” in the accompanying consolidated statements of income. We did not incur any FedEx Freight spin-off costs in 2024.
Use of Estimates
USE OF ESTIMATES. The preparation of our consolidated financial statements requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, the reported amounts of revenue and expenses, and the disclosure of contingent liabilities. Management makes its best estimate of the ultimate outcome for these items based on historical trends and other information available when the financial statements are prepared. Changes in estimates are recognized in accordance with the accounting rules for the estimate, which is typically in the period when new information becomes available to management. Areas where the nature of the estimate makes it reasonably possible that actual results could materially differ from amounts estimated include self-insurance accruals, retirement plan obligations, long-term incentive accruals, tax liabilities, loss contingencies, litigation claims, impairment assessments on long-lived assets (including goodwill) that rely on projections of future cash flows, and purchase price allocations.
Recent Accounting Guidance RECENT ACCOUNTING GUIDANCE
New accounting rules and disclosure requirements can significantly affect our reported results and the comparability of our financial statements. We believe the following new accounting guidance is relevant to the readers of our financial statements.
Recently Adopted Accounting Standards
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, which expands disclosures about a public entity’s reportable segments and requires more enhanced information about a reportable segment’s expenses, interim segment profit or loss, and how a public entity’s chief operating decision maker uses reported segment profit or loss information in assessing segment performance and allocating resources. We adopted this standard effective June 1, 2024 (fiscal 2025). The adoption of this standard did not have a material effect on our consolidated financial statements or internal controls. See Note 15 for further discussion about segment reporting.
New Accounting Standards and Accounting Standards Not Yet Adopted
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which expands disclosures in an entity’s income tax rate reconciliation table and regarding cash taxes paid both in the U.S. and foreign jurisdictions. The update will be effective for annual periods beginning after December 15, 2024 (fiscal 2026). We are assessing the effect of this update on our consolidated financial statements and related disclosures.
In March 2024, the Securities and Exchange Commission (“SEC”) adopted final rules requiring public entities to provide certain climate-related information in their registration statements and annual reports. As part of the disclosures, entities would have been required to quantify certain effects of severe weather events and other natural conditions in a note to their audited financial statements. The rules were originally scheduled to be effective for annual periods beginning in calendar 2025. In April 2024, the SEC voluntarily stayed implementation of the final rules pending certain legal challenges and in February 2025 requested that the court not schedule the matter for argument in order to allow time for the SEC to determine appropriate next steps. In March 2025, the SEC withdrew its defense of the rules. We are currently evaluating the status of these rules and the related litigation.
In November 2024, the FASB issued ASU 2024-03, Income Statement–Reporting Comprehensive Income–Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which expands disclosures about specific expense categories at interim and annual reporting periods. The update will be effective for annual periods beginning after December 15, 2026 and interim periods beginning after December 15, 2027. We are assessing the effect of this update on our consolidated financial statements and related disclosures.
Other accounting pronouncements issued, but not effective until after May 31, 2025, are not expected to have a material impact on our consolidated financial statements, related disclosures, or internal controls.
v3.25.2
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
12 Months Ended
May 31, 2025
Accounting Policies [Abstract]  
Schedule of Depreciable Lives and Net Book Value of Property and Equipment
The depreciable lives and net book value of our property and equipment are as follows (dollars in millions):
Net Book Value at May 31,
Range20252024
Wide-body aircraft and related equipment
18 to 30 years
$18,202 $17,936 
Narrow-body and feeder aircraft and related equipment
5 to 30 years
1,750 1,849 
Package handling and ground support equipment
3 to 15 years
7,573 7,607 
Information technology
3 to 7 years
1,568 1,722 
Vehicles and trailers
3 to 15 years
4,075 4,053 
Facilities and other
1 to 33 years
8,474 8,324 
Schedule of Obligations Confirmed and Paid A rollforward of obligations confirmed and paid during the years ended May 31 is presented below (in millions):
20252024
Confirmed obligations outstanding at the beginning of the year$94 $83 
Invoices confirmed during the year625 686 
Confirmed invoices paid during the year(651)(678)
Currency translation adjustments
Confirmed obligations outstanding at the end of the year$71 $94 
v3.25.2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)
12 Months Ended
May 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Goodwill The carrying amount of goodwill attributable to each reportable operating segment and changes therein are as follows (in millions):
Federal Express
Segment
FedEx Freight
Segment
Corporate, Other, and EliminationsTotal
Goodwill at May 31, 2023$5,781 $771 $1,961 $8,513 
Accumulated impairment charges— (133)(1,945)(2,078)
Balance as of May 31, 20235,781 638 16 6,435 
Other(1)
(12)— — (12)
Balance as of May 31, 20245,769 638 16 6,423 
Goodwill acquired(2)
38 — — 38 
Other(1)
142 — — 142 
Balance as of May 31, 2025$5,949 $638 $16 $6,603 
Accumulated goodwill impairment charges as of May 31, 2025$— $(133)$(1,945)$(2,078)
(1)Primarily currency translation adjustments.
(2)Goodwill acquired related to the acquisition of RouteSmart Technologies. See Note 4 for more information.
Schedule of Identifiable Intangible Assets The summary of our intangible assets and related accumulated amortization at May 31, 2025 and 2024 is as follows (in millions):
20252024
Gross
Carrying
Amount
Accumulated
Amortization
Net Book
Value
Gross
Carrying
Amount
Accumulated
Amortization
Net Book
Value
Customer relationships$580 $(454)$126 $570 $(405)$165 
Technology132 (53)79 62 (46)16 
Trademarks and other(1)— (1)— 
Total$713 $(508)$205 $633 $(452)$181 
Schedule of Expected Amortization Expense
Expected amortization expense for the next five years is as follows (in millions):
2026$54 
202753 
202850 
202911 
2030$10 
v3.25.2
SELECTED CURRENT LIABILITIES (Tables)
12 Months Ended
May 31, 2025
Accounts Payable and Accrued Liabilities, Fair Value Disclosure [Abstract]  
Schedule of Selected Current Liability Captions
The components of selected current liability captions at May 31 were as follows (in millions)
20252024
Accrued salaries and employee benefits
Salaries$1,083 $757 
Employee benefits, including variable compensation796 977 
Compensated absences852 939 
$2,731 $2,673 
Accrued expenses
Self-insurance accruals$1,858 $1,931 
Taxes other than income taxes372 334 
Other2,765 2,697 
$4,995 $4,962 
v3.25.2
LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS (Tables)
12 Months Ended
May 31, 2025
Debt and Lease Obligation [Abstract]  
Schedule of Long-term Debt (Net of Discounts and Debt Issuance Costs)
The components of long-term debt (net of discounts and debt issuance costs), along with maturity dates for the years subsequent to May 31, 2025, are as follows (in millions):
May 31,
Interest Rate %Maturity20252024
Senior secured debt:
1.875 2034$729 $780 
Senior unsecured debt:
3.25 2026749 748 
3.40 2028498 498 
4.20 2029398 398 
3.10-4.25
20301,738 1,739 
2.40 2031992 992 
4.90 2034496 497 
3.90 2035495 495 
3.25 2041740 740 
3.875-4.10
2043985 986 
5.10 2044742 743 
4.10 2045641 642 
4.55-4.75
20462,462 2,464 
4.40 2047736 737 
4.05 2048986 987 
4.95 2049835 836 
5.25 20501,225 1,227 
4.50 2065245 246 
7.60 2098237 237 
Euro senior unsecured debt:
0.45 2026569 542 
1.625 20271,422 1,353 
0.45 2029679 647 
1.30 2032566 539 
0.95 2033734 699 
Total senior unsecured debt19,170 18,992 
Finance lease obligations680 431 
20,579 20,203 
Less current portion1,428 68 
$19,151 $20,135 
Schedule of Principal Payments on Long-Term Debt
The following table sets forth the future scheduled principal payments due by fiscal year on our long-term debt (in millions):
Debt Principal
2026$1,371 
20271,476 
2028552 
20291,135 
20301,802 
Thereafter13,777 
Subtotal20,113 
Discount and debt issuance costs$(214)
Total debt$19,899 
v3.25.2
LEASES (Tables)
12 Months Ended
May 31, 2025
Leases [Abstract]  
Schedule of Net Lease Cost
The following table is a summary of the components of net lease cost for the period ended May 31 (in millions)
20252024
Operating lease cost$3,421 $3,326 
Finance lease cost:
Amortization of right-of-use assets31 30 
Interest on lease liabilities17 24 
Total finance lease cost48 54 
Short-term lease cost484 494 
Variable lease cost1,840 1,714 
Net lease cost$5,793 $5,588 
Supplemental cash flow information related to leases for the period ended May 31 is as follows (in millions):
20252024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases$3,422 $3,319 
Operating cash flows paid for interest portion of finance leases17 15 
Financing cash flows paid for principal portion of finance leases101 80 
Right-of-use assets obtained in exchange for new operating lease liabilities1,945 2,083 
Right-of-use assets obtained in exchange for new finance lease liabilities352 10 
Schedule of Supplemental Balance Sheet Information Related to Leases
Supplemental balance sheet information related to leases as of May 31 is as follows (dollars in millions):
20252024
Operating leases:
Operating lease right-of-use assets, net$16,453$17,115
Current portion of operating lease liabilities$2,565$2,463
Operating lease liabilities14,27215,053
Total operating lease liabilities$16,837$17,516
Finance leases:
Net property and equipment$621$373
Current portion of long-term debt$59$18
Long-term debt, less current portion621413
Total finance lease liabilities$680$431
Weighted-average remaining lease term:
Operating leases9.79.5
Finance leases19.629.8
Weighted-average discount rate:
Operating leases3.98 %3.79 %
Finance leases3.90 %3.63 %
Schedule of Future Minimum Lease Payments, Operating Leases
A summary of future minimum lease payments under non-cancelable operating and finance leases with an initial or remaining term in excess of one year at May 31, 2025 is as follows (in millions):
Aircraft
and Related
Equipment
Facilities
and Other
Total
Operating
Leases
Finance LeasesTotal Leases
2026$126 $2,881 $3,007 $84 $3,091 
2027124 2,811 2,935 85 3,020 
2028124 2,450 2,574 84 2,658 
2029117 2,071 2,188 82 2,270 
203047 1,731 1,778 74 1,852 
Thereafter90 7,817 7,907 610 8,517 
Total lease payments628 19,761 20,389 1,019 21,408 
Less imputed interest(67)(3,485)(3,552)(339)(3,891)
Present value of lease liability$561 $16,276 $16,837 $680 $17,517 
Schedule of Future Minimum Lease Payments, Finance Leases
A summary of future minimum lease payments under non-cancelable operating and finance leases with an initial or remaining term in excess of one year at May 31, 2025 is as follows (in millions):
Aircraft
and Related
Equipment
Facilities
and Other
Total
Operating
Leases
Finance LeasesTotal Leases
2026$126 $2,881 $3,007 $84 $3,091 
2027124 2,811 2,935 85 3,020 
2028124 2,450 2,574 84 2,658 
2029117 2,071 2,188 82 2,270 
203047 1,731 1,778 74 1,852 
Thereafter90 7,817 7,907 610 8,517 
Total lease payments628 19,761 20,389 1,019 21,408 
Less imputed interest(67)(3,485)(3,552)(339)(3,891)
Present value of lease liability$561 $16,276 $16,837 $680 $17,517 
v3.25.2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)
12 Months Ended
May 31, 2025
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Schedule of Changes in Accumulated Other Comprehensive Loss
The following table provides changes in AOCL, net of tax, reported in the consolidated financial statements for the years ended May 31 (in millions; amounts in parentheses indicate debits to AOCL):
202520242023
Foreign currency translation loss:
Balance at beginning of period$(1,422)$(1,362)$(1,148)
Translation adjustments(60)(214)
Balance at end of period(1,420)(1,422)(1,362)
Retirement plans adjustments:
Balance at beginning of period63 35 45 
Prior service credit arising during period— 36 — 
Amortization of prior service credits(5)(8)(10)
Balance at end of period58 63 35 
AOCL at end of period$(1,362)$(1,359)$(1,327)
v3.25.2
STOCK-BASED COMPENSATION (Tables)
12 Months Ended
May 31, 2025
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock-Based Compensation Expense
Our total stock-based compensation expense for the years ended May 31 was as follows (in millions):
202520242023
Stock-based compensation expense$154 $163 $182 
Schedule of Stock-Based Compensation Weighted Average Assumptions The following table includes the weighted-average Black-Scholes value per share of our stock option grants, the intrinsic value of options exercised (in millions), and the key weighted-average assumptions used in the valuation calculations for options granted during the years ended May 31, followed by a discussion of our methodology for developing each of the assumptions used in the valuation model:
202520242023
Weighted-average Black-Scholes value per share$104.42$79.48$63.44
Intrinsic value of options exercised$263$290$160
Black-Scholes assumptions:
Expected lives6.3 years6.4 years6.4 years
Expected volatility37%35%34%
Risk-free interest rate4.59%3.94%1.68%
Dividend yield1.840%2.030%1.694%
Schedule of Stock Option Activity
The following table summarizes information regarding stock option activity for the year ended May 31, 2025:
Stock Options
SharesWeighted-
Average
Exercise
Price
Weighted-
Average
Remaining
Contractual
Term
Aggregate
Intrinsic Value
(in millions)
(1)
Outstanding at June 1, 202413,457,990 $210.35 
Granted1,447,141 $285.19 
Exercised(2,733,218)$191.57 
Forfeited(459,561)$245.35 
Outstanding at May 31, 202511,712,352 $222.31 5.6$251 
Exercisable8,263,050 $209.31 4.6$244 
Expected to vest3,054,819 $253.99 8.2$
Available for future grants10,976,914 
(1)Only presented for options with market value at May 31, 2025 in excess of the exercise price of the option.
Schedule of Vested and Unvested Restricted Stock and RSUs
The following table summarizes information regarding vested and unvested restricted stock and RSUs for the year ended May 31, 2025:
Restricted Stock and RSUs
Shares/UnitsWeighted-
Average
Grant Date
Fair Value
Unvested at June 1, 2024349,972 $226.11 
Granted150,967 276.44 
Vested(185,286)214.78 
Forfeited(9,374)243.67 
Unvested at May 31, 2025306,279 $253.66 
Available for future grants609,193 
Schedule of Stock Option Vesting
Stock option vesting during the years ended May 31 was as follows:
Stock Options
Vested during
the year
Fair value
(in millions)
20251,896,584 $116 
20242,599,042 137 
20232,711,215 $137 
v3.25.2
COMPUTATION OF EARNINGS PER SHARE (Tables)
12 Months Ended
May 31, 2025
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Earnings Per Common Share
The calculation of basic and diluted earnings per common share for the years ended May 31 was as follows (in millions, except per share amounts):
202520242023
Basic earnings per common share:
Net earnings allocable to common shares(1)
$4,087 $4,325 $3,966 
Weighted-average common shares241248254
Basic earnings per common share$16.96 $17.41 $15.60 
Diluted earnings per common share:
Net earnings allocable to common shares(1)
$4,087 $4,325 $3,966 
Weighted-average common shares241248254
Dilutive effect of share-based awards232
Weighted-average diluted shares243251256
Diluted earnings per common share$16.81 $17.21 $15.48 
Anti-dilutive options excluded from diluted earnings per common share4.95.87.4
(1)Net earnings available to participating securities were $5 million in 2025, $6 million in 2024, and $6 million in 2023.
v3.25.2
INCOME TAXES (Tables)
12 Months Ended
May 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Provision for Income Taxes
The components of the provision for income taxes for the years ended May 31 were as follows (in millions):
202520242023
Current provision
Domestic:
Federal$891 $1,184 $579 
State and local146 218 157 
Foreign359 265 209 
1,396 1,667 945 
Deferred provision
Domestic:
Federal(302)(82)369 
State and local20 60 37 
Foreign235 (140)40 
(47)(162)446 
Total Provision$1,349 $1,505 $1,391 
Schedule of Total Income Tax Expense and Amount Computed by Statutory Federal Income Tax Rate to Income Before Income Taxes
A reconciliation of total income tax expense and the amount computed by applying the statutory federal income tax to income before income taxes for the years ended May 31 is as follows (dollars in millions):
202520242023
Taxes computed at federal statutory rate$1,143 $1,226 $1,126 
Increases (decreases) in income tax from:
U.S. and foreign return-to-provision adjustments11 (44)
State and local income taxes, net of federal benefit137 177 152 
Foreign operations101 65 96 
Non-deductible expenses72 48 40 
Uncertain tax positions(5)(21)60 
Benefits from share-based payments(18)(26)(18)
Valuation allowance21 59 59 
Foreign tax rate enactments— 
State deferred tax remeasurement— 54 — 
Goodwill impairment charges— — 
Corporate structuring transactions(66)— — 
Other, net(47)(88)(91)
Provision for income taxes$1,349 $1,505 $1,391 
Effective Tax Rate24.8 %25.8 %25.9 %
Schedule of Deferred Tax Assets and Liabilities
The significant components of deferred tax assets and liabilities as of May 31 were as follows (in millions):
20252024
Deferred Tax
Assets
Deferred Tax
Liabilities
Deferred Tax
Assets
Deferred Tax
Liabilities
Property, equipment, leases, and intangibles$4,515 $10,434 $4,597 $10,815 
Employee benefits725 291 744 68 
Self-insurance accruals1,247 — 1,183 — 
Other591 42 561 140 
Net operating loss/credit carryforwards1,123 — 1,306 — 
Valuation allowances(523)— (537)— 
$7,678 $10,767 $7,854 $11,023 
Schedule of Net Deferred Tax Liabilities
The net deferred tax liabilities as of May 31 have been classified in the balance sheets as follows (in millions):
20252024
Noncurrent deferred tax assets(1)
$1,116 $1,313 
Noncurrent deferred tax liabilities(4,205)(4,482)
$(3,089)$(3,169)
(1)Noncurrent deferred tax assets are included within “Other Assets” in the accompanying consolidated balance sheets.
Schedule of Beginning and Ending Amount of Unrecognized Tax Benefits
A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended May 31 is as follows (in millions):
202520242023
Balance at beginning of year$186 $212 $169 
Increases for tax positions taken in the current year31 
Increases for tax positions taken in prior years33 68 
Decreases for tax positions taken in prior years(11)(3)(7)
Settlements(87)(31)(15)
Changes due to currency translation(1)(6)
Balance at end of year$155 $186 $212 
v3.25.2
RETIREMENT PLANS (Tables)
12 Months Ended
May 31, 2025
Retirement Benefits [Abstract]  
Schedule of Retirement Plan Costs
A summary of our retirement plan costs for the years ended May 31 is as follows (in millions):
202520242023
Defined benefit pension plans$278 $363 $236 
Defined contribution plans1,144 968 955 
Postretirement healthcare plans87 85 92 
Pension plans MTM gain(515)(561)(650)
$994 $855 $633 
The components of the MTM adjustments for the years ended May 31 are as follows (in millions):
202520242023
Actual versus expected return on assets$75 $(67)$2,492 
Discount rate change(1,024)(1,139)(3,395)
Demographic experience:
Current year actuarial loss196 67 142 
Change in future assumptions247 577 110 
Pension plan amendments, including curtailment gains(9)
Total MTM gain$(515)$(561)$(650)
Schedule of Weighted-Average Actuarial Assumptions Used to Determine the Benefit Obligations and Net Periodic Benefit Cost of Plans
Weighted-average actuarial assumptions used to determine the benefit obligations and net periodic benefit cost of our plans are as follows:
U.S. Pension PlansInternational Pension PlansPostretirement Healthcare Plans
202520242023202520242023202520242023
Discount rate used to determine benefit obligation5.94 %5.58 %5.20 %4.40 %4.29 %4.21 %5.60 %5.63 %5.37 %
Discount rate used to determine net periodic benefit cost5.58 5.20 4.25 4.29 4.21 3.09 5.63 5.37 4.35 
Rate of increase in future compensation levels used to determine benefit obligation5.36 5.29 5.13 3.11 3.06 3.04 — — — 
Rate of increase in future compensation levels used to determine net periodic benefit cost5.29 5.13 5.11 3.06 3.04 2.89 — — — 
Expected long-term rate of return on assets6.75 6.50 6.50 3.59 3.55 2.26 — — — 
Interest crediting rate used to determine benefit obligation4.10 4.32 4.23 2.30 2.90 2.40 — — — 
Interest crediting rate used to determine net periodic benefit cost4.32 4.23 4.00 2.90 2.40 3.70 — — — 
Schedule of Plan Assets at Measurement Date
The fair values of investments by level and asset category and the weighted-average asset allocations for our U.S. Pension Plans and our most significant international pension plan at the measurement date are presented in the following tables (in millions):
Plan Assets at Measurement Date
2025
Asset Class (U.S. Plan)Fair ValueActual %
Target
Range %(1)
Quoted Prices in
Active Markets
Level 1
Other Observable
Inputs
Level 2
Unobservable
Inputs
Level 3
Cash and cash equivalents$641 %
0 - 5%
$34 $607 $— 
Equities
25 - 40
U.S. large cap equity(2)
3,804 14 1,678 — — 
International equities(2)
2,869 11 1,994 — — 
Global equities(2)
1,224 — — — 
U.S. SMID cap equity671 662 — 
Fixed-income securities
40 - 60
Corporate6,625 25 — 6,625 — 
Government(2)
4,142 16 — 2,277 — 
Mortgage-backed and other(2)
1,648 — 229 — 
Alternative investments(2)
4,972 19 
15 - 25
— — 1,083 
Other— (16)21 — 
Total U.S. plan assets$26,601 100 %$4,352 $9,768 $1,083 
Asset Class (International Plan)
Cash and cash equivalents$12 %$12 $— $— 
Fixed-income securities
Corporate(2)
118 34 — — — 
Government(2)
184 53 141 — — 
Other(2)
35 10 — — — 
Total international plan assets$349 100 %$153 $— $— 
(1)Target ranges have not been provided for international plan assets as they are managed at an individual country level.
(2)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy but are included in the total.
Plan Assets at Measurement Date
2024
Asset Class (U.S. Plan)Fair ValueActual %
Target
Range %
(1)
Quoted Prices in
Active Markets
Level 1
Other Observable
Inputs
Level 2
Unobservable
Inputs
Level 3
Cash and cash equivalents$577 %
0 - 5%
$130 $447 $— 
Equities
25 - 40
U.S. large cap equity(2)
3,376 13 1,382 — — 
International equities(2)
2,631 10 1,780 — — 
Global equities(2)
1,397 — — — 
U.S. SMID cap equity926 916 10 — 
Fixed-income securities
40 - 60
Corporate6,502 25 — 6,502 — 
Government(2)
4,194 16 — 2,335 — 
Mortgage-backed and other(2)
1,514 — 205 — 
Alternative investments(2)
4,777 19 
15 - 25
— — 1,075 
Other(97)— (111)14 — 
Total U.S. plan assets$25,797 100 %$4,097 $9,513 $1,075 
Asset Class (International Plan)
Cash and cash equivalents$%$$— $— 
Fixed-income securities
Corporate(2)
62 18 — — — 
Government(2)
177 52 149 — — 
Other(2)
94 28 — — — 
Total international plan assets$341 100 %$157 $— $— 
(1)Target ranges have not been provided for international plan assets as they are managed at an individual country level.
(2)Certain investments that are measured at fair value using the net asset value per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy but are included in the total.
Schedule of Change in Fair Value of Level 3 Assets
The change in fair value of Level 3 assets that use significant unobservable inputs is shown in the table below (in millions):
U.S. Pension Plans
20252024
Balance at beginning of year$1,075 $937 
Actual return on plan assets:
Assets held during current year(63)59 
Assets sold during the year75 30 
Purchases, sales, and settlements, net(4)49 
Balance at end of year$1,083 $1,075 
Schedule of Changes in the Pension and Postretirement Healthcare Plans' Benefit Obligation and Fair Value of Assets and Funded Status
The following tables provide a reconciliation of the changes in the pension and postretirement healthcare plans’ benefit obligations and fair value of assets over the two-year period ended May 31, 2025 and a statement of the funded status as of May 31, 2025 and 2024 (in millions):
U.S. Pension PlansInternational
Pension Plans
Postretirement Healthcare Plans
202520242025202420252024
Accumulated Benefit Obligation (“ABO”)$25,501 $25,756 $938 $885 
Changes in PBO and Accumulated Postretirement Benefit Obligation (“APBO”)
PBO/APBO at the beginning of year$26,284 $26,426 $1,018 $990 $1,162 $1,169 
Service cost499 544 38 38 26 27 
Interest cost1,447 1,362 43 42 65 61 
Actuarial (gain) loss(581)(514)(4)18 
Benefits paid(1,674)(1,534)(39)(39)(62)(89)
Settlements— — (20)(11)— — 
Other— — 37 (5)(24)
PBO/APBO at the end of year$25,975 $26,284 $1,073 $1,018 $1,195 $1,162 
Change in Plan Assets
Fair value of plan assets at the beginning of year$25,797 $24,826 $602 $579 $— $— 
Actual return on plan assets1,661 1,674 12 — — 
Company contributions817 831 64 50 59 67 
Benefits paid(1,674)(1,534)(39)(39)(62)(89)
Settlements— — (22)(11)— — 
Other— — 33 11 22 
Fair value of plan assets at the end of year$26,601 $25,797 $644 $602 $— $— 
Funded Status of the Plans$626 $(487)$(429)$(416)$(1,195)$(1,162)
Amount Recognized in the Balance Sheet at May 31:
Noncurrent asset$746 $— $88 $73 $— $— 
Current pension, and other benefit obligations(33)(35)(25)(22)(79)(81)
Noncurrent pension, and other benefit obligations(87)(452)(492)(467)(1,116)(1,081)
Net amount recognized$626 $(487)$(429)$(416)$(1,195)$(1,162)
Amounts Recognized in AOCL and not yet reflected in Net Periodic Benefit Cost:
Prior service cost (credit)$(32)$(39)$$$(39)$(43)
Schedule of Components of Pension Plans
Our pension plans included the following components at May 31 (in millions):
PBOFair Value of
Plan Assets
Funded Status
2025
Qualified$25,855 $26,601 $746 
Nonqualified120 — (120)
International Plans1,073 644 (429)
Total$27,048 $27,245 $197 
2024
Qualified$26,152 $25,797 $(355)
Nonqualified132 — (132)
International Plans1,018 602 (416)
Total$27,302 $26,399 $(903)
Schedule of Fair Value of Plan Assets for Pension Plans with an Obligation in Excess of Plan Assets
The table above provides the PBO, fair value of plan assets, and funded status of our pension plans on an aggregated basis. The following tables present our plans on a disaggregated basis to show those plans (as a group) whose assets did not exceed their liabilities. The fair value of plan assets for pension plans with a PBO or ABO in excess of plan assets at May 31 were as follows (in millions):
PBO Exceeds the Fair Value
of Plan Assets
20252024
U.S. Pension Benefits
Fair value of plan assets$— $25,797 
PBO(120)(26,284)
Net funded status$(120)$(487)
International Pension Benefits
Fair value of plan assets$268 $239 
PBO(784)(728)
Net funded status$(516)$(489)
ABO Exceeds the Fair Value
of Plan Assets
20252024
U.S. Pension Benefits
ABO(1)
$(115)$(124)
Fair value of plan assets— — 
PBO(120)(132)
Net funded status$(120)$(132)
International Pension Benefits
ABO(1)
$(627)$(575)
Fair value of plan assets242 216 
PBO(757)(703)
Net funded status$(515)$(487)
(1)ABO not used in determination of funded status.
Schedule of Contributions to Qualified Pension Plans
Contributions to our qualified U.S. Pension Plans for the years ended May 31 were as follows (in millions):
20252024
Required$— $— 
Voluntary800 800 
$800 $800 
Schedule of Net Periodic Benefit (Income) Cost
Net periodic benefit (income) cost for the years ended May 31 were as follows (in millions):
U.S. Pension PlansInternational Pension PlansPostretirement Healthcare Plans
202520242023202520242023202520242023
Service cost$499 $544 $651 $38 $38 $44 $26 $27 $37 
Interest cost1,447 1,362 1,218 43 42 34 65 61 55 
Expected return on plan assets(1,721)(1,598)(1,688)(21)(18)(14)— — — 
Amortization of prior service credit(8)(7)(7)— (2)(4)(3)— 
Actuarial losses (gains) and other(521)(590)(487)13 (25)16 (138)
Net periodic benefit (income) cost$(304)$(289)$(313)$65 $75 $37 $89 $101 $(46)
Schedule of Expected Future Benefit Payments
Benefit payments, which reflect expected future service, are expected to be paid as follows for the years ending May 31 (in millions):
U.S. Pension PlanInternational
Pension Plans
Postretirement
Healthcare Plans
2026$1,758 $60 $79 
20271,793 56 90 
20281,839 61 100 
20291,879 74 110 
20301,935 81 121 
2031-203510,292 453 672 
v3.25.2
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE (Tables)
12 Months Ended
May 31, 2025
Segment Reporting [Abstract]  
Schedule of Segment Information
The following table presents segment information for the year ended May 31, 2025 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
Corporate,
other, and eliminations
Consolidated
Total
Revenue$75,304 $8,892 

$3,730 

$87,926 
Operating expenses:



Salaries and employee benefits25,091 3,865 

2,276 

31,232 
Purchased transportation19,974 807 

987 

21,768 
Rentals and landing fees3,939 287 

421 

4,647 
Depreciation and amortization3,722 416 

126 

4,264 
Fuel3,316 457 


3,775 
Maintenance and repairs2,799 332 

114 

3,245 
Asset impairment charges21 — — 21 
Business optimization costs384 — 

372 

756 
Intercompany allocations (charges)(791)573 

218 

— 
Other(1)
11,964 666 371 13,001 
Total operating expenses70,419 7,403 4,887 82,709 
Operating income$4,885 $1,489 

$(1,157)

5,217 
Other income (expense):
Interest, net(426)
Other retirement plans, net(2)
713 
Other, net(3)
(63)
Total other income (expense)224 
Income before income taxes5,441 
Provision for income taxes1,349 
Net income$4,092 
(1)Includes $88 million of net expenses included in Federal Express for international regulatory and legacy FedEx Ground legal matters. Also includes costs related to the planned spin-off of FedEx Freight of $38 million included in "Corporate, other, and eliminations."
(2)Includes a pre-tax, noncash gain of $515 million associated with our MTM retirement plans accounting adjustments.
(3)Includes $18 million related to the debt exchange offer and consent solicitation transactions in connection with the planned spin-off of FedEx Freight.
The following table presents segment information for the year ended May 31, 2024 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
Corporate,
other, and eliminations
Consolidated
Total
Revenue$74,663 $9,429 $3,601 $87,693 
Operating expenses:
Salaries and employee benefits24,606 3,923 2,432 30,961 
Purchased transportation19,330 877 714 20,921 
Rentals and landing fees3,863 280 428 4,571 
Depreciation and amortization3,754 404 129 4,287 
Fuel4,137 571 4,710 
Maintenance and repairs2,848 330 113 3,291 
Goodwill and other asset impairment charges157 — — 157 
Business optimization costs251 — 331 582 
Intercompany allocations (charges)(684)543 141 — 
Other(1)
11,582 680 392 12,654 
Total operating expenses69,844 7,608 4,682 82,134 
Operating income$4,819 $1,821 $(1,081)5,559 
Other income (expense):
Interest, net(375)
Other retirement plans, net(2)
722 
Other, net(70)
Total other income (expense)277 
Income before income taxes5,836 
Provision for income taxes(3)
1,505 
Net income$4,331 
(1)Includes a $57 million benefit included in “Corporate, other, and eliminations" for an insurance reimbursement related to pre- and post-judgment interest in connection with a legacy FedEx Ground legal matter.
(2)Includes a pre-tax, noncash gain of $561 million associated with our MTM retirement plans accounting adjustments.
(3)Includes a $54 million tax expense related to the remeasurement of state deferred income taxes under the new one FedEx structure.
The following table presents segment information for the year ended May 31, 2023 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
Corporate,
other, and eliminations
Consolidated
Total
Revenue$75,884 $10,084 $4,187 $90,155 
Operating expenses:
Salaries and employee benefits24,523 4,057 2,439 31,019 
Purchased transportation19,677 1,078 1,035 21,790 
Rentals and landing fees4,035 269 434 4,738 
Depreciation and amortization3,655 387 134 4,176 
Fuel5,157 748 5,909 
Maintenance and repairs2,910 320 127 3,357 
Goodwill and other asset impairment charges70 — 47 117 
Business optimization costs47 — 262 309 
Intercompany allocations (charges)(689)542 147 — 
Other(1)
12,306 747 775 13,828 
Total operating expenses71,691 8,148 5,404 85,243 
Operating income$4,193 $1,936 $(1,217)4,912 
Other income (expense):
Interest, net(496)
Other retirement plans, net(2)
1,054 
Other, net(107)
Total other income (expense)451 
Income before income taxes5,363 
Provision for income taxes1,391 
Net income$3,972 
(1)Includes $35 million in connection with a FedEx Ground legal matter included in “Corporate, other, and eliminations.”
(2)Includes a pre-tax, noncash gain of $650 million associated with our MTM retirement plans accounting adjustments.
The following table provides a reconciliation of segment assets to consolidated financial statement totals (in millions) for the years as of May 31:
Federal
Express
Segment
FedEx
Freight
Segment
Corporate, other, and eliminationsConsolidated
Total
Segment assets(1)
2025$74,154 $12,899 $574 $87,627 
202473,259 11,615 2,133 87,007 
202385,128 10,416 (8,401)87,143 
(1)Segment assets include intercompany receivables. In the fourth quarter of 2024, legacy FedEx Ground settled an intercompany balance of $19.5 billion with FedEx in preparation for the one FedEx consolidation.
Schedule of Segment Capital Expenditures
The following table provides a reconciliation of reportable segment capital expenditures to consolidated totals for the years ended May 31 (in millions):
Federal
Express
Segment
FedEx
Freight
Segment
OtherConsolidated
Total
2025$3,505 $437 $113 $4,055 
20244,591 461 124 5,176 
20235,480 557 137 6,174 
Schedule of Revenue by Service Type and Geographical Information
The following table presents revenue by service type and geographic information for the years ended or as of May 31 (in millions):
202520242023
REVENUE BY SERVICE TYPE
Federal Express segment:
Package:
U.S. priority revenue$10,520 $10,543 $10,896 
U.S. deferred revenue5,007 4,926 5,126 
U.S. ground revenue33,887 32,981 32,352 
Total U.S. domestic package revenue49,414 48,450 48,374 
International priority8,737 9,454 10,938 
International economy5,861 4,653 3,307 
Total international export package revenue14,598 14,107 14,245 
International domestic(1)
4,495 4,659 4,552 
Total package revenue68,507 67,216 67,171 
Freight:
U.S.1,536 2,391 2,883 
International priority2,320 2,205 3,059 
International economy1,975 1,874 1,719 
Total freight revenue5,831 6,470 7,661 
Other966 977 1,052 
Total Federal Express segment75,304 74,663 75,884 
FedEx Freight segment8,892 9,429 10,084 
Other and eliminations(2)
3,730 3,601 4,187 
$87,926 $87,693 $90,155 
GEOGRAPHICAL INFORMATION(3)
Revenue:
U.S.$62,916 $63,531 $64,890 
International:
Federal Express segment23,720 23,136 23,951 
FedEx Freight segment247 266 264 
Other1,043 760 1,050 
Total international revenue25,010 24,162 25,265 
$87,926 $87,693 $90,155 
Noncurrent assets:
U.S.$57,040 $56,822 $56,449 
International12,201 11,978 12,084 
$69,241 $68,800 $68,533 
(1)International domestic revenue relates to our intra-country operations.
(2)Includes the FedEx Office, FedEx Logistics, and FedEx Dataworks operating segments.
(3)International revenue includes shipments that either originate in or are destined to locations outside the United States, which could include U.S. payors. Noncurrent assets include property and equipment, operating lease right-of-use assets, goodwill, and other long-term assets. Our flight equipment is registered in the U.S. and is included as U.S. assets; however, many of our aircraft operate internationally.
v3.25.2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables)
12 Months Ended
May 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Foreign Currency Derivatives The following foreign currency derivatives were outstanding as of May 31, 2025 and 2024 (notional amounts in millions):
20252024
Foreign Currency DerivativeNumber of InstrumentsNotional SoldNotional PurchasedNumber of InstrumentsNotional SoldNotional Purchased
Cross-currency swaps4(949)$1,000 4(468)$500 
Schedule of Fair Value of Derivatives
The following table presents the fair value of our derivatives, including their classification on the consolidated balance sheet, as of May 31, 2025 and 2024 (in millions):
Balance Sheet Location20252024
Asset Derivatives
Cross-currency swapsPrepaid expenses and other$13 $
Liability Derivatives
Cross-currency swapsOther liabilities$108 $14 
v3.25.2
SUPPLEMENTAL CASH FLOW INFORMATION (Tables)
12 Months Ended
May 31, 2025
Supplemental Cash Flow Information [Abstract]  
Schedule of Cash Paid for Interest Expense and Income Taxes
Cash paid for interest expense and income taxes for the years ended May 31 was as follows (in millions):
202520242023
Cash payments for:
Interest (net of capitalized interest)$814 $744 $694 
Income taxes$1,285 $1,555 $1,096 
Income tax refunds received(35)(122)(53)
Cash tax payments, net$1,250 $1,433 $1,043 
Schedule of Noncash Investing and Financing Activities
Noncash investing and financing activities for the years ended May 31 were as follows (in millions):
202520242023
Shares of common stock issued from treasury stock for acquisition$90 $— $— 
v3.25.2
COMMITMENTS (Tables)
12 Months Ended
May 31, 2025
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Purchase Commitments
Annual purchase commitments under various contracts as of May 31, 2025 were as follows (in millions):
Aircraft and
Aircraft Related
Other(1)
Total
2026$889 $848 $1,737 
20271,114 581 1,695 
2028989 411 1,400 
2029410 338 748 
2030204 20 224 
Thereafter1,075 90 1,165 
Total$4,681 $2,288 $6,969 
(1)Primarily information technology and advertising contracts.
Schedule of Aircraft Purchase Commitments The following table is a summary of the key aircraft we were committed to purchase as of May 31, 2025, with the year of expected delivery:
Cessna SkyCourier 408ATR 72-600FB767FB777FTotal
202619 — 29 
2027— 12 
2028— — 
2029— — — 
2030— — — 
Thereafter— — — — — 
Total23 16 10 56 
v3.25.2
INVESTMENTS (Tables)
12 Months Ended
May 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Schedule of Investments in Equity Securities The summary of our investments in equity securities at May 31, 2025 and 2024 is as follows (in millions):
20252024
Equity securities with readily determinable fair values$91 $100 
Equity securities without readily determinable fair values - NAV practical expedient51 37 
Equity securities without readily determinable fair values - measurement alternative364 223 
Total equity securities$506 $360 
Schedule of Investments in Debt Securities The summary of our investments in debt securities at May 31, 2025 and 2024 is as follows (in millions):
20252024
Gross UnrealizedGross Unrealized
CostGainsLossesEstimated Fair ValueCostGainsLossesEstimated Fair Value
Fixed-income securities$69 $$— $70 $76 $$— $77 
Total debt securities$69 $$— $70 $76 $$— $77 
v3.25.2
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details)
$ / shares in Units, shares in Millions
1 Months Ended 2 Months Ended 12 Months Ended 32 Months Ended
Jun. 09, 2025
$ / shares
Jun. 30, 2024
USD ($)
employee
Jul. 21, 2025
USD ($)
May 31, 2025
USD ($)
aircraft
bank
location
$ / shares
shares
May 31, 2024
USD ($)
aircraft
$ / shares
shares
May 31, 2023
USD ($)
aircraft
$ / shares
shares
May 31, 2023
USD ($)
employee
Jun. 01, 2024
USD ($)
Mar. 31, 2024
USD ($)
Dec. 31, 2021
USD ($)
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Gross contract assets related to in-transit shipments       $ 673,000,000 $ 672,000,000          
Contract assets net of deferred unearned revenue       526,000,000 463,000,000          
Contract liabilities related to advance payments from customers       23,000,000 23,000,000          
Advertising and promotion expenses       425,000,000 421,000,000 $ 435,000,000        
Depreciation and amortization       4,264,000,000 4,287,000,000 4,176,000,000        
Capitalized interest       $ 55,000,000 81,000,000 77,000,000        
Number of aircraft to be permanently retired from service | aircraft       12            
Number of aircraft engines to be permanently retired from service | aircraft       8            
Noncash impairment charges       $ 21,000,000 157,000,000 70,000,000        
Noncash impairment charges net of tax       $ 16,000,000 $ 120,000,000 $ 54,000,000        
Noncash impairment charges net of tax per diluted share (in dollars per share) | $ / shares       $ 0.06 $ 0.48 $ 0.21        
Number of idle aircraft | aircraft       22            
Expected revenue service       10 months            
Purchase of treasury stock (in shares) | shares       10.9 9.8 9.2        
Payments for repurchase of common stock       $ 3,017,000,000 $ 2,500,000,000 $ 1,500,000,000        
Cash dividends declared (in dollars per share) | $ / shares       $ 5.52 $ 3.78 $ 5.86        
Number of employees left or voluntarily leaving | employee   1,400         5,000      
Consultation process expected occur period   18 months                
Expected cash expenditures   $ 150,000,000                
Business optimization costs       $ 756,000,000 $ 582,000,000 $ 273,000,000        
Business optimization costs, net of tax       $ 577,000,000 $ 444,000,000 $ 209,000,000        
Business optimization costs (in dollar per share) | $ / shares       $ 2.37 $ 1.77 $ 0.81        
Cost incurred to date       $ 235,000,000            
Aggregate pre-tax cost of business optimization       1,600,000,000            
Business realignment costs       0 $ 0 $ 36,000,000 $ 430,000,000      
Business realignment costs, net of tax           $ 27,000,000        
Business realignment costs per diluted share | $ / shares           $ 0.11        
Business employee severance costs paid           $ 118,000,000        
Freight spin off costs       56,000,000            
Freight spin off costs, net of tax       $ 44,000,000            
Freight spin off costs (in dollar per share) | $ / shares       $ 0.18            
Professional fees       $ 38,000,000            
Debt issuance costs       $ 18,000,000            
Network 2.0 Optimization                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Number of business locations | location       290            
Subsequent Event                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Cash dividends declared (in dollars per share) | $ / shares $ 1.45                  
2022 Repurchase Program                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Stock repurchase program amount authorized to be repurchased                   $ 5,000,000,000.0
Purchase of treasury stock (in shares) | shares           9.2        
Treasury stock acquired, average cost per share (in dollars per share) | $ / shares           $ 163.39        
Payments for repurchase of common stock           $ 1,500,000,000        
2024 Repurchase Program                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Stock repurchase program amount authorized to be repurchased                 $ 5,000,000,000.0  
Purchase of treasury stock (in shares) | shares         9.8          
Treasury stock acquired, average cost per share (in dollars per share) | $ / shares         $ 255.34          
Payments for repurchase of common stock         $ 2,500,000,000          
2024 Repurchase Program | Subsequent Event                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Stock repurchase program amount authorized to be repurchased, remaining available amount     $ 1,600,000,000              
Payments for repurchase of common stock     $ 500,000,000              
2021 And 2024 Stock Repurchase Program                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Stock repurchase program amount authorized to be repurchased, remaining available amount               $ 5,100,000,000    
Accelerated Share Repurchase Agreement                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Purchase of treasury stock (in shares) | shares       10.9            
Number of banks | bank       2            
Treasury stock acquired, average cost per share (in dollars per share) | $ / shares       $ 274.34            
Payments for repurchase of common stock       $ 3,000,000,000.0            
Share repurchases benefit per diluted share (in dollars per share) | $ / shares       $ 0.44            
Supply Chain Finance                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Outstanding payment obligations       $ 71,000,000 $ 94,000,000 $ 83,000,000 $ 83,000,000      
Boeing 757-200 aircraft                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Number of aircraft to be permanently retired from service | aircraft       2 22 4        
Number of aircraft engines to be permanently retired from service | aircraft         7 1        
Airbus A300-600 aircraft                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Number of aircraft to be permanently retired from service | aircraft       7   2        
Number of aircraft engines to be permanently retired from service | aircraft           8        
Boeing MD-11F aircraft                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Number of aircraft to be permanently retired from service | aircraft       3   12        
Number of aircraft engines to be permanently retired from service | aircraft           25        
Decrease in depreciation       $ 19,000,000            
Minimum                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Intangible assets amortization periods       1 year            
Expected cash expenditures       $ 250,000,000            
Minimum | Wide-body aircraft and related equipment                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Depreciable lives range       18 years            
Maximum                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Intangible assets amortization periods       15 years            
Expected cash expenditures       $ 275,000,000            
Maximum | Wide-body aircraft and related equipment                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Depreciable lives range       30 years            
Payment Interval One                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Contract with customer, periodic payment term       15 days            
Payment Interval Two                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Contract with customer, periodic payment term       30 days            
Payment Interval Three                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Contract with customer, periodic payment term       45 days            
Payment Interval Four                    
Organization Consolidation And Presentation Of Financial Statements [Line Items]                    
Contract with customer, periodic payment term       90 days            
v3.25.2
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Depreciable Lives and Net Book Value of Property and Equipment (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Property Plant And Equipment [Line Items]    
Net Book Value $ 41,642 $ 41,491
Wide-body aircraft and related equipment    
Property Plant And Equipment [Line Items]    
Net Book Value $ 18,202 17,936
Wide-body aircraft and related equipment | Minimum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 18 years  
Wide-body aircraft and related equipment | Maximum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 30 years  
Narrow-body and feeder aircraft and related equipment    
Property Plant And Equipment [Line Items]    
Net Book Value $ 1,750 1,849
Narrow-body and feeder aircraft and related equipment | Minimum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 5 years  
Narrow-body and feeder aircraft and related equipment | Maximum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 30 years  
Package handling and ground support equipment    
Property Plant And Equipment [Line Items]    
Net Book Value $ 7,573 7,607
Package handling and ground support equipment | Minimum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 3 years  
Package handling and ground support equipment | Maximum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 15 years  
Information technology    
Property Plant And Equipment [Line Items]    
Net Book Value $ 1,568 1,722
Information technology | Minimum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 3 years  
Information technology | Maximum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 7 years  
Vehicles and trailers    
Property Plant And Equipment [Line Items]    
Net Book Value $ 4,075 4,053
Vehicles and trailers | Minimum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 3 years  
Vehicles and trailers | Maximum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 15 years  
Facilities and other    
Property Plant And Equipment [Line Items]    
Net Book Value $ 8,474 $ 8,324
Facilities and other | Minimum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 1 year  
Facilities and other | Maximum    
Property Plant And Equipment [Line Items]    
Depreciable lives range 33 years  
v3.25.2
DESCRIPTION OF BUSINESS SEGMENTS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Schedule of Obligation Confirmed and Paid (Details) - Supply Chain Finance - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
Supplier Finance Program, Obligation [Roll Forward]    
Confirmed obligations outstanding at the beginning of the year $ 94 $ 83
Invoices confirmed during the year 625 686
Confirmed invoices paid during the year (651) (678)
Currency translation adjustments 3 3
Confirmed obligations outstanding at the end of the year $ 71 $ 94
Supplier Finance Program, Obligation, Statement of Financial Position [Extensible Enumeration] Accounts payable Accounts payable
v3.25.2
CREDIT LOSSES (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Credit Loss [Abstract]      
Credit losses $ 521 $ 421 $ 696
Allowance for credit losses $ 438 $ 436  
v3.25.2
BUSINESS COMBINATIONS (Details)
$ in Millions
Feb. 04, 2025
USD ($)
RouteSmart Technologies, Inc.  
Business Combination [Line Items]  
Purchase price consideration $ 113
v3.25.2
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Goodwill (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Goodwill [Roll Forward]      
Goodwill, gross     $ 8,513
Accumulated impairment charges $ (2,078)   (2,078)
Goodwill 6,603 $ 6,423 6,435
Beginning balance 6,423 6,435  
Goodwill acquired 38    
Other 142 (12)  
Ending balance 6,603 6,423  
Corporate, Other, and Eliminations      
Goodwill [Roll Forward]      
Goodwill, gross     1,961
Accumulated impairment charges (1,945)   (1,945)
Goodwill 16 16 16
Beginning balance 16 16  
Goodwill acquired 0    
Other 0 0  
Ending balance 16 16  
Federal Express
Segment | Operating Segments      
Goodwill [Roll Forward]      
Goodwill, gross     5,781
Accumulated impairment charges 0   0
Goodwill 5,949 5,769 5,781
Beginning balance 5,769 5,781  
Goodwill acquired 38    
Other 142 (12)  
Ending balance 5,949 5,769  
FedEx Freight
Segment | Operating Segments      
Goodwill [Roll Forward]      
Goodwill, gross     771
Accumulated impairment charges (133)   (133)
Goodwill 638 638 $ 638
Beginning balance 638 638  
Goodwill acquired 0    
Other 0 0  
Ending balance $ 638 $ 638  
v3.25.2
GOODWILL AND OTHER INTANGIBLE ASSETS - Additional Information (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
May 31, 2025
May 31, 2024
May 31, 2023
Goodwill [Line Items]            
Goodwill impairment charges       $ 0 $ 0  
Asset impairment charges $ 0 $ 0   21 157 $ 117
Intangible assets amortization expense       $ 48 $ 47 52
ShopRunner Acquisition            
Goodwill [Line Items]            
Asset impairment charges     $ 11      
FedEx Dataworks, Inc.            
Goodwill [Line Items]            
Goodwill impairment charges           $ 36
Goodwill, Impairment Loss, Statement of Income or Comprehensive Income [Extensible Enumeration]           Asset impairment charges
v3.25.2
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Identifiable Intangible Assets (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Finite Lived Intangible Assets [Line Items]    
Gross
Carrying
Amount $ 713 $ 633
Accumulated
Amortization (508) (452)
Net Book
Value 205 181
Customer relationships    
Finite Lived Intangible Assets [Line Items]    
Gross
Carrying
Amount 580 570
Accumulated
Amortization (454) (405)
Net Book
Value 126 165
Technology    
Finite Lived Intangible Assets [Line Items]    
Gross
Carrying
Amount 132 62
Accumulated
Amortization (53) (46)
Net Book
Value 79 16
Trademarks and other    
Finite Lived Intangible Assets [Line Items]    
Gross
Carrying
Amount 1 1
Accumulated
Amortization (1) (1)
Net Book
Value $ 0 $ 0
v3.25.2
GOODWILL AND OTHER INTANGIBLE ASSETS - Schedule of Expected Amortization Expense (Details)
$ in Millions
May 31, 2025
USD ($)
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract]  
2026 $ 54
2027 53
2028 50
2029 11
2030 $ 10
v3.25.2
SELECTED CURRENT LIABILITIES (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Accounts Payable and Accrued Liabilities, Fair Value Disclosure [Abstract]    
Salaries $ 1,083 $ 757
Employee benefits, including variable compensation 796 977
Compensated absences 852 939
Accrued salaries and employee benefits 2,731 2,673
Self-insurance accruals 1,858 1,931
Taxes other than income taxes 372 334
Other 2,765 2,697
Accrued expenses $ 4,995 $ 4,962
v3.25.2
LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS - Schedule of Long-term Debt (Net of Discounts and Debt Issuance Costs) (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Debt Instrument [Line Items]    
Total senior unsecured debt $ 19,899  
Finance lease obligations 680 $ 431
Long-term debt, less current portion 20,579 20,203
Less current portion 1,428 68
Long-term debt, less current portion $ 19,151 20,135
Senior Secured Debt Due 2034 1.875%    
Debt Instrument [Line Items]    
Interest Rate % 1.875%  
Total senior unsecured debt $ 729 780
Senior Unsecured Debt    
Debt Instrument [Line Items]    
Total senior unsecured debt $ 19,170 18,992
Senior Unsecured Debt Due 2026 3.25%    
Debt Instrument [Line Items]    
Interest Rate % 3.25%  
Total senior unsecured debt $ 749 748
Senior Unsecured Debt Due 2028 3.40%    
Debt Instrument [Line Items]    
Interest Rate % 3.40%  
Total senior unsecured debt $ 498 498
Senior Unsecured Debt Due 2029 4.20%    
Debt Instrument [Line Items]    
Interest Rate % 4.20%  
Total senior unsecured debt $ 398 398
Senior Unsecured Debt Due 2030 3.10-4.25%    
Debt Instrument [Line Items]    
Total senior unsecured debt $ 1,738 1,739
Senior Unsecured Debt Due 2030 3.10-4.25% | Minimum    
Debt Instrument [Line Items]    
Interest Rate % 3.10%  
Senior Unsecured Debt Due 2030 3.10-4.25% | Maximum    
Debt Instrument [Line Items]    
Interest Rate % 4.25%  
Senior Unsecured Debt Due 2031 2.40%    
Debt Instrument [Line Items]    
Interest Rate % 2.40%  
Total senior unsecured debt $ 992 992
Senior Unsecured Debt Due 2034 4.90%    
Debt Instrument [Line Items]    
Interest Rate % 4.90%  
Total senior unsecured debt $ 496 497
Senior Unsecured Debt Due 2035 3.90%    
Debt Instrument [Line Items]    
Interest Rate % 3.90%  
Total senior unsecured debt $ 495 495
Senior Unsecured Debt Due 2041 3.25%    
Debt Instrument [Line Items]    
Interest Rate % 3.25%  
Total senior unsecured debt $ 740 740
Senior Unsecured Debt Due 2043 3.875-4.10%    
Debt Instrument [Line Items]    
Total senior unsecured debt $ 985 986
Senior Unsecured Debt Due 2043 3.875-4.10% | Minimum    
Debt Instrument [Line Items]    
Interest Rate % 3.875%  
Senior Unsecured Debt Due 2043 3.875-4.10% | Maximum    
Debt Instrument [Line Items]    
Interest Rate % 4.10%  
Senior Unsecured Debt Due 2044 5.10%    
Debt Instrument [Line Items]    
Interest Rate % 5.10%  
Total senior unsecured debt $ 742 743
Senior Unsecured Debt Due 2045 4.10%    
Debt Instrument [Line Items]    
Interest Rate % 4.10%  
Total senior unsecured debt $ 641 642
Senior Unsecured Debt Due 2046 4.55-4.75%    
Debt Instrument [Line Items]    
Total senior unsecured debt $ 2,462 2,464
Senior Unsecured Debt Due 2046 4.55-4.75% | Minimum    
Debt Instrument [Line Items]    
Interest Rate % 4.55%  
Senior Unsecured Debt Due 2046 4.55-4.75% | Maximum    
Debt Instrument [Line Items]    
Interest Rate % 4.75%  
Senior Unsecured Debt Due 2047 4.40%    
Debt Instrument [Line Items]    
Interest Rate % 4.40%  
Total senior unsecured debt $ 736 737
Senior Unsecured Debt Due 2048 4.05%    
Debt Instrument [Line Items]    
Interest Rate % 4.05%  
Total senior unsecured debt $ 986 987
Senior Unsecured Debt Due 2049 4.95%    
Debt Instrument [Line Items]    
Interest Rate % 4.95%  
Total senior unsecured debt $ 835 836
Senior Unsecured Debt Due 2050 5.25%    
Debt Instrument [Line Items]    
Interest Rate % 5.25%  
Total senior unsecured debt $ 1,225 1,227
Senior Unsecured Debt Due 2065 4.50%    
Debt Instrument [Line Items]    
Interest Rate % 4.50%  
Total senior unsecured debt $ 245 246
Senior Unsecured Debt Due 2098 7.60%    
Debt Instrument [Line Items]    
Interest Rate % 7.60%  
Total senior unsecured debt $ 237 237
Euro Senior Unsecured Debt Due 2026 0.45%    
Debt Instrument [Line Items]    
Interest Rate % 0.45%  
Total senior unsecured debt $ 569 542
Euro Senior Unsecured Debt Due 2027 1.625%    
Debt Instrument [Line Items]    
Interest Rate % 1.625%  
Total senior unsecured debt $ 1,422 1,353
Euro Senior Unsecured Debt Due 2029 0.45%    
Debt Instrument [Line Items]    
Interest Rate % 0.45%  
Total senior unsecured debt $ 679 647
Euro Senior Unsecured Debt Due 2032 1.30%    
Debt Instrument [Line Items]    
Interest Rate % 1.30%  
Total senior unsecured debt $ 566 539
Euro Senior Unsecured Debt Due 2033 0.95%    
Debt Instrument [Line Items]    
Interest Rate % 0.95%  
Total senior unsecured debt $ 734 $ 699
v3.25.2
LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS - Additional Information (Details)
€ in Millions
12 Months Ended
May 31, 2025
USD ($)
Feb. 28, 2025
USD ($)
Feb. 28, 2025
EUR (€)
Jan. 31, 2025
USD ($)
May 31, 2024
USD ($)
Debt Instrument [Line Items]          
Long-term debt weighted-average interest rate 3.50%        
Long term debt, including current maturities and exclusive of finance leases fair value $ 17,200,000,000       $ 17,500,000,000
Net book value of boeing aircraft $ 1,600,000,000        
Debt exchange offers principal offered       $ 16,200,000,000  
Debt exchange offers principal tendered   $ 10,700,000,000 € 940    
Debt exchange offers principal amended   $ 15,900,000,000      
Financial covenant terms ratio 400.00%        
Line of credit facility, financial covenant, minimum cash consideration for acquisition $ 250,000,000        
Financial covenant compliance ratio 350.00%        
New Three-Year Credit Agreement          
Debt Instrument [Line Items]          
Line of credit facility maximum borrowing capacity $ 1,750,000,000        
Line of credit facility, term 3 years        
Letter of credit maximum sublimit amount $ 125,000,000        
New Five-Year Credit Agreement          
Debt Instrument [Line Items]          
Line of credit facility maximum borrowing capacity $ 1,750,000,000        
Line of credit facility, term 5 years        
Letter of credit maximum sublimit amount $ 125,000,000        
Credit Agreements          
Debt Instrument [Line Items]          
Line of credit outstanding 0        
Commercial paper outstanding 0        
Letter of credit outstanding sublimit unused amount 250,000,000        
Maximum required net unrestricted cash and cash equivalents for financial covenant $ 500,000,000        
Financial covenant terms ratio 350.00%        
Line of credit facility, financial covenant, maximum percentage of adjusted EBITDA 10.00%        
Financial covenant compliance ratio 190.00%        
1.875% due in February 2034          
Debt Instrument [Line Items]          
Debt instrument, face amount $ 970,000,000        
Fixed interest rate 1.875%        
v3.25.2
LONG-TERM DEBT AND OTHER FINANCING ARRANGEMENTS - Schedule of Principal Payments on Long-Term Debt (Details)
$ in Millions
May 31, 2025
USD ($)
Debt and Lease Obligation [Abstract]  
2026 $ 1,371
2027 1,476
2028 552
2029 1,135
2030 1,802
Thereafter 13,777
Subtotal 20,113
Discount and debt issuance costs (214)
Total debt $ 19,899
v3.25.2
LEASES - Schedule of Net Lease Cost (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
Leases [Abstract]    
Operating lease cost $ 3,421 $ 3,326
Finance lease cost:    
Amortization of right-of-use assets 31 30
Interest on lease liabilities 17 24
Total finance lease cost 48 54
Short-term lease cost 484 494
Variable lease cost 1,840 1,714
Net lease cost $ 5,793 $ 5,588
v3.25.2
LEASES - Schedule of Supplemental Cash Flow Information Related to Leases (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
Leases [Abstract]    
Operating cash flows paid for operating leases $ 3,422 $ 3,319
Operating cash flows paid for interest portion of finance leases 17 15
Financing cash flows paid for principal portion of finance leases 101 80
Right-of-use assets obtained in exchange for new operating lease liabilities 1,945 2,083
Right-of-use assets obtained in exchange for new finance lease liabilities $ 352 $ 10
v3.25.2
LEASES - Schedule of Supplemental Balance Sheet Information Related to Leases (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Operating leases:    
Operating lease right-of-use assets, net $ 16,453 $ 17,115
Current portion of operating lease liabilities 2,565 2,463
Operating lease liabilities 14,272 15,053
Total operating lease liabilities $ 16,837 $ 17,516
Finance leases:    
Finance Lease, Right of Use Asset, Statement of Financial Position [Extensible List] Net Book Value Net Book Value
Net property and equipment $ 621 $ 373
Finance Lease, Liability, Current Statement of Financial Position [Extensible List] LONG-TERM DEBT, LESS CURRENT PORTION LONG-TERM DEBT, LESS CURRENT PORTION
Current portion of long-term debt $ 59 $ 18
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] LONG-TERM DEBT, LESS CURRENT PORTION LONG-TERM DEBT, LESS CURRENT PORTION
Long-term debt, less current portion $ 621 $ 413
Total finance lease liabilities $ 680 $ 431
Weighted-average remaining lease term:    
Operating leases 9 years 8 months 12 days 9 years 6 months
Finance leases 19 years 7 months 6 days 29 years 9 months 18 days
Weighted-average discount rate:    
Operating leases 3.98% 3.79%
Finance leases 3.90% 3.63%
v3.25.2
LEASES - Additional Information (Details) - USD ($)
$ in Billions
May 31, 2025
May 31, 2024
Leases [Abstract]    
Percentage of total aircraft fleet leased 1.00% 1.00%
Additional leases not yet commenced, undiscounted future payments $ 1.1  
v3.25.2
LEASES - Schedule of Future Minimum Lease Payments, Operating and Finance Leases (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Operating Leases    
2026 $ 3,007  
2027 2,935  
2028 2,574  
2029 2,188  
2030 1,778  
Thereafter 7,907  
Total lease payments 20,389  
Less imputed interest (3,552)  
Present value of lease liability 16,837 $ 17,516
Finance Leases    
2026 84  
2027 85  
2028 84  
2029 82  
2030 74  
Thereafter 610  
Total lease payments 1,019  
Less imputed interest (339)  
Present value of lease liability 680 $ 431
2026 3,091  
2027 3,020  
2028 2,658  
2029 2,270  
2030 1,852  
Thereafter 8,517  
Total lease payments 21,408  
Less imputed interest (3,891)  
Present value of lease liability 17,517  
Aircraft
and Related
Equipment    
Operating Leases    
2026 126  
2027 124  
2028 124  
2029 117  
2030 47  
Thereafter 90  
Total lease payments 628  
Less imputed interest (67)  
Present value of lease liability 561  
Facilities
and Other    
Operating Leases    
2026 2,881  
2027 2,811  
2028 2,450  
2029 2,071  
2030 1,731  
Thereafter 7,817  
Total lease payments 19,761  
Less imputed interest (3,485)  
Present value of lease liability $ 16,276  
v3.25.2
PREFERRED STOCK (Details)
May 31, 2025
$ / shares
shares
Preferred Stock [Abstract]  
Preferred stock, shares authorized (in shares) 4,000,000
Preferred stock, no par value (in dollar per share) | $ / shares $ 0
Preferred stock, shares issued (in shares) 0
v3.25.2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance $ 27,582 $ 26,088 $ 24,939
Translation adjustments 2 (60) (214)
Ending balance 28,074 27,582 26,088
Foreign currency translation loss:      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance (1,422) (1,362) (1,148)
Translation adjustments 2 (60) (214)
Ending balance (1,420) (1,422) (1,362)
Retirement plans adjustments:      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance 63 35 45
Prior service credit arising during period 0 36 0
Amortization of prior service credits (5) (8) (10)
Ending balance 58 63 35
Accumulated
Other
Comprehensive
Loss      
Increase (Decrease) in Stockholders' Equity [Roll Forward]      
Beginning balance (1,359) (1,327) (1,103)
Ending balance $ (1,362) $ (1,359) $ (1,327)
v3.25.2
STOCK-BASED COMPENSATION - Schedule of Stock-Based Compensation Expense (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Share Based Compensation Allocation And Classification In Financial Statements [Abstract]      
Stock-based compensation expense $ 154 $ 163 $ 182
v3.25.2
STOCK-BASED COMPENSATION - Additional Information (Details)
$ / shares in Units, $ in Millions
12 Months Ended
May 31, 2025
USD ($)
award
$ / shares
shares
May 31, 2024
$ / shares
shares
May 31, 2023
$ / shares
shares
Share Based Compensation Arrangement Stock Options [Abstract]      
Number of award types | award 3    
Maximum term of stock options 10 years    
Restricted stock granted (in shares) | shares   169,371 160,286
Restricted stock, weighted-average fair value (in dollar per share) | $ / shares   $ 239.33 $ 208.57
Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Abstract      
Total unrecognized compensation cost, net of estimated forfeitures | $ $ 219    
Stock option remaining weighted-average vesting period 2 years    
Ratio Of Outstanding And Available To Grant Shares To Total Outstanding Common And Equity Compensation Shares And Equity Compensation Shares Available For Grant [Abstract]      
Ratio of outstanding and available to grant shares 9.00%    
Restricted Stock      
Share Based Compensation Arrangement Stock Options [Abstract]      
Stock option vesting period 4 years    
Restricted stock granted (in shares) | shares 150,967    
Restricted stock, weighted-average fair value (in dollar per share) | $ / shares $ 276.44    
Restricted Stock Units (RSUs)      
Share Based Compensation Arrangement Stock Options [Abstract]      
Stock option vesting period 1 year    
Minimum | Employee Stock Option      
Share Based Compensation Arrangement Stock Options [Abstract]      
Stock option vesting period 1 year    
Maximum | Employee Stock Option      
Share Based Compensation Arrangement Stock Options [Abstract]      
Stock option vesting period 4 years    
v3.25.2
STOCK-BASED COMPENSATION - Schedule of Stock-Based Compensation Weighted Average Assumptions (Details) - USD ($)
$ / shares in Units, $ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions And Methodology [Abstract]      
Weighted-average Black-Scholes value per share (in dollars per share) $ 104.42 $ 79.48 $ 63.44
Intrinsic value of options exercised $ 263 $ 290 $ 160
Expected lives 6 years 3 months 18 days 6 years 4 months 24 days 6 years 4 months 24 days
Expected volatility 37.00% 35.00% 34.00%
Risk-free interest rate 4.59% 3.94% 1.68%
Dividend yield 1.84% 2.03% 1.694%
v3.25.2
STOCK-BASED COMPENSATION - Schedule of Stock Option Activity (Details)
$ / shares in Units, $ in Millions
12 Months Ended
May 31, 2025
USD ($)
$ / shares
shares
Shares  
Beginning balance (in shares) 13,457,990
Granted (in shares) 1,447,141
Exercised (in shares) (2,733,218)
Forfeited (in shares) (459,561)
Ending balance (in shares) 11,712,352
Stock Options, Exercisable (in shares) 8,263,050
Stock Options, Expected to vest (in shares) 3,054,819
Stock Options, Available for future grants (in shares) 10,976,914
Weighted-
Average
Exercise
Price  
Beginning balance (in dollar per share) | $ / shares $ 210.35
Granted (in dollar per share) | $ / shares 285.19
Exercised (in dollar per share) | $ / shares 191.57
Forfeited (in dollar per share) | $ / shares 245.35
Ending balance (in dollar per share) | $ / shares 222.31
Stock Options, Exercisable (in dollar per share) | $ / shares 209.31
Stock Options, Expected to vest (in dollar per share) | $ / shares $ 253.99
Weighted-
Average
Remaining
Contractual
Term  
Weighted-Average Remaining Contractual Term, Outstanding 5 years 7 months 6 days
Weighted-Average Remaining Contractual Term, Exercisable 4 years 7 months 6 days
Weighted-Average Remaining Contractual Term, Expected to vest 8 years 2 months 12 days
Aggregate
Intrinsic Value  
Aggregate Intrinsic Value, Outstanding | $ $ 251
Aggregate Intrinsic Value, Exercisable | $ 244
Aggregate Intrinsic Value, Expected to vest | $ $ 6
v3.25.2
STOCK-BASED COMPENSATION - Schedule of Vested and Unvested Restricted Stock and RSUs (Details) - $ / shares
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Shares/Units      
Granted (in shares)   169,371 160,286
Restricted Stock and RSUs, Available for future grants (in shares) 10,976,914    
Weighted-
Average
Grant Date
Fair Value      
Granted (in dollar per share)   $ 239.33 $ 208.57
Restricted Stock      
Shares/Units      
Unvested, beginning balance (in shares) 349,972    
Granted (in shares) 150,967    
Vested (in shares) (185,286)    
Forfeited (in shares) (9,374)    
Unvested, ending balance (in shares) 306,279 349,972  
Restricted Stock and RSUs, Available for future grants (in shares) 609,193    
Weighted-
Average
Grant Date
Fair Value      
Unvested, beginning balance (in dollar per share) $ 226.11    
Granted (in dollar per share) 276.44    
Vested (in dollar per share) 214.78    
Forfeited (in dollar per share) 243.67    
Unvested, ending balance (in dollar per share) $ 253.66 $ 226.11  
v3.25.2
STOCK-BASED COMPENSATION - Schedule of Stock Option Vesting (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Additional Disclosures [Abstract]      
Stock Options, Vested (in shares) 1,896,584 2,599,042 2,711,215
Stock Options, Fair value $ 116 $ 137 $ 137
v3.25.2
COMPUTATION OF EARNINGS PER SHARE (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Basic earnings per common share:      
Net earnings allocable to common shares $ 4,087 $ 4,325 $ 3,966
Weighted-average common shares (in shares) 241.0 248.0 254.0
Basic earnings per common share (in dollar per share) $ 16.96 $ 17.41 $ 15.60
Diluted earnings per common share:      
Net earnings allocable to common shares $ 4,087 $ 4,325 $ 3,966
Weighted-average common shares (in shares) 241.0 248.0 254.0
Dilutive effect of share-based awards (in shares) 2.0 3.0 2.0
Weighted-average diluted shares (in shares) 243.0 251.0 256.0
Diluted earnings per common share (in dollar per share) $ 16.81 $ 17.21 $ 15.48
Anti-dilutive options excluded from diluted earnings per common share (in shares) 4.9 5.8 7.4
Participating securities $ 5 $ 6 $ 6
v3.25.2
INCOME TAXES - Schedule of Provision for Income Taxes (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Current provision      
Federal $ 891 $ 1,184 $ 579
State and local 146 218 157
Foreign 359 265 209
Current provision, total 1,396 1,667 945
Deferred provision      
Federal (302) (82) 369
State and local 20 60 37
Foreign 235 (140) 40
Deferred provision, total (47) (162) 446
Provision for income taxes $ 1,349 $ 1,505 $ 1,391
v3.25.2
INCOME TAXES - Additional Information (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Effective Income Tax Rate Reconciliation [Line Items]      
Pre-tax earnings of foreign operations $ 1,800 $ 500 $ 600
Corporate structuring transactions 66 0 0
State deferred tax remeasurement 0 54 0
Tax provision of a write down and valuation allowance on certain foreign tax credit carryforwards     $ 46
Recognition of cumulative benefit from TCJA 249    
Uncertain tax benefits that would impact effective tax rate 149 184  
Uncertain tax position, accrued interest and penalties 35 $ 59  
Branch Valuation Allowance      
Effective Income Tax Rate Reconciliation [Line Items]      
Valuation allowance increase (decrease) 21    
Foreign Country      
Effective Income Tax Rate Reconciliation [Line Items]      
Operating loss carryovers 3,200    
Valuation allowance related to foreign net operating losses 42    
State And Local Jurisdiction      
Effective Income Tax Rate Reconciliation [Line Items]      
Operating loss carryovers 1,400    
Domestic Tax Jurisdiction      
Effective Income Tax Rate Reconciliation [Line Items]      
Operating loss carryovers $ 139    
v3.25.2
INCOME TAXES - Schedule of Total Income Tax Expense and Amount Computed by Statutory Federal Income Tax Rate to Income Before Income Taxes (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Income Tax Disclosure [Abstract]      
Taxes computed at federal statutory rate $ 1,143 $ 1,226 $ 1,126
U.S. and foreign return-to-provision adjustments 5 11 (44)
State and local income taxes, net of federal benefit 137 177 152
Foreign operations 101 65 96
Non-deductible expenses 72 48 40
Uncertain tax positions (5) (21) 60
Benefits from share-based payments (18) (26) (18)
Valuation allowance 21 59 59
Foreign tax rate enactments 6 0 3
State deferred tax remeasurement 0 54 0
Goodwill impairment charges 0 0 8
Corporate structuring transactions (66) 0 0
Other, net (47) (88) (91)
Provision for income taxes $ 1,349 $ 1,505 $ 1,391
Effective Tax Rate 24.80% 25.80% 25.90%
v3.25.2
INCOME TAXES - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Deferred Tax
Assets    
Property, equipment, leases, and intangibles $ 4,515 $ 4,597
Employee benefits 725 744
Self-insurance accruals 1,247 1,183
Other 591 561
Net operating loss/credit carryforwards 1,123 1,306
Valuation allowances (523) (537)
Deferred Tax Assets, total 7,678 7,854
Deferred Tax
Liabilities    
Property, equipment, leases, and intangibles 10,434 10,815
Employee benefits 291 68
Other 42 140
Deferred Tax Liabilities, total $ 10,767 $ 11,023
v3.25.2
INCOME TAXES - Schedule of Net Deferred Tax Liabilities (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Income Tax Disclosure [Abstract]    
Noncurrent deferred tax assets $ 1,116 $ 1,313
Noncurrent deferred tax liabilities (4,205) (4,482)
Net deferred tax liabilities $ (3,089) $ (3,169)
v3.25.2
INCOME TAXES - Schedule of Beginning and Ending Amount of Unrecognized Tax Benefits (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Unrecognized Tax Benefits [Roll Forward]      
Balance at beginning of year $ 186 $ 212 $ 169
Increases for tax positions taken in the current year 31 5 3
Increases for tax positions taken in prior years 33 4 68
Decreases for tax positions taken in prior years (11) (3) (7)
Settlements (87) (31) (15)
Changes due to currency translation 3 (1) (6)
Balance at end of year $ 155 $ 186 $ 212
v3.25.2
RETIREMENT PLANS - Schedule of Retirement Plan Costs (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Retirement Benefits [Abstract]      
Defined benefit pension plans $ 278 $ 363 $ 236
Defined contribution plans 1,144 968 955
Postretirement healthcare plans 87 85 92
Pension plans MTM gain (515) (561) (650)
Retirement plans costs $ 994 $ 855 $ 633
v3.25.2
RETIREMENT PLANS - Schedule of MTM Adjustments (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Retirement Benefits [Abstract]      
Actual versus expected return on assets $ 75 $ (67) $ 2,492
Discount rate change (1,024) (1,139) (3,395)
Demographic experience:      
Current year actuarial loss 196 67 142
Change in future assumptions 247 577 110
Pension plan amendments, including curtailment gains (9) 1 1
Total MTM gain $ (515) $ (561) $ (650)
v3.25.2
RETIREMENT PLANS - Additional Information (Details) - USD ($)
12 Months Ended
May 31, 2026
May 31, 2025
May 31, 2024
May 31, 2023
May 31, 2022
Defined Benefit Plan Disclosure [Line Items]          
U.S. pension plan actual rate of return on assets   6.50% 6.80% (2.70%)  
Weighted average discount rate percent all pension postretirement plans   5.87% 5.53% 5.17% 4.21%
Pension plan, service period   1 year      
Actual rate of return on plan assets for the 15-year period   6.90%      
Amortization of prior service cost in our U.S. pension plans, before tax, after Tax   $ 5,000,000 $ 8,000,000 $ 10,000,000  
Defined benefit plan health care cost trend rate assumed for next fiscal year   6.90%      
Defined benefit plan ultimate health care cost trend rate   4.00%      
Future Plan Structure | Maximum          
Defined Benefit Plan Disclosure [Line Items]          
Company matching contributions to eligible employees   8.00%     8.00%
Current Plan Structure | Maximum          
Defined Benefit Plan Disclosure [Line Items]          
Company matching contributions to eligible employees   3.50%      
U.S. Pension Plans | Pension Plan          
Defined Benefit Plan Disclosure [Line Items]          
Expected long-term rate of return on assets   6.75% 6.50% 6.50%  
Required contributions   $ 0 $ 0    
Voluntary contributions   800,000,000 800,000,000    
Amortization of prior service cost in our U.S. pension plans, before tax   8,000,000 7,000,000    
Amortization of prior service cost in our U.S. pension plans, before tax, after Tax   $ 6,000,000 $ 6,000,000    
U.S. Pension Plans | Pension Plan | Forecast          
Defined Benefit Plan Disclosure [Line Items]          
Required contributions $ 0        
Voluntary contributions $ 600,000,000        
v3.25.2
RETIREMENT PLANS - Schedule of Weighted Average Actuarial Assumptions Used to Determine the Benefit Obligations and Net Periodic Benefit Cost of our Plans (Details)
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Pension Plan | U.S. Pension Plans      
Defined Benefit Plan Assumptions Used In Calculations [Abstract]      
Discount rate used to determine benefit obligation 5.94% 5.58% 5.20%
Discount rate used to determine net periodic benefit cost 5.58% 5.20% 4.25%
Rate of increase in future compensation levels used to determine benefit obligation 5.36% 5.29% 5.13%
Rate of increase in future compensation levels used to determine net periodic benefit cost 5.29% 5.13% 5.11%
Expected long-term rate of return on assets 6.75% 6.50% 6.50%
Interest crediting rate used to determine benefit obligation 4.10% 4.32% 4.23%
Interest crediting rate used to determine net periodic benefit cost 4.32% 4.23% 4.00%
Pension Plan | International Pension Plans      
Defined Benefit Plan Assumptions Used In Calculations [Abstract]      
Discount rate used to determine benefit obligation 4.40% 4.29% 4.21%
Discount rate used to determine net periodic benefit cost 4.29% 4.21% 3.09%
Rate of increase in future compensation levels used to determine benefit obligation 3.11% 3.06% 3.04%
Rate of increase in future compensation levels used to determine net periodic benefit cost 3.06% 3.04% 2.89%
Expected long-term rate of return on assets 3.59% 3.55% 2.26%
Interest crediting rate used to determine benefit obligation 2.30% 2.90% 2.40%
Interest crediting rate used to determine net periodic benefit cost 2.90% 2.40% 3.70%
Postretirement Healthcare Plans      
Defined Benefit Plan Assumptions Used In Calculations [Abstract]      
Discount rate used to determine benefit obligation 5.60% 5.63% 5.37%
Discount rate used to determine net periodic benefit cost 5.63% 5.37% 4.35%
Rate of increase in future compensation levels used to determine benefit obligation 0.00% 0.00% 0.00%
Rate of increase in future compensation levels used to determine net periodic benefit cost 0.00% 0.00% 0.00%
Expected long-term rate of return on assets 0.00% 0.00% 0.00%
Interest crediting rate used to determine benefit obligation 0.00% 0.00% 0.00%
Interest crediting rate used to determine net periodic benefit cost 0.00% 0.00% 0.00%
v3.25.2
RETIREMENT PLANS - Schedule of Weighted-Average Asset Allocations for U.S Pension Plans and International Pension Plan (Details) - Pension Plan - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
May 31, 2023
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 27,245 $ 26,399  
U.S. Pension Plans      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 26,601 $ 25,797 $ 24,826
Actual % 100.00% 100.00%  
U.S. Pension Plans | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 4,352 $ 4,097  
U.S. Pension Plans | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 9,768 9,513  
U.S. Pension Plans | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 1,083 1,075 937
U.S. Pension Plans | U.S. Large Cap Equity      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 3,804 $ 3,376  
Actual % 14.00% 13.00%  
U.S. Pension Plans | U.S. Large Cap Equity | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 1,678 $ 1,382  
U.S. Pension Plans | U.S. Large Cap Equity | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | U.S. Large Cap Equity | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | International equities      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 2,869 $ 2,631  
Actual % 11.00% 10.00%  
U.S. Pension Plans | International equities | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 1,994 $ 1,780  
U.S. Pension Plans | International equities | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | International equities | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Global equities      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 1,224 $ 1,397  
Actual % 5.00% 5.00%  
U.S. Pension Plans | Global equities | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 0 $ 0  
U.S. Pension Plans | Global equities | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Global equities | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | U.S. SMID cap equity      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 671 $ 926  
Actual % 2.00% 4.00%  
U.S. Pension Plans | U.S. SMID cap equity | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 662 $ 916  
U.S. Pension Plans | U.S. SMID cap equity | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 9 10  
U.S. Pension Plans | U.S. SMID cap equity | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Corporate      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 6,625 $ 6,502  
Actual % 25.00% 25.00%  
U.S. Pension Plans | Corporate | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 0 $ 0  
U.S. Pension Plans | Corporate | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 6,625 6,502  
U.S. Pension Plans | Corporate | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Government      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 4,142 $ 4,194  
Actual % 16.00% 16.00%  
U.S. Pension Plans | Government | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 0 $ 0  
U.S. Pension Plans | Government | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 2,277 2,335  
U.S. Pension Plans | Government | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Mortgage-backed and other      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 1,648 $ 1,514  
Actual % 6.00% 6.00%  
U.S. Pension Plans | Mortgage-backed and other | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 0 $ 0  
U.S. Pension Plans | Mortgage-backed and other | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 229 205  
U.S. Pension Plans | Mortgage-backed and other | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Alternative investments      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 4,972 $ 4,777  
Actual % 19.00% 19.00%  
U.S. Pension Plans | Alternative investments | Minimum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 15.00% 15.00%  
U.S. Pension Plans | Alternative investments | Maximum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 25.00% 25.00%  
U.S. Pension Plans | Alternative investments | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 0 $ 0  
U.S. Pension Plans | Alternative investments | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
U.S. Pension Plans | Alternative investments | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 1,083 1,075  
U.S. Pension Plans | Other      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 5 $ (97)  
Actual % 0.00% 0.00%  
U.S. Pension Plans | Other | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ (16) $ (111)  
U.S. Pension Plans | Other | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 21 14  
U.S. Pension Plans | Other | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 0 $ 0  
U.S. Pension Plans | Total Equities | Minimum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 25.00% 25.00%  
U.S. Pension Plans | Total Equities | Maximum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 40.00% 40.00%  
U.S. Pension Plans | Total Fixed Income Securities | Minimum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 40.00% 40.00%  
U.S. Pension Plans | Total Fixed Income Securities | Maximum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 60.00% 60.00%  
U.S. Pension Plans | Cash and cash equivalents      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 641 $ 577  
Actual % 2.00% 2.00%  
U.S. Pension Plans | Cash and cash equivalents | Minimum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 0.00% 0.00%  
U.S. Pension Plans | Cash and cash equivalents | Maximum      
Defined Benefit Plan Disclosure [Line Items]      
Target Range % 5.00% 5.00%  
U.S. Pension Plans | Cash and cash equivalents | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets $ 34 $ 130  
U.S. Pension Plans | Cash and cash equivalents | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 607 447  
U.S. Pension Plans | Cash and cash equivalents | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 0 0  
International Pension Plans      
Defined Benefit Plan Disclosure [Line Items]      
Fair Value of
Plan Assets 644 602 $ 579
Portion of fair value of plan assets $ 349 $ 341  
Actual % 100.00% 100.00%  
International Pension Plans | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 153 $ 157  
International Pension Plans | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Corporate      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 118 $ 62  
Actual % 34.00% 18.00%  
International Pension Plans | Corporate | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 0 $ 0  
International Pension Plans | Corporate | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Corporate | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Government      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 184 $ 177  
Actual % 53.00% 52.00%  
International Pension Plans | Government | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 141 $ 149  
International Pension Plans | Government | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Government | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Other      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 35 $ 94  
Actual % 10.00% 28.00%  
International Pension Plans | Other | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 0 $ 0  
International Pension Plans | Other | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Other | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Cash and cash equivalents      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 12 $ 8  
Actual % 3.00% 2.00%  
International Pension Plans | Cash and cash equivalents | Quoted Prices in
Active Markets
Level 1      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 12 $ 8  
International Pension Plans | Cash and cash equivalents | Other Observable
Inputs
Level 2      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets 0 0  
International Pension Plans | Cash and cash equivalents | Unobservable
Inputs
Level 3      
Defined Benefit Plan Disclosure [Line Items]      
Portion of fair value of plan assets $ 0 $ 0  
v3.25.2
RETIREMENT PLANS - Schedule of Change in Fair Value of Level 3 Assets (Details) - Pension Plan - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
Defined Benefit Plan Disclosure [Line Items]    
Balance at beginning of year $ 26,399  
Actual return on plan assets:    
Balance at end of year 27,245 $ 26,399
U.S. Pension Plans    
Defined Benefit Plan Disclosure [Line Items]    
Balance at beginning of year 25,797 24,826
Actual return on plan assets:    
Balance at end of year 26,601 25,797
Unobservable
Inputs
Level 3 | U.S. Pension Plans    
Defined Benefit Plan Disclosure [Line Items]    
Balance at beginning of year 1,075 937
Actual return on plan assets:    
Assets held during current year (63) 59
Assets sold during the year 75 30
Purchases, sales, and settlements, net (4) 49
Balance at end of year $ 1,083 $ 1,075
v3.25.2
RETIREMENT PLANS - Reconciliation of Changes In Pension And Postretirement Healthcare Plans Benefit Obligations And Fair Value Of Assets (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Pension Plan      
Changes in PBO and Accumulated Postretirement Benefit Obligation (“APBO”)      
PBO/APBO at the beginning of year $ 27,302    
PBO/APBO at the end of year 27,048 $ 27,302  
Change in Plan Assets      
Balance at beginning of year 26,399    
Balance at end of year 27,245 26,399  
Funded Status of the Plans 197 (903)  
Pension Plan | U.S. Pension Plans      
Defined Benefit Plan Disclosure [Line Items]      
Accumulated Benefit Obligation (“ABO”) 25,501 25,756  
Changes in PBO and Accumulated Postretirement Benefit Obligation (“APBO”)      
PBO/APBO at the beginning of year 26,284 26,426  
Service cost 499 544 $ 651
Interest cost 1,447 1,362 1,218
Actuarial (gain) loss (581) (514)  
Benefits paid (1,674) (1,534)  
Settlements 0 0  
Other 0 0  
PBO/APBO at the end of year 25,975 26,284 26,426
Change in Plan Assets      
Balance at beginning of year 25,797 24,826  
Actual return on plan assets 1,661 1,674  
Company contributions 817 831  
Benefits paid (1,674) (1,534)  
Settlements 0 0  
Other 0 0  
Balance at end of year 26,601 25,797 24,826
Funded Status of the Plans 626 (487)  
Amount Recognized in the Balance Sheet at May 31:      
Noncurrent asset 746 0  
Current pension, and other benefit obligations (33) (35)  
Noncurrent pension, and other benefit obligations (87) (452)  
Net amount recognized 626 (487)  
Amounts Recognized in AOCL and not yet reflected in Net Periodic Benefit Cost:      
Prior service cost (credit) (32) (39)  
Pension Plan | International Pension Plans      
Defined Benefit Plan Disclosure [Line Items]      
Accumulated Benefit Obligation (“ABO”) 938 885  
Changes in PBO and Accumulated Postretirement Benefit Obligation (“APBO”)      
PBO/APBO at the beginning of year 1,018 990  
Service cost 38 38 44
Interest cost 43 42 34
Actuarial (gain) loss (4) 3  
Benefits paid (39) (39)  
Settlements (20) (11)  
Other 37 (5)  
PBO/APBO at the end of year 1,073 1,018 990
Change in Plan Assets      
Balance at beginning of year 602 579  
Actual return on plan assets 6 12  
Company contributions 64 50  
Benefits paid (39) (39)  
Settlements (22) (11)  
Other 33 11  
Balance at end of year 644 602 579
Funded Status of the Plans (429) (416)  
Amount Recognized in the Balance Sheet at May 31:      
Noncurrent asset 88 73  
Current pension, and other benefit obligations (25) (22)  
Noncurrent pension, and other benefit obligations (492) (467)  
Net amount recognized (429) (416)  
Amounts Recognized in AOCL and not yet reflected in Net Periodic Benefit Cost:      
Prior service cost (credit) 3 3  
Postretirement Healthcare Plans      
Defined Benefit Plan Disclosure [Line Items]      
Accumulated Benefit Obligation (“ABO”)  
Changes in PBO and Accumulated Postretirement Benefit Obligation (“APBO”)      
PBO/APBO at the beginning of year 1,162 1,169  
Service cost 26 27 37
Interest cost 65 61 55
Actuarial (gain) loss 2 18  
Benefits paid (62) (89)  
Settlements 0 0  
Other 2 (24)  
PBO/APBO at the end of year 1,195 1,162 1,169
Change in Plan Assets      
Balance at beginning of year 0 0  
Actual return on plan assets 0 0  
Company contributions 59 67  
Benefits paid (62) (89)  
Settlements 0 0  
Other 3 22  
Balance at end of year 0 0 $ 0
Funded Status of the Plans (1,195) (1,162)  
Amount Recognized in the Balance Sheet at May 31:      
Noncurrent asset 0 0  
Current pension, and other benefit obligations (79) (81)  
Noncurrent pension, and other benefit obligations (1,116) (1,081)  
Net amount recognized (1,195) (1,162)  
Amounts Recognized in AOCL and not yet reflected in Net Periodic Benefit Cost:      
Prior service cost (credit) $ (39) $ (43)  
v3.25.2
RETIREMENT PLANS - Schedule of Components of Pension Plans (Details) - Pension Plan - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
May 31, 2023
Defined Benefit Plan Disclosure [Line Items]      
PBO $ 27,048 $ 27,302  
Fair Value of
Plan Assets 27,245 26,399  
Funded Status 197 (903)  
Qualified      
Defined Benefit Plan Disclosure [Line Items]      
PBO 25,855 26,152  
Fair Value of
Plan Assets 26,601 25,797  
Funded Status 746 (355)  
Nonqualified      
Defined Benefit Plan Disclosure [Line Items]      
PBO 120 132  
Fair Value of
Plan Assets 0 0  
Funded Status (120) (132)  
International Pension Plans      
Defined Benefit Plan Disclosure [Line Items]      
PBO 1,073 1,018 $ 990
Fair Value of
Plan Assets 644 602 $ 579
Funded Status $ (429) $ (416)  
v3.25.2
RETIREMENT PLANS - Schedule of Fair Value of Plan Assets for Pension Plans with a PBO or ABO in Excess of Plan Assets (Details) - Pension Plan - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
U.S. Pension Plans    
Defined Benefit Plan Disclosure [Line Items]    
Fair value of plan assets $ 0 $ 25,797
PBO (120) (26,284)
Net funded status (120) (487)
ABO (115) (124)
Fair value of plan assets 0 0
PBO (120) (132)
Net funded status (120) (132)
International Pension Plans    
Defined Benefit Plan Disclosure [Line Items]    
Fair value of plan assets 268 239
PBO (784) (728)
Net funded status (516) (489)
ABO (627) (575)
Fair value of plan assets 242 216
PBO (757) (703)
Net funded status $ (515) $ (487)
v3.25.2
RETIREMENT PLANS - Schedule of Pension Plans Contributions (Details) - U.S. Pension Plans - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
Defined Benefit Plan Disclosure [Line Items]    
Defined benefit plan, tax status Qualified Qualified
Pension Plan    
Defined Benefit Plan Disclosure [Line Items]    
Defined benefit plan, tax status Qualified Qualified
Required $ 0 $ 0
Voluntary 800 800
Defined benefit plan required contributions by employer $ 800 $ 800
v3.25.2
RETIREMENT PLANS - Schedule of Net Periodic Benefit (Income) Cost (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Pension Plan | U.S. Pension Plans      
Net Periodic Benefit Cost      
Service cost $ 499 $ 544 $ 651
Interest cost 1,447 1,362 1,218
Expected return on plan assets (1,721) (1,598) (1,688)
Amortization of prior service credit (8) (7) (7)
Actuarial losses (gains) and other (521) (590) (487)
Net periodic benefit (income) cost (304) (289) (313)
Pension Plan | International Pension Plans      
Net Periodic Benefit Cost      
Service cost 38 38 44
Interest cost 43 42 34
Expected return on plan assets (21) (18) (14)
Amortization of prior service credit 1 0 (2)
Actuarial losses (gains) and other 4 13 (25)
Net periodic benefit (income) cost 65 75 37
Postretirement Healthcare Plans      
Net Periodic Benefit Cost      
Service cost 26 27 37
Interest cost 65 61 55
Expected return on plan assets 0 0 0
Amortization of prior service credit (4) (3) 0
Actuarial losses (gains) and other 2 16 (138)
Net periodic benefit (income) cost $ 89 $ 101 $ (46)
v3.25.2
RETIREMENT PLANS - Schedule of Expected Future Benefit Payments (Details)
$ in Millions
May 31, 2025
USD ($)
Postretirement Healthcare Plans  
Defined Benefit Plan Disclosure [Line Items]  
2026 $ 79
2027 90
2028 100
2029 110
2030 121
2031-2035 672
U.S. Pension Plans | Pension Plan  
Defined Benefit Plan Disclosure [Line Items]  
2026 1,758
2027 1,793
2028 1,839
2029 1,879
2030 1,935
2031-2035 10,292
International Pension Plans | Pension Plan  
Defined Benefit Plan Disclosure [Line Items]  
2026 60
2027 56
2028 61
2029 74
2030 81
2031-2035 $ 453
v3.25.2
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE - Narrative (Details)
12 Months Ended
May 31, 2025
segment
Segment Reporting [Abstract]  
Number of reportable segments 2
v3.25.2
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE - Schedule of Segment Information (Details) - USD ($)
$ in Millions
3 Months Ended 4 Months Ended 12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2024
May 31, 2025
May 31, 2024
May 31, 2023
Segment Reporting Information [Line Items]            
Revenue       $ 87,926 $ 87,693 $ 90,155
Salaries and employee benefits       31,232 30,961 31,019
Purchased transportation       21,768 20,921 21,790
Rentals and landing fees       4,647 4,571 4,738
Depreciation and amortization       4,264 4,287 4,176
Fuel       3,775 4,710 5,909
Maintenance and repairs       3,245 3,291 3,357
Goodwill and other asset impairment charges $ 0 $ 0   21 157 117
Business optimization costs       756 582 309
Intercompany allocations (charges)       0 0 0
Other       13,001 12,654 13,828
TOTAL OPERATING EXPENSES       82,709 82,134 85,243
Operating income       5,217 5,559 4,912
Interest, net       (426) (375) (496)
Other retirement plans, net       713 722 1,054
Other, net       (63) (70) (107)
TOTAL OTHER INCOME (EXPENSE)       224 277 451
INCOME BEFORE INCOME TAXES       5,441 5,836 5,363
Provision for income taxes       1,349 1,505 1,391
NET INCOME       4,092 4,331 3,972
Pension plans MTM gain       515 561 650
Debt exchange offer and consent solicitation cost       18    
State deferred tax remeasurement       0 54 0
Segment assets 87,627 87,007 $ 87,007 87,627 87,007 87,143
Capital expenditures       4,055 5,176 6,174
FedEx
Freight
Segment            
Segment Reporting Information [Line Items]            
Debt exchange offer and consent solicitation cost       18    
Fedex Ground and Fedex Corporate Segment            
Segment Reporting Information [Line Items]            
Settlement on receivables     19,500      
Operating Segments | Federal Express
Segment            
Segment Reporting Information [Line Items]            
Revenue       75,304 74,663 75,884
Salaries and employee benefits       25,091 24,606 24,523
Purchased transportation       19,974 19,330 19,677
Rentals and landing fees       3,939 3,863 4,035
Depreciation and amortization       3,722 3,754 3,655
Fuel       3,316 4,137 5,157
Maintenance and repairs       2,799 2,848 2,910
Goodwill and other asset impairment charges       21 157 70
Business optimization costs       384 251 47
Intercompany allocations (charges)       (791) (684) (689)
Other       11,964 11,582 12,306
TOTAL OPERATING EXPENSES       70,419 69,844 71,691
Operating income       4,885 4,819 4,193
Segment assets 74,154 73,259 73,259 74,154 73,259 85,128
Capital expenditures       3,505 4,591 5,480
Operating Segments | FedEx
Freight
Segment            
Segment Reporting Information [Line Items]            
Revenue       8,892 9,429 10,084
Salaries and employee benefits       3,865 3,923 4,057
Purchased transportation       807 877 1,078
Rentals and landing fees       287 280 269
Depreciation and amortization       416 404 387
Fuel       457 571 748
Maintenance and repairs       332 330 320
Goodwill and other asset impairment charges       0 0 0
Business optimization costs       0 0 0
Intercompany allocations (charges)       573 543 542
Other       666 680 747
TOTAL OPERATING EXPENSES       7,403 7,608 8,148
Operating income       1,489 1,821 1,936
Segment assets 12,899 11,615 11,615 12,899 11,615 10,416
Capital expenditures       437 461 557
Operating Segments | Federal Express For International Regulatory And Legacy FedEx Ground            
Segment Reporting Information [Line Items]            
Loss on legal matter       88    
Corporate, Other, and Eliminations            
Segment Reporting Information [Line Items]            
Revenue       3,730 3,601 4,187
Salaries and employee benefits       2,276 2,432 2,439
Purchased transportation       987 714 1,035
Rentals and landing fees       421 428 434
Depreciation and amortization       126 129 134
Fuel       2 2 4
Maintenance and repairs       114 113 127
Goodwill and other asset impairment charges       0 0 47
Business optimization costs       372 331 262
Intercompany allocations (charges)       218 141 147
Other       371 392 775
TOTAL OPERATING EXPENSES       4,887 4,682 5,404
Operating income       (1,157) (1,081) (1,217)
Loss on legal matter       38 57 (35)
Segment assets $ 574 $ 2,133 $ 2,133 574 2,133 (8,401)
Capital expenditures       $ 113 $ 124 $ 137
v3.25.2
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE - Schedule of Revenue by Service Type (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue $ 87,926 $ 87,693 $ 90,155
Operating Segments | Federal Express segment      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 75,304 74,663 75,884
Operating Segments | Federal Express segment | Total package revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 68,507 67,216 67,171
Operating Segments | Federal Express segment | Total U.S. domestic package revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 49,414 48,450 48,374
Operating Segments | Federal Express segment | U.S. priority revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 10,520 10,543 10,896
Operating Segments | Federal Express segment | U.S. deferred revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 5,007 4,926 5,126
Operating Segments | Federal Express segment | U.S. ground revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 33,887 32,981 32,352
Operating Segments | Federal Express segment | Total international export package revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 14,598 14,107 14,245
Operating Segments | Federal Express segment | International priority      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 8,737 9,454 10,938
Operating Segments | Federal Express segment | International economy      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 5,861 4,653 3,307
Operating Segments | Federal Express segment | International domestic      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 4,495 4,659 4,552
Operating Segments | Federal Express segment | Total freight revenue      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 5,831 6,470 7,661
Operating Segments | Federal Express segment | U.S.      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 1,536 2,391 2,883
Operating Segments | Federal Express segment | International priority      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 2,320 2,205 3,059
Operating Segments | Federal Express segment | International economy      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 1,975 1,874 1,719
Operating Segments | Federal Express segment | Other      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 966 977 1,052
Operating Segments | FedEx Freight
Segment      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue 8,892 9,429 10,084
Other and eliminations      
Entity Wide Information Revenue From External Customer [Line Items]      
Revenue $ 3,730 $ 3,601 $ 4,187
v3.25.2
BUSINESS SEGMENTS AND DISAGGREGATED REVENUE - Schedule of Geographical Information (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Revenues From External Customers And Long Lived Assets [Line Items]      
Revenue $ 87,926 $ 87,693 $ 90,155
Noncurrent assets: 69,241 68,800 68,533
U.S.      
Revenues From External Customers And Long Lived Assets [Line Items]      
Revenue 62,916 63,531 64,890
Noncurrent assets: 57,040 56,822 56,449
International:      
Revenues From External Customers And Long Lived Assets [Line Items]      
Revenue 25,010 24,162 25,265
Noncurrent assets: 12,201 11,978 12,084
Federal Express segment | International:      
Revenues From External Customers And Long Lived Assets [Line Items]      
Revenue 23,720 23,136 23,951
FedEx Freight
Segment | International:      
Revenues From External Customers And Long Lived Assets [Line Items]      
Revenue 247 266 264
Other | International:      
Revenues From External Customers And Long Lived Assets [Line Items]      
Revenue $ 1,043 $ 760 $ 1,050
v3.25.2
DERIVATIVE FINANCIAL INSTRUMENTS - Additional Information (Details)
€ in Millions
12 Months Ended
May 31, 2025
USD ($)
May 31, 2024
USD ($)
May 31, 2025
EUR (€)
May 31, 2024
EUR (€)
Derivative [Line Items]        
Denominated debt as net investment hedge | €     € 506 € 173
Reclassified out of AOCL $ 0 $ 0    
Cross-currency swaps        
Derivative [Line Items]        
Loss in AOCL related to our cross-currency swaps $ 86,000,000 $ 6,000,000    
v3.25.2
DERIVATIVE FINANCIAL INSTRUMENTS - Schedule of Foreign Currency Derivatives (Details) - Cross-currency swaps
€ in Millions, $ in Millions
May 31, 2025
EUR (€)
Instrument
May 31, 2025
USD ($)
Instrument
May 31, 2024
EUR (€)
Instrument
May 31, 2024
USD ($)
Instrument
Derivative [Line Items]        
Number of Instruments | Instrument 4 4 4 4
Notional Sold | € € (949)   € (468)  
Notional Purchased | $   $ 1,000   $ 500
v3.25.2
DERIVATIVE FINANCIAL INSTRUMENTS - Schedule of Fair Value of Derivatives (Details) - Cross-currency swaps - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Derivatives, Fair Value [Line Items]    
Asset Derivatives $ 13 $ 8
Liability Derivatives $ 108 $ 14
Derivative Asset, Statement of Financial Position [Extensible Enumeration] Prepaid expenses and other Prepaid expenses and other
Derivative Liability, Statement of Financial Position [Extensible Enumeration] Other liabilities Other liabilities
v3.25.2
SUPPLEMENTAL CASH FLOW INFORMATION - Schedule of Cash Paid for Interest Expense and Income Taxes (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Supplemental Cash Flow Information [Abstract]      
Interest (net of capitalized interest) $ 814 $ 744 $ 694
Income taxes 1,285 1,555 1,096
Income tax refunds received (35) (122) (53)
Cash tax payments, net $ 1,250 $ 1,433 $ 1,043
v3.25.2
SUPPLEMENTAL CASH FLOW INFORMATION - Schedule of Noncash Investing and Financing Activities (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
RouteSmart Technologies, Inc.      
Cash and Cash Equivalents [Line Items]      
Shares of common stock issued from treasury stock for acquisition $ 90 $ 0 $ 0
v3.25.2
COMMITMENTS - Schedule of Purchase Commitments (Details)
$ in Millions
May 31, 2025
USD ($)
Unrecorded Unconditional Purchase Obligation [Line Items]  
2026 $ 1,737
2027 1,695
2028 1,400
2029 748
2030 224
Thereafter 1,165
Total 6,969
Aircraft and
Aircraft Related  
Unrecorded Unconditional Purchase Obligation [Line Items]  
2026 889
2027 1,114
2028 989
2029 410
2030 204
Thereafter 1,075
Total 4,681
Other  
Unrecorded Unconditional Purchase Obligation [Line Items]  
2026 848
2027 581
2028 411
2029 338
2030 20
Thereafter 90
Total $ 2,288
v3.25.2
COMMITMENTS - Additional Information (Details)
$ in Millions
May 31, 2025
USD ($)
aircraft
Other Aircraft Commitments Disclosure [Abstract]  
Deposits and progress payments | $ $ 590
B777F  
Other Aircraft Commitments Disclosure [Abstract]  
Number of aircraft options to purchase exercised 8
Aircraft purchase option exercised with delivery due in first fiscal year 3
Aircraft purchase option exercised with delivery due in second fiscal year 5
ATR 72-600F  
Other Aircraft Commitments Disclosure [Abstract]  
Number of aircraft options to purchase exercised 10
Aircraft purchase option exercised with delivery due in second fiscal year 3
Aircraft purchase option exercised with delivery due in third fiscal year 4
Aircraft purchase option exercised with delivery due in fourth fiscal year 3
v3.25.2
COMMITMENTS - Schedule of Aircraft Purchase Commitments (Details)
12 Months Ended
May 31, 2025
AirCraft
Schedule of Aircraft Commitments [Line Items]  
2026 29
2027 12
2028 9
2029 4
2030 2
Thereafter 0
Total 56
Cessna SkyCourier 408  
Schedule of Aircraft Commitments [Line Items]  
2026 19
2027 4
2028 0
2029 0
2030 0
Thereafter 0
Total 23
ATR 72-600F  
Schedule of Aircraft Commitments [Line Items]  
2026 3
2027 3
2028 4
2029 4
2030 2
Thereafter 0
Total 16
B767F  
Schedule of Aircraft Commitments [Line Items]  
2026 7
2027 0
2028 0
2029 0
2030 0
Thereafter 0
Total 7
B777F  
Schedule of Aircraft Commitments [Line Items]  
2026 0
2027 5
2028 5
2029 0
2030 0
Thereafter 0
Total 10
v3.25.2
INVESTMENTS - Schedule of Investments in Equity Securities (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Equity Securities [Line Items]    
Equity securities with readily determinable fair values $ 91 $ 100
Total equity securities 506 360
Equity securities without readily determinable fair values - measurement alternative    
Equity Securities [Line Items]    
Equity securities without readily determinable fair values 364 223
Equity securities without readily determinable fair values - NAV practical expedient    
Equity Securities [Line Items]    
Equity securities without readily determinable fair values $ 51 $ 37
v3.25.2
INVESTMENTS - Additional Information (Details) - USD ($)
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Investments, Debt and Equity Securities [Abstract]      
Unrealized gains and (losses) on equity securities held $ (6,000,000) $ 14,000,000 $ (48,000,000)
Realized gain (loss) $ 0 $ 0 $ 0
v3.25.2
INVESTMENTS - Schedule of Investments in Debt Securities (Details) - USD ($)
$ in Millions
May 31, 2025
May 31, 2024
Debt Securities, Available-for-Sale [Line Items]    
Gross Unrealized, Cost $ 69 $ 76
Gross Unrealized, Gains 1 1
Gross Unrealized, Losses 0 0
Gross Unrealized, Estimated Fair Value 70 77
Fixed-income securities    
Debt Securities, Available-for-Sale [Line Items]    
Gross Unrealized, Cost 69 76
Gross Unrealized, Gains 1 1
Gross Unrealized, Losses 0 0
Gross Unrealized, Estimated Fair Value $ 70 $ 77
v3.25.2
CONTINGENCIES (Details)
$ in Millions
May 31, 2025
USD ($)
Loss Contingency [Abstract]  
Environmental matters threshold $ 1
v3.25.2
VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($)
$ in Millions
12 Months Ended
May 31, 2025
May 31, 2024
May 31, 2023
Allowance for Credit Losses      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Beginning balance $ 436 $ 472 $ 340
Charged
to
expenses 521 421 696
Charged to other accounts 0 0 0
Deductions 519 457 564
Ending balance 438 436 472
Allowance for Revenue Adjustments      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Beginning balance 339 328 352
Charged
to
expenses 0 0 0
Charged to other accounts 1,495 1,534 1,662
Deductions 1,499 1,523 1,686
Ending balance 335 339 328
Inventory Valuation Allowance:      
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]      
Beginning balance 288 276 360
Charged
to
expenses 41 40 33
Charged to other accounts 0 0 0
Deductions 21 28 117
Ending balance $ 308 $ 288 $ 276