Package-delivery giant FedEx Corp.’s FDX, -1.50% large ground-shipping business intends to cut its holiday-period volume outlook amid waning demand, according to a report from Reuters. The change to the forecast reflects “the latest information from customers about how they anticipate current conditions are likely to decrease their volumes this holiday season,” Paul Melander, a FedEx Ground senior vice president, said in a message this week that was obtained by Reuters and addressed to 6,000 independent delivery contractors. The new forecasts come out around Oct. 21, Reuters said. FedEx’s Ground unit serves businesses and residential addresses in the U.S. and Canada. Shares fell 1.7% on Friday. The stock is hovering near two-year lows, after the company pulled its outlook amid a drop-off in shipping demand. FedEx, in a statement, did not comment directly on the Reuters report. But it noted that “weakening macroeconomic conditions are causing volume softness,” as described in its first-quarter earnings release, and said it was always talking to customers and adjusting operations to their shipping needs.
