FedEx completes purchase of Watkins Motor Lines

Filed in archive merger and acquisition on September 11, 2006

FedEx Corp. announced it has completed the $780 million cash purchase of the less-than-truckload (LTL) operations of Lakeland, Fla.-based Watkins Motor Lines and certain affiliates.

According to Logistics Management, the re-branding of Watkins Motor Lines and Watkins Canada Express, Watkins' LTL carrier in Canada, to FedEx National LTL and Fedex Freight Canada will begin immediately, according to a FedEx release.

"FedEx Freight, FedEx National LTL and FedEx Freight Canada create a reliable, single-source provider of one- and two-day regional as well as long-haul LTL services that customers have been requesting," said Frederick W. Smith, chairman, president and chief executive officer of FedEx Corp. in a company release.

FedEx National LTL and FedEx Freight Canada each operate as a separate network within the FedEx Freight segment, which also includes FedEx Freight, FedEx Custom Critical and Caribbean Transportation Services. More than 470 service centers make up the FedEx Freight, FedEx National LTL, and FedEx Freight Canada networks. Together, the companies will operate nearly 54,000 tractors.