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The NYT in the paragraph you quoted vaguely paints the picture that investment is being cut significantly in favor of massive dividend payments. However, if the

The NYT in the paragraph you quoted vaguely paints the picture that investment is being cut significantly in favor of massive dividend payments. However, if the reality is that it is merely plateauing as you and the parent comment show, then doesn't that show their wording was misleading? Yes, FedEx didn't follow up with the massive new boosts they promised (besides the pension fund). However, the NYT should have included figures and stated it how you are in your comment - that growth factor is what has gone down, not the actual level of investment. I am not disputing what you say about FedEx, I just want NYT to be more careful and precise in its reporting.

ceejayoz 7y ago
It makes the point that they didn't even spend what they'd initially projected, let alone increase it like they said they would. They did not follow through with their lobbying promises. The fact that they instead increased stock buybacks etc. demonstrates a point of detractors of the tax law - that it's proceeds would most likely go back into already-wealthy pockets, not capital investment. It's not unreasonable to point it out here.
ryanmercer 7y ago
>Yes, FedEx didn't follow up with the massive new boosts they promised (besides the pension fund). They've been building 800,000 square feet of new sort facility at IND for a year and change... https://www.indystar.com/story/news/2018/01/26/fedex-credits-tax-cuts-1-5-billion-expansion-indianapolis-hub/1068813001/ https://www.indystar.com/story/news/2018/01/26/fedex-credits... https://bgabuilders.com/fedex-indianapolis-ob4-project/ https://bgabuilders.com/fedex-indianapolis-ob4-project/ It's huge and runs right along side Interstate 70, you can see it from the other side of the airport just off of U.S. 40. I can walk to my car, drive about 10 yards out of my work parking lot and see it across the airport. It's very real and almost certainly didn't grow out of the ground on its own accord. They're also expanding in Greenwood, Indiana. They're also expanding at MEM. ...
- ceejayoz 7y ago
  FedEx makes capital expenditures every year. The NYT is not alleging they stopped them. They're alleging they didn't increase them any more than they normally would, despite saying that's why they needed tax reductions. https://marketrealist.imgix.net/uploads/2018/09/Capex-2.png?w=587&fit=max&auto=format https://marketrealist.imgix.net/uploads/2018/09/Capex-2.png?... indicates their spending growth has largely just stayed what it was prior to the tax changes.

ceejayoz 7y ago

It makes the point that they didn't even spend what they'd initially projected, let alone increase it like they said they would. They did not follow through with their lobbying promises. The fact that they instead increased stock buybacks etc. demonstrates a point of detractors of the tax law - that it's proceeds would most likely go back into already-wealthy pockets, not capital investment. It's not unreasonable to point it out here.

ryanmercer 7y ago

>Yes, FedEx didn't follow up with the massive new boosts they promised (besides the pension fund). They've been building 800,000 square feet of new sort facility at IND for a year and change... https://www.indystar.com/story/news/2018/01/26/fedex-credits-tax-cuts-1-5-billion-expansion-indianapolis-hub/1068813001/ https://www.indystar.com/story/news/2018/01/26/fedex-credits... https://bgabuilders.com/fedex-indianapolis-ob4-project/ https://bgabuilders.com/fedex-indianapolis-ob4-project/ It's huge and runs right along side Interstate 70, you can see it from the other side of the airport just off of U.S. 40. I can walk to my car, drive about 10 yards out of my work parking lot and see it across the airport. It's very real and almost certainly didn't grow out of the ground on its own accord. They're also expanding in Greenwood, Indiana. They're also expanding at MEM. ...

ceejayoz 7y ago
FedEx makes capital expenditures every year. The NYT is not alleging they stopped them. They're alleging they didn't increase them any more than they normally would, despite saying that's why they needed tax reductions. https://marketrealist.imgix.net/uploads/2018/09/Capex-2.png?w=587&fit=max&auto=format https://marketrealist.imgix.net/uploads/2018/09/Capex-2.png?... indicates their spending growth has largely just stayed what it was prior to the tax changes.