LTL news: Logue to succeed Duncan as head of FedEx Freight
Jeff Berman, Group News Editor, and John D. Schulz, Contributing Editor -- Logistics Management, 11/3/2009
MEMPHIS-Following the recent announcement that Douglas Duncan will be retiring from his position as President and CEO of FedEx Freight, the less-than-truckload unit of FedEx, the company announced today that Duncan will be replaced by William J. Logue.
Duncan's retirement is effective February 28, 2010, but FedEx officials said Logue will begin serving as president of FedEx Freight on December 1 "to facilitate a smooth transition" and will assume the CEO title when Duncan is officially retired. In his new role, FedEx said Logue will be responsible for the leadership and strategic direction of all FedEx Freight units, including FedEx Freight, FedEx National LTL, and FedEx Custom Critical.
Logue's current position is as executive vice president and chief operating officer at FedEx Express, where he oversees FedEx Express Air Operations, Air Ground and Freight Services, Central Support Services, and Domestic Ground Operations Divisions. Logue joined FedEx Express in 1989 through the Flying Tiger acquisition, said FedEx.
"Bill's demonstrated ability to lead complex organizations and his in-depth transport operations experience make him an excellent choice as the new president and CEO of the FedEx Freight Segment," said Frederick W. Smith, chairman, president and chief executive officer of FedEx Corp, in a statement. "I want to recognize Doug Duncan for his many contributions in helping FedEx build our excellent LTL services. These capabilities have strengthened the FedEx portfolio and I am confident that Bill's leadership will further enhance our performance in this key market."
FedEx Freight is the second-largest LTL carrier in the U.S., and Duncan was its first and only president overseeing the company's explosive growth and reach.
Logue takes the helm at a time when there is no shortage of turmoil and uncertainty-and excess capacity-in the LTL sector. The largest LTL carrier, $7 billion-a-year YRC Worldwide, has posted losses in excess of $2 billion in the last 11 quarters. If YRC were to liquidate or further downsize, that would open opportunities for carriers such as FEF to take market share and boost pricing.
Duncan is credited with moving FedEx, which until 2001 had no presence in the heavy freight LTL sector, to a company with more than $4 billion in revenue. If Yellow had not bought Roadway, a $3 billion acquisition in 2003, FedEx Freight would be the largest LTL carrier.
Duncan provided FedEx, a company with a global network and brand, an entree into the LTL arena. That caused rival LTL carriers such as Old Dominion, Con-way and others to rethink how they would compete with FedEx, company that spends more than $5 billion annually on technology and other service enhancements.
"He almost created a greater need among LTL carriers to offer other services, to get into truckload, third-party logistics, expedited services, so the competition could offer bundled services the way FedEx does," said Satish Jindel, president of Pittsburgh-based SJ Consulting, in a recent interview.
Logue was unavailable for an interview at press time.
View All On-Demand Webcasts