(Reuters) - FedEx Corp on Thursday reported second-quarter earnings-per-share of $1.58.
* Reaffirms FY 2009 earnings per share view $3.50 to $4.75
* Says elimination of variable compensation payouts
* Q2 revenue rose 1 percent to $9.54 billion
* Says hiring freeze
* Says volume-related reductions in labor hours and line-haul expenses
* Says discretionary spending cuts
* Says personnel reductions at FEDEX (FDX.NY)reight and Fedex office
* Says 20 pct reduction for Fedex Corp CEO Frederick Smith
* Says now implementing number of additional cost reduction initiatives to
mitigate effects of deteriorating business conditions
* Says has already taken actions to reduce over $1 billion of expenses for all
of fiscal 2009
* Says elimination of calendar 2009 merit-based salary increases for U.S.
salaried exempt personnel
* Says reaffirms earnings estimate of $3.50 to $4.75 per diluted share for
fiscal 2009
* Says 7.5-10.0 pct salary reduction for other senior executives
* Says cost reductions include hiring freeze
* Says earnings estimate for the second half of fiscal 2009 is $0.69 to $1.94
per share
* Says Fedex Services segment expects continued deterioration in the core Fedex
office business
* Says capital spending is now expected to be $2.4 billion for fiscal 2009
* Says cost reductions include personnel reductions at Fedex freight and Fedex
office
* Says suspension of 401(k) company matching contributions for a minimum of one
year, effective February 1, 2009
* Reuters Estimates Q2 earnings per share view $1.58, revenue view $9,781.45
million
* Reuters Estimates FY 2009 earnings per share view $4.13
* Says 5.0% salary reduction for remaining U.S. salaried exempt personnel
* Says Fedex Services segment announced staffing reductions, location closures
* Says economic conditions will remain very difficult through calendar 2009.
