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Technology Stocks : fedex: phantom internet play -- Ignore unavailable to you. Want to Upgrade?

To: Jon Koplik who wrote (1)	12/7/1998 11:08:00 PM
From: Ingenious	Read Replies (1) \| Respond to of 26

Jon, good point. there is some point in the chip industry that you also draw the line. i would probably not include cardboard boxes since, by the very nature of the box, it has a substantial number of uses unrelated to the internet. also, everything you buy is already packaged in a box. there is no difference to picking up a box at the store or fedexing the box. however, fedex (or fedex like companies) are essentially the only kinda of box that anyone ordering goods will use. this is a compelling thought. who else is going to ship your goods? imaging if all the malls disappeared tommorow because they could not compete with the lower costs and convenience of the internet. now imagine all those cars stuffed into the mall going home for a delivery person to deliver all the goods directly to their home. better yet, imagine never going to the store again and receiving everything (groceries included) from some type of delivery service. fedex is not restricted to only overnight service. perhaps they will begin partnering with companies like costco, sam's club, and other low cost high volume places. further, the company has openly acknoledged that ecommerce will boost their sales. either they are full of hot air (and getting ready for a class action lawsuit) or they are trying to drop a not so subtle hint that things are doing quite well in fedexville. fedex is not a company engaging in desperate measures. so making false, misleading, or possibly fraudulent statments would not be too smart. one might say, "well i can always use the old us postage".problem is that not everyone trusts the us mail. moreover, fedex is necessary to give the shoppers the same sort of feeling of instant gratification one gets at a mall going on a shopping spree. box companies no; overnight companies yes.

To: Jon Koplik who wrote (1)	12/9/1998 5:30:00 PM
From: Darryl Olson	Read Replies (2) \| Respond to of 26

Jon, 12/06 article from Barrons. Many people do not understand that FDX is very heavy into technology and the internet. It does represent a backdoor internet play. FDX 77 7/16 , + 10 3/16 News FedEx delivers the online goods - Barron's Sunday, December 6, 1998 03:50 PM NEW YORK, Dec 6 (Reuters) - FedEx Founder and Chief Executive Fred Smith expects to benefit "immensely" from the boom in Internet sales, as FedEx is delivering a good part of as much as $21 billion worth of products to be sold online this year, Barron's reported in its Dec. 7 edition. "As this revolution continues, we are going to benefit immensely, and benefit to a far greater degree than many people expect," the report quoted Smith as saying. The company's stock could double due to such a boom, Jim Coxon, one of the original backers of Smith and now investment committee chairman of the New York State Teachers Retirement System pension fund, said in the report. Coxon pointed out that, after 25 years, the company's network of planes, trucks, vans and operating hubs is finally in place, lowering the capital-intensive aspect of the business. Coxon told Barron's he thought FedEx's stock "should be a $100 stock today, and maybe a $200 stock a year out." The world's largest air express package carrier is already delivering the Christmas cheer that is flying, often on FedEx planes, out of online retailers' warehouses. This comes at the time after FedEx received its own early Christmas present, when FedEx pilots backed off earlier threats to strike during the Christmas season. Memphis, Tennessee-based FDX, the parent of FedEx, could then be viewed as a kind of Internet stock, the report said, and trading at only 17 times next year's projected earnings, a cheap one at that.