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FedEx
From Wikipedia, the free encyclopedia

FedEx Corporation is an American multinational courier


delivery services company headquartered in Memphis, FedEx Corporation
Tennessee.[2] The name "FedEx" is a syllabic abbreviation of the
name of the company's original air division, Federal Express
(now FedEx Express), which was used from 1973 until 2000.
The company is known for its overnight shipping service, but
also for pioneering a system that could track packages and
Type Public
provide real-time updates on package location (to help in finding
lost packages), a feature that has now been implemented by Traded as NYSE: FDX (https://www.n
yse.com/quote/XNYS:FD
most other carrier services.[3]
X)
DJTA Component
S&P 100 Component
Contents S&P 500 Component
Industry Courier
1 History
Founded 1971
2 Operating units and logos
2.1 SCAC codes (as Federal Express Corporation)
3 Political donations and lobbying Little Rock, Arkansas
4 Awards and honors Founder Frederick W. Smith
5 Advertising
Headquarters Memphis, Tennessee, U.S.
5.1 John Moschitta ad
5.2 Motorsports Area served Worldwide
5.3 Football Key people Frederick Smith
5.4 Other sports (Chairman & CEO)
6 See also David J. Bronczek
7 References
(President & COO)
8 External links
Products Post delivery, express mail, freight
forwarding, third-party logistics

History Revenue US$50.365 billion (2016)[1]


Operating US$3.07 billion (2016)[1]
FedEx Corporation is an income
import/export company, Net income US$1.82 billion (2016)[1]
incorporated October 2,
Total assets US$46.064 billion (2016)[1]
1997, in Delaware.[4]
FDX Corporation was Total equity US$13.784 billion (2016)[1]
founded in January 1998 Number of 400,000 (2016)
with the acquisition of employees
Caliber System Inc. by Subsidiaries Office, Express, Ground, Freight,
Federal Express. With Custom Critical, Supply Chain,
Fedex's first van displayed at the the purchase of Caliber, Trade Networks, Services
FedEx World Headquarters FedEx started offering
Website fedex.com (http://FedEx.com)
other services besides
express shipping. Caliber
subsidiaries included RPS, a small-package ground service; Roberts Express, an expedited shipping provider;
Viking Freight, a regional, less than truckload freight carrier serving the Western United States; Caribbean
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Transportation Services, a provider of airfreight forwarding between the United States and the Caribbean; and
Caliber Logistics and Caliber Technology, providers of logistics and technology solutions. FDX Corporation was
founded to oversee all of the operations of those companies and its original air division, Federal Express.[5]

In the 1990s, FedEx Ground planned, but later abandoned, a joint service with British Airways to have BA fly a
Concorde supersonic jet airliner to Shannon, Ireland with FedEx packages on board, and then FedEx would have
flown the packages subsonically to their delivery points in Europe. Ron Ponder, a vice president at the time, was in
charge of this proposed venture.

In January 2000, FDX Corporation changed its name to FedEx


Corporation and re-branded all of its subsidiaries. Federal
Express became FedEx Express, RPS became FedEx Ground,
Roberts Express became FedEx Custom Critical, and Caliber
Logistics and Caliber Technology were combined to comprise
FedEx Global Logistics. A new subsidiary, called FedEx
Corporate Services, was formed to centralize the sales,
marketing, and customer service for all of the subsidiaries. In
February 2000, FedEx acquired Tower Group International, an A Federal Express McDonnell Douglas MD-11 in
international logistics company. FedEx also acquired 1995.
WorldTariff, a customs duty and tax information company;
TowerGroup and WorldTariff were re-branded to form FedEx
Trade Networks.[5]

FedEx Corp. acquired privately held Kinko's, Inc. in February 2004 and re-branded it FedEx Kinko's. The
acquisition was made to expand FedEx's retail access to the general public. After the acquisition, all FedEx Kinko's
locations exclusively offered only FedEx shipping.[5] In June 2008, FedEx announced that they would be dropping
the Kinko's name from their ship centers; FedEx Kinko's would now be called FedEx Office.[6][7] In September
2004, FedEx acquired Parcel Direct, a parcel consolidator, and re-branded it FedEx SmartPost.[5]

In December 2007, the U.S. Internal Revenue Service "tentatively decided" the FedEx Ground Division might be
facing a tax liability of $319 million for 2002, due to misclassification of its operatives as independent contractors.
Reversing a 1994 decision which allowed FedEx to classify its operatives that own their own vehicles as
independent contractors, the IRS audited the years 2003 to 2006, with a view to assessing whether similar
misclassification of operatives had taken place. FedEx denied that any irregularities in classification had occurred,
but faced legal action from operatives claiming benefits that would have accrued had they been classified as
employees.[8]

In June 2009, FedEx began a campaign against United Parcel Service (UPS) and the Teamsters union, accusing its
competitor of receiving a bailout in an advertising campaign called "Brown Bailout". FedEx claimed that signing
the Federal Aviation Administration re-authorization bill, which would let some of its workers unionize more
easily (and, according to the Memphis-based company, "could expose [its] customers at any time to local work
stoppages that interrupted the flow of their time-sensitive, high-value shipments),[9] was equivalent to giving UPS
a "bailout". Independent observers heavily criticized FedEx's wording,[9] claiming that it was "an abuse of the
term".[9] FedEx Express employees are regulated under the Railway Labor Act.[10]

On January 14, 2013, FedEx named Henry Maier CEO and President of FedEx Ground, to take effect after David
Rebholz retired on May 31, 2013.[11] On July 17, 2014, FedEx was indicted for conspiracy to distribute controlled
substances in cooperation with the Chhabra-Smoley Organization and Superior Drugs.[12] According to the U.S.
Department of Justice, "FedEx is alleged to have knowingly and intentionally conspired to distribute controlled
substances and prescription drugs, including Phendimetrazine (Schedule III); Ambien, Phentermine, Diazepam,
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and Alprazolam (Schedule IV), to customers who had no legitimate medical need for them based on invalid
prescriptions issued by doctors who were acting outside the usual course of professional practice."[13] A
representative for the company contested these claims, stating that it would violate personal rights of customers to
deny service and that "We are a transportation company we are not law enforcement".[14] On July 17, 2016 the
Department of Justice U.S. Attorney's Office confirmed in a statement that it had asked U.S. District Court Judge
Charles Breyer to dismiss the indictment but also did not say why.[15][16][17]

In April 2015, FedEx acquired their rival firm TNT Express for 4.4 billion ($4.8 billion; 3.2 billion) as it looks
to expand their operations in Europe.[18][19]

Operating units and logos


FedEx is organized into operating units, each of which has its own version of the wordmark designed in 1994 by
Lindon Leader of Landor Associates, of San Francisco.[20] The Fed is always purple and the Ex is in a different
color for each division and platinum for the overall corporation use. The original FedEx logo had the Ex in orange;
it is now used as the FedEx Express wordmark. The FedEx wordmark is notable for containing a subliminal right-
pointing arrow in the negative space between the "E" and the "X", which was achieved by designing a proprietary
font, based on Univers and Futura, to emphasize the arrow shape.[20] In August 2016, FedEx announced that all
operating units will switch over to the purple and orange color logo over the next 5 years.

FedEx Express (Orange "Ex"): The original overnight


courier services, providing next day air service within
the United States and time-definite international service.
FedEx Express operates one of the largest civil aircraft
fleets in the world and the largest fleet of wide bodied
civil aircraft; it also carries more freight than any other
airline.[21]
Caribbean Transport Services: Until 2008, a
part of FedEx Freight. Provides airfreight
forwarding services between the US mainland,
Puerto Rico, the Dominican Republic, and other
Caribbean islands.
FedEx Trade Networks (Platinum "Ex", formerly FedEx Express McDonnell Douglas MD-11 landing
yellow): Provides services relating to customs, in Hong Kong on August 11, 2010.
insurance, and transportation advice. Formerly
C.J. Tower & Sons, then Tower Group
International.
FedEx SupplyChain (Orange "Ex"): Provides logistics services including Critical Inventory
Logistics, Transportation Management Services, Fulfillment Services, etc. Formerly Roadway
Logistics System, then Caliber Logistics.

FedEx Ground (Green "Ex"): Guaranteed day-definite delivery within Canada and the United States at a
cost savings as compared to time-definite FedEx Express. Uses a large fleet of trucks which are owned by
the independent owner/operators and drivers are independent contractors who control individual delivery
routes and territories. Formerly Roadway Package System (RPS).[22]
FedEx Home Delivery: A division of FedEx Ground, FedEx Home Delivery specializes in residential
delivery Tuesday through Saturday and offers delivery options to provide more flexibility for
residential recipients. The logo includes a drawing of a dog carrying a package . FedEx Home
Delivery only operates in the United States. In the US it is not uncommon for Home Delivery
packages to be delivered by standard Ground trucks. To make up the difference, FedEx Ground in
Canada performs the business deliveries and residential deliveries.[23]
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FedEx SmartPost (Green "Ex"): Consolidates


parcels from merchants such as e-commerce
and catalog companies and uses the United
States Postal Service for the final delivery.
Formerly the independent company Parcel
Direct until FedEx acquired it for $120 million
in 2004.[24]
FedEx Freight (Red "Ex"): Less than truckload
(LTL) and other freight services. The largest LTL
carrier in the United States, with $4.5 billion in
revenue for 2008.[25]
FedEx Freight, Inc: Formerly American
Freightways, Viking Freight, and Watkins FedEx Ground delivery van
Motor Lines.
FedEx Freight Canada: Formerly Watkins
Canada Express.
FedEx Custom Critical (Blue "Ex"): Delivers urgent,
valuable, or hazardous items using trucks and chartered
aircraft. Freight not accepted for transport includes
perishable food, alcohol, livestock, household goods,
hazardous waste, and money.[26] Drivers are independent
contractors who own their vehicles. Service in Mexico
uses interline carriers. Formerly Roberts Cartage or
Roberts Express.
FedEx Services (Platinum "Ex"): Provides global
marketing, planning, and information technology (IT) FedEx Freight semi-trailer truck in Northbrook,
services for the other FedEx operating companies. Illinois.
FedEx TechConnect (Platinum "Ex"): Offering a
customer service toll-free telephone line for
customer questions. It is operated by an automated operator then will prompt the user to a live agent
for uses of tracking, claims, scheduling pick-ups (Express, Ground, Same Day, Custom Critical,
Freight Express, and Freight LTL), compliments and complaints, locations (both staffed counter
locations and drop-boxes), ordering supplies, setting up FedEx accounts, billing etc. Formerly FCIS or
FedEx Customer Information Services.
FedEx Office (formerly FedEx Kinko's) (Blue "Ex"): The retail arm of the corporation, offers copying
and digital printing, professional finishing, document creation, Internet access, computer rentals, signs
and graphics, direct mail, Web-based printing, and FedEx shipping. Formerly an independent
company, known as Kinko's until it was acquired by FedEx in 2004 and rebranded to FedEx Kinko's.
In June 2008 the company was finally rebranded as FedEx Office.[27]
FedEx Office and Print Centers: Provides services such as copying, printing, Internet access
and FedEx shipping.
FedEx Ship Centers: Provides a central location for FedEx customers to deposit their packages
for shipping, also offering a self-service photocopy and fax machine, office products for packing
and shipping, boxes, and packaging services. Formerly, these locations were called FedEx
World Service Centers.
Both FedEx Office and Print Centers and Ship Centers now offer Hold at Locations for
FedEx Ground & FedEx Express shipments for easy pick up. Transfer to Office/Ship centers
takes 1 to 2 business days (example: calling the customer service line one day prior to pick up.
This ensures package is put with proper route of courier that services that area).
FedEx Office counts with its own FedEx Couriers for Center to Center and local customer
deliveries.
FedEx SameDay City (Platinum "Ex") a division of FedEx office offers a delivery service
between select ZIP codes in as little as two hours
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FedEx SameDay City allows a between: Standard, providing pickup by noon and delivery by the end of the day, or
Priority, providing delivery within 2 hours. FedEx SameDay City is currently expanding in all major cities across
the country and is planning on becoming its own operating unit in the next five years.

SCAC codes

The Standard Carrier Alpha Code (SCAC) is a unique code used to identify transportation companies. It is
typically two to four alphabetic letters long. It was developed by the National Motor Freight Traffic Association in
the 1960s to help the transportation industry for computerizing data and records. FedEx's codes include:

FDE FedEx Express


FDEG FedEx Ground
FXFE FedEx Freight
FDCC FedEx Custom Critical
FXO - FedEx Office
FSDC- FedEx Same Day City

Political donations and lobbying


According to the Center for Responsive Politics, FedEx Corp is the 21st largest campaign contributor in the United
States. The company has donated over $21 million since 1990, 45% of which went to Democrats and 55% to
Republicans. Strong ties to the White House and members of Congress allow access to international trade and tax
cut rebates as well as the rules of the business practices of the United States Postal Service. In 2001, FedEx sealed
a $9 billion deal with the USPS to transport all of the post office's overnight and express deliveries.[28]

In 2005, FedEx was among 53 entities that contributed the maximum of $250,000 to sponsor the second
inauguration of President George W. Bush.[29][30][31]

During the first three months of 2010, FedEx spent nearly $4.9 million lobbying the federal government (UPS,
FedEx's main competitor, spent $1.6 million on lobbying over the same period), a 4% increase from the
$4.7 million spent during the last quarter of 2009, but more than twice what it spent on lobbying during the first
quarter of 2009.[32]

Awards and honors


The firm was named by Fortune magazine as one of the top 100 companies to work for in 2013, citing the
company's choice to downsize with voluntary buyouts rather than involuntary layoffs.[33]

Advertising
Some of FedEx's ad campaigns:[34]

"When it Absolutely, Positively has to be there overnight" 19781983


"It's not Just a Package, It's Your Business" 19871988
"Our Most Important Package is Yours" 19911994
"Absolutely, Positively Anytime" 1995
"The Way the World Works," 19961998
"Be Absolutely Sure," 19982000
"This is a Job for FedEx," 20012002
"Dont worry, there's a FedEx for that, 20022003
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"Relax, its FedEx," 20042008


"The World On Time" 2001present
"We Understand," 2009present
"We Live To Deliver" 2009present

John Moschitta ad

In 1981, their advertising firm Ally & Gargano hired performer John
Moschitta, Jr., known for his fast speech delivery, to do an ad for
Federal Express titled "Fast Paced World". This single commercial
would be cited years later by New York as one of the most memorable
ads ever.[35]

Motorsports

From 1997 to 2002, FedEx was the title sponsor of Champ Car
World Series when it was known as CART. The series was
known as the "CART FedEx Championship Series", which led FedExForum in Memphis, Tennessee.
to the official "Champ Car" designation in reference to the fact
they were the FedEx Championship.
FedEx became the sponsor of the No. 11 NASCAR Sprint Cup
Toyota owned by Joe Gibbs Racing and driven by Mike Bliss,
Jason Leffler and Denny Hamlin in 2005. FedEx uses four
(predominantly black) paint schemes to showcase its different
products (Express, Freight, Ground, and Office), and in 2005
also ran a special scheme to promote a charity event at the
FedEx St. Jude Classic golf tournament. The 11 car has been
driven on a permanent basis by Hamlin since 2006.
FedEx previously sponsored the Formula One team McLaren.
Prior to that FedEx had sponsored Ferrari, Benetton, and
Williams F1. FedEx does not currently sponsor any F1 team. Denny Hamlin driving the FedEx-sponsored
No. 11 car at the 2012 Kobalt Tools 400
Football

From 1989 to 2010, FedEx was the title sponsor of the Orange Bowl, played in Miami, Florida.[36]
FedExField, home of the National Football League's Washington Redskins in Landover, Maryland[37]

Other sports

FedEx sponsors FedExForum, home of the NBA's Memphis Grizzlies and the University of Memphis men's
basketball team.[38]
FedEx sponsors the Heineken Cup in Rugby [39]
Beginning in 2007, FedEx became the title sponsor of the FedEx Cup, a championship trophy for the PGA
Tour.[40]
FedEx is the Main Sponsor of the UEFA Europa League since 2015.

See also
Cast Away
Federal Express Flight 705 (attempted hijacking)
Freight company
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Package delivery
Top 100 US Federal Contractors

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aspx) Marketing Doctor Blog. June 3, 2008.
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Week. June 3, 2008.
8. Ron Da Parma (December 27, 2007). "IRS says FedEx may owe $319 million" (http://www.pittsburghlive.com/x/pittsbu
rghtrib/business/s_544387.html). Pittsburgh Tribune-Review. Retrieved 2008-01-03.
9. 'Brown Bailout?' Hardly (http://factcheck.org/2009/07/brown-bailout-hardly), FactCheck.org
10. "UPS, FedEx "Brown Bailout" battle rages on" (https://web.archive.org/web/20100616010653/http://blog.fleetowner.co
m/trucking-straight-talk/2010/06/10/ups-fedex-brown-bailout-battle-rages-on/). Fleetowner.com. Archived from the
original (http://blog.fleetowner.com/trucking-straight-talk/2010/06/10/ups-fedex-brown-bailout-battle-rages-on/) on June
16, 2010. Retrieved June 16, 2010.
11. "FedEx Corp. Announces Henry J. Maier to Succeed David F. Rebholz as President and CEO for FedEx Ground" (http://
www.fortmilltimes.com/2013/01/14/2435327/fedex-corp-announces-henry-j-maier.html). fort mill times. Retrieved
January 14, 2013.
12. Moyer, Justin (July 18, 2014). "FedEx indicted for drug dealing. Not a delivery guy the whole company." (http://ww
w.washingtonpost.com/news/morning-mix/wp/2014/07/18/fedex-indicted-for-drug-dealing-not-a-delivery-guy-the-whole
-company/). Washington Post.
13. "FedEx Indicted For Its Role In Distributing Controlled Substances And Prescription Drugs" (http://www.justice.gov/usa
o/can/news/2014/2014_07_17_fedex.indicted.press.html). U.S. Department of Justice. July 17, 2014.
14. Elias, Paul. "FedEx charges raise online pharmacy issues" (https://news.yahoo.com/fedex-charges-raise-online-pharmacy
-144213122.html). Yahoo. Retrieved 2 August 2014.
15. "A trial accusing FedEx of knowingly shipping illegal prescription drugs just ended suddenly" (http://www.businessinsid
er.com/a-trial-accusing-fedex-of-knowingly-shipping-illegal-prescription-drugs-just-ended-suddenly-2016-6). Retrieved
2016-08-24.
16. Beckerman, Josh (2016-06-20). "FedEx: Justice Department Dismisses Charges Over Online Pharmacy Shipments" (http
s://www.wsj.com/articles/fedex-justice-department-dismisses-charges-over-online-pharmacy-shipments-1466201256).
Wall Street Journal. ISSN 0099-9660 (https://www.worldcat.org/issn/0099-9660). Retrieved 2016-08-24.
17. "Feds Drop Charges Claiming FedEx Knowingly Trafficked Illegal Prescription Drugs" (http://fortune.com/2016/06/20/d
oj-fedex-illegal-online-pharmacies/). Fortune. 2016-06-20. Retrieved 2016-08-24.
18. "FedEx to buy rival TNT Express for 4.4bn" (http://www.bbc.co.uk/news/business-32200600). BBC News. 7 April
2015.
19. "FedEx to buy Dutch Delivery Company TNT for 4.4 billion euros" (http://news.biharprabha.com/2015/04/fedex-to-buy-
dutch-delivery-company-tnt-for-4-4-billion-euros/). news.biharprabha.com. Reuters. 8 April 2015. Retrieved 8 April
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2004
21. "WATS Scheduled Freight Tonne Kilometres" (http://www.iata.org/ps/publications/wats-freight-km.htm). International
Air Transport Association. 2006.
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About.fedex.designcdt.com. Retrieved on July 11, 2011.
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23. fedex service info u.s. home delivery (http://fedex.com/us/services/us/homedelivery/index.html). Fedex.com.


Retrieved on July 11, 2011.
24. "Current Report Sept 2004, Inc 2004 Current Report, Form 8-K, Filing Date Sept 22, 2004" (http://edgar.secdatabase.co
m/1289/110465904028198/filing-main.htm). secdatabase.com. Retrieved Dec 26, 2012.
25. Comments (http://www.logisticsmgmt.com/article/CA6649203.html). Logisticsmgmt.com. Retrieved on July 11, 2011.
26. "FedEx Custom Critical Solutions" (http://customcritical.fedex.com/). Retrieved September 18, 2013.
27. FedEx Office | About FedEx (http://about.fedex.designcdt.com/our_company/company_information/fedex_services/fede
x_kinkos). About.fedex.designcdt.com. Retrieved on July 11, 2011.
28. "FedEx Corp: Summary (http://www.opensecrets.org/orgs/summary.asp?ID=D000000089&Name=FedEx+Corp)."
Center for Responsive Politics. Retrieved on February 28, 2010.
29. Drinkard, Jim (January 17, 2005). "Donors get good seats, great access this week" (http://www.usatoday.com/news/wash
ington/2005-01-16-inauguration-donors_x.htm). USA Today. Retrieved May 25, 2008.
30. "Financing the inauguration" (http://www.usatoday.com/news/washington/2005-01-16-inaugural-donors_x.htm). USA
Today. January 16, 2005. Retrieved May 25, 2008.
31. "Some question inaugural's multi-million price tag" (http://www.usatoday.com/news/washington/2005-01-14-price_x.ht
m). USA Today. January 14, 2005. Retrieved May 25, 2008.
32. FedEx spends $4.9 million lobbying in 1st-quarter (http://www.businessweek.com/ap/financialnews/D9G9ABPG0.htm)
Bloomberg Businessweek. 2010-06-11. Retrieved June 21, 2010.
33. "100 Best Companies to Work For 2013 - FedEx Corporation - Fortune" (http://money.cnn.com/magazines/fortune/best-
companies/2013/snapshots/98.html?iid=bc_lp_arrow1). CNN.
34. "Federal Express Corporation" (http://www.trademarkia.com/company-federal-express-corporation-435945-page-1-2).
trademarkia.com. Trademarkia. Retrieved 22 February 2016.
35. "TV Acres Advertising Mascots" (http://www.tvacres.com/admascots_federal.htm). Retrieved September 18, 2008.
36. FedExName will come off Orange Bowl (http://www.sportsbusinessjournal.com/article/65600), Sports Business Journal
37. Marketing and Advertising | About FedEx (http://about.fedex.designcdt.com/our_company/marketing_and_advertising).
About.fedex.designcdt.com. Retrieved on July 11, 2011.
38. "FedEx Forum" (http://www.athleticbusiness.com/project-26.html). athleticbusiness.com. Athletic Business. Retrieved
22 February 2016.
39. "and Rugby - The Heineken Cup - FedEx | United Kingdom" (http://www.fedex.com/gb/about/sports-sponsorship/rugby.
html). FedEx.com. 2014-05-24. Retrieved 2015-03-30.
40. "Prepare thoroughly. Commit totally. Deliver." (http://www.fedex.com/fr_english/about/sports-sponsorship/rugby.html).
FedEx. FedEx. Retrieved 22 February 2016.

External links
FedEx Index of national homepages (http://www.fedex.com/?locati
on=home&link=5) Wikimedia Commons has
media related to FedEx.
Business data for FedEx: Google Finance (https://www.google.com/fi
nance?q=FDX) Yahoo! Finance (https://finance.yahoo.com/q?s=FD
X) Reuters (https://www.reuters.com/finance/stocks/overview?symbol=FDX) SEC filings (https://www.se
c.gov/cgi-bin/browse-edgar?action=getcompany&CIK=FDX)

Retrieved from "https://en.wikipedia.org/w/index.php?title=FedEx&oldid=791256708"

Categories: Companies in the Dow Jones Transportation Average FedEx Express mail
Logistics companies of the United States Transportation companies of the United States
Trucking industry in the United States American companies established in 1971
1971 establishments in Tennessee Companies based in Memphis, Tennessee
Companies listed on the New York Stock Exchange
Multinational companies headquartered in the United States

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