Fred Smith, founder of logistics company FedEx dead at 80: All about the Vietnam war vet turned billionaire businessman
In a post on the company website, CEO Raj Subramaniam wrote: 'It is with profound sadness and a heavy heart that I share that Frederick W. Smith, our founder and executive chairman, died earlier today.'
The former Vietnam war veteran founded the company at the age of 26 and over five decades built it up into a $90 billion revenue generating transport and logistics business, according to the Wall Street Journal (WSJ).
When previously asked about his legacy, Smith said he didn't think about it, adding, 'I just enjoy what I'm doing. I'm very focused on the here and now. The legacy will be the success of the company and, I hope, the success of my children, of which I have a lot of.'
One of his sons, Richard Smith, is CEO of FedEx's airline, as per a Bloomberg report. He had two children with first wife, Linda Black Grisham; and eight children with second wife, Diane. His daughter Windland Smith Rice, known as Wendy, died in 2005, the BB report added.
Interestingly, the WSJ report noted that as a Yale student in 1965, Smith outlined his idea for a national overnight delivery system for an economics paper and got a C. The germ of this idea became FedEx.
As founder-CEO, Smith led FedEx through much, before stepping down from the CEO role in 2022, and staying as Executive Chairman of the company. He was also FedEx's largest shareholder with 8 per cent stake — thanks to which he was a billionaire.
The WSJ report noted that after serving as Marine in the Vietnam war, Smith launched FedEx with a 'handful of small planes' in Memphis, Tennessese. The idea? People would pay for urgency.
Since then, the multi-national now has over 5,00,000 employees, and hundreds of jets, servicing its global business. According to the BB report, FedEx is now one of the world's largest logistics companies with annual sales logging over $80 billion in value.
The businessman was born as Frederick Wallace Smith in Marks, Missisippi on August 11, 1944, to James and Sally Smith. His father founded what would go on to become the America's intercity Greyhound Lines bus system and a multi-million dollar restaurant chain, and left the family a fortune when he passed away while Smith was four years old, as per the Bloomberg report.
Smith was always interested in flying. He learned to fly at 15, and after graduating from Yale University, he served two times in Vietnam (first joined in 1966) as platoon leader and forward air controller. For his service, he was awarded a Silver Star, Bronze Star and two Purple Hearts, the WSJ report added.
On his return, he approached investors for FedEx and garnered $80 million from VCs — added his inheritance and a few millions from family — to make one of the largest fundraise at the time, as per the WSJ and BB reports.
Federal Express began operations in April 1973 in Memphis and on the first night delivered 186 packages. The daily shipments number around 15 million now, as per the BB report.
(With inputs from WSJ, Bloomberg)
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