FedEx to drop some of its Amazon work
FedEx said on Friday that it decided not to renew a key domestic contract with Amazon, a decision that highlights tension between the longtime partners.
The move stands to pinch the online retail giant during peak shipping seasons when it has sometimes struggled to get packages to customers on time.
Amazon has built its own logistics network over the past few years and is delivering more of its own customer packages, lessening its dependence on FedEx and other shipping partners. At the same time, the online retailer can't deliver all of its own packages -- especially as online shopping surges over the holidays.
FedEx made the decision "as we focus on serving the broader e-commerce market," the company said in a statement Friday. The decision applies to FedEx's domestic Express contract with Amazon, which is the speediest option FedEx offers for shipping by air. It does not affect its international services.
Amazon accounted for less than 1.3% of FedEx's $65.6 billion revenue last year, the company said.
Amazon spokesman Rena Lunak said the company respected FedEx's decision.
-- The Washington Post
Simmons celebrates expansion of plant
Simmons Foods Inc. celebrated the $60 million expansion of its pet-food plant in Emporia, Kan., on Thursday.
The investment created about 100 jobs, raising the plant's annual payroll to $39.4 million, and could create up to 200 jobs when the plant reaches capacity.
"We want to build strong, lasting relationships with our customers and flexible packaging is what our customers expect," Jason Godsey, president of Simmons Pet Food, said in a news release. "Now we have the capacity and the capability to meet growing market demand."
Emporia's "flexible packaging facility" processes pet food sold in markets around the world, a company fact sheet said. By 2022, the expansion is expected to increase annual plant output to 9 million cases of wet pet food cups and 2.4 million cases of tubs. Operations began in May.
The Siloam Springs company does custom and private-label chicken and pet-food processing, including select Purina products and Walmart's Ol' Roy brand.
-- Nathan Owens
7 stocks up, 6 down; index closes at 403
The Arkansas Index, a price-weighted index that tracks the largest public companies based in the state, closed Friday at 403.00, up 0.49.
Seven stocks were up, led by Uniti Group at 1.92%. Six were down. Murphy Oil Corp. fell 1.60%.
Stock rose throughout the day over reports that President Donald Trump was considering a delay in plans to impose tariffs on Mexico set to go into effect Monday.
The index was developed by Bloomberg News and the Democrat-Gazette with a base value of 100 as of Dec. 30, 1997.
Business on 06/08/2019