FedEx (FDX) 10-Q 17 Sep 18 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Aug. 31, 2018	Sep. 13, 2018
Document And Entity Information [Abstract]
Document Type	10-Q
Document Period End Date	Aug. 31, 2018
Amendment Flag	false
Document Fiscal Year Focus	2,019
Document Fiscal Period Focus	Q1
Entity Registrant Name	FedEx Corporation
Entity Central Index Key	1,048,911
Current Fiscal Year End Date	--05-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		263,515,857
Trading Symbol	FDX

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Aug. 31, 2018	May 31, 2018
CURRENT ASSETS
Cash and cash equivalents	$ 2,369	$ 3,265
Receivables, less allowances of $296 and $401	8,716	8,481
Spare parts, supplies and fuel, less allowances of $271 and $268	523	525
Prepaid expenses and other	1,033	1,070
Total current assets	12,641	13,341
PROPERTY AND EQUIPMENT, AT COST	56,326	55,121
Less accumulated depreciation and amortization	27,547	26,967
Net property and equipment	28,779	28,154
OTHER LONG-TERM ASSETS
Goodwill	6,869	6,973
Other assets	3,612	3,862
Total other long-term assets	10,481	10,835
ASSETS	51,901	52,330
CURRENT LIABILITIES
Short-term borrowings	299
Current portion of long-term debt	1,404	1,342
Accrued salaries and employee benefits	1,686	2,177
Accounts payable	3,066	2,977
Accrued expenses	3,151	3,131
Total current liabilities	9,606	9,627
LONG-TERM DEBT, LESS CURRENT PORTION	15,241	15,243
OTHER LONG-TERM LIABILITIES
Deferred income taxes	2,948	2,867
Pension, postretirement healthcare and other benefit obligations	1,963	2,187
Self-insurance accruals	1,809	1,784
Deferred lease obligations	557	551
Deferred gains, principally related to aircraft transactions	156	121
Other liabilities	448	534
Total other long-term liabilities	7,881	8,044
COMMITMENTS AND CONTINGENCIES
COMMON STOCKHOLDERS' INVESTMENT
Common stock, $0.10 par value; 800 million shares authorized; 318 million shares issued as of August 31, 2018 and May 31, 2018	32	32
Additional paid-in capital	3,154	3,117
Retained earnings	25,315	24,823
Accumulated other comprehensive loss	(763)	(578)
Treasury stock, at cost	(8,565)	(7,978)
Total common stockholders’ investment	19,173	19,416
LIABILITIES AND STOCKHOLDERS' INVESTMENT	$ 51,901	$ 52,330

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Aug. 31, 2018	May 31, 2018
CURRENT ASSETS
Allowances for receivables	$ 296	$ 401
Allowances for spare parts, supplies and fuel	$ 271	$ 268
COMMON STOCKHOLDERS' INVESTMENT
Common stock, par value	$ 0.10	$ 0.10
Common stock, shares authorized	800,000,000	800,000,000
Common stock, shares issued	318,000,000	318,000,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Income Statement [Abstract]
REVENUES	$ 17,052	$ 15,297
OPERATING EXPENSES:
Salaries and employee benefits	6,260	5,664
Purchased transportation	$ 3,967	$ 3,445
Type of cost, good or service [extensible list]	us-gaap:ShippingAndHandlingMember	us-gaap:ShippingAndHandlingMember
Rentals and landing fees	$ 823	$ 818
Depreciation and amortization	808	751
Fuel	986	703
Maintenance and repairs	735	675
Other	2,402	2,270
OPERATING EXPENSES	15,981	14,326
OPERATING INCOME	1,071	971
OTHER INCOME (EXPENSE):
Interest, net	(112)	(114)
Other retirement plans income	158	146
Other, net	(16)	(21)
OTHER INCOME (EXPENSE)	30	11
INCOME BEFORE INCOME TAXES	1,101	982
PROVISION FOR INCOME TAXES	266	386
NET INCOME	$ 835	$ 596
EARNINGS PER COMMON SHARE:
Basic	$ 3.15	$ 2.22
Diluted	3.10	2.19
DIVIDENDS DECLARED PER COMMON SHARE	$ 1.30	$ 1

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Statement Of Income And Comprehensive Income [Abstract]
NET INCOME	$ 835	$ 596
OTHER COMPREHENSIVE INCOME (LOSS):
Foreign currency translation adjustments, net of tax benefit of $24 in 2018 and tax expense of $25 in 2017	(162)	109
Amortization of prior service credit, net of tax benefit of $7 in 2018 and $11 in 2017	(23)	(19)
Other comprehensive income (loss)	(185)	90
COMPREHENSIVE INCOME	$ 650	$ 686

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Other Comprehensive Income, Tax Amounts
Foreign currency translation adjustments, tax (benefit) expense	$ (24)	$ 25
Amortization of prior service credit, tax benefit	$ 7	$ 11

Condensed Consolidated Stateme7

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Operating Activities:
Net income	$ 835	$ 596
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation and amortization	808	751
Provision for uncollectible accounts	82	60
Stock-based compensation	68	62
Deferred income taxes and other noncash items	23	97
Changes in assets and liabilities:
Receivables	(380)	(271)
Other assets	(120)	(142)
Accounts payable and other liabilities	(584)	(540)
Other, net	(31)	(23)
Cash provided by operating activities	701	590
Investing Activities:
Capital expenditures	(1,179)	(1,044)
Proceeds from asset dispositions and other	78	6
Cash used in investing activities	(1,101)	(1,038)
Financing Activities:
Proceeds from short-term borrowings	299
Principal payments on debt	(2)	(12)
Proceeds from stock issuances	25	150
Dividends paid	(173)	(134)
Purchase of treasury stock	(625)	(86)
Other, net	4	(6)
Cash used in financing activities	(472)	(88)
Effect of exchange rate changes on cash	(24)	70
Net (decrease) increase in cash and cash equivalents	(896)	(466)
Cash and cash equivalents at beginning of period	3,265	3,969
Cash and cash equivalents at end of period	$ 2,369	$ 3,503

General

General	3 Months Ended
	Aug. 31, 2018
General [Abstract]
General	(1) General SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES. These interim financial statements of FedEx Corporation (“FedEx”) have been prepared in accordance with accounting principles generally accepted in the United States and Securities and Exchange Commission (“SEC”) instructions for interim financial information, and should be read in conjunction with our Annual Report on Form 10-K for the year ended May 31, 2018 (“Annual Report”). Accordingly, significant accounting policies and other disclosures normally provided have been omitted since such items are disclosed in our Annual Report. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (including normal recurring adjustments) necessary to present fairly our financial position as of August 31, 2018, and the results of our operations and cash flows for the three-month periods ended August 31, 2018 and 2017. Operating results for the three-month periods ended August 31, 2018 are not necessarily indicative of the results that may be expected for the year ending May 31, 2019. Except as otherwise specified, references to years indicate our fiscal year ending May 31, 2019 or ended May 31 of the year referenced and comparisons are to the corresponding period of the prior year. RECLASSIFICATIONS . Certain reclassifications have been made to the prior years’ condensed consolidated financial statements to conform to the current year presentation. REVENUE RECOGNITION . Satisfaction of Performance Obligation We recognize revenue upon delivery of shipments for our transportation businesses and upon completion of services for our business services, logistics and trade services businesses. Transportation services are provided with the use of employees and independent businesses that contract with FedEx. FedEx is the principal to the transaction for most of these services and revenue is recognized on a gross basis based on the transfer of control to the customer. Costs associated with independent businesses are recognized as incurred and included in the caption “Purchased transportation” in the accompanying unaudited condensed consolidated statements of income. For shipments in transit, revenue is recorded based on the percentage of service completed at the balance sheet date which results in our recognizing revenue over time as we perform the services in the contract because of the continuous transfer of control to the customer. Our customers receive the benefit of our services as the goods are transported from one location to another. If we were unable to complete delivery to the final location, another entity would not need to reperform the transportation service already performed. As control transfers over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The vast majority of our contracts include only one performance obligation, which is short in duration and spans only a few days. However, if a contract is separated into more than one performance obligation, we allocate the total transaction price to each performance obligation in an amount based on the estimated relative stand-alone selling prices of the promised goods or services underlying each performance obligation. We frequently sell standard transportation services with observable stand-alone sales prices. In these instances, the observable stand-alone sales are used to determine the stand-alone selling price. We sell customized customer-specific solutions, such as logistics, through which we provide the service of integrating a complex set of tasks and components into a single capability (even if that single capability results in the delivery of multiple units). Therefore, the entire contract is accounted for as one performance obligation. In these cases we typically use the expected cost plus a margin approach to estimate the stand-alone selling price of each performance obligation. Variable Consideration It is common for our contracts to contain customer incentives, guaranteed service refunds or other provisions that can either increase or decrease the transaction price. These variable amounts are generally awarded based upon certain incentive achievements or performance metrics. We estimate variable consideration as the most likely amount to which we expect to be entitled. Estimates for adjustments to revenue and accounts receivable are recognized at the time of shipment for certain customer initiatives, money-back service guarantees and billing corrections based on our assessment of historical, current and forecasted information available. Delivery costs are accrued as incurred. Contract Modification Contracts are often modified to account for changes in the rates we charge our customers or to add additional distinct services. We consider contract modifications to exist when the modification either creates new enforceable rights and obligations or alters the existing arrangement. Contract modifications that add distinct goods or services are treated as separate contracts. Contract modifications that do not add distinct goods or services typically change the price of existing services. These contract modifications are accounted for prospectively as the remaining performance obligations are executed. Contract Assets and Liabilities Contract assets include billed and unbilled amounts resulting from in-transit packages, as we have an unconditional right to payment only once all performance obligations have been completed (e.g., packages have been delivered). Contract assets are generally classified as current and the full balance is converted each quarter based on the short-term nature of the transactions. Our contract liabilities consist of advance payments and billings in excess of revenue. The full balance of deferred revenue is converted each quarter based on the short-term nature of the transactions. Gross contract assets related to in-transit packages totaled $513 million and $542 million at August 31, 2018 and May 31, 2018, respectively. Contract assets net of deferred unearned revenue were $351 million and $363 million at August 31, 2018 and May 31, 2018, respectively. Contract assets are included within other current assets in the accompanying unaudited condensed consolidated balance sheets. Contract liabilities related to advance payments from customers were $15 million and $13 million at August 31, 2018 and May 31, 2018, respectively. Contract liabilities are included within current liabilities in the accompanying unaudited condensed consolidated balance sheets. Our contract logistics, global trade services and certain transportation businesses engage in some transactions wherein they act as agents. Revenue from these transactions is recorded on a net basis. Net revenue includes billings to customers less third-party charges, including transportation or handling costs, fees, commissions and taxes and duties. Certain of our revenue-producing transactions are subject to taxes, such as sales tax, assessed by governmental authorities. We present these revenues net of tax. Under the typical payment terms of our customer contracts, the customer pays at periodic intervals (i.e., every 15 days, 30 days, 45 days, etc.) for shipments included on invoices received. It is not customary business practice to extend payment terms past 90 days, and as such, we do not have a practice of including a significant financing component within our revenue contracts with customers. Disaggregation of Revenue The following table provides revenue by service type (dollars in millions) for the periods ended August 31. This presentation is consistent with how we organize our segments internally for making operating decisions and measuring performance. Three Months Ended August 31, 2018 2017 REVENUE BY SERVICE TYPE FedEx Express segment: Package: U.S. overnight box $ 1,886 $ 1,750 U.S. overnight envelope 468 450 U.S. deferred 952 878 Total U.S. domestic package revenue 3,306 3,078 International priority 1,848 1,741 International economy 850 770 Total international export package revenue 2,698 2,511 International domestic (1) 1,127 1,044 Total package revenue 7,131 6,633 Freight: U.S. 730 613 International priority 551 470 International economy 519 381 International airfreight 85 83 Total freight revenue 1,885 1,547 Other 206 220 Total FedEx Express segment 9,222 8,400 FedEx Ground segment 4,799 4,245 FedEx Freight segment 1,959 1,664 FedEx Services segment 417 400 FedEx Trade Networks segment 884 799 Eliminations (229 ) (211 ) $ 17,052 $ 15,297 (1) International domestic revenues relate to our intra-country operations. EMPLOYEES UNDER COLLECTIVE BARGAINING ARRANGEMENTS. The pilots of Federal Express Corporation (“FedEx Express”), who are a small number of its total employees, are employed under a collective bargaining agreement that took effect on November 2, 2015. The collective bargaining agreement is scheduled to become amendable in November 2021. Other than the pilots at FedEx Express and drivers at one FedEx Freight, Inc. facility, our U.S. employees have thus far chosen not to unionize (we acquired FedEx Supply Chain Distribution System, Inc. (“FedEx Supply Chain,” formerly GENCO Distribution System, Inc.) in 2015, which already had a small number of employees that are members of unions). Additionally, certain of FedEx Express’s non-U.S. employees are unionized. STOCK-BASED COMPENSATION. We have two types of equity-based compensation: stock options and restricted stock. The key terms of the stock option and restricted stock awards granted under our incentive stock plans and all financial disclosures about these programs are set forth in our Annual Report. Our stock-based compensation expense was $68 million for the three-month period ended August 31, 2018 and $62 million for the three-month period ended August 31, 2017. Due to its immateriality, additional disclosures related to stock-based compensation have been excluded from this quarterly report. RECENT ACCOUNTING GUIDANCE. New accounting rules and disclosure requirements can significantly impact our reported results and the comparability of our financial statements. We believe the following new accounting guidance is relevant to the readers of our financial statements. Recently Adopted Accounting Standards In December 2017, the SEC staff issued Staff Accounting Bulletin (“SAB”) 118 to provide guidance to registrants in accounting for income taxes under the Tax Cuts and Jobs Act (“TCJA”). SAB 118 was issued to address the application of U.S. generally accepted accounting principles in situations when a registrant does not have the necessary information available, prepared, or analyzed in reasonable detail to finalize the calculations for certain income tax effects of the TCJA. In accordance with SAB 118, we made reasonable estimates and recorded provisional amounts for the TCJA during 2018. Under the transitional provisions of SAB 118, we have a one-year measurement period to complete the accounting for the initial tax effects of the TCJA. We are still in the process of completing that accounting. As of August 31, 2018, there were no changes to the provisional amounts recorded at May 31, 2018. In 2014, the Financial Accounting Standards Board (“FASB”) and International Accounting Standards Board issued a new accounting standard that supersedes virtually all existing revenue recognition guidance under generally accepted accounting principles in the United States. The fundamental principles of the new guidance are that companies should recognize revenue in a manner that reflects the timing of the transfer of services to customers and the amount of revenue recognized reflects the consideration that a company expects to receive for the goods and services provided. The new guidance establishes a five-step approach for the recognition of revenue. We adopted this standard as of June 1, 2018 (fiscal 2019) using the modified retrospective method of adoption as permitted by the standard. The new guidance did not have an impact on our revenue recognition policies, practices or systems; therefore, there was no cumulative-effect adjustment to retained earnings as of June 1, 2018. In March 2017, the FASB issued an Accounting Standards Update (ASU 2017-07) that changes how employers that sponsor defined benefit pension or other postretirement benefit plans present the net periodic benefit cost in the income statement. This new guidance requires entities to report the service cost component in the same line item or items as other compensation costs. The other components of net benefit cost are required to be presented in the income statement separately from the service cost component outside of income from operations. This standard impacts our operating income but has no impact on our net income or earnings per share. We adopted this standard effective June 1, 2018 (fiscal 2019) and applied these changes retrospectively. As such, prior year financial results are recast to conform to these new rules upon adoption. The following table presents our results under our historical method of accounting and as adjusted to reflect our adoption of ASU 2017-07 (in millions): Three Months Ended August 31, 2017 Reported Effect of Adoption of ASU 2017-07 As Adjusted Revenue $ 15,297 $ — $ 15,297 Operating Income 1,117 (146 ) 971 Other Income (Expense), net (135 ) 146 11 Net Income 596 — 596 New Accounting Standards and Accounting Standards Not Yet Adopted In 2016, the FASB issued a new lease accounting standard which requires lessees to put most leases on their balance sheets but recognize the expenses in their income statements in a manner similar to current practice. The new standard states that a lessee will recognize a lease liability for the obligation to make lease payments and a right-of-use asset for the right to use the underlying asset for the lease term. Expenses related to leases determined to be operating leases will be recognized on a straight-line basis, while those determined to be financing leases will be recognized following a front-loaded expense profile in which interest and amortization are presented separately in the income statement. Based on our lease portfolio, we currently anticipate recognizing a lease liability and related right-of-use asset on our balance sheet in excess of $13 billion, with an immaterial impact on our income statement compared to the current lease accounting model. However, the ultimate impact of the standard will depend on our lease portfolio as of the adoption date. We are currently accumulating all of the necessary information required to properly account for the leases under the new standard. Additionally, we are implementing an enterprise-wide lease management system to assist in the accounting and are evaluating additional changes to our processes and internal controls to ensure we meet the standard’s reporting and disclosure requirements. These changes will be effective June 1, 2019 (fiscal 2020). In February 2018, the FASB issued an Accounting Standards Update that will permit companies to reclassify the income tax effect of the TCJA on items within accumulated other comprehensive income (loss) (“AOCI”) to retained earnings. These changes will be effective June 1, 2019 (fiscal 2020). We are continuing to assess the impact of this new standard on our consolidated financial statements and related disclosures. In August 2018, the FASB issued an Accounting Standards Update (ASU 2018-14) that modifies the disclosure requirements for employers that sponsor defined benefit pension or other postretirement benefit plans. The guidance removes disclosures that are no longer considered cost beneficial, clarifies the specific requirements of disclosures and adds disclosure requirements identified as relevant. We expect this new guidance will have minimal impact on our financial reporting. These changes will be effective June 1, 2020 (fiscal 2021) and will be applied retrospectively. We plan to early adopt in the fourth quarter of fiscal 2019. TREASURY SHARES. In January 2016, our Board of Directors authorized a share repurchase program of up to 25 million shares. Shares under the current repurchase program may be repurchased from time to time in the open market or in privately negotiated transactions. The timing and volume of repurchases are at the discretion of management, based on the capital needs of the business, the market price of FedEx common stock and general market conditions. No time limit was set for the completion of the program, and the program may be suspended or discontinued at any time. During the first quarter of 2019, we repurchased 2.6 million shares of FedEx common stock at an average price of $238.95 per share for a total of $625 million. As of August 31, 2018, 9.1 million shares remained under the current share repurchase authorization. DIVIDENDS DECLARED PER COMMON SHARE. On August 17, 2018, our Board of Directors declared a quarterly dividend of $0.65 per share of common stock. The dividend will be paid on October 1, 2018 to stockholders of record as of the close of business on September 10, 2018. Each quarterly dividend payment is subject to review and approval by our Board of Directors, and we evaluate our dividend payment amount on an annual basis at the end of each fiscal year.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	3 Months Ended
	Aug. 31, 2018
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract]
Accumulated Other Comprehensive Income (Loss)	(2) Accumulated Other Comprehensive Income (Loss) The following table provides changes in AOCI, net of tax, reported in our unaudited condensed consolidated financial statements for the three-month periods ended August 31 (in millions; amounts in parentheses indicate debits to AOCI): 2018 2017 Foreign currency translation loss: Balance at beginning of period $ (759 ) $ (685 ) Translation adjustments (162 ) 109 Balance at end of period (921 ) (576 ) Retirement plans adjustments: Balance at beginning of period 181 270 Reclassifications from AOCI (23 ) (19 ) Balance at end of period 158 251 Accumulated other comprehensive (loss) at end of period $ (763 ) $ (325 ) The following table presents details of the reclassifications from AOCI for the three-month periods ended August 31 (in millions; amounts in parentheses indicate debits to earnings): Amount Reclassified from AOCI Affected Line Item in the Income Statement 2018 2017 Amortization of retirement plans prior service credits, before tax $ 30 $ 30 Salaries and employee benefits Income tax benefit (7 ) (11 ) Provision for income taxes AOCI reclassifications, net of tax $ 23 $ 19 Net income

Financing Arrangements

Financing Arrangements	3 Months Ended
	Aug. 31, 2018
Debt And Capital Lease Obligations [Abstract]
Financing Arrangements	(3) Financing Arrangements We have a shelf registration statement filed with the SEC that allows us to sell, in one or more future offerings, any combination of our unsecured debt securities and common stock. We have a five-year $2.0 billion revolving credit facility that expires in November 2020. The facility, which includes a $500 million letter of credit sublimit, is available to finance our operations and other cash flow needs. The agreement contains a financial covenant, which requires us to maintain a ratio of debt to consolidated earnings (excluding non-cash retirement plans mark-to-market adjustments and non-cash asset impairment charges) before interest, taxes, depreciation and amortization (“adjusted EBITDA”) of not more than 3.5 to 1.0, calculated as of the end of the applicable quarter on a rolling four-quarters basis. The ratio of our debt to adjusted EBITDA was 2.0 to 1.0 at August 31, 2018. We believe this covenant is the only significant restrictive covenant in our revolving credit agreement. Our revolving credit agreement contains other customary covenants that do not, individually or in the aggregate, materially restrict the conduct of our business. We are in compliance with this financial covenant and all other covenants of our revolving credit agreement and do not expect the covenants to affect our operations, including our liquidity or expected funding needs. During the first quarter of 2019, we issued commercial paper to provide us with additional short-term liquidity. The maximum amount outstanding during the quarter was $300 million. Our commercial paper program is backed by unused commitments under the revolving credit facility and borrowings under the program reduce the amount available under the credit facility. As of August 31, 2018, $300 million of commercial paper and $54 million in letters of credit were outstanding, leaving $1.646 billion available under the revolving credit facility for future borrowings. Long-term debt, exclusive of capital leases, had carrying values of $16.5 billion at August 31, 2018 and May 31, 2018, compared with estimated fair values of $16.5 billion at August 31, 2018 and $16.6 billion at May 31, 2018. The annualized weighted-average interest rate on long-term debt was 3.6% at August 31, 2018. The estimated fair values were determined based on quoted market prices and the current rates offered for debt with similar terms and maturities. The fair value of our long-term debt is classified as Level 2 within the fair value hierarchy. This classification is defined as a fair value determined using market-based inputs other than quoted prices that are observable for the liability, either directly or indirectly.

Computation of Earnings Per Sha

Computation of Earnings Per Share	3 Months Ended
	Aug. 31, 2018
Earnings Per Share [Abstract]
Computation of Earnings Per Share	(4) Computation of Earnings Per Share The calculation of basic and diluted earnings per common share for the three-month periods ended August 31 was as follows (in millions, except per share amounts): Three Months Ended 2018 2017 Basic earnings per common share: Net earnings allocable to common shares (1) $ 834 $ 595 Weighted-average common shares 265 268 Basic earnings per common share $ 3.15 $ 2.22 Diluted earnings per common share: Net earnings allocable to common shares (1) $ 834 $ 595 Weighted-average common shares 265 268 Dilutive effect of share-based awards 4 4 Weighted-average diluted shares 269 272 Diluted earnings per common share $ 3.10 $ 2.19 Anti-dilutive options excluded from diluted earnings per common share 3.7 3.2 (1)

Income Taxes

Income Taxes	3 Months Ended
	Aug. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes	(5) Income Taxes Our effective tax rate was 24.2% for the first quarter of 2019, compared with 39.3% for the first quarter of 2018. The 2019 tax rate was favorably impacted by the TCJA, which resulted in an approximate $135 million benefit primarily from the lower statutory tax rate on first quarter 2019 earnings. The 2018 tax rate was negatively impacted by costs incurred in connection with the integration of the foreign operations of FedEx Express and TNT Express B.V. (“TNT Express”) and the effects of the NotPetya cyberattack on lower taxed foreign earnings, which were partially offset by tax benefits from share-based payments. On August 1, 2018, the U.S. Treasury Department released proposed regulations covering the one-time transition tax on unrepatriated foreign earnings, which was enacted as part of the TCJA. Certain guidance included in these proposed regulations is inconsistent with our interpretation that led to the recognition of a $225 million ($0.94 per diluted share) benefit in 2018 (the “2018 Benefit”). This proposed guidance is not authoritative and is subject to change in the regulatory review process. However, if the proposed guidance is included in the final regulations as drafted, we may be required to reverse the 2018 Benefit in the quarter the regulations become final. We are still completing our accounting for the income tax effects of the TCJA. As of August 31, 2018, there were no changes to the provisional amounts recorded at May 31, 2018.

Retirement Plans

Retirement Plans	3 Months Ended
	Aug. 31, 2018
Compensation And Retirement Disclosure [Abstract]
Retirement Plans	(6) Retirement Plans We sponsor programs that provide retirement benefits to most of our employees. These programs include defined benefit pension plans, defined contribution plans and postretirement healthcare plans. Key terms of our retirement plans are provided in our Annual Report. Our retirement plans costs for the three-month periods ended August 31 were as follows (in millions): 2018 2017 Defined benefit pension plans, net $ 28 $ 37 Defined contribution plans 144 127 Postretirement healthcare plans 19 19 $ 191 $ 183 Net periodic benefit cost of the pension and postretirement healthcare plans for the three-month periods ended August 31 included the following components (in millions): U.S. Pension Plans International Pension Plans Postretirement Healthcare Plans 2018 2017 2018 2017 2018 2017 Service cost $ 172 $ 170 $ 24 $ 23 $ 9 $ 9 Other retirement plans (income) expense: Interest cost 238 279 13 12 10 10 Expected return on plan assets (377 ) (406 ) (12 ) (11 ) — — Amortization of prior service credit and other (29 ) (30 ) (1 ) — — — (168 ) (157 ) — 1 10 10 $ 4 $ 13 $ 24 $ 24 $ 19 $ 19 We made voluntary contributions to our tax-qualified U.S. domestic pension plans (“U.S. Pension Plans”) of $250 million during the first quarters of 2019 and 2018. In September 2018, we made additional voluntary contributions to our U.S. Pension Plans of $250 million.

Business Segment Information

Business Segment Information	3 Months Ended
	Aug. 31, 2018
Segment Reporting Disclosure Of Entitys Reportable Segments [Abstract]
Business Segment Information	(7) Business Segment Information We provide a broad portfolio of transportation, e-commerce and business services through companies competing collectively, operating independently and managed collaboratively, under the respected FedEx brand. Our primary operating companies are FedEx Express, including TNT Express, the world’s largest express transportation company; FedEx Ground Package System, Inc. (“FedEx Ground”), a leading North American provider of small-package ground delivery services; and FedEx Freight Corporation (“FedEx Freight”), a leading U.S. provider of less-than-truckload (“LTL”) freight transportation services. These companies represent our major service lines and, along with FedEx Corporate Services, Inc. (“FedEx Services”), constitute our reportable segments. Our reportable segments include the following businesses: FedEx Express Segment FedEx Express (express transportation) TNT Express (international express transportation, small-package ground delivery and freight transportation) FedEx Ground Segment FedEx Ground (small-package ground delivery) FedEx Freight Segment FedEx Freight (LTL freight transportation) FedEx Services Segment FedEx Services (sales, marketing, information technology, communications, customer service, technical support, billing and collection services and back-office functions) FedEx Office (document and business services and package acceptance) FedEx Services Segment The FedEx Services segment operates combined sales, marketing, administrative and information-technology functions in shared services operations that support our transportation businesses and allow us to obtain synergies from the combination of these functions. For the international regions of FedEx Express, some of these functions are performed on a regional basis and reported by FedEx Express in their natural expense line items. The FedEx Services segment includes: FedEx Services, which provides sales, marketing, information technology, communications, customer service, technical support, billing and collection services for U.S. customers of our major business units and certain back-office support to our other companies; and FedEx Office and Print Services, Inc. (“FedEx Office”), which provides an array of document and business services and retail access to our customers for our package transportation businesses. The FedEx Services segment provides direct and indirect support to our transportation businesses, and we allocate all of the net operating costs of the FedEx Services segment (including the net operating results of FedEx Office) to reflect the full cost of operating our transportation businesses in the results of those segments. Within the FedEx Services segment allocation, the net operating results of FedEx Office, which are an immaterial component of our allocations, are allocated to FedEx Express and FedEx Ground. We review and evaluate the performance of our transportation segments based on operating income (inclusive of FedEx Services segment allocations). For the FedEx Services segment, performance is evaluated based on the impact of its total allocated net operating costs on our transportation segments. Operating expenses for each of our transportation segments include the allocations from the FedEx Services segment to the respective transportation segments. These allocations also include charges and credits for administrative services provided between operating companies. The allocations of net operating costs are based on metrics such as relative revenues or estimated services provided. We believe these allocations approximate the net cost of providing these functions. Our allocation methodologies are refined periodically, as necessary, to reflect changes in our businesses. Corporate, Other and Eliminations Corporate and other includes corporate headquarters costs for executive officers and certain legal and finance functions, as well as certain other costs and credits not attributed to our core business. These costs are not allocated to the other business segments. Also included in corporate and other is the FedEx Trade Networks, Inc. (“FedEx Trade Networks”) operating segment, which provides customs brokerage and global ocean and air freight forwarding through FedEx Trade Networks Transport & Brokerage, Inc.; cross-border enablement and technology solutions and e-commerce transportation solutions through FedEx Cross Border Technologies, Inc.; integrated supply chain management solutions through FedEx Supply Chain; time-critical shipment services through FedEx Custom Critical, Inc.; and, effective September 1, 2018, critical inventory and service parts logistics, 3-D printing and technology repair through FedEx Forward Depots, Inc. Certain FedEx operating companies provide transportation and related services for other FedEx companies outside their reportable segment. Billings for such services are based on negotiated rates, which we believe approximate fair value, and are reflected as revenues of the billing segment. These rates are adjusted from time to time based on market conditions. Such intersegment revenues and expenses are eliminated in our consolidated results and are not separately identified in the following segment information because the amounts are not material. The following table provides a reconciliation of reportable segment revenues and operating income (loss) to our unaudited condensed consolidated financial statement totals for the three-month periods ended August 31 (in millions): 2018 2017 Revenues: FedEx Express segment $ 9,222 $ 8,400 FedEx Ground segment 4,799 4,245 FedEx Freight segment 1,959 1,664 FedEx Services segment 417 400 Other and eliminations 655 588 $ 17,052 $ 15,297 Operating income (loss): FedEx Express segment $ 367 $ 320 FedEx Ground segment 667 606 FedEx Freight segment 176 165 Corporate, other and eliminations (139 ) (120 ) $ 1,071 $ 971

Commitments

Commitments	3 Months Ended
	Aug. 31, 2018
Commitments [Abstract]
Commitments	(8) Commitments As of August 31, 2018, our purchase commitments under various contracts for the remainder of 2018 and annually thereafter were as follows (in millions): Aircraft and Related Other (1) Total 2019 (remainder) $ 1,341 $ 664 $ 2,005 2020 1,991 786 2,777 2021 2,315 500 2,815 2022 1,856 363 2,219 2023 1,561 263 1,824 Thereafter 2,986 532 3,518 Total $ 12,050 $ 3,108 $ 15,158 (1) Primarily equipment and advertising contracts. The amounts reflected in the table above for purchase commitments represent noncancelable agreements to purchase goods or services. As of August 31, 2018, our obligation to purchase six Boeing 777 Freighter (“B777F”) aircraft and five Boeing 767-300 Freighter (“B767F”) aircraft is conditioned upon there being no event that causes FedEx Express or its employees not to be covered by the Railway Labor Act of 1926, as amended (“RLA”). Open purchase orders that are cancelable are not considered unconditional purchase obligations for financial reporting purposes and are not included in the table above. During the quarter, FedEx Express entered into agreements to purchase 12 incremental B777F aircraft and 12 incremental B767F aircraft. Six of the B777F and one of the B767F aircraft purchases are conditioned upon there being no event that causes FedEx Express or its employees not to be covered by the RLA (the RLA condition was removed from three previously ordered B777F aircraft). The B777F aircraft are expected to be delivered between 2021 and 2025. The B767F aircraft are expected to be delivered between 2020 and 2022. As part of these agreements, one B777F and one B767F aircraft delivery were accelerated from 2020 to 2019. One B777F aircraft and five B767F aircraft were delivered during the quarter. FedEx Express now has a total of 23 firm orders for B777F aircraft scheduled for delivery during the remainder of 2019 through 2025 and a total of 64 firm orders for B767F aircraft for delivery during the remainder of 2019 through 2023. During the quarter, FedEx Express also acquired options to purchase an additional 14 B777F aircraft, and the delivery dates of 11 existing B777F option aircraft were rescheduled. As a result, FedEx Express now has options to purchase a total of 25 B777F aircraft for delivery through 2028. FedEx Express also acquired options to purchase an additional six B767F aircraft. As a result, FedEx Express now has options to purchase a total of 50 B767F aircraft for delivery through 2026. As of August 31, 2018, we had $992 million in deposits and progress payments on aircraft purchases and other planned aircraft-related transactions. These deposits are classified in the “Other assets” caption of our accompanying unaudited condensed consolidated balance sheets. Aircraft and related contracts are subject to price escalations. The following table is a summary of the key aircraft we are committed to purchase as of August 31, 2018, with the year of expected delivery: Cessna SkyCourier 408 ATR 72-600F B767F B777F Total 2019 (remainder) - - 11 3 14 2020 - - 17 5 22 2021 12 5 18 2 37 2022 12 6 12 3 33 2023 12 6 6 4 28 Thereafter 14 13 - 6 33 Total 50 30 64 23 167 A summary of future minimum lease payments under noncancelable operating leases with an initial or remaining term in excess of one year at August 31, 2018 is as follows (in millions): Aircraft and Related Equipment Facilities and Other Total Operating Leases 2019 (remainder) $ 307 $ 1,623 $ 1,930 2020 261 1,961 2,222 2021 203 1,796 1,999 2022 185 1,615 1,800 2023 127 1,459 1,586 Thereafter 48 8,319 8,367 Total $ 1,131 $ 16,773 $ 17,904 Future minimum lease payments under capital leases were immaterial at August 31, 2018. While certain of our lease agreements contain covenants governing the use of the leased assets or require us to maintain certain levels of insurance, none of our lease agreements include material financial covenants or limitations.

Contingencies

Contingencies	3 Months Ended
	Aug. 31, 2018
Loss Contingency [Abstract]
Contingencies	(9) Contingencies Independent Contractor — Lawsuits and Administrative Proceedings. FedEx Ground is involved in lawsuits and administrative proceedings claiming that owner-operators engaged under operating agreements no longer in place should have been treated as employees of FedEx Ground, rather than independent contractors. In addition, we are defending joint-employer cases where it is alleged that FedEx Ground should be treated as an employer of the drivers employed by owner-operators engaged by FedEx Ground. These cases are in varying stages of litigation, and we are not currently able to estimate an amount or range of potential loss in all of these matters. However, we do not expect to incur, individually or in the aggregate, a material loss in these matters. Nevertheless, adverse determinations in matters related to owner-operators engaged by FedEx Ground could, among other things, entitle certain owner-operators to the reimbursement of certain expenses, and their drivers to the benefit of wage-and-hour laws, and result in employment and withholding tax and benefit liability for FedEx Ground. We continue to believe that owner-operators engaged by FedEx Ground are properly classified as independent contractors and that FedEx Ground is not an employer or joint employer of the drivers of these independent contractors. City and State of New York Cigarette Suit. The City of New York and the State of New York filed two related lawsuits against FedEx Ground in December 2013 and November 2014 arising from FedEx Ground’s alleged shipments of cigarettes to New York residents in contravention of several statutes, including the Racketeer Influenced and Corrupt Organizations Act (“RICO”) and New York’s Public Health Law, as well as common law nuisance claims. In April 2016, the two lawsuits were consolidated and will now proceed as one lawsuit. The first-filed lawsuit alleges that FedEx Ground provided delivery services on behalf of four shippers, and the second-filed lawsuit alleges that FedEx Ground provided delivery services on behalf of six additional shippers; none of these shippers continue to ship in our network. Following motions to dismiss filed in both lawsuits, some of the claims were dismissed entirely or limited. In the first-filed lawsuit, the New York Public Health Law and common law nuisance claims were dismissed and the plaintiffs voluntarily dismissed another claim. In the second-filed lawsuit, the common law nuisance claim was dismissed entirely and the New York Public Health Law claim has been limited to claims arising after September 27, 2013, when an amendment to that law provided enforcement authority to the City of New York and State of New York. Other claims, including the RICO claims, remain in both lawsuits. The consolidated lawsuit is set for jury trial beginning October 9, 2018. The likelihood of loss is reasonably possible, but the amount or range of loss, if any, cannot be estimated at this stage of the litigation. We expect the amount of any loss to be immaterial. On July 10, 2017, the City of New York and the State of New York filed a third lawsuit against FedEx Ground and included FedEx Freight as a co-defendant. This additional case identifies no shippers or shipments, but generally alleges violations of the same laws that are the subject of the other two lawsuits. The amount or range of loss, if any, cannot be estimated at this stage of the lawsuit. Other Matters. During the third quarter of 2017, FedEx Trade Networks informed U.S. Customs and Border Protection (“CBP”) that in connection with certain customs entries it may have made improper claims for (i) reduced-duty treatment and (ii) duty-free treatment. In the fourth quarter of 2017 we established accruals totaling $39.3 million for the then-current estimated probable loss for these matters. In the first quarter of 2018, FedEx Trade Networks tendered payments to CBP in these matters totaling $46.5 million, and an additional expense of $7.2 million was recognized. CBP acknowledged receipt of the amounts tendered in these matters. In May 2018, FedEx Trade Networks was informed that CBP is demanding additional payment for duty loss plus interest in connection with the claims for reduced-duty treatment. In June 2018, we submitted a response to CBP challenging the additional demand, and we are waiting for a reply. We have established an accrual for an immaterial amount in connection with this additional demand. We continue to await a response from CBP indicating whether the claims for duty-free treatment are fully resolved. FedEx and its subsidiaries are subject to other legal proceedings that arise in the ordinary course of business, including certain lawsuits containing various class-action allegations of wage-and-hour violations in which plaintiffs claim, among other things, that they were forced to work “off the clock,” were not paid overtime or were not provided work breaks or other benefits. In the opinion of management, the aggregate liability, if any, with respect to these other actions will not have a material adverse effect on our financial position, results of operations or cash flows.

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	3 Months Ended
	Aug. 31, 2018
Supplemental Cash Flow Information [Abstract]
Supplemental Cash Flow Information	(10) Supplemental Cash Flow Information Cash paid for interest expense and income taxes for the three-month periods ended August 31 was as follows (in millions): 2018 2017 Cash payments for: Interest (net of capitalized interest) $ 203 $ 153 Income taxes $ 93 $ 96 Income tax refunds received (3 ) (10 ) Cash tax payments, net $ 90 $ 86

Condensed Consolidating Financi

Condensed Consolidating Financial Statements	3 Months Ended
	Aug. 31, 2018
Condensed Financial Information Of Parent Company Only Disclosure [Abstract]
Condensed Consolidating Financial Statements	(11) Condensed Consolidating Financial Statements We are required to present condensed consolidating financial information in order for the subsidiary guarantors of our public debt to continue to be exempt from reporting under the Securities Exchange Act of 1934, as amended. The guarantor subsidiaries, which are 100% owned by FedEx, guarantee $16.4 billion of our public debt. The guarantees are full and unconditional and joint and several. Our guarantor subsidiaries were not determined using geographic, service line or other similar criteria, and as a result, the “Guarantor Subsidiaries” and “Non-guarantor Subsidiaries” columns each include portions of our domestic and international operations. Accordingly, this basis of presentation is not intended to present our financial condition, results of operations or cash flows for any purpose other than to comply with the specific requirements for subsidiary guarantor reporting. Condensed consolidating financial statements for our guarantor subsidiaries and non-guarantor subsidiaries are presented in the following tables (in millions): CONDENSED CONSOLIDATING BALANCE SHEETS (UNAUDITED) August 31, 2018 Guarantor Non-guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated ASSETS CURRENT ASSETS Cash and cash equivalents $ 938 $ 180 $ 1,293 $ (42 ) $ 2,369 Receivables, less allowances 41 5,233 3,550 (108 ) 8,716 Spare parts, supplies, fuel, prepaid expenses and other, less allowances 285 993 278 — 1,556 Total current assets 1,264 6,406 5,121 (150 ) 12,641 PROPERTY AND EQUIPMENT, AT COST 21 52,339 3,966 — 56,326 Less accumulated depreciation and amortization 17 25,670 1,860 — 27,547 Net property and equipment 4 26,669 2,106 — 28,779 INTERCOMPANY RECEIVABLE 1,385 1,240 — (2,625 ) — GOODWILL — 1,589 5,280 — 6,869 INVESTMENT IN SUBSIDIARIES 34,038 4,867 — (38,905 ) — OTHER ASSETS 241 1,591 1,780 — 3,612 $ 36,932 $ 42,362 $ 14,287 $ (41,680 ) $ 51,901 LIABILITIES AND STOCKHOLDERS’ INVESTMENT CURRENT LIABILITIES Short-term borrowings $ 299 $ — $ — $ — $ 299 Current portion of long-term debt 1,332 65 7 — 1,404 Accrued salaries and employee benefits 43 1,102 541 — 1,686 Accounts payable 187 1,252 1,778 (151 ) 3,066 Accrued expenses 466 1,786 899 — 3,151 Total current liabilities 2,327 4,205 3,225 (151 ) 9,606 LONG-TERM DEBT, LESS CURRENT PORTION 14,942 288 11 — 15,241 INTERCOMPANY PAYABLE — — 2,624 (2,624 ) — OTHER LONG-TERM LIABILITIES Deferred income taxes 101 2,730 117 — 2,948 Other liabilities 389 3,613 931 — 4,933 Total other long-term liabilities 490 6,343 1,048 — 7,881 STOCKHOLDERS’ INVESTMENT 19,173 31,526 7,379 (38,905 ) 19,173 $ 36,932 $ 42,362 $ 14,287 $ (41,680 ) $ 51,901 CONDENSED CONSOLIDATING BALANCE SHEETS May 31, 2018 Guarantor Non-guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated ASSETS CURRENT ASSETS Cash and cash equivalents $ 1,485 $ 257 $ 1,538 $ (15 ) $ 3,265 Receivables, less allowances 3 4,970 3,586 (78 ) 8,481 Spare parts, supplies, fuel, prepaid expenses and other, less allowances 425 878 292 — 1,595 Total current assets 1,913 6,105 5,416 (93 ) 13,341 PROPERTY AND EQUIPMENT, AT COST 21 51,232 3,868 — 55,121 Less accumulated depreciation and amortization 17 25,111 1,839 — 26,967 Net property and equipment 4 26,121 2,029 — 28,154 INTERCOMPANY RECEIVABLE 1,487 924 — (2,411 ) — GOODWILL — 1,709 5,264 — 6,973 INVESTMENT IN SUBSIDIARIES 33,370 4,082 — (37,452 ) — OTHER ASSETS 75 1,854 1,829 104 3,862 $ 36,849 $ 40,795 $ 14,538 $ (39,852 ) $ 52,330 LIABILITIES AND STOCKHOLDERS’ INVESTMENT CURRENT LIABILITIES Current portion of long-term debt $ 1,332 $ 1 $ 9 $ — $ 1,342 Accrued salaries and employee benefits 65 1,506 606 — 2,177 Accounts payable 16 1,332 1,719 (90 ) 2,977 Accrued expenses 460 1,778 896 (3 ) 3,131 Total current liabilities 1,873 4,617 3,230 (93 ) 9,627 LONG-TERM DEBT, LESS CURRENT PORTION 14,942 288 13 — 15,243 INTERCOMPANY PAYABLE — — 2,411 (2,411 ) — OTHER LONG-TERM LIABILITIES Deferred income taxes — 2,626 137 104 2,867 Other liabilities 619 3,432 1,126 — 5,177 Total other long-term liabilities 619 6,058 1,263 104 8,044 STOCKHOLDERS’ INVESTMENT 19,415 29,832 7,621 (37,452 ) 19,416 $ 36,849 $ 40,795 $ 14,538 $ (39,852 ) $ 52,330 CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended August 31, 2018 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated REVENUES $ — $ 12,367 $ 4,787 $ (102 ) $ 17,052 OPERATING EXPENSES: Salaries and employee benefits 48 4,783 1,429 — 6,260 Purchased transportation — 2,380 1,634 (47 ) 3,967 Rentals and landing fees 1 631 192 (1 ) 823 Depreciation and amortization — 693 115 — 808 Fuel — 902 84 — 986 Maintenance and repairs — 646 89 — 735 Intercompany charges, net (111 ) (226 ) 337 — — Other 62 1,546 848 (54 ) 2,402 — 11,355 4,728 (102 ) 15,981 OPERATING INCOME — 1,012 59 — 1,071 OTHER INCOME (EXPENSE): Equity in earnings of subsidiaries 835 81 — (916 ) — Interest, net (158 ) 59 (13 ) — (112 ) Other retirement plans income — 193 13 (48 ) 158 Intercompany charges, net 143 (154 ) (21 ) 32 — Other, net (3 ) 327 (340 ) — (16 ) INCOME BEFORE INCOME TAXES 817 1,518 (302 ) (932 ) 1,101 Provision for income taxes — 215 51 — 266 NET INCOME $ 817 $ 1,303 $ (353 ) $ (932 ) $ 835 COMPREHENSIVE INCOME $ 800 $ 1,401 $ (618 ) $ (933 ) $ 650 CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended August 31, 2017 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated REVENUES $ — $ 11,567 $ 3,854 $ (124 ) $ 15,297 OPERATING EXPENSES: Salaries and employee benefits 38 4,368 1,258 — 5,664 Purchased transportation — 2,063 1,464 (82 ) 3,445 Rentals and landing fees 1 627 191 (1 ) 818 Depreciation and amortization — 639 112 — 751 Fuel — 637 66 — 703 Maintenance and repairs — 602 73 — 675 Intercompany charges, net (116 ) 114 2 — — Other 77 1,476 758 (41 ) 2,270 — 10,526 3,924 (124 ) 14,326 OPERATING INCOME — 1,041 (70 ) — 971 OTHER INCOME (EXPENSE): Equity in earnings of subsidiaries 596 (3 ) — (593 ) — Interest, net (129 ) 13 2 — (114 ) Other retirement plans income — 141 5 — 146 Intercompany charges, net 131 (70 ) (61 ) — — Other, net (2 ) (8 ) (11 ) — (21 ) INCOME BEFORE INCOME TAXES 596 1,114 (135 ) (593 ) 982 Provision for income taxes — 399 (13 ) — 386 NET INCOME $ 596 $ 715 $ (122 ) $ (593 ) $ 596 COMPREHENSIVE INCOME $ 578 $ 719 $ (18 ) $ (593 ) $ 686 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Three Months Ended August 31, 2018 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES $ 785 $ (159 ) $ 102 $ (27 ) $ 701 INVESTING ACTIVITIES Capital expenditures — (983 ) (196 ) — (1,179 ) Proceeds from asset dispositions and other (5 ) 78 5 — 78 CASH USED IN INVESTING ACTIVITIES (5 ) (905 ) (191 ) — (1,101 ) FINANCING ACTIVITIES Proceeds from short-term borrowings 299 — — — 299 Net transfers from (to) Parent (853 ) 763 90 — — Payment on loan between subsidiaries — — — — — Intercompany dividends — 81 (81 ) — — Principal payments on debt — — (2 ) — (2 ) Proceeds from stock issuances 25 — — — 25 Dividends paid (173 ) — — — (173 ) Purchase of treasury stock (625 ) — — — (625 ) Other, net — 148 (144 ) — 4 CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES (1,327 ) 992 (137 ) — (472 ) Effect of exchange rate changes on cash — (5 ) (19 ) — (24 ) Net (decrease) increase in cash and cash equivalents (547 ) (77 ) (245 ) (27 ) (896 ) Cash and cash equivalents at beginning of period 1,485 257 1,538 (15 ) 3,265 Cash and cash equivalents at end of period $ 938 $ 180 $ 1,293 $ (42 ) $ 2,369 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Three Months Ended August 31, 2017 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES $ (878 ) $ 1,717 $ (256 ) $ 7 $ 590 INVESTING ACTIVITIES Capital expenditures — (985 ) (59 ) — (1,044 ) Proceeds from asset dispositions and other — 6 — — 6 CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES — (979 ) (59 ) — (1,038 ) FINANCING ACTIVITIES Net transfers from (to) Parent 744 (735 ) (9 ) — — Principal payments on debt — (8 ) (4 ) — (12 ) Proceeds from stock issuances 150 — — — 150 Dividends paid (134 ) — — — (134 ) Purchase of treasury stock (86 ) — — — (86 ) Other, net 3 — (9 ) — (6 ) CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES 677 (743 ) (22 ) — (88 ) Effect of exchange rate changes on cash (2 ) 23 49 — 70 Net (decrease) increase in cash and cash equivalents (203 ) 18 (288 ) 7 (466 ) Cash and cash equivalents at beginning of period 1,884 325 1,807 (47 ) 3,969 Cash and cash equivalents at end of period $ 1,681 $ 343 $ 1,519 $ (40 ) $ 3,503

General (Policies)

General (Policies)	3 Months Ended
	Aug. 31, 2018
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES. These interim financial statements of FedEx Corporation (“FedEx”) have been prepared in accordance with accounting principles generally accepted in the United States and Securities and Exchange Commission (“SEC”) instructions for interim financial information, and should be read in conjunction with our Annual Report on Form 10-K for the year ended May 31, 2018 (“Annual Report”). Accordingly, significant accounting policies and other disclosures normally provided have been omitted since such items are disclosed in our Annual Report. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (including normal recurring adjustments) necessary to present fairly our financial position as of August 31, 2018, and the results of our operations and cash flows for the three-month periods ended August 31, 2018 and 2017. Operating results for the three-month periods ended August 31, 2018 are not necessarily indicative of the results that may be expected for the year ending May 31, 2019. Except as otherwise specified, references to years indicate our fiscal year ending May 31, 2019 or ended May 31 of the year referenced and comparisons are to the corresponding period of the prior year.
Reclassifications	RECLASSIFICATIONS . Certain reclassifications have been made to the prior years’ condensed consolidated financial statements to conform to the current year presentation.
Revenue Recognition	REVENUE RECOGNITION . Satisfaction of Performance Obligation We recognize revenue upon delivery of shipments for our transportation businesses and upon completion of services for our business services, logistics and trade services businesses. Transportation services are provided with the use of employees and independent businesses that contract with FedEx. FedEx is the principal to the transaction for most of these services and revenue is recognized on a gross basis based on the transfer of control to the customer. Costs associated with independent businesses are recognized as incurred and included in the caption “Purchased transportation” in the accompanying unaudited condensed consolidated statements of income. For shipments in transit, revenue is recorded based on the percentage of service completed at the balance sheet date which results in our recognizing revenue over time as we perform the services in the contract because of the continuous transfer of control to the customer. Our customers receive the benefit of our services as the goods are transported from one location to another. If we were unable to complete delivery to the final location, another entity would not need to reperform the transportation service already performed. As control transfers over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The vast majority of our contracts include only one performance obligation, which is short in duration and spans only a few days. However, if a contract is separated into more than one performance obligation, we allocate the total transaction price to each performance obligation in an amount based on the estimated relative stand-alone selling prices of the promised goods or services underlying each performance obligation. We frequently sell standard transportation services with observable stand-alone sales prices. In these instances, the observable stand-alone sales are used to determine the stand-alone selling price. We sell customized customer-specific solutions, such as logistics, through which we provide the service of integrating a complex set of tasks and components into a single capability (even if that single capability results in the delivery of multiple units). Therefore, the entire contract is accounted for as one performance obligation. In these cases we typically use the expected cost plus a margin approach to estimate the stand-alone selling price of each performance obligation. Variable Consideration It is common for our contracts to contain customer incentives, guaranteed service refunds or other provisions that can either increase or decrease the transaction price. These variable amounts are generally awarded based upon certain incentive achievements or performance metrics. We estimate variable consideration as the most likely amount to which we expect to be entitled. Estimates for adjustments to revenue and accounts receivable are recognized at the time of shipment for certain customer initiatives, money-back service guarantees and billing corrections based on our assessment of historical, current and forecasted information available. Delivery costs are accrued as incurred. Contract Modification Contracts are often modified to account for changes in the rates we charge our customers or to add additional distinct services. We consider contract modifications to exist when the modification either creates new enforceable rights and obligations or alters the existing arrangement. Contract modifications that add distinct goods or services are treated as separate contracts. Contract modifications that do not add distinct goods or services typically change the price of existing services. These contract modifications are accounted for prospectively as the remaining performance obligations are executed. Contract Assets and Liabilities Contract assets include billed and unbilled amounts resulting from in-transit packages, as we have an unconditional right to payment only once all performance obligations have been completed (e.g., packages have been delivered). Contract assets are generally classified as current and the full balance is converted each quarter based on the short-term nature of the transactions. Our contract liabilities consist of advance payments and billings in excess of revenue. The full balance of deferred revenue is converted each quarter based on the short-term nature of the transactions. Gross contract assets related to in-transit packages totaled $513 million and $542 million at August 31, 2018 and May 31, 2018, respectively. Contract assets net of deferred unearned revenue were $351 million and $363 million at August 31, 2018 and May 31, 2018, respectively. Contract assets are included within other current assets in the accompanying unaudited condensed consolidated balance sheets. Contract liabilities related to advance payments from customers were $15 million and $13 million at August 31, 2018 and May 31, 2018, respectively. Contract liabilities are included within current liabilities in the accompanying unaudited condensed consolidated balance sheets. Our contract logistics, global trade services and certain transportation businesses engage in some transactions wherein they act as agents. Revenue from these transactions is recorded on a net basis. Net revenue includes billings to customers less third-party charges, including transportation or handling costs, fees, commissions and taxes and duties. Certain of our revenue-producing transactions are subject to taxes, such as sales tax, assessed by governmental authorities. We present these revenues net of tax. Under the typical payment terms of our customer contracts, the customer pays at periodic intervals (i.e., every 15 days, 30 days, 45 days, etc.) for shipments included on invoices received. It is not customary business practice to extend payment terms past 90 days, and as such, we do not have a practice of including a significant financing component within our revenue contracts with customers. Disaggregation of Revenue The following table provides revenue by service type (dollars in millions) for the periods ended August 31. This presentation is consistent with how we organize our segments internally for making operating decisions and measuring performance. Three Months Ended August 31, 2018 2017 REVENUE BY SERVICE TYPE FedEx Express segment: Package: U.S. overnight box $ 1,886 $ 1,750 U.S. overnight envelope 468 450 U.S. deferred 952 878 Total U.S. domestic package revenue 3,306 3,078 International priority 1,848 1,741 International economy 850 770 Total international export package revenue 2,698 2,511 International domestic (1) 1,127 1,044 Total package revenue 7,131 6,633 Freight: U.S. 730 613 International priority 551 470 International economy 519 381 International airfreight 85 83 Total freight revenue 1,885 1,547 Other 206 220 Total FedEx Express segment 9,222 8,400 FedEx Ground segment 4,799 4,245 FedEx Freight segment 1,959 1,664 FedEx Services segment 417 400 FedEx Trade Networks segment 884 799 Eliminations (229 ) (211 ) $ 17,052 $ 15,297 (1) International domestic revenues relate to our intra-country operations.

General (Tables)

General (Tables)	3 Months Ended
	Aug. 31, 2018
Accounting Policies [Abstract]
Schedule of Revenue by Service Type	The following table provides revenue by service type (dollars in millions) for the periods ended August 31. This presentation is consistent with how we organize our segments internally for making operating decisions and measuring performance. Three Months Ended August 31, 2018 2017 REVENUE BY SERVICE TYPE FedEx Express segment: Package: U.S. overnight box $ 1,886 $ 1,750 U.S. overnight envelope 468 450 U.S. deferred 952 878 Total U.S. domestic package revenue 3,306 3,078 International priority 1,848 1,741 International economy 850 770 Total international export package revenue 2,698 2,511 International domestic (1) 1,127 1,044 Total package revenue 7,131 6,633 Freight: U.S. 730 613 International priority 551 470 International economy 519 381 International airfreight 85 83 Total freight revenue 1,885 1,547 Other 206 220 Total FedEx Express segment 9,222 8,400 FedEx Ground segment 4,799 4,245 FedEx Freight segment 1,959 1,664 FedEx Services segment 417 400 FedEx Trade Networks segment 884 799 Eliminations (229 ) (211 ) $ 17,052 $ 15,297 (1) International domestic revenues relate to our intra-country operations.
Schedule of Recently Adopted Accounting Standards	The following table presents our results under our historical method of accounting and as adjusted to reflect our adoption of ASU 2017-07 (in millions): Three Months Ended August 31, 2017 Reported Effect of Adoption of ASU 2017-07 As Adjusted Revenue $ 15,297 $ — $ 15,297 Operating Income 1,117 (146 ) 971 Other Income (Expense), net (135 ) 146 11 Net Income 596 — 596

Accumulated Other Comprehensi21

Accumulated Other Comprehensive Income (Loss) (Tables)	3 Months Ended
	Aug. 31, 2018
Accumulated Other Comprehensive Income Loss Tables [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	The following table provides changes in AOCI, net of tax, reported in our unaudited condensed consolidated financial statements for the three-month periods ended August 31 (in millions; amounts in parentheses indicate debits to AOCI): 2018 2017 Foreign currency translation loss: Balance at beginning of period $ (759 ) $ (685 ) Translation adjustments (162 ) 109 Balance at end of period (921 ) (576 ) Retirement plans adjustments: Balance at beginning of period 181 270 Reclassifications from AOCI (23 ) (19 ) Balance at end of period 158 251 Accumulated other comprehensive (loss) at end of period $ (763 ) $ (325 )
Reclassification Out of Accumulated Other Comprehensive Income (Loss)	The following table presents details of the reclassifications from AOCI for the three-month periods ended August 31 (in millions; amounts in parentheses indicate debits to earnings): Amount Reclassified from AOCI Affected Line Item in the Income Statement 2018 2017 Amortization of retirement plans prior service credits, before tax $ 30 $ 30 Salaries and employee benefits Income tax benefit (7 ) (11 ) Provision for income taxes AOCI reclassifications, net of tax $ 23 $ 19 Net income

Computation of Earnings Per S22

Computation of Earnings Per Share (Tables)	3 Months Ended
	Aug. 31, 2018
Computation Of Earnings Per Share Tables [Abstract]
Schedule of basic and diluted earnings per common share	The calculation of basic and diluted earnings per common share for the three-month periods ended August 31 was as follows (in millions, except per share amounts): Three Months Ended 2018 2017 Basic earnings per common share: Net earnings allocable to common shares (1) $ 834 $ 595 Weighted-average common shares 265 268 Basic earnings per common share $ 3.15 $ 2.22 Diluted earnings per common share: Net earnings allocable to common shares (1) $ 834 $ 595 Weighted-average common shares 265 268 Dilutive effect of share-based awards 4 4 Weighted-average diluted shares 269 272 Diluted earnings per common share $ 3.10 $ 2.19 Anti-dilutive options excluded from diluted earnings per common share 3.7 3.2 (1)

Retirement Plans (Tables)

Retirement Plans (Tables)	3 Months Ended
	Aug. 31, 2018
Retirement Plan Tables [Abstract]
Schedule of Retirement Plan Costs	Our retirement plans costs for the three-month periods ended August 31 were as follows (in millions): 2018 2017 Defined benefit pension plans, net $ 28 $ 37 Defined contribution plans 144 127 Postretirement healthcare plans 19 19 $ 191 $ 183
Schedule of Net Periodic Benefit Cost	Net periodic benefit cost of the pension and postretirement healthcare plans for the three-month periods ended August 31 included the following components (in millions): U.S. Pension Plans International Pension Plans Postretirement Healthcare Plans 2018 2017 2018 2017 2018 2017 Service cost $ 172 $ 170 $ 24 $ 23 $ 9 $ 9 Other retirement plans (income) expense: Interest cost 238 279 13 12 10 10 Expected return on plan assets (377 ) (406 ) (12 ) (11 ) — — Amortization of prior service credit and other (29 ) (30 ) (1 ) — — — (168 ) (157 ) — 1 10 10 $ 4 $ 13 $ 24 $ 24 $ 19 $ 19

Business Segment Information (T

Business Segment Information (Tables)	3 Months Ended
	Aug. 31, 2018
Segment Reporting Disclosure Of Entitys Reportable Segments [Abstract]
Schedule of Segment Information	The following table provides a reconciliation of reportable segment revenues and operating income (loss) to our unaudited condensed consolidated financial statement totals for the three-month periods ended August 31 (in millions): 2018 2017 Revenues: FedEx Express segment $ 9,222 $ 8,400 FedEx Ground segment 4,799 4,245 FedEx Freight segment 1,959 1,664 FedEx Services segment 417 400 Other and eliminations 655 588 $ 17,052 $ 15,297 Operating income (loss): FedEx Express segment $ 367 $ 320 FedEx Ground segment 667 606 FedEx Freight segment 176 165 Corporate, other and eliminations (139 ) (120 ) $ 1,071 $ 971

Commitments (Tables)

Commitments (Tables)	3 Months Ended
	Aug. 31, 2018
Commitments Tables [Abstract]
Schedule of Purchase Commitments	As of August 31, 2018, our purchase commitments under various contracts for the remainder of 2018 and annually thereafter were as follows (in millions): Aircraft and Related Other (1) Total 2019 (remainder) $ 1,341 $ 664 $ 2,005 2020 1,991 786 2,777 2021 2,315 500 2,815 2022 1,856 363 2,219 2023 1,561 263 1,824 Thereafter 2,986 532 3,518 Total $ 12,050 $ 3,108 $ 15,158 (1) Primarily equipment and advertising contracts.
Schedule of Aircraft Purchase Commitments	The following table is a summary of the key aircraft we are committed to purchase as of August 31, 2018, with the year of expected delivery: Cessna SkyCourier 408 ATR 72-600F B767F B777F Total 2019 (remainder) - - 11 3 14 2020 - - 17 5 22 2021 12 5 18 2 37 2022 12 6 12 3 33 2023 12 6 6 4 28 Thereafter 14 13 - 6 33 Total 50 30 64 23 167
Schedule of Future Minimum Lease Payments, Operating Leases	A summary of future minimum lease payments under noncancelable operating leases with an initial or remaining term in excess of one year at August 31, 2018 is as follows (in millions): Aircraft and Related Equipment Facilities and Other Total Operating Leases 2019 (remainder) $ 307 $ 1,623 $ 1,930 2020 261 1,961 2,222 2021 203 1,796 1,999 2022 185 1,615 1,800 2023 127 1,459 1,586 Thereafter 48 8,319 8,367 Total $ 1,131 $ 16,773 $ 17,904

Supplemental Cash Flow Inform26

Supplemental Cash Flow Information (Tables)	3 Months Ended
	Aug. 31, 2018
Supplemental Cash Flow Tables [Abstract]
Supplemental Cash Flow	Cash paid for interest expense and income taxes for the three-month periods ended August 31 was as follows (in millions): 2018 2017 Cash payments for: Interest (net of capitalized interest) $ 203 $ 153 Income taxes $ 93 $ 96 Income tax refunds received (3 ) (10 ) Cash tax payments, net $ 90 $ 86

Condensed Consolidating Finan27

Condensed Consolidating Financial Statements (Tables)	3 Months Ended
	Aug. 31, 2018
Condensed Consolidating Financial Statements Tables [Abstract]
Condensed Consolidating Balance Sheets	CONDENSED CONSOLIDATING BALANCE SHEETS (UNAUDITED) August 31, 2018 Guarantor Non-guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated ASSETS CURRENT ASSETS Cash and cash equivalents $ 938 $ 180 $ 1,293 $ (42 ) $ 2,369 Receivables, less allowances 41 5,233 3,550 (108 ) 8,716 Spare parts, supplies, fuel, prepaid expenses and other, less allowances 285 993 278 — 1,556 Total current assets 1,264 6,406 5,121 (150 ) 12,641 PROPERTY AND EQUIPMENT, AT COST 21 52,339 3,966 — 56,326 Less accumulated depreciation and amortization 17 25,670 1,860 — 27,547 Net property and equipment 4 26,669 2,106 — 28,779 INTERCOMPANY RECEIVABLE 1,385 1,240 — (2,625 ) — GOODWILL — 1,589 5,280 — 6,869 INVESTMENT IN SUBSIDIARIES 34,038 4,867 — (38,905 ) — OTHER ASSETS 241 1,591 1,780 — 3,612 $ 36,932 $ 42,362 $ 14,287 $ (41,680 ) $ 51,901 LIABILITIES AND STOCKHOLDERS’ INVESTMENT CURRENT LIABILITIES Short-term borrowings $ 299 $ — $ — $ — $ 299 Current portion of long-term debt 1,332 65 7 — 1,404 Accrued salaries and employee benefits 43 1,102 541 — 1,686 Accounts payable 187 1,252 1,778 (151 ) 3,066 Accrued expenses 466 1,786 899 — 3,151 Total current liabilities 2,327 4,205 3,225 (151 ) 9,606 LONG-TERM DEBT, LESS CURRENT PORTION 14,942 288 11 — 15,241 INTERCOMPANY PAYABLE — — 2,624 (2,624 ) — OTHER LONG-TERM LIABILITIES Deferred income taxes 101 2,730 117 — 2,948 Other liabilities 389 3,613 931 — 4,933 Total other long-term liabilities 490 6,343 1,048 — 7,881 STOCKHOLDERS’ INVESTMENT 19,173 31,526 7,379 (38,905 ) 19,173 $ 36,932 $ 42,362 $ 14,287 $ (41,680 ) $ 51,901 CONDENSED CONSOLIDATING BALANCE SHEETS May 31, 2018 Guarantor Non-guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated ASSETS CURRENT ASSETS Cash and cash equivalents $ 1,485 $ 257 $ 1,538 $ (15 ) $ 3,265 Receivables, less allowances 3 4,970 3,586 (78 ) 8,481 Spare parts, supplies, fuel, prepaid expenses and other, less allowances 425 878 292 — 1,595 Total current assets 1,913 6,105 5,416 (93 ) 13,341 PROPERTY AND EQUIPMENT, AT COST 21 51,232 3,868 — 55,121 Less accumulated depreciation and amortization 17 25,111 1,839 — 26,967 Net property and equipment 4 26,121 2,029 — 28,154 INTERCOMPANY RECEIVABLE 1,487 924 — (2,411 ) — GOODWILL — 1,709 5,264 — 6,973 INVESTMENT IN SUBSIDIARIES 33,370 4,082 — (37,452 ) — OTHER ASSETS 75 1,854 1,829 104 3,862 $ 36,849 $ 40,795 $ 14,538 $ (39,852 ) $ 52,330 LIABILITIES AND STOCKHOLDERS’ INVESTMENT CURRENT LIABILITIES Current portion of long-term debt $ 1,332 $ 1 $ 9 $ — $ 1,342 Accrued salaries and employee benefits 65 1,506 606 — 2,177 Accounts payable 16 1,332 1,719 (90 ) 2,977 Accrued expenses 460 1,778 896 (3 ) 3,131 Total current liabilities 1,873 4,617 3,230 (93 ) 9,627 LONG-TERM DEBT, LESS CURRENT PORTION 14,942 288 13 — 15,243 INTERCOMPANY PAYABLE — — 2,411 (2,411 ) — OTHER LONG-TERM LIABILITIES Deferred income taxes — 2,626 137 104 2,867 Other liabilities 619 3,432 1,126 — 5,177 Total other long-term liabilities 619 6,058 1,263 104 8,044 STOCKHOLDERS’ INVESTMENT 19,415 29,832 7,621 (37,452 ) 19,416 $ 36,849 $ 40,795 $ 14,538 $ (39,852 ) $ 52,330
Condensed Consolidating Statements of Comprehensive Income	CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended August 31, 2018 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated REVENUES $ — $ 12,367 $ 4,787 $ (102 ) $ 17,052 OPERATING EXPENSES: Salaries and employee benefits 48 4,783 1,429 — 6,260 Purchased transportation — 2,380 1,634 (47 ) 3,967 Rentals and landing fees 1 631 192 (1 ) 823 Depreciation and amortization — 693 115 — 808 Fuel — 902 84 — 986 Maintenance and repairs — 646 89 — 735 Intercompany charges, net (111 ) (226 ) 337 — — Other 62 1,546 848 (54 ) 2,402 — 11,355 4,728 (102 ) 15,981 OPERATING INCOME — 1,012 59 — 1,071 OTHER INCOME (EXPENSE): Equity in earnings of subsidiaries 835 81 — (916 ) — Interest, net (158 ) 59 (13 ) — (112 ) Other retirement plans income — 193 13 (48 ) 158 Intercompany charges, net 143 (154 ) (21 ) 32 — Other, net (3 ) 327 (340 ) — (16 ) INCOME BEFORE INCOME TAXES 817 1,518 (302 ) (932 ) 1,101 Provision for income taxes — 215 51 — 266 NET INCOME $ 817 $ 1,303 $ (353 ) $ (932 ) $ 835 COMPREHENSIVE INCOME $ 800 $ 1,401 $ (618 ) $ (933 ) $ 650 CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended August 31, 2017 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated REVENUES $ — $ 11,567 $ 3,854 $ (124 ) $ 15,297 OPERATING EXPENSES: Salaries and employee benefits 38 4,368 1,258 — 5,664 Purchased transportation — 2,063 1,464 (82 ) 3,445 Rentals and landing fees 1 627 191 (1 ) 818 Depreciation and amortization — 639 112 — 751 Fuel — 637 66 — 703 Maintenance and repairs — 602 73 — 675 Intercompany charges, net (116 ) 114 2 — — Other 77 1,476 758 (41 ) 2,270 — 10,526 3,924 (124 ) 14,326 OPERATING INCOME — 1,041 (70 ) — 971 OTHER INCOME (EXPENSE): Equity in earnings of subsidiaries 596 (3 ) — (593 ) — Interest, net (129 ) 13 2 — (114 ) Other retirement plans income — 141 5 — 146 Intercompany charges, net 131 (70 ) (61 ) — — Other, net (2 ) (8 ) (11 ) — (21 ) INCOME BEFORE INCOME TAXES 596 1,114 (135 ) (593 ) 982 Provision for income taxes — 399 (13 ) — 386 NET INCOME $ 596 $ 715 $ (122 ) $ (593 ) $ 596 COMPREHENSIVE INCOME $ 578 $ 719 $ (18 ) $ (593 ) $ 686
Condensed Consolidating Statements of Cash Flows	CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Three Months Ended August 31, 2018 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES $ 785 $ (159 ) $ 102 $ (27 ) $ 701 INVESTING ACTIVITIES Capital expenditures — (983 ) (196 ) — (1,179 ) Proceeds from asset dispositions and other (5 ) 78 5 — 78 CASH USED IN INVESTING ACTIVITIES (5 ) (905 ) (191 ) — (1,101 ) FINANCING ACTIVITIES Proceeds from short-term borrowings 299 — — — 299 Net transfers from (to) Parent (853 ) 763 90 — — Payment on loan between subsidiaries — — — — — Intercompany dividends — 81 (81 ) — — Principal payments on debt — — (2 ) — (2 ) Proceeds from stock issuances 25 — — — 25 Dividends paid (173 ) — — — (173 ) Purchase of treasury stock (625 ) — — — (625 ) Other, net — 148 (144 ) — 4 CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES (1,327 ) 992 (137 ) — (472 ) Effect of exchange rate changes on cash — (5 ) (19 ) — (24 ) Net (decrease) increase in cash and cash equivalents (547 ) (77 ) (245 ) (27 ) (896 ) Cash and cash equivalents at beginning of period 1,485 257 1,538 (15 ) 3,265 Cash and cash equivalents at end of period $ 938 $ 180 $ 1,293 $ (42 ) $ 2,369 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS (UNAUDITED) Three Months Ended August 31, 2017 Parent Guarantor Subsidiaries Non-guarantor Subsidiaries Eliminations Consolidated CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES $ (878 ) $ 1,717 $ (256 ) $ 7 $ 590 INVESTING ACTIVITIES Capital expenditures — (985 ) (59 ) — (1,044 ) Proceeds from asset dispositions and other — 6 — — 6 CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES — (979 ) (59 ) — (1,038 ) FINANCING ACTIVITIES Net transfers from (to) Parent 744 (735 ) (9 ) — — Principal payments on debt — (8 ) (4 ) — (12 ) Proceeds from stock issuances 150 — — — 150 Dividends paid (134 ) — — — (134 ) Purchase of treasury stock (86 ) — — — (86 ) Other, net 3 — (9 ) — (6 ) CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES 677 (743 ) (22 ) — (88 ) Effect of exchange rate changes on cash (2 ) 23 49 — 70 Net (decrease) increase in cash and cash equivalents (203 ) 18 (288 ) 7 (466 ) Cash and cash equivalents at beginning of period 1,884 325 1,807 (47 ) 3,969 Cash and cash equivalents at end of period $ 1,681 $ 343 $ 1,519 $ (40 ) $ 3,503

General - Additional Informatio

General - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017	May 31, 2017	Jan. 26, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Gross contract assets related to in-transit packages	$ 513		$ 542
Contract assets net of deferred unearned revenue	351		363
Contract liabilities related to advance payments from customers	$ 15		$ 13
Payment terms of customer contracts	Under the typical payment terms of our customer contracts, the customer pays at periodic intervals (i.e., every 15 days, 30 days, 45 days, etc.) for shipments included on invoices received. It is not customary business practice to extend payment terms past 90 days, and as such, we do not have a practice of including a significant financing component within our revenue contracts with customers.
Stock-based compensation	$ 68	$ 62
Lease liability and related right-of-use asset	$ 13,000
Stock Repurchase Program Number Of Shares Authorized To Be Repurchased				25,000,000
Number of Shares Repurchased	2,600,000
Treasury Stock Acquired, Average Cost Per Share	$ 238.95
Payments for Repurchase of Common Stock	$ 625	$ 86
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased	9,100,000
Dividends Payable, Date Declared	Aug. 17, 2018
Dividends Payable Amount Per Share	$ 0.65
Dividends Payable, Date To Be Paid	Oct. 1, 2018
Dividends Payable, Date Of Record	Sep. 10, 2018

General - Schedule of Revenue b

General - Schedule of Revenue by Service Type (Details) - USD ($) $ in Millions		3 Months Ended
		Aug. 31, 2018	Aug. 31, 2017
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		$ 17,052	$ 15,297
FedEx Express Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		9,222	8,400
FedEx Ground Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		4,799	4,245
FedEx Freight Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		1,959	1,664
FedEx Services Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		417	400
Operating Segments | FedEx Express Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		9,222	8,400
Operating Segments | FedEx Express Segment [Member] | U.S. overnight box [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		1,886	1,750
Operating Segments | FedEx Express Segment [Member] | U.S. overnight envelope [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		468	450
Operating Segments | FedEx Express Segment [Member] | U.S. deferred [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		952	878
Operating Segments | FedEx Express Segment [Member] | Total U.S. domestic package revenue [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		3,306	3,078
Operating Segments | FedEx Express Segment [Member] | International priority [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		1,848	1,741
Operating Segments | FedEx Express Segment [Member] | International economy [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		850	770
Operating Segments | FedEx Express Segment [Member] | Total international export package revenue [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		2,698	2,511
Operating Segments | FedEx Express Segment [Member] | International domestic [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues	[1]	1,127	1,044
Operating Segments | FedEx Express Segment [Member] | Total package revenue [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		7,131	6,633
Operating Segments | FedEx Express Segment [Member] | U.S. freight [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		730	613
Operating Segments | FedEx Express Segment [Member] | International priority freight [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		551	470
Operating Segments | FedEx Express Segment [Member] | International Economy Freight
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		519	381
Operating Segments | FedEx Express Segment [Member] | International Airfreight [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		85	83
Operating Segments | FedEx Express Segment [Member] | Total freight revenue [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		1,885	1,547
Operating Segments | FedEx Express Segment [Member] | Other [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		206	220
Operating Segments | FedEx Ground Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		4,799	4,245
Operating Segments | FedEx Freight Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		1,959	1,664
Operating Segments | FedEx Services Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		417	400
Operating Segments | FedEx Trade Networks Segment [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		884	799
Eliminations [Member]
Entity Wide Information Revenue From External Customer [Line Items]
Revenues		$ (229)	$ (211)
[1]	International domestic revenues relate to our intra-country operations.

General - Schedule of Recently

General - Schedule of Recently Adopted Accounting Standards (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Revenues	$ 17,052	$ 15,297
Operating Income	1,071	971
Other Income (Expense), net	30	11
NET INCOME	$ 835	596
Effect of Adoption of ASU 2017-07 [Member]
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Operating Income		(146)
Other Income (Expense), net		146
Reported [Member]
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]
Revenues		15,297
Operating Income		1,117
Other Income (Expense), net		(135)
NET INCOME		$ 596

Accumulated Other Comprehensi31

Accumulated Other Comprehensive Income (Loss) - Schedule of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance	$ 19,416
Translation adjustments	(162)	$ 109
Ending balance	19,173
Foreign Currency Translation Loss [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance	(759)	(685)
Translation adjustments	(162)	109
Ending balance	(921)	(576)
Retirement Plans Adjustments [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning balance	181	270
Reclassifications from AOCI	(23)	(19)
Ending balance	158	251
Accumulated Other Comprehensive (Loss) [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Ending balance	$ (763)	$ (325)

Accumulated Other Comprehensi32

Accumulated Other Comprehensive Income (Loss) - Reclassification Out of Accumulated Other Comprehensive Income (Loss) (Details) - Reclassification Out of Accumulated Other Comprehensive Income (Loss) [Member] - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items]
Salaries and employee benefits	$ 30	$ 30
Provision for income taxes	(7)	(11)
Net income	$ 23	$ 19

Financing Arrangements - Additi

Financing Arrangements - Additional Information (Details) - USD ($)	3 Months Ended
	Aug. 31, 2018	May 31, 2018
Line Of Credit Facility [Line Items]
Line of Credit Facility, Expiration Date	Nov. 13, 2020
Letter of Credit Maximum Sublimit Amount	$ 500,000,000
Financial Covenant Terms Ratio	350.00%
Financial Covenant Compliance Ratio	200.00%
Commercial paper outstanding	$ 300,000,000
Letters Of Credit Outstanding	54,000,000
Long Term Debt Exclusive of Capital Leases Carrying Value	16,500,000,000	$ 16,500,000,000
Long Term Debt Exclusive Of Capital Leases Fair Value	$ 16,500,000,000	$ 16,600,000,000
Long-term debt weighted-average interest rate	3.60%
Revolving Credit Facility [Member]
Line Of Credit Facility [Line Items]
Line of Credit Facility, Term	5 years
Line Of Credit Facility Maximum Borrowing Capacity	$ 2,000,000,000
Line of credit facility outstanding for future borrowings	$ 1,646,000,000

Computation of Earnings Per S34

Computation of Earnings Per Share - Schedule of Basic and Diluted Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions		3 Months Ended
		Aug. 31, 2018	Aug. 31, 2017
Basic earnings per common share:
Net earnings allocable to common shares	[1]	$ 834	$ 595
Weighted-average common shares		265	268
Basic earnings per common share		$ 3.15	$ 2.22
Diluted earnings per common share:
Net earnings allocable to common shares	[1]	$ 834	$ 595
Weighted-average common shares		265	268
Dilutive effect of share-based awards		4	4
Weighted-average diluted shares		269	272
Diluted earnings per common share		$ 3.10	$ 2.19
Anti-dilutive options excluded from diluted earnings per common share		3.7	3.2
[1]	Net earnings available to participating securities were immaterial in all periods presented.

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended
	Aug. 31, 2018	May 31, 2018	Aug. 31, 2017
Income Tax Disclosure [Abstract]
Effective tax rate	24.20%		39.30%
Income tax benefit related to lower statutory Income tax rate on earnings	$ 135
Recognition of benefit from TCJA		$ 225
Tax Cuts And Jobs Act Of 2017,Recognition of Benefit per diluted share		$ 0.94

Retirement Plans - Schedule of

Retirement Plans - Schedule of Retirement Plan Costs (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Pension And Other Postretirement Benefit Expense [Abstract]
Defined benefit pension plans, net	$ 28	$ 37
Defined contribution plans	144	127
Postretirement healthcare plans	19	19
Retirement plans costs	$ 191	$ 183

Retirement Plans - Schedule o37

Retirement Plans - Schedule of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Pension Plans [Member] | U.S. Pension Plans [Member]
Net Periodic Benefit Cost
Service cost	$ 172	$ 170
Other retirement plans (income) expense:
Interest cost	238	279
Expected return on plan assets	(377)	(406)
Amortization of prior service credit and other	(29)	(30)
Other retirement plans (income) expense	(168)	(157)
Total net periodic benefit cost	4	13
Pension Plans [Member] | International Pension Plans [Member]
Net Periodic Benefit Cost
Service cost	24	23
Other retirement plans (income) expense:
Interest cost	13	12
Expected return on plan assets	(12)	(11)
Amortization of prior service credit and other	(1)
Other retirement plans (income) expense		1
Total net periodic benefit cost	24	24
Postretirement Healthcare Plans [Member]
Net Periodic Benefit Cost
Service cost	9	9
Other retirement plans (income) expense:
Interest cost	10	10
Other retirement plans (income) expense	10	10
Total net periodic benefit cost	$ 19	$ 19

Retirement Plans - Additional I

Retirement Plans - Additional Information (Details) - U.S. Pension Plans [Member] - Voluntary Contribution [Member] - USD ($) $ in Millions	Sep. 14, 2018	Aug. 31, 2018	Aug. 31, 2017
Defined Benefit Plan Disclosure [Line Items]
Defined benefit plan contributions by employer		$ 250	$ 250
Subsequent Event [Member]
Defined Benefit Plan Disclosure [Line Items]
Defined benefit plan contributions by employer	$ 250

Business Segment Information -

Business Segment Information - Schedule of Segment Information (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Segment Reporting Information [Line Items]
Revenues	$ 17,052	$ 15,297
Operating income (loss)	1,071	971
FedEx Express Segment [Member]
Segment Reporting Information [Line Items]
Revenues	9,222	8,400
Operating income (loss)	367	320
FedEx Ground Segment [Member]
Segment Reporting Information [Line Items]
Revenues	4,799	4,245
Operating income (loss)	667	606
FedEx Freight Segment [Member]
Segment Reporting Information [Line Items]
Revenues	1,959	1,664
Operating income (loss)	176	165
FedEx Services Segment [Member]
Segment Reporting Information [Line Items]
Revenues	417	400
Corporate, Other and Eliminations [Member]
Segment Reporting Information [Line Items]
Revenues	655	588
Operating income (loss)	$ (139)	$ (120)

Commitments - Schedule of Purch

Commitments - Schedule of Purchase Commitments (Details) $ in Millions	Aug. 31, 2018USD ($)
Unrecorded Unconditional Purchase Obligation [Line Items]
2019 (remainder)	$ 2,005
2,020	2,777
2,021	2,815
2,022	2,219
2,023	1,824
Thereafter	3,518
Total	15,158
Aircraft And Related Equipment Commitments [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2019 (remainder)	1,341
2,020	1,991
2,021	2,315
2,022	1,856
2,023	1,561
Thereafter	2,986
Total	12,050
Other Commitments [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2019 (remainder)	664	[1]
2,020	786	[1]
2,021	500	[1]
2,022	363	[1]
2,023	263	[1]
Thereafter	532	[1]
Total	$ 3,108	[1]
[1]	Primarily equipment and advertising contracts.

Commitments - Additional Inform

Commitments - Additional Information (Details) $ in Millions	3 Months Ended
	Aug. 31, 2018USD ($)air-craft
Other Aircraft Commitments Disclosure [Abstract]
Boeing 767F Conditional Aircraft Commitments	5
Boeing 777F Conditional Aircraft Commitments	6
Deposit and Progress Payments | $	$ 992
Additional B777F [Member]
Other Aircraft Commitments Disclosure [Abstract]
Boeing 777F Conditional Aircraft Commitments	6
Number of aircraft agreed to purchase	12
Aircraft expected to be delivered, earliest fiscal year	2,021
Aircraft expected to be delivered, latest fiscal year	2,025
Additional B767F [Member]
Other Aircraft Commitments Disclosure [Abstract]
Boeing 767F Conditional Aircraft Commitments	1
Number of aircraft agreed to purchase	12
Aircraft expected to be delivered, earliest fiscal year	2,020
Aircraft expected to be delivered, latest fiscal year	2,022
B777F Aircraft from 2020 to 2019 [Member]
Other Aircraft Commitments Disclosure [Abstract]
Aircraft expected to be delivered, earliest fiscal year	2,019
Aircraft expected to be delivered, latest fiscal year	2,020
Accelerate Delivery of Boeing 777F Conditional Aircraft Commitments	1
B767F Aircraft from 2020 to 2019 [Member]
Other Aircraft Commitments Disclosure [Abstract]
Aircraft expected to be delivered, earliest fiscal year	2,019
Aircraft expected to be delivered, latest fiscal year	2,020
Accelerate delivery of Boeing 767F conditional aircraft commitments	1
B777F [Member]
Other Aircraft Commitments Disclosure [Abstract]
Number of non conditional aircrafts	3
Aircraft expected to be delivered, earliest fiscal year	2,019
Aircraft expected to be delivered, latest fiscal year	2,025
Number of aircrafts scheduled for delivery	23
Number of aircrafts delivered	1
Additional maximum number of aircraft, options to purchase	14
Number of aircrafts rescheduled delivery	11
Number of aircraft total options to purchase	25
Aircraft expected to be delivered, through fiscal year	2,028
B767F [Member]
Other Aircraft Commitments Disclosure [Abstract]
Aircraft expected to be delivered, earliest fiscal year	2,019
Aircraft expected to be delivered, latest fiscal year	2,023
Number of aircrafts scheduled for delivery	64
Number of aircrafts delivered	5
Additional maximum number of aircraft, options to purchase	6
Number of aircraft total options to purchase	50
Aircraft expected to be delivered, through fiscal year	2,026

Commitments - Schedule of Aircr

Commitments - Schedule of Aircraft Purchase Commitments (Details)	3 Months Ended
	Aug. 31, 2018air-craft
Schedule of Aircraft Commitments [Line Items]
2019 (remainder)	14
2,020	22
2,021	37
2,022	33
2,023	28
Thereafter	33
Total	167
Cessna SkyCourier 408 [Member]
Schedule of Aircraft Commitments [Line Items]
2,021	12
2,022	12
2,023	12
Thereafter	14
Total	50
ATR 72-600F [Member]
Schedule of Aircraft Commitments [Line Items]
2,021	5
2,022	6
2,023	6
Thereafter	13
Total	30
B767F [Member]
Schedule of Aircraft Commitments [Line Items]
2019 (remainder)	11
2,020	17
2,021	18
2,022	12
2,023	6
Total	64
B777F [Member]
Schedule of Aircraft Commitments [Line Items]
2019 (remainder)	3
2,020	5
2,021	2
2,022	3
2,023	4
Thereafter	6
Total	23

Commitments - Schedule of Futur

Commitments - Schedule of Future Minimum Lease Payments, Operating Leases (Details) $ in Millions	Aug. 31, 2018USD ($)
Schedule of Future Minimum Operating Lease Payments [Line Items]
2019 (remainder)	$ 1,930
2,020	2,222
2,021	1,999
2,022	1,800
2,023	1,586
Thereafter	8,367
Total	17,904
Aircraft and Related Equipment [Member]
Schedule of Future Minimum Operating Lease Payments [Line Items]
2019 (remainder)	307
2,020	261
2,021	203
2,022	185
2,023	127
Thereafter	48
Total	1,131
Facilities and Other [Member]
Schedule of Future Minimum Operating Lease Payments [Line Items]
2019 (remainder)	1,623
2,020	1,961
2,021	1,796
2,022	1,615
2,023	1,459
Thereafter	8,319
Total	$ 16,773

Contingencies - Additional Info

Contingencies - Additional Information (Details) - U.S. Customs and Border Protection ("CBP") [Member] - Expected Litigation Loss [Member] - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2017	May 31, 2017
Loss Contingencies [Line Items]
Loss contingency amount		$ 39.3
Payments for legal settlements	$ 46.5
Litigation settlement expense	$ 7.2

Supplemental Cash Flow Inform45

Supplemental Cash Flow Information -Supplemental Cash Flow (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Supplemental Cash Flow Information [Abstract]
Interest (net of capitalized interest)	$ 203	$ 153
Income taxes	93	96
Income tax refunds received	(3)	(10)
Cash tax payments, net	$ 90	$ 86

Condensed Consolidating Finan46

Condensed Consolidating Financial Statements - Additional Information (Details) $ in Billions	Aug. 31, 2018USD ($)
Guarantor Obligations [Abstract]
Debt Guarantee	$ 16.4

Condensed Consolidating Balance

Condensed Consolidating Balance Sheets (Details) - USD ($) $ in Millions	Aug. 31, 2018	May 31, 2018	Aug. 31, 2017	May 31, 2017
CURRENT ASSETS
Cash and cash equivalents	$ 2,369	$ 3,265	$ 3,503	$ 3,969
Receivables, less allowances	8,716	8,481
Spare parts, supplies, fuel, prepaid expenses and other, less allowances	1,556	1,595
Total current assets	12,641	13,341
PROPERTY AND EQUIPMENT, AT COST	56,326	55,121
Less accumulated depreciation and amortization	27,547	26,967
Net property and equipment	28,779	28,154
GOODWILL	6,869	6,973
OTHER ASSETS	3,612	3,862
ASSETS	51,901	52,330
CURRENT LIABILITIES
Short-term borrowings	299
Current portion of long-term debt	1,404	1,342
Accrued salaries and employee benefits	1,686	2,177
Accounts payable	3,066	2,977
Accrued expenses	3,151	3,131
Total current liabilities	9,606	9,627
LONG-TERM DEBT, LESS CURRENT PORTION	15,241	15,243
OTHER LONG-TERM LIABILITIES
Deferred income taxes	2,948	2,867
Other liabilities	4,933	5,177
Total other long-term liabilities	7,881	8,044
STOCKHOLDERS’ INVESTMENT	19,173	19,416
LIABILITIES AND STOCKHOLDERS' INVESTMENT	51,901	52,330
Consolidation Eliminations [Member]
CURRENT ASSETS
Cash and cash equivalents	(42)	(15)	(40)	(47)
Receivables, less allowances	(108)	(78)
Total current assets	(150)	(93)
INTERCOMPANY RECEIVABLE	(2,625)	(2,411)
INVESTMENT IN SUBSIDIARIES	(38,905)	(37,452)
OTHER ASSETS		104
ASSETS	(41,680)	(39,852)
CURRENT LIABILITIES
Accounts payable	(151)	(90)
Accrued expenses		(3)
Total current liabilities	(151)	(93)
INTERCOMPANY PAYABLE	(2,624)	(2,411)
OTHER LONG-TERM LIABILITIES
Deferred income taxes		104
Total other long-term liabilities		104
STOCKHOLDERS’ INVESTMENT	(38,905)	(37,452)
LIABILITIES AND STOCKHOLDERS' INVESTMENT	(41,680)	(39,852)
Parent Company [Member] | Reportable Legal Entities [Member]
CURRENT ASSETS
Cash and cash equivalents	938	1,485	1,681	1,884
Receivables, less allowances	41	3
Spare parts, supplies, fuel, prepaid expenses and other, less allowances	285	425
Total current assets	1,264	1,913
PROPERTY AND EQUIPMENT, AT COST	21	21
Less accumulated depreciation and amortization	17	17
Net property and equipment	4	4
INTERCOMPANY RECEIVABLE	1,385	1,487
INVESTMENT IN SUBSIDIARIES	34,038	33,370
OTHER ASSETS	241	75
ASSETS	36,932	36,849
CURRENT LIABILITIES
Short-term borrowings	299
Current portion of long-term debt	1,332	1,332
Accrued salaries and employee benefits	43	65
Accounts payable	187	16
Accrued expenses	466	460
Total current liabilities	2,327	1,873
LONG-TERM DEBT, LESS CURRENT PORTION	14,942	14,942
OTHER LONG-TERM LIABILITIES
Deferred income taxes	101
Other liabilities	389	619
Total other long-term liabilities	490	619
STOCKHOLDERS’ INVESTMENT	19,173	19,415
LIABILITIES AND STOCKHOLDERS' INVESTMENT	36,932	36,849
Guarantor Subsidiaries [Member[ | Reportable Legal Entities [Member]
CURRENT ASSETS
Cash and cash equivalents	180	257	343	325
Receivables, less allowances	5,233	4,970
Spare parts, supplies, fuel, prepaid expenses and other, less allowances	993	878
Total current assets	6,406	6,105
PROPERTY AND EQUIPMENT, AT COST	52,339	51,232
Less accumulated depreciation and amortization	25,670	25,111
Net property and equipment	26,669	26,121
INTERCOMPANY RECEIVABLE	1,240	924
GOODWILL	1,589	1,709
INVESTMENT IN SUBSIDIARIES	4,867	4,082
OTHER ASSETS	1,591	1,854
ASSETS	42,362	40,795
CURRENT LIABILITIES
Current portion of long-term debt	65	1
Accrued salaries and employee benefits	1,102	1,506
Accounts payable	1,252	1,332
Accrued expenses	1,786	1,778
Total current liabilities	4,205	4,617
LONG-TERM DEBT, LESS CURRENT PORTION	288	288
OTHER LONG-TERM LIABILITIES
Deferred income taxes	2,730	2,626
Other liabilities	3,613	3,432
Total other long-term liabilities	6,343	6,058
STOCKHOLDERS’ INVESTMENT	31,526	29,832
LIABILITIES AND STOCKHOLDERS' INVESTMENT	42,362	40,795
Non Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member]
CURRENT ASSETS
Cash and cash equivalents	1,293	1,538	$ 1,519	$ 1,807
Receivables, less allowances	3,550	3,586
Spare parts, supplies, fuel, prepaid expenses and other, less allowances	278	292
Total current assets	5,121	5,416
PROPERTY AND EQUIPMENT, AT COST	3,966	3,868
Less accumulated depreciation and amortization	1,860	1,839
Net property and equipment	2,106	2,029
GOODWILL	5,280	5,264
OTHER ASSETS	1,780	1,829
ASSETS	14,287	14,538
CURRENT LIABILITIES
Current portion of long-term debt	7	9
Accrued salaries and employee benefits	541	606
Accounts payable	1,778	1,719
Accrued expenses	899	896
Total current liabilities	3,225	3,230
LONG-TERM DEBT, LESS CURRENT PORTION	11	13
INTERCOMPANY PAYABLE	2,624	2,411
OTHER LONG-TERM LIABILITIES
Deferred income taxes	117	137
Other liabilities	931	1,126
Total other long-term liabilities	1,048	1,263
STOCKHOLDERS’ INVESTMENT	7,379	7,621
LIABILITIES AND STOCKHOLDERS' INVESTMENT	$ 14,287	$ 14,538

Condensed Consolidating Stateme

Condensed Consolidating Statements of Comprehensive Income (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Condensed Statement Of Income Captions [Line Items]
REVENUES	$ 17,052	$ 15,297
OPERATING EXPENSES:
Salaries and employee benefits	6,260	5,664
Purchased transportation	$ 3,967	$ 3,445
Type of cost, good or service [extensible list]	us-gaap:ShippingAndHandlingMember	us-gaap:ShippingAndHandlingMember
Rentals and landing fees	$ 823	$ 818
Depreciation and amortization	808	751
Fuel	986	703
Maintenance and repairs	735	675
Other	2,402	2,270
OPERATING EXPENSES	15,981	14,326
OPERATING INCOME	1,071	971
OTHER INCOME (EXPENSE):
Interest, net	(112)	(114)
Other retirement plans income	158	146
Other, net	(16)	(21)
INCOME BEFORE INCOME TAXES	1,101	982
Provision for income taxes	266	386
NET INCOME	835	596
COMPREHENSIVE INCOME	650	686
Consolidation Eliminations [Member]
Condensed Statement Of Income Captions [Line Items]
REVENUES	(102)	(124)
OPERATING EXPENSES:
Purchased transportation	$ (47)	$ (82)
Type of cost, good or service [extensible list]	us-gaap:ShippingAndHandlingMember	us-gaap:ShippingAndHandlingMember
Rentals and landing fees	$ (1)	$ (1)
Other	(54)	(41)
OPERATING EXPENSES	(102)	(124)
OTHER INCOME (EXPENSE):
Equity in earnings of subsidiaries	(916)	(593)
Other retirement plans income	(48)
Intercompany charges, net	32
INCOME BEFORE INCOME TAXES	(932)	(593)
NET INCOME	(932)	(593)
COMPREHENSIVE INCOME	(933)	(593)
Parent Company [Member] | Reportable Legal Entities [Member]
OPERATING EXPENSES:
Salaries and employee benefits	$ 48	$ 38
Type of cost, good or service [extensible list]	us-gaap:ShippingAndHandlingMember	us-gaap:ShippingAndHandlingMember
Rentals and landing fees	$ 1	$ 1
Intercompany charges, net	(111)	(116)
Other	62	77
OTHER INCOME (EXPENSE):
Equity in earnings of subsidiaries	835	596
Interest, net	(158)	(129)
Intercompany charges, net	143	131
Other, net	(3)	(2)
INCOME BEFORE INCOME TAXES	817	596
NET INCOME	817	596
COMPREHENSIVE INCOME	800	578
Guarantor Subsidiaries [Member[ | Reportable Legal Entities [Member]
Condensed Statement Of Income Captions [Line Items]
REVENUES	12,367	11,567
OPERATING EXPENSES:
Salaries and employee benefits	4,783	4,368
Purchased transportation	$ 2,380	$ 2,063
Type of cost, good or service [extensible list]	us-gaap:ShippingAndHandlingMember	us-gaap:ShippingAndHandlingMember
Rentals and landing fees	$ 631	$ 627
Depreciation and amortization	693	639
Fuel	902	637
Maintenance and repairs	646	602
Intercompany charges, net	(226)	114
Other	1,546	1,476
OPERATING EXPENSES	11,355	10,526
OPERATING INCOME	1,012	1,041
OTHER INCOME (EXPENSE):
Equity in earnings of subsidiaries	81	(3)
Interest, net	59	13
Other retirement plans income	193	141
Intercompany charges, net	(154)	(70)
Other, net	327	(8)
INCOME BEFORE INCOME TAXES	1,518	1,114
Provision for income taxes	215	399
NET INCOME	1,303	715
COMPREHENSIVE INCOME	1,401	719
Non Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member]
Condensed Statement Of Income Captions [Line Items]
REVENUES	4,787	3,854
OPERATING EXPENSES:
Salaries and employee benefits	1,429	1,258
Purchased transportation	$ 1,634	$ 1,464
Type of cost, good or service [extensible list]	us-gaap:ShippingAndHandlingMember	us-gaap:ShippingAndHandlingMember
Rentals and landing fees	$ 192	$ 191
Depreciation and amortization	115	112
Fuel	84	66
Maintenance and repairs	89	73
Intercompany charges, net	337	2
Other	848	758
OPERATING EXPENSES	4,728	3,924
OPERATING INCOME	59	(70)
OTHER INCOME (EXPENSE):
Interest, net	(13)	2
Other retirement plans income	13	5
Intercompany charges, net	(21)	(61)
Other, net	(340)	(11)
INCOME BEFORE INCOME TAXES	(302)	(135)
Provision for income taxes	51	(13)
NET INCOME	(353)	(122)
COMPREHENSIVE INCOME	$ (618)	$ (18)

Condensed Consolidating State49

Condensed Consolidating Statements of Cash Flows (Details) - USD ($) $ in Millions	3 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
Condensed Cash Flow Statements Captions [Line Items]
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	$ 701	$ 590
INVESTING ACTIVITIES
Capital expenditures	(1,179)	(1,044)
Proceeds from asset dispositions and other	78	6
Cash used in investing activities	(1,101)	(1,038)
FINANCING ACTIVITIES
Proceeds from short-term borrowings	299
Principal payments on debt	(2)	(12)
Proceeds from stock issuances	25	150
Dividends paid	(173)	(134)
Purchase of treasury stock	(625)	(86)
Other, net	4	(6)
Cash used in financing activities	(472)	(88)
Effect of exchange rate changes on cash	(24)	70
Net (decrease) increase in cash and cash equivalents	(896)	(466)
Cash and cash equivalents at beginning of period	3,265	3,969
Cash and cash equivalents at end of period	2,369	3,503
Consolidation Eliminations [Member]
Condensed Cash Flow Statements Captions [Line Items]
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	(27)	7
FINANCING ACTIVITIES
Net (decrease) increase in cash and cash equivalents	(27)	7
Cash and cash equivalents at beginning of period	(15)	(47)
Cash and cash equivalents at end of period	(42)	(40)
Parent Company [Member] | Reportable Legal Entities [Member]
Condensed Cash Flow Statements Captions [Line Items]
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	785	(878)
INVESTING ACTIVITIES
Proceeds from asset dispositions and other	(5)
Cash used in investing activities	(5)
FINANCING ACTIVITIES
Proceeds from short-term borrowings	299
Net transfers from (to) Parent	(853)	744
Proceeds from stock issuances	25	150
Dividends paid	(173)	(134)
Purchase of treasury stock	(625)	(86)
Other, net		3
Cash used in financing activities	(1,327)	677
Effect of exchange rate changes on cash		(2)
Net (decrease) increase in cash and cash equivalents	(547)	(203)
Cash and cash equivalents at beginning of period	1,485	1,884
Cash and cash equivalents at end of period	938	1,681
Guarantor Subsidiaries [Member[ | Reportable Legal Entities [Member]
Condensed Cash Flow Statements Captions [Line Items]
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	(159)	1,717
INVESTING ACTIVITIES
Capital expenditures	(983)	(985)
Proceeds from asset dispositions and other	78	6
Cash used in investing activities	(905)	(979)
FINANCING ACTIVITIES
Net transfers from (to) Parent	763	(735)
Intercompany dividends	81
Principal payments on debt		(8)
Other, net	148
Cash used in financing activities	992	(743)
Effect of exchange rate changes on cash	(5)	23
Net (decrease) increase in cash and cash equivalents	(77)	18
Cash and cash equivalents at beginning of period	257	325
Cash and cash equivalents at end of period	180	343
Non Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member]
Condensed Cash Flow Statements Captions [Line Items]
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	102	(256)
INVESTING ACTIVITIES
Capital expenditures	(196)	(59)
Proceeds from asset dispositions and other	5
Cash used in investing activities	(191)	(59)
FINANCING ACTIVITIES
Net transfers from (to) Parent	90	(9)
Intercompany dividends	(81)
Principal payments on debt	(2)	(4)
Other, net	(144)	(9)
Cash used in financing activities	(137)	(22)
Effect of exchange rate changes on cash	(19)	49
Net (decrease) increase in cash and cash equivalents	(245)	(288)
Cash and cash equivalents at beginning of period	1,538	1,807
Cash and cash equivalents at end of period	$ 1,293	$ 1,519