Exhibit 15.1

                          [ARTHUR ANDERSEN LETTERHEAD]





January 22, 1998





Federal Express Corporation:

We are aware that Federal Express Corporation has incorporated by reference in
this Form S-8 Registration Statement its form 10-Qs for the quarters ended
August 31, 1997 and November 30, 1997, which include our reports dated October
6, 1997 and January 12, 1998, respectively, covering the unaudited interim
financial information contained therein. Pursuant to Regulation C of the
Securities Act of 1933, those reports are not considered a part of the
registration statement prepared or certified by our firm or reports prepared or
certified by our firm within the meaning of Sections 7 and 11 of the Act.

Very truly Yours,



Arthur Andersen LLP