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FedEx 4Q profit drops as economic growth is weak

David Koenig, AP Business Writer

DALLAS (AP) -- FedEx's quarter profit is down 45 percent from a year ago as customers trade down to less-expensive delivery options and the package delivery company restructures some parts of its business.

FedEx said Wednesday that it earned $303 million in the fourth quarter, down from $550 million a year ago.

Excluding restructuring costs and aircraft write-downs, FedEx's profit would've been $2.13 per share. That's much better than the $1.96 per share that analysts were expecting.

The company says it's still being hurt by weak economic growth and customers choosing lower-rate international services. FedEx Express is cutting capacity between the U.S. and Asia.