FDX Reports Increased Earnings

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MEMPHIS, Tenn. (AP) — The parent company of Federal Express Corp. posted better-than-expected profits despite spending $90 million to prepare for a strike that was averted. FDX also announced a 2-for-1 stock split.

Federal Express founder and chairman Frederick Smith cited growth in electronic commerce and the trend toward businesses sending smaller shipments more frequently to keep inventory down.

FDX earned $78 million, or 52 cents per share, in its third quarter ended Feb. 28, exceeding Wall Street forecasts by a wide margin. In the same period a year ago, FDX earned $18 million, or