Update: Following FedEx’s ugly pre-announcement, CEO Raj Subramaniam, went further into the drivers behind his company’s decision to pull guidance during an interview with Jim Cramer of CNBC.
“I think so. But you know, these numbers, they don’t portend very well,” Subramaniam said in response to Cramer’s question about whether the economy is “going into a worldwide recession.”
FedEx’s top executive, who took over the role at the beginning of this year, said that declining worldwide cargo volumes were the primary factor in the company’s unsatisfactory performance.
“I’m very disappointed in the results that we just announced here, and you know, the headline really is the macro situation that we’re facing,” Subramaniam said tonight in an interview on CNBC’s Mad Money.
Finally, the CEO said the drop in volumes is far-reaching:
“We are a reflection of everybody else’s business, especially the high-value economy in the world,” he concluded.
Watch the full interview below:
Which helps explain why futures are sliding further this morning.