Board Risk Oversight

Board Risk Oversight

The Board of Directors' role in risk oversight at FedEx is consistent with the company's leadership

structure, with management having day-to-day responsibility for assessing and managing the company's risk

exposure and the Board and its committees providing oversight in connection with those efforts, with particular

focus on ensuring that FedEx's risk management practices are adequate and regularly reviewing the most

significant risks facing the company. The Board performs its risk oversight role by using several different

levels of review. Each Board meeting begins with a strategic overview by the Chairman of the Board,

President and Chief Executive Officer that describes the most significant issues, including risks, affecting the

company, and also includes business updates from each reporting segment CEO. In addition, at least annually,

the Board reviews in detail the business and operations of each of the company's reporting segments, including

the primary risks associated with that segment.

The Board reviews the risks associated with the company's financial forecasts and annual business plan. These

risks are identified and managed in connection with the company's robust enterprise risk management ("ERM")

process. Our ERM process provides the enterprise with a common framework and terminology to ensure consistency

in identification, reporting and management of key risks. The ERM process is embedded in our strategic financial

planning process, which ensures explicit consideration of risks that affect the underlying assumptions of the strategic

plans and provides a platform to facilitate