Deal Execution RiskLetter of intent is non-binding and the transaction requires further due diligence and approvals, creating meaningful uncertainty about whether the deal will close.
Governance RiskProposed structure would give the privately held partner control over management and the board, introducing governance and execution risks given limited public financial transparency for that partner.
Revenue ConcentrationLoss of the proactive FedEx business, which comprised a large majority of recent revenue, creates material uncertainty for future revenue generation while the company transitions business to a new carrier partner.