The FedEx Freight and National LTL will increase their general shipping rates by 5.5 percent as to next month, as announced by FedEx Corp. on Wednesday.

Starting January 14, the freight shipping, which suffered a 6 percent drop in profits in the second quarter, will raise its rates due to the consequences of the weak national economy.

According to Debra Philips, spokesman for the FedEx Corp., “the increase will help us support our continued business expenses […] Everyone in the industry is undergoing rising health-care expenses.”

This is the third announcement the Memphis-based company made in the past three months. In October 2007, FedEx announced that 2008 will bring a 6.9 percent increase in air shipping cost rates, while decreasing the fuel surcharges by 2 percent.

November announced new modifications in rates, as FedEx set for next year FedEx Ground and Home Delivery ground shipping rates to rise by 4.9 percent, similar to the 2008 ground shipments, air express and international parcel rates United Parcel Service Inc. previously made public.

The second-largest delivery service company in the U.S. last made a modification in rates in April this year, when the less-than-truckload units had a 5.6 percent increase.

Although FedEx announced that the final quarter brought a 1 percent increase in their revenue in 2007, the operating income decreased 43 percent, , due to the fall-back of the less-than-truckload shipments.

The U.S. company is the second largest in the country and is organized in operating units, such as: FedEx Express (world’s largest cargo airline) and FedEx Ground, which includes home deliveries, company parcels, freight services and others. In 2006 FedEx expanded in U.K., by purchasing ANC for £120 million, and established a solid position among the existent delivery service providers.