Plain English Meaning
The fastest you are allowed to fly with the flaps down. Slow below this speed before lowering the flaps, and once the flaps are out, do not let the airplane go faster than this number.
Full Definition
VFE is the maximum airspeed at which the wing flaps may be extended. Flying faster than VFE with flaps deployed risks structural damage to the flaps, their tracks, and their supporting structure. VFE is marked as the upper limit of the white arc on the airspeed indicator.
Context Anchor
Seen in the airplane’s operating handbook, on airspeed markings, and during approach and landing when deciding when it is safe to lower flaps.
Derivation
From aviation V-speed notation: 'V' for velocity, with 'FE' standing for 'Flaps Extended.' The V-speed uses short letter after the V to label certified .