German publishers plan mail delivery alliance with TPG and Hermes Logistik

A group of major German newspaper publishers, reported to include Axel Springer Verlag, Verlagsgruppe Georg von Holtzbrinck and the WAZ group, is said to be planning a letter delivery alliance with German logistics group Hermes Logistik and Dutch postal service operator TPG. According to a press source, they are believed to be planning to participate in EP Europost, the joint venture owned 71 per cent by TPG and 29 per cent by Hermes.

For many German publishers, mail delivery represents a supplementary area of activity accompanying newspaper delivery. An expert estimates that, in order to complete with market leader Deutsche Post, a rival company must offer prices 20 per cent lower than those of the former monopolist. Holtzbrinck has expressed interest in co-operation with Europost, while Hermes, WAZ and Springer have declined to comment on the report.