DHL continues strong growth performance in Russia

DHL Express Russia continues its strong performance with YTD revenue growth nearly 50% in 2006, with shipment volumes increasing by 30% in the same period.

Our Russia business continues to go from strength to strength; our strategic initiatives are successfully supporting the continued expansion of our business and increasing our market leading position said Mark Jordan, Commercial Manager DHL Express Russia.

DHL Russia reports an expected increase in shipment volumes of more than 30% in 2006, compared to the same period in 2005 and this continues the high growth trend of its business.

To further meet growing customer demand for increased Time Definite delivery destinations and time of delivery choice, this year DHL released new services for its customers. We have opened 15 European Union countries for pre-1200 hrs delivery (next working day) for dutiable shipments, pre-0900 hrs and pre-1200 hrs delivery to major Asian countries and over 200 pre-1200 hrs delivery lanes within Russia.

As announced earlier this year, DHL Express continues to push ahead with its Russia investments, to enable it to better serve its customers and to provide the highest levels of service Russian customers have come to expect from DHL. Investments are primarily focused on infrastructure, facilities and vehicle fleet expansion, to accommodate both existing and future growth demands of our business.

DHL Russia also continues to expand its domestic road network, connecting key economic and fast growing centres of the country, to provide customers with fast and reliable, door-to-door delivery and supply chain solutions. This also includes direct road linkages with major European countries and cities.

In this fast paced and demanding business environment, DHL continues to invest in increasing the number of its Service Points, predominately in Moscow, but also across the Russian Federation, so that customers find it easier to locate a DHL Service Point to send and collect their shipments. DHL strives to achieve its objective of positioning itself closer to its customers and making its services easy to use at all times.

Six new Service Points have been opened in 2006, in Moscow, St. Petersburg and Yekaterinburg. In 2007 we plan to open over 20 new Service Points in Russia’s largest cities, and further invest in excess of EUR 15 million into developing our Service Point network over the next 3 years.

To make DHL easier to do business with we have also extended our pick-up service capabilities, by providing later cut offs and including pick up and delivery services at weekends.

The DHL Express business has shown double-digit growth both in domestic and international business and DHL in Russia expects this strong growth performance to continue.

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