Deutsche Post World Net achieves record figures in 2000

Deutsche Post World Net set new records for revenue and profits in 2000. The Chairman of the Board of Management, Dr. Klaus Zumwinkel, presented preliminary figures at CeBIT in Hanover today that document the most successful year yet in the company's history.

Corporate revenue rose by 46 % in 2000 compared with 1999 achieving the level of Euro 32.7 billion – this was mainly as a result of acquisitions. Profit from operating activities (EBITA), leaped by an almighty 158% to Euro 2.38 billion. Deutsche Post World Net recorded 48 % growth in net income to Euro 1.53 billion.

Zumwinkel: "The corporate figures speak of the Group's extraordinarily dynamic development into a global player. We were able to make a quantum leap in revenue and more than doubled our profits. These record levels as well as the increase in foreign revenue from 2 % in 1998 to 29% last year show that we are on track to become the Number One global player in the logistics industry."

Segments: Strong revenue growth in the Express, Logistics and Financial Services corporate divisions
Revenue in the Mail corporate division rose slightly in 2000 to Euro 11.7 billion. The MAIL corporate division was able to generate an almost 100% increase in profits, going from Euro 1.01 billion in 1999 to Euro 2 billion in 2000. A crucial part of that came as a result of reduced payments into the Deutsche Post pension service. There is a legislative basis for the reduction and it will be permanent.

In the Express segment, Deutsche Post World Net was able to expand its strong market position even further. The Express corporate division generated revenues totaling Euro 6.02 billion (+ 26 %) and profits of Euro 76 million (+ 27%) in 2000.

Danzas, a subsidiary of the group, was successfully integrated in the Logistics segment. The logistics corporate division contributed Euro 8.3 billion (+86%) to revenues and Euro 113 million to profits.

The Financial Services corporate division recorded the largest increase in 2000. The gain stemmed mainly from incorporation of DSL bank into the Group. Earnings increased in this corporate division to around Euro 8 billion (+ 178%) and profits to Euro 505 million (+771%).

A look at the proportion of revenue and profits emanating from the different corporate divisions clearly shows the transformation that is making Deutsche Post World Net into an international logistics corporation. The Express, Logistics and Financial Services corporate divisions expanded their proportion of revenue vis-à-vis the Mail corporate division quite considerably. Whereas the Mail corporate division had contributed around 50% to overall revenue of all corporate divisions in 1999, that figure was reduced to 34% in 2000 in spite of a slight rise in revenue for that segment. This trend can also be seen on the profits side. Despite the strong growth in profits in the Mail corporate division, the Mail's contribution to overall profits last year 2000 was 74%, compared with over 90% in 1999.

Number One e-business service provider
Deutsche Post World Net moved its internet-based business a crucial step forward last year. With over 46 % of total e-commerce shipping volumes, Deutsche Post World Net is clearly Number One when it comes to shipping for German online commerce. The volume of mail generated online last year, just in the private customer segment, doubled to around 30 million parcels.

By establishing an e-business holding company to prepare the way for the online business activities of each of the group's corporate divisions, DPWN created the optimum conditions for networking the full range of its diverse activities.

"Deutsche Post World Net is equipping the New Economy and profiting from e-business", is how Zumwinkel summarizes the Group's strategy in this area. "We are Number One in the "mouse click to door" business".

eBusiness GmbH, that was established last year, provides a pool of expertise for the development of innovative internet business. There are now seven e-business units that allow the Deutsche Post World Net Group to offer the full spectrum of e-commerce services: from online shopping for the end customer, back end services for the online business to EDI, electronic signature to venture capital investment in new start-ups.

Press contact:
Deutsche Post World Net
Dr. Martin Dopychai
Norbert Schäfer
Tel. ++ 49 (2 28) 182 9988
Fax ++ 49 (2 28) 1 82-98 22
e-Mail: [email protected]