EU Commission to decide Wednesday on Deutsche Post parcel subsidisation

The EU Commission should decide Wednesday on action to

be taken about charges Deutsche Post World Net AG has subsidised its parcels operations through revenues on its monopoly mail business, spokesman for EU competition commissioner Mario Monti said.

Spokesman Michael Tscherny declined to confirm or deny a Financial Times report that the competition services of the Commission recommend upholding the complaint and fining the company over 500 mln eur.

The 20 commissioners should decide on the action to be taken at their weekly meeting Wednesday, he said.

He noted the Commission has been studying the complaint and the case for three years.

United Parcel Service Inc made the complaint.

Tscherny confirmed the Commission is looking at several other national postal services, but warned they are all different and not directly comparable.

The Dutch and French postal services, at least, are also thought to be under investigation.

The Commission recently authorised state aid to the Italian post service, judging it necessary to ensure universal service, he noted.

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