Court rules Deutsche Post should allow more mail delivery competition

The Higher Regional Court in the German city of Duesseldorf has upheld an earlier decision of the German anti-cartel watchdog to force Deutsche Post to allow more competitors on the mail delivery market by granting them discounts, it was reported on April 13, 2005.

A spokesperson for Deutsche Post said the company will immediately take steps to conform to the court’s ruling, but will maintain legal proceedings with the Higher Regional Court against the essence of the anti-cartel watchdog’s decision.

Should the court’s final decision be in favour of Deutsche Post, the company will claim back the wrongly granted discounts, the spokesperson said.

The German government has granted Deutsche Post a monopoly on the German postal services market until the end of 2007, and the company estimates that its annual loss resulting from the anti-cartel ruling could reach 200 mln euro ($258 mln).

The head of the anti-cartel office Ulf Boege defended its decision, saying the ruling would revitalise the competition on the mail delivery market, and added that he expects the Higher Regional Court would not overrule the decision in later appeals.

www.handelsblatt.com

German court rules Deutsche Post must open mail market to competitors UPDATE
AFX International ProFeed 04-13-2005

(updates with comment from Deutsche Post that it plans to honour the court’s

ruling)

BONN (AFX) – Deutsche Post World Net AG must immediately open the market for

collecting, sorting and franking commercial letters that weigh less than 100

grammes to competitors, a regional court in Duesseldorf ruled today.

Germany’s cartel office, which issued a statement on the ruling, ordered

Deutsche Post in February to allow competition in this portion of the mail

delivery market.

Deutsche Post responded by taking the matter to court.

A Deutsche Post spokesman said it plans to honour today’s ruling.

He added that Deutsche Post is still awaiting a final decision from the

court on whether the cartel authority’s February decision was legal.

It expects the court to come to a decision on the matter ‘in the next few

months’ the spokesman said.

Deutsche Post is scheduled to lose its monopoly at the end of 2007 as part

of an EU-wide move to liberalise the market for mail delivery.

[email protected]

amk/cml/hjp
Copyright AFX News Limited 2005. All rights reserved.

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