Royal Mail is heading for a fresh clash with the industry regulator after warning Postcomm that its plans for giving rival operators access to Royal Mail’s local delivery network will cost the state-owned organisation £650m in profits over the next three years.
Senior executives say the loss-making business could be forced to raise the price of letters and other postal products or curtail the universal service unless Postcomm revises its proposals.
FedEx Corp. and United Parcel Service were the big winners when the U.S. Department of Transportation tentatively awarded six airlines Monday the right to operate all-cargo services between Hong Kong and other cities outside the U.S. FedEx and UPS together received tentative rights to 25 of the 40 additional slots available to U.S. cargo carriers under a new bilateral agreement. The express carriers each won the right to six flights immediately to their Asia regional hubs in the Philippines. They have already been operating those flights under interim authority granted by DOT last November.
Read MoreFedEx and UPS were the big winners when on Monday the U.S. Department of Transportation tentatively awarded six airlines the right to operate all-cargo services between Hong Kong and other cities outside the U.S.. FedEx and UPS together received tentative rights to 25 of the 40 additional slots available to U.S. cargo carriers under a new bilateral agreement. They each won the right to six flights immediately to their Asia regional hubs in the Philippines. They have already been operating those flights under interim authority granted by DOT last November.
Read MoreA U.S. investment group completed the purchase of DHL Airways yesterday, a move company officials hope will ease concerns about the sale of part of Seattle-based Airborne Express to DHL Worldwide.
The group paid $57 million for DHL Airways, which will operate as ASTAR Air Cargo and be based in Miami. The company will be led by DHL Chairman and Chief Executive John Dasburg.
The sale of Airborne’s ground-delivery service to DHL Worldwide raised concern with Airborne rivals Federal Express and United Parcel Service, which complained to the U.S. Department of Transportation that a foreign company controlled DHL Airways.
Read MoreKlaus Zumwinkel, head of German postal service operator Deutsche Post, and management board member Uwe Dorken are reported by a company source to have been called to bear witness in a US court next month in the dispute regarding the ownership structure of DHL Airways (DHLA), the US airline. The German company is reported to have raised objection to the summons.
FedEx and UPS are maintaining that the German company’s stake in DHLA violates US law, while Deutsche Post is arguing that its stake represents only a minority interest, and therefore complies with US legislation. However, the German company is still planning to sell its stake in DHLA, after which it will no longer operate an owned airline in the US.
Read MoreUnited Parcel Service [UPS] has announced plans to invest USD100 million to link its Hong Kong and Cologne hubs, giving European customers improved access to the Asia-Pacific region. The move would add a major spine to UPS’ global network, and boost Hong Kong’s status as a key Asian gateway.
Pending regulatory approval of a second tranche of aviation rights, UPS is preparing to establish a direct air link between Hong Kong and its European hub in Cologne, Germany. UPS has applied for an extra 18 weekly flights in total, six of which would operate between Hong Kong and Cologne. The US company hopes to see the first of these flights take off in October.
Read MoreAcquisition creates new US logistics giant
Read MoreThe government on Tuesday submitted a bill to parliament to liberalise postal services
Under the communications ministry bill, deregulation will come into force after 2009 in line with EU rules.
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