Author: Archive

Pilots protest UPS-DHL plan

Posted by | Oct 23, 2008 | |

The Air Line Pilots Association is up in arms over DHL’s proposed service contract with UPS.
The agreement would give UPS all of DHL’s U.S. air freight business and erode competition in the air cargo market.
ALPA points to a new page on UPS’ Web site as an indication that what DHL has called a vendor contract agreement with UPS is really a poorly disguised preamble to a merger.
John Prater, President of ALPA, said, “This website reveals the true nature of this deal, which was never designed to provide better package delivery services to the North American public. Congress needs to get to the bottom of this deal, which is bad for the already struggling U.S. economy.”
ALPA contends that statements on the Web site contradict the companies’ congressional testimony that the deal is not a merger and does not violate antitrust regulation.

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China regulators penalize FedEx over letter deliveries

Posted by | Oct 23, 2008 | |

The State Post Bureau said local regulators in the city of Tianjin and in Sichuan province imposed penalties on China units of FedEx Express earlier this month for delivering letters, in violation of the China Post Group’s legal monopoly.
The bureau said in a statement that the Tianjin regulator imposed unspecified “administrative penalties” while the Sichuan regulator fined the local branch of FedEx 3,000 yuan.
China opened its domestic express market to foreign competition at the end of 2005 in accordance with promises made on entering the WTO. However, postal law still restricts letter delivery to China Post Group
The penalties are the first to be levied against a foreign express courier.
“FedEx is currently working with the authorities to ensure full compliance with local laws and regulations. We are not at liberty to discuss details,” said a media officer with FedEx China.

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Fedex Ground says drivers are independent

Posted by | Oct 23, 2008 | |

Shipping company FedEx Ground repeated its claim that its drivers were independent contractors after the U.S. government dropped a large tax claim against it.
The Internal Revenue Service withdrew a USD 319 million tax claim against FedEx Ground Wednesday, the Memphis, Tenn., Commercial-Appeal reported.
The company said it was “pleased” with the decision, which was based on the 2002 tax year and included possible interest penalties on top of the base sum of USD 319 million.
“We continue to believe that FedEx Ground’s owner-operators are independent contractors and that no loss is probable in this matter,” company spokesman Maury Lane said.
“This is huge,” said industry analyst Art Hatfield of Morgan Keegan.
“Basically the federal government is saying these people are not employees. I think it’s very substantial for the government to come out and say, ‘We’re withdrawing this.'”
“It’s an admission their premise was wrong,” Hatfield said.

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TNT sets up new gateway at Osaka Kansai International Airport

Posted by | Oct 23, 2008 | |

TNT announced the opening of its new International Gateway at Japan’s Osaka Kansai International Airport. The TNT International Gateway in Osaka Kansai will not only strengthen the express service capability of TNT’s Northeast Asian International Express Network, it will also shorten the transit time for deliveries into Osaka, from China by one day.
TNT customers will now be able to enjoy the one-stop comprehensive express delivery service between China and Osaka, one of Japan’s key manufacturing hubs, in the shortest possible time. Consignments, leaving Shanghai and other Chinese coastal cities, can now be delivered directly to Osaka Kansai. This time saving is crucial for TNT customers mainly in the electronics and apparel/ textile industries, where time critical deliveries remain one of its most important competitive advantages.
At the same time, Vietnam which has been poised as one of Asia’s key manufacturing economies and is one of the fastest growing exporting countries to Japan in Asia, will also benefit from the shortened transit times to Osaka Kansai.

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UPS releases 3rd quarter results

Posted by | Oct 23, 2008 | |

UPS reported diluted earnings per share of USD 0.96 for its third quarter on a 7.4pct increase in revenue. This represents an 8.6pct decline from the USD 1.05 per share reported on an adjusted basis for the comparable 2007 quarter. The company’s international and supply chain businesses demonstrated strength despite a challenging global economic environment.
Unadjusted diluted earnings per share of USD 1.02 for the 2007 third quarter included a restructuring charge and related expenses for a supply chain business in France. Diluted earnings per share for this year’s third quarter declined 5.9pct compared to this amount.
“UPS managed the business well in this very tough economic climate,” said Scott Davis, UPS’s Chairman and CEO. “We continue to see growth in our international and supply chain businesses while maintaining our focus on cost control and revenue management throughout our organization. UPS also is investing to ensure growth in the future so that the company will be even stronger when the global economy rebounds.”

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EcoTherm choose DHL (UK)

Posted by | Oct 23, 2008 | |

EcoTherm Insulation (UK) has chosen DHL Exel Supply Chain to provide dedicated distribution services in a five-year deal worth GBP 10 million.
Under the agreement DHL will introduce and manage the entire distribution requirement for the company, which makes rigid thermal insulation boards, delivering product to merchants and distributors across the UK.
As part of the contract, DHL will introduce a core fleet of EcoTherm liveried vehicles and plans to develop agreements with hauliers to provide additional capacity to handle peaks in demand.
The company hope this co-ordinated approach, which includes finished goods distribution, supplier collections and the use of ‘high-cube’ trailers to accommodate larger customer orders, will enhance lead times.
Marsh added that partnering with DHL will help the company to drive down costs and inefficiencies as well carbon emissions.

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Singapore hosts 15th ASEAN postal business meeting

Posted by | Oct 23, 2008 | |

Singapore’s Minister for Information, Communications & the Arts, Dr Lee Boon Yang, opened the 15th ASEAN (Association of Southeast Asian Nations) Postal Business Meeting (APBM), hosted by Singapore Post (SingPost).

About 50 delegates from the 10 ASEAN countries namely Brunei Darussalam,
Cambodia, Republic of Indonesia, Lao People’s Democratic Republic, Malaysia, Union
of Myanmar, Republic of the Philippines, Singapore, Thailand and the Socialist Republic
of Viet Nam, as well as ASEAN countries ie People’s Republic of China, Hong Kong,
Japan, India and the Republic of Korea, are attending the meeting in Singapore.
Meetings

The Singapore Meeting will begin with the election of the new Vice-Chairperson and the
adoption of the business timetable. Malaysia holds the chairmanship of the ASEAN
Postal Business Meeting.

During the two-day Meeting, senior postal officials from the 10 ASEAN countries will
receive updates from the 24th Universal Postal Union (UPU) Congress and its impact on
ASEAN, and will discuss the leveraging on Singapore and Indonesia, both of which were
recently re-elected into the Postal Operations Council (POC), as the conduit for
UPU/POC information between the ASEAN members and the UPU/POC, as well as
establishing funding projects that can reinforce ASEAN’s collective competitiveness as a
region, so as to realise equitable and sustainable growth. The meeting will also provide
updates from the previous meeting held in Philippines on 4-5 September 2007.

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DHL Express launches TransPacific partnership with Polar Air Cargo

Posted by | Oct 23, 2008 | |

On Monday, October 27, DHL Express will launch its TransPacific partnership with Polar Air Cargo, a subsidiary of Atlas Air Worldwide Holdings, Inc. The inaugural flight will take off at Hong Kong International Airport (HKG) with destination Wilmington (ILN) at 16:00 hrs, local time.
A Block Space Agreement (BSA) guarantees DHL Express access to 6 Polar Air Cargo Boeing 747-400F aircraft that will serve eight key destinations in Asia and the U.S. The partnership strengthens DHL’s leading position in the international express market through an improved offering on one of its major intercontinental trade lanes.
DHL will utilize Polar Air Cargo’s scheduled weekday flights from Los Angeles, Wilmington and New York via Anchorage to the Asian destinations of Hong Kong, Shanghai, Seoul and Tokyo. In addition, the partnership also covers an extended weekend schedule, with flights to Honolulu, Sydney, Sharjah and Leipzig.
Volume on DHL’s TransPacific routes has been steadily increasing in recent years and despite a slowdown in 2008, overall TransPacific air cargo volume is expected to show double digit growth in the mid-term.

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