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Austrian Post: Solid development in Q1-Q3 2007

Austrian Post performed very positively in the first nine months of 2007. Austrian Post increased its total revenues by 31.2 pct, to EUR 1,667.3m. A major contribution to the growth in revenues (about EUR 360m) can be attributed to the initial inclusion of trans-o-flex (Parcel & Logistics Division), which was acquired at the end of 2006. On balance, revenues from the Mail Division were up 3.3 pct during the first three quarters of 2007, and the Parcel & Logistics Division improved by 225.1 pct in the same period. In contrast, the Branch Network Division posted a decline in revenues of 2.5 pct. Austrian Post’s performance in the third quarter basically followed the same pattern. Total Austrian Post revenues improved by 34.4 pct in Q3 2007, to EUR 550.4m. Revenues in the Mail Division increased by 6.1 pct compared to Q3 2006, the Parcel & Logistics Division improved by 234.5 pct, whereas Branch Network Division revenues fell by 1.2 pct.

The structure of the income statement of Austrian Post has changed considerably as a result of the consolidation of trans-o-flex, which features a very flexible cost structure, comparatively low staff costs and a high level of external services used. Accordingly, Austrian Post’s staff costs now only comprise about 50 pct of total revenues (previously more than 60 pct), whereas the share of expenses for raw materials, consumables and services used has climbed to roughly 29 pct of total revenues (previously about 15 pct).

In the first three quarters of 2007, the EBIT (earnings before interest and tax) of Austrian Post increased by 26.2 pct, to EUR 118.3m, in comparison to the preceding year. Accordingly, the EBIT margin amounted to 7.1 pct. In Q3 2007, Austrian Post achieved an EBIT of EUR 33.3m, up from EUR 27.4m in Q3 2006.

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Today’s Holidays Need Today’s Mail

CardStore (usps.com/cardstore) allows customers to create greeting cards and add a gift card from one of 20 national retail outlets. Use personal photos or choose from more than 50 card designs, including traditional, religious, multi-cultural and non-denominational images and greetings.

Other online options for holiday greetings include Click2Mail and Premium Postcards. Click2Mail provides the perfect solution for end-of-year holiday letters and can be sent by First-Class Mail or Standard Mail rates. Premium Postcards can be created in black and white or full color to announce new holiday products or discounts, send a personal greeting or thank customers for their support throughout the year.

Customized postage has two parts: a customer-supplied image and a state-of-the-art, secure barcode. All customized postage is compatible with the Postal Services’ automated mail processing systems. It can be used on First-Class Mail, Priority Mail and Express Mail for personal and commercial use.

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UPS Applauds New U.S. – Peru Free Trade Deal

UPS today congratulated members of the House of Representatives for the strong bipartisan support of the U.S.-Peru Free Trade Agreement (FTA).

“The new agreement between the United States and Peru removes significant trade barriers and provides important economic opportunities for the citizens and businesses of both countries,” said Alan Gershenhorn, president of UPS International. “The new trade opportunities will help increase global competitiveness for both economies.”

In the past three years, U.S. commerce with Peru has doubled, totaling more than $8.8 billion in 2006. More than 5,000 U.S. companies currently export to Peru, the vast majority being small- and medium-sized companies that will benefit from the provisions within the trade agreement.

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Postwatch release UK Post office research

Postwatch has released research on standards of service at post offices – focussing in particular on queuing, facilities and quality of advice. This research was conducted by Ipsos MORI, and builds on a similar exercise we undertook last year. Some of the main findings are:

– The overall average waiting time increased from 4 minutes 6 seconds in 2006 to 4 minutes 48 seconds in 2007.
– Between 2006 and 2007 there have been some notable improvements in facilities for customers with disabilities, with only 2 percent of post offices not having any facilities, compared to 10 percent in 2006.
– In over 90 percent of occasions, customer advisors correctly suggested Special Delivery as the most appropriate way of sending an item.

Good news that post offices are making progress in improving facilities and customer advice. Improvements for customers with disabilities are particularly welcome.

It is of concern, however, particularly given the forthcoming closure of 2,500 post offices, that queuing times have increased. This research should ensure Post Office Ltd is alert to potential pressures in the network. Postwatch will continue to locally monitor queuing at branches and raise concerns any problems we find with Post Office Ltd.

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Pitney Bowes Opens Regional Headquarters in Singapore

Pitney Bowes Inc., the leading mailstream technology company, today announced plans for expansion in the Asia Pacific and Middle East region with the opening of its regional headquarters here.

The new 3,500sq ft headquarters, located at Keppel Towers, will be a strategic hub providing a comprehensive suite of mailstream hardware and software solutions, and services for the region. It will provide support to the Pitney Bowes’ offices in Asia Pacific markets such as Australia, China, Hong Kong, Japan, Korea, New Zealand and Thailand, as well as the Middle East.

Pitney Bowes employs 1,000 people in the Asia Pacific and Middle East and the region currently contributes approximately 10 per cent of the company’s non-US revenues.

Pitney Bowes is well positioned with an all encompassing suite of business solutions as well as products and services for document creation to production, distribution and management. With the recent formation of a new Pitney Bowes Software organization, created by the merger of Group 1 Software, a leader in enterprise data quality and data integration software, and MapInfo, which specialises in location intelligence software, data and services, Pitney Bowes is well poised to provide the most comprehensive and accurate consumer and business-to-business data for marketing or business transactions.

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Austrian Post to cut jobs in parcels business as part of three-point plan

The supervisory board of Oesterreichische Post AG (Austrian Post) has agreed to reduce the number of employees in its parcels business in order to compensate for the loss of a major client from next year.

In a statement, Austrian Post said its board has given the go-ahead for a three-point plan, which involves reducing the number of employees in the parcels division, implementing further acquisitions in the B2B segment, and the upgrading of its delivery service.

The ‘service offensive’ plan comes after Austrian Post last week said it will lose catalogue-order company Quelle Oesterreich as a major client from next year, and issued a warning saying it expects operating results to be reduced by around 20 mln eur a year as a result.

No changes will be made to the existing board of directors, Austrian Post said.

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UPU directors to run for second mandate

UPU Director General Edouard Dayan and Deputy Director General Guozhong Huang, from France and China respectively, announced they would run for a second mandate from 2009–2012.

Both made the announcement during the 2007 Council of Administration session, which ended at UPU headquarters in Berne. No other candidates have so far come forward to vie for the top UPU management positions. The Director General and Deputy Director General positions are elected by member countries at the UPU Congress. The next UPU Congress will take place from 13 August to 3 September in Nairobi (Kenya).

Great Britain also announced it would run for the chairmanship of the Postal Operations Council (POC) from 2009–2012. The POC is the 40-member UPU body that deals with operational and technical issues regarding the postal sector.

In other news, Kenya approved the choice of Chile’s Mario Felmer Klenner as the Doyen of the 24th UPU Congress. Felmer Klenner is a former Director General of Chilean Post. As someone with extensive postal experience, the Congress Doyen has a ceremonial and diplomatic function and is charged with officially opening the Congress.

Qatar also extended an invitation to host the 25th UPU Congress in 2012. A final decision will be taken at the Nairobi Congress.

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PalletFORCE member, Gordon Leslie, growth underlined by move

Scottish transport company – and Member Depot of the PalletFORCE palletised distribution network – Gordon Leslie Distribution has moved into a new site to enhance the service it can offer to customers.
The move came after an intensive period of growth at Gordon Leslie. The company has recently completed its third year of trading since returning to family ownership; during that time sales have risen from GBP 2.5m to GBP 5.5m. At the same time, long term Gordon Leslie customer and partner London City Bond – a supplier of bonded warehouse facilities to the wine trade – required an expansion of service. Goods are stored under bond and transported from London to Glasgow by Gordon Leslie, from where its distribution fleet conducts onward delivery to hotels, restraunts and trade centres throughout Scotland.
The 110,000 sq ft depot is built on 6½ acres of land at Hillington Park, Scotland’s largest park. Strategically located on the M8 corridor between Glasgow City Centre and Glasgow International, it is ideally placed for Gordon Leslie’s needs. The company has invested in significant refurbishment and security of the site to protect both its fleet and warehoused goods.

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