Author: Archive

Deutsche Post rejects EU allegation It misused government subsidies

Posted by | Sep 12, 2007 | |

German postal services and logistics company Deutsche Post AG said Wednesday it rejects the allegation made by the European Commission that it misused German government subsides.

The European Commission Wednesday said it has opened an investigation to probe all public funds granted to Deutsche Post since 1989.

Deutsche Post spokesman Dirk Klasen said it was “incomprehensible” that Germany and Deutsche Post – which are leading European postal service liberalization – were being investigated by the commission.

E.U. law states that every country’s national post company is bound to serve all regions in that country, including those which are unprofitable because they are hard to reach or are sparsely populated.

The commission said earlier Wednesday that Deutsche Post’s competitors allege the former monopoly used this money to expand commercial activities and to sell services too cheaply to its subsidiaries DHL and Postbank AG, which is banned under E.U. law.

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DHL Malaysia has a win-win relationship with Transmile

Posted by | Sep 12, 2007 | |

DHL Express (Malaysia) has not been affected by the financial debacle in Transmile Group Bhd, DHL Malaysia country manager Sam Leong said.

Despite facing internal problems, Transmile had been able to deliver on its commitment to DHL and there had been no change to DHL’s relationship with the cargo carrier, he said.

Transmile provides express air cargo service to DHL, which is also the former’s single biggest customer. Transmile has said that DHL is expected to contribute almost half of Transmile’s revenue from July 2007 to June 2008.

Leong also pointed out that the relationship was good for DHL because Transmile operated out of Subang airport.

He also revealed that he received many calls in the first few weeks when the troubles in Transmile emerged.

Transmile has since put in place a new management team, led by group managing director Wong Yoke Ming, in the aftermath of its financial debacle.

The new management team is currently developing a strategic roadmap to bring the company back to profitability in the next three to five years.

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DHL introduces e-invoicing to improve efficiencies

Posted by | Sep 12, 2007 | |

DHL shared its e-invoicing experiences with delegates at the EXPP European Summit 2007 in London. DHL is automating its accounts receivable (AR) processes across Europe with an e-invoicing service from Accountis Europe Ltd, an international provider of secure financial document exchange and payment systems.

Brian Thumwood, e-billing programme manager for DHL, spoke to around 300 delegates at the e-invoicing and e-billing summit, where he launched the company’s Flash demonstration of its e-invoicing application.

The Flash demonstration takes customers through the e-invoicing process step-by-step, allowing them to see the many benefits it will bring to their business before they register.

With the implementation of Accountis EIPP (Electronic Invoicing Presentment and Payment), all DHL’s paper invoices from 13 European countries will now be generated and delivered electronically, resulting in a much faster and cost-effective process for DHL and its European customers. DHL’s operations in Belgium and Switzerland have been the first to experience the benefits of Accountis EIPP, with the remaining 11 countries coming online in the near future.

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DHL Express Singapore appoints new CFO

Posted by | Sep 12, 2007 | |

DHL today announced the appointment of Shoeib Reza Choudhury as chief financial officer, DHL Express Singapore, with effect from September 4. Shoeib succeeds Dennis Tan, who recently took up a global position in Bonn, Germany.

As CFO, Shoeib’s key responsibilities include managing DHL Express Singapore’s assets and working capital. He is also entrusted with developing the annual financial plan and providing internal and external financial reporting that is produced in accordance with all local regulations and accounting standards. Shoeib was previously vice-president, Asia Pacific Business Controlling.

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European courier TNT eyes Subic logistics facility

Posted by | Sep 12, 2007 | |

European courier TNT NV is looking at the possibility of taking over the Subic Bay logistics facility that will be vacated by US-based Federal Express when it relocates its Asia-Pacific hub operations to Guangzhou, China next year.

Sources said the Dutch courier, in line with its expansion binge amid increased traffic in the region, could be eyeing the Subic facilities currently being used by FedEx for its Asia- Pacific regional hub operations.

Earlier, the country tried to lure another foreign courier to take over the facility, which is adjacent to the Subic Bay International Airport.

European courier DHL International GmBH has announced as early as last year that it was definitely not taking over FedEx’s facility in Subic.

US-based United Parcel Service of America Inc., on the other hand, has a hub in Clark, Pampanga.

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Blue Dart calls for dedicated cargo space in top airports

Posted by | Sep 12, 2007 | |

Courier major Blue Dart Express is in talks with airport operators in Delhi, Mumbai, Bangalore, Hyderabad and Kolkata for dedicated cargo space to be shared with its international parent company, the DHL Group.

In these major airports, the express company is looking at taking around 15,000-30,000 sq metre of space while in smaller ones like Kolkata, the space requirement would be below 5,000 sq metre.

The move will help cut down on turnaround time for loading and unloading cargo and courier in airports, Blue Dart managing director Anil Khanna told ET.

We are keen on dedicated cargo space in major airports with access to both air and city sides. The private airport operators are receptive to our needs, Mr Khanna added. While Delhi and Mumbai airports are getting upgraded and modernised, Bangalore and Hyderabad will have new greenfield airports by middle of next year.

Blue Dart already has some dedicated space in the Delhi airport but company executives said there is a need to expand this further with growing demand from the air expresss business. The turnaround time at airports is key to our business, Mr Khanna said. Most of the metro airports currently undergoing upgradation, including greenfield projects in Bangalore and Hyderabad, plan to have dedicated cargo terminal.

The courier and package distribution major has chalked out plans to invest about Rs 1,000 crore over five to eight years to expand its infrastructure and ground services.

This will be funded through our internal accruals, Mr Khanna said. Blue Dart plans to expand aircraft fleet, ramp up group handling facilities and double warehousing capacity from the current one million sq ft. Its ground express service would cover 17,500 locations around the country from around 14,600 at present over the next five years. We plan to have 20 pct market share of the ground segment by 2015, he added.

The size of organized ground handling segment is pegged at around Rs 1,200 crore, which is just about 30 pct of the total market. The remaining market is dominated by local players. Blue Dart has over 40 pct market share of the domestic air express segment.

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Green Office award underscores DHL’s commitment towards environmental sustainability

Posted by | Sep 12, 2007 | |

DHL today announced that its Singapore-based Asia Pacific Regional Office at Parkview Square has been successfully certified as a ‘Green Office’ by the Singapore Environment Council, making it the first and only international company in the industry to be awarded the label here.

DHL is one of the 10 corporate and government offices in Singapore to have made the cut, passing a rigorous audit covering indicators such as environmental policy and commitment, energy consumption, paper usage, purchasing practices especially those related to IT, focus on recycling, as well as training linked to environmental issues.

Some of the best practices adopted by the regional office include installing water saving devices, converting to energy saving lights, reducing the extent of lighting and elimination of disposables, as well as switching to recycled paper and encouraging double-sided printing. The office has also introduced a Let’s Go Green campaign to educate the employees on environmental-friendly practices, and encourage them to do their part for the environment.

By adopting these effective measures, DHL’s Asia Pacific Regional Office has significantly reduced its electricity and water consumption by 30 pct and 25 pct respectively.

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US marketers spending less on advertisements

Posted by | Sep 12, 2007 | |

Total advertising spend in the first half of 2007 went down 0.3 percent to USD 72.6 billion versus the same period in 2006, according to data released today by TNS Media Intelligence, a provider of advertising and marketing information.

Internet display advertising held tight to its growth leadership position with a 17.7 percent increase to USD 5.5 billion in ad-spend.

Consumer magazines experienced a 6.9 percent increase to USD 11.5 billion in advertising.

Outdoor advertising investments were up 3.6 percent to USD 1.9 billion and cable TV followed with a 2.8 percent increase to USD 8.3 billion.

Broadcast TV media continued to experience weakness in the second quarter and turned in significant half-year declines.

Network TV expenditures went down 3.6 percent to USD 11.8 billion, while ad spend on Spot TV dropped 5.4 percent to USD 7.3 billion. Syndication TV was down 5.3 percent to USD 2.00 billion.

Newspaper and radio plummeted during the second quarter. For the half-year period, ad spending in local newspapers plunged 5.7 percent to USD 11.1 billion on a reduction of 4.7 percent in space sold. Marketers lowered their radio advertising budgets by 2.7 percent, to a total of USD 5.1 billion.

Internet display advertising swelled to 7.6 percent of total expenditures, up from 6.4 percent a year ago. Magazines gained 0.9 share points and finished the period at 20 percent of ad spending. Newspapers lost one full share point and slipped to 17.8 percent of total expenditures. National television and local television each lost share but still accounted for a combined 43.6 percent of all expenditures.

In the first half of 2007, the top 10 advertisers spent a total of USD 9 billion, a decrease of 2.2 percent from last year.

Second quarter spending for this group was up slightly, bouncing back from a steep 5.1 percent decline during the first three months.

Financial Services maintained its top position with USD 4.5 billion in expenditures, up 3.5 percent. Higher spending from retail banks offset reductions by credit card brands.

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