Year: 2003

Consolidation DP's top priority in Europe

Posted by | Oct 20, 2003 | |

Deutsche Post is looking at acquisitions in Asia, but has no plans to buy more companies in Europe or the US as it enters a phase of consolidation. Asked what funds were still available for acquisitions, chairman Klaus Zumwinkel told IFW: “We don’t really think in terms of how much we have available. We have enough financial capacity to make small, medium or even big acquisitions. But our priority for the forseeable future is not acquisitions, but to integrate and streamline the operations we have. It is here we are spending money, such as the EUR150m we are spending integrating and upgrading activities in the Benelux region. Our main priority in the US is to integrate Airborne with DHL.” He estimated DP would spend between EUR1.5bn and EUR3bn over the next three years on integrating and upgrading operations and processes.

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Brazilian Express services market heats up

Posted by | Oct 20, 2003 | |

The battle for the express delivery services of international mails in Brazil will heat up over the next months due to the increasingly demand for such service in the country. After an increase of 7% in 2002 the sector predicts 10% growth this year – with an annual income of US$120mil. Sky Postal – authorized by United State Postal Services – entered Brazil in January 2003 and spent six months developing its logistics. It currently has 100 agents and forecasts a 10% stake of the market until late 2004.

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DHL launches new link with top customers

Posted by | Oct 20, 2003 | |

Deutsche Post subsidiary DHL has launched Global Customer Solutions, a direct link to its top 100 customers worldwide who account for EUR3.2bn (USD3.7bn), or 13 of annual revenues.

Peter Kruse of DHL Europe said the hi-tech and pharmaceutical industries had expressed their need for ‘a single interface’ with the logistics giant.

The vast majority of customers will still be served at regional and local level by the existing DHL management infrastructure.

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Ceska Posta starting to feel the heat of competition

Posted by | Oct 20, 2003 | |

With the liberalization of the postal services market and companies struggling to cut costs by using the Internet more than traditional post, the monopoly era of the domestic mail delivery company Ceska Posta will be over within a few years, Aad Weening, the secretary general of the European Mail Order and Distance Selling Trade Association (EMOTA), told PBJ last week. Already facing serious competition on delivery of parcels and express mail, Ceska Posta now has a monopoly for delivery of light mail, not heavier than 350 grams. But following a decision of the Cabinet in September, the monopoly on light mail will be restricted to letters weighing up to 100 grams as of May 2004. The decision is aimed at liberalizing the Czech postal market in line with European Union requirements.

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A combined force to be reckoned with

Posted by | Oct 20, 2003 | |

While individual hauliers seem to struggle harder each year to build their business and earn a respectable margin, those who have banded together into pallet networks have never looked back.
The main UK networks, of which six or seven now claim truly national coverage, have been reporting growth levels of 40% and more. The only thing appearing to hold them back has been the limits to their hub capacity and desire to add ever more members.

Now, the market leaders are looking to differentiate their services and establish a clearer individual identity.

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South African postal services amendment bill for NCOP

Posted by | Oct 20, 2003 | |

The Postal Services Amendment Bill will be tabled for discussion in the National Council of Provinces on Wednesday 22 October. The controversial draft legislation effectively gives the SA Post Office a monopoly on handling parcels weighing less than one kilogram, leading to criticism it will put courier companies out of business. However, in a statement on Monday 19 October, the Department of Communications denied this, saying services had to provided irrespective of geographic location.

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Rail freight still in frame for UK mail delivery

Posted by | Oct 20, 2003 | |

Royal Mail chairman Alan Leighton has hinted at a continuing role for rail freight in British letter distribution.

Mr Leighton told a committee of MPs Royal Mail was still talking with six ‘operators’ about retaining a rail freight option.

‘We are not playing games,’ he said. ‘We are in these discussions because we may be able to find a solution.’

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U.S. Postal Service to set up health funds retirement benefits

Posted by | Oct 20, 2003 | |

The U.S. Postal Service intends to use $10 billion in retirement fund overpayments to set up a health benefit account for its more than 800,000 employees, the Postal Service’s chief financial officer said September 30, 2003.

Richard Strasser said the money would lay the foundation for a health benefit retirement program estimated to cost more than $40 billion.

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