Year: 2005

UPS buys US truck operator

Posted by | May 20, 2005 | |

United Parcel Service’s advertising slogan asks: “What can Brown do for you?” On Monday, the answer grew longer when the company, known for its brown delivery trucks, agreed to buy Overnite Corporation, a US truck operator, for Dollars 1.25bn.

The deal adds ground freight transportation to a growing list of logistics services offered by UPS, as the company diversifies beyond its original package delivery business.

Last year, UPS increased its heavy airfreight capability through the acquisition of Menlo Worldwide Forwarding and the company has a fast-growing supply chain management business, which helps customers co-ordinate their movement of goods around the world.

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Irish Mail failure may lead to An Post prosecution

Posted by | May 20, 2005 | |

An Post could face prosecution following its failure to deliver mail earlier this week to rural areas in Co Mayo.

No post was delivered to 125 homes in the Ballynew area of Castlebar on Wednesday, while on Monday last, about 130 homes in the Glenisland area were without a mail delivery.

The Communications Workers Union says the reason for these, and other delivery failures throughout the country, is due to a staff shortage because of the recruitment ban in place since 2003. However, An Post claims it needs changes to work practices to provide customers with a high quality mail service.

A Labour Court adjudication is expected shortly on proposals made to the union.

The Consumers Association of Ireland is considering prosecuting An Post under the Sale of Goods and Supply of Services Act, for failure to deliver mail.

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Calls for repeat of Deutsche Post AGM

Posted by | May 20, 2005 | |

German postal services provider Deutsche Post has been called on by representatives of the local authorities in the German federal state of Lower Saxony to reconvene the AGM. Wulf Haack, managing director of the association of local authorities, explained the demand by saying that the supervisory board had made a formal error at Wednesday’s AGM when it omitted to hold a vote on an application to save smaller franchises in Lower Saxony from closure.

Deutsche Post came under fire from local authorities across Germany at the AGM for its decision to close branches in Lower Saxony. Mr Haack said that this strategy was unjustifiable, particularly as Deutsche Post had emphasised in its annual report how a widespread presence was a major factor in achieving success. He also accused Deutsche Post of losing all sense of its public duty following its privatisation and of not listening to the many issues raised by customers and its franchise operators.

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German Leipzig/Halle airport set to be DP/DHL main hub

Posted by | May 20, 2005 | |

The Leipzig/Halle airport’s 290 mln eur expansion can go ahead, according to a ruling by the federal administrative court here that paves the way for Deutsche Post AG’s DHL unit to make the airport its main European hub.

The German court said the expected level of aircraft noise at night resulting from the expansion — which includes a new runway and 24-hour service — is acceptable.

DHL said in November last year it will shift operations to Leipzig from Brussels in 2008 after the Belgian government insisted the company invest in quieter aircraft for night flights, a demand DHL was unwilling to meet.

The unit plans to employ about 3,500 staff in Leipzig by 2012.

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Parcelforce moves back into profit

Posted by | May 19, 2005 | |

Parcelforce has just about moved into modest profit after a decade of losses. It reported a profit from operations in the second half of the financial year, although for the year it lost GBP13m on a turnover of GBP298m. The loss is an improvement on last year when Parcelforce lost GBP54m. Turnover increased by 5.6%. ‘The business‘s radical restructuring, with a focus on express, time guaranteed services for customers is paying off,‘ says Allan Leighton, Royal Mail chairman.

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Parceline to invest GBP20m in new sites

Posted by | May 19, 2005 | |

GeoPost UK Chief Executive Kay Phillips revealed this week that Parceline is investing GBP20m in adding six new sites to its network. Chelmsford and Newcastle are site upgrades and Gloucester, Maidstone, Preston and Warrington will be purpose built. Parceline will increase its depot square footage by 50% by 2007. In addition, the carrier has committed to build a second UK hub at an expected cost of GBP33m and capacity of 250-300,000 parcels per night; a further GBP12m will be spend to replace its hub in Ireland.

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Swedish NCC Signs Logistics Services Agreement with DHL

Posted by | May 19, 2005 | |

Swedish construction and real estate management group NCC has signed an agreement with German express mail delivery group DHL, a subsidiary of postal operator Deutsche Post, on the provision of logistics services, it was reported on May 18, 2005.

The value of the deal was not disclosed. The agreement includes the transportation of construction materials as well as express delivery of documents.

The agreement will help NCC further reduce construction costs. Sweden is considered a country with high construction costs and the advantages of the contract with DHL will help NCC work against that trend, Kent Eriksson at NCC said.

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DHL spearheads competitive drive with appointment of Tender Manager for UK and Ireland

Posted by | May 19, 2005 | |

DHL has appointed Tony Kells to Head of Tender Management, UK & Ireland. Tony moves into this role from senior field manager for DHL’s key accounts where he was responsible for managing a national sales team.

In this newly created position, Tony will manage DHL’s UK and Ireland tender unit, which includes responding to and seeking customers’ multi-product tender requests across the whole of DHL’s proposition from Express, Freight, Mail and Solutions, through to Danzas Air and Ocean.

Tony will also work closely with other DHL functions such as customer operations in order to enhance DHL’s benchmarking system and to ensure best practice as part of the tender process.

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