Year: 2005

Ontario Court of appeal upholds Canada Post’s position on re-mailers

Canada Post announced today that the Ontario Court of Appeal has unanimously upheld Canada Post Corporation’s exclusive privilege to collect, transmit and deliver letters in Canada, including letters from Canada to the rest of the world. Mr Justice Robert Blair delivered the unanimous decision of the court dismissing the appeal by Key Mail International Inc. who challenged Canada Post’s exclusive statutory privilege under the Canada Post Corporation Act with respect to the collection, transmission and delivery of mail in Canada. The issue was whether Canada Post’s exclusive privilege prohibits others from collecting and/or transmitting letters within Canada for purposes of delivery to destinations outside of Canada.

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DX hopes ‘take-all’ proves a winner

DX Services, the business mail group, said it was well- positioned to take advantage of full deregulation of the mail sector as it reported flat preliminary results for its first year since demerging from Hays, the recruitment company. The company expected to launch in November a “take-all” service that will collect all mail. At present, users have to post items to non-business customers separately, via the Royal Mail. There was little explanation for the resignation of Peter Brougham, chief executive, in mid-August but it was understood that some shareholders had been unhappy about the group’s strategy.

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Publishers to compete with Deutsche Post

Three of Germany’s largest newspaper groups are joining forces to create what they say will become the largest competitor to Deutsche Post once the country’s postal market is fully opened to competition in 2008. Axel Springer, the publisher of the mass-market Bild tabloid, is teaming up with Georg von Holtzbrinck, publisher of the weekly Die Zeit and financial paper Handelsblatt, regional newspaper group WAZ and a private equity group from Luxembourg to set up a letter delivery group. The company, which will be run by Gunter Thiel, an experienced logistics manager, is aiming to increase its sales from an expected Euros 100m (Dollars 124m) in 2006 to Euros 1bn in 2010 by eating up market share of the former monopoly. It is the second group in a week to say it would enter the postal delivery market following Otto-Versand of Hamburg. Others are expected. The combination of three such powerful media groups – with total sales of more than Euros 6bn – highlights the attraction of a liberalised German market and illustrates why Deutsche Post has in recent years tried so hard to expand internationally and into new areas.

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Courier firm set for operational excellence in Nigeria

In its bid to the fastest and most reliable provider of express mail and logistics in the country, TNT/IAS has moved its mail operations to the mainland. Head, Corporate Affairs of the company, Mr Ifeanyi Nihe, said the decision to make some operational changes was aimed at improving its services, “TNT/IAS has always been a leading company to reckon with in terms of services. It is on record that the company is the first Nigerian company to fly cargo as express, first to establish an express training school, first to introduce overnight land shuttle delivery service’s to Lagos Island, Enugu and Abuja, just to mention a few”.

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Second bank rules out joint venture with An Post

Another bank has ruled itself out of a joint venture with An Post for a new banking service. An Post is currently accepting expressions of interest from potential joint venture partners, but Permanant TSB has already ruled itself out. Yesterday Danske Bank said it would not be submitting an expression of interest either. Danske, a Danish company,owns National Irish Bank (NIB) and a spokesman said the bank was concentrating on building up its market share. It hoped to introduce a new range of online bank accounts and mortgages shortly. Banks from Ireland and overseas have until September 19th to submit an expression of interest.

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DMA slams ‘farcical’ UK postal price controls

The DMA (UK) has hit out at Postcomm’s proposed four-year price control scheme for Royal Mail, branding the regulator’s plan to measure quality of service “farcical”. The trade body, which also questions why mailing clients should be forced to pay for Royal Mail’s pension deficit, has submitted its response to Postcomm’s consultation. David Robottom, director of postal affairs and industry development at the DMA, explains: “Price control is a complex issue that needs to be fully understood. We believe Postcomm must be wary of customer expectations of lower prices once the market opens, as they aren’t likely to change much. The plan to group products for quality of service is farcical.

“Royal Mail’s pension deficit is set to be met by users under the consultation, and we believe this is wrong. The responsibility should fall on Royal Mail and the Government, not users.”

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Belgian De Post/La Poste privatisation to be completed Oct 2005

Belgian Budget and Public Enterprises Minister, Johan Vande Lanotte plans to complete the partial privatisation of Belgian postal services company De Post/La Poste by the middle of October 2005. The cabinet intends to complete the regulation of the capital increase, the statute, the business plan and the contract with the new shareholders British investment company CVC Capital Partners and the national post office Post Denmark by the middle of October 2005 when Vande Lanotte will leave the cabinet.

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