Tag: Courier/Express/Parcels

DHL and TNT launch Hungary logistics centers

Posted by | Nov 13, 2007 | |

DHL inaugurated a USD 26 million logistics centre in Budapest.

The new centre consists of a 7,000 sq m warehouse and a 4,200 sq m office complex.

Dutch express delivery company TNT Express has opened a 1,200 sq m distribution centre in the Hungarian city of Szombathely, near the border with Austria, on November 5.

TNT said in September it planned to invest USD 3.89 million at its unit in Hungary in 2007. TNT Express said it would spend USD 1.68 million on improvements at its cargo base at Ferihegy Airport, USD 988,000 on IT investments and USD 1.23 million on other developments.

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TNT Express wins Hanse Globe 2007 award

Posted by | Nov 13, 2007 | |

TNT Express has won the new “Hanse Globe 2007” award for sustainable logistics organised by the public-private body Logistik-Initiative Hamburg.

“Many companies have applied with their future-oriented projects,” commented Dr. Mojib Latif, professor for ocean circulation and climate dynamics at Leibniz Institute for sea sciences in Kiel and chairman of the jury. “TNT’s worldwide sustainability project ‘Planet me’ for the reduction of CO2 emissions was very convincing,” he said. “It comprises the whole TNT business worldwide, including 31 locations in Germany.”

In Germany, for example, TNT Express deploys 156 natural gas vehicles in cities that produce hardly any emissions, as well as ecological vans with soot particle filters and modern technologies for route optimizing.

Additionally, the company has invested in 60 video conference systems to reduce business trips, and builds new branches taking environmental issues into account. In the new Hamburg-Allermöhe depot, for example, an integrated leafy roof area makes for a better heat balance and a convenient micro-climate. Moreover, TNT minimises its consumption of water, energy and electricity.

The Logistik-Initiative Hamburg brings together some 300 companies and institutions in Hamburg with the aim of developing the city’s position as the leading logistics metropolis in Northern Europe.

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USPS rolls out discounts

Posted by | Nov 13, 2007 | |

With express shipment rate discounts running deep, there’s another competitor tapping the stream – the U.S. Postal Service.

Under new postal regulations released Oct. 29, the USPS will be able for the first time to discount rates for high volume shippers and negotiate special contract terms.

The final rules, released by the Postal Regulatory Commission Oct. 29, also treat Priority Mail and Express Mail as “competitive” products, which means they are exempt from price caps placed on “market dominant” products.

The final rule – issued eight months before a statutory deadline – implements the Postal Accountability and Enhancement Act of 2006.

Analysts as well as officials from UPS and FedEx say prices have been holding firm – and FedEx recently announced its biggest base rate hike of the decade for 2008.

With the recent tentative pact reached with Teamsters, UPS will be hard-pressed not to follow FedEx with a substantial base rate increase. And, as shippers and their consultants say, the carrier is likely to offer discounts to maintain the customer base.

With the USPS in the mix, the discount competition is going to become even more pronounced.

In some cases USPS is a major customer of the other express carriers. But the postal service announced in September it would be aggressively pursuing the package business – that segment’s profits could be used to bolster letter and other operations.

The USPS also has turned up the heat as a competitor. The postal service this summer announced all-time performance bests for national on-time delivery of first-class mail in the third quarter.

Overnight service was 96 percent on-time, up from 95 percent for the same period last year. Two-day service was 93 percent on-time and three-day service was 91 percent on-time.

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German government coalition parties fail to agree on postal minimum wage

Posted by | Nov 13, 2007 | |

German government parties conservatives CDU/CSU and Social Democrats SPD last night failed to agree on the introduction of minimum wages for postal workers.

In a meeting of a mutual committee governing coalition issues, the two parties were set to decide whether a minimum wage agreement concluded between Deutsche Post World Net AG and services union ver.di will be extended to the whole industry.

Kurt Beck, head of SPD, said after the meeting chancellor Angela Merkel suggested a single minimum wage of 8 eur per hour instead of the 8-9.80 eur range of Deutsche Post’s wage agreement.

Volker Kauder, head of CDU/CSU’s parliamentary faction said this agreement did not match requirements to be extended to the whole industry.

The government earlier agreed to make the agreement mandatory for Deutsche Post’s competitors if it covers more than 50 pct of postal workers.

Deutsche Post’s competitors, mostly TNT NV’s TNT Post and Pin AG, will lose their cost advantages if Deutsche Post’s minimum wage agreement is extended to the whole industry.

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ABX says DHL won’t pay

Posted by | Nov 13, 2007 | |

The express subsidiary of Deutsche Post World Net stopped making full reimbursements for leasing services, ABX said in an SEC filing. ABX provides aircraft, crew, maintenance and insurance for DHL in the United States.

According to the form 8-K filing, DHL asserts that certain ABX Air expenses are no longer eligible for reimbursement in full by DHL under their agreements because ABX Air’s revenue from other customers has exceeded a 10 percent threshold of total ABX revenue. ABX said that DHL’s calculation does not include certain fuel expenses. Recent costs incurred while fending off an unsolicited tender offer from ASTAR are also in dispute.

The announcement comes just one week after ABX disclosed an agreement to purchase for about USD 350 million charter and leasing specialist Cargo Holdings International, whose customer list includes DHL competitors UPS and BAX, as well as business from the U.S. government and the U.S. Postal Service.

ABX Air said it is reviewing its options while continuing to maintain full service to DHL and its customers.

“As the events described in our 8-K filing indicate, our decision to declare DHL in default of our ACMI and Hub Services commercial agreements was taken only after intensive efforts on our part to resolve this issue directly with DHL, or to continue normal operations under explicit language in the agreements for working together while disputed matters are resolved through arbitration,” said Joe Hete, president and CEO of ABX Air.

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