Tag: DHL

Deutsche Post World Net and HP sign letter of intent to transfer global IT functions

Deutsche Post World Net and HP today announced that they have signed a letter of intent to transfer responsibility for parts of Deutsche Post World Net’s global IT operations to HP Services.

Under the terms of the agreement, Deutsche Post World Net expects to save at least 1 billion euros over the next seven years by driving down overall IT costs and better leveraging IT resources needed to run the business and service customers. The companies expect to reach a definitive agreement by mid 2008.

If an agreement is reached, HP would take over the approximately 2,500 employees who currently provide the services for Deutsche Post World Net’s data center operations – including information & data management, infrastructure & network management, and application management. Specifically this would cover IT operations in Prague, the Czech Republic, Scottsdale, Arizona, and Cyberjaya, Malaysia, as well as in a number of European countries.

All applications used by Deutsche Post World Net customers will continue to be designed, developed and governed internally, including IT security standards and their implementation. Deutsche Post World Net will also retain the Professional Services and Customer Integration Supply Management components of its IT Services unit, including project management, project consulting, application development and deployment services, as well as electronic data integration for its messaging and supply chain programs.

Managing and transforming IT infrastructures and data centers are core competences of HP, not only at customers but also within the company. HP has distinctive knowledge and experience in transforming IT environments to support Deutsche Post World Net for better business outcomes.

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Deutsche Post World Net: Results 2007

Deutsche Post World Net announced today that 2007 results were in line with its expectations and guidance of around 3.7 billion euros EBIT before non-recurring effects. All divisions have met their targets with a sound finish to the year. “Overall, we saw good progress on an operating level in our business last year, with full-year underlying EBIT of 3.7 billion euros. In 2008, we will make further good progress, targeting around 4.2 billion euros EBIT,” said Chief Executive Officer Klaus Zumwinkel.

Work continues to identify the optimal solution to performance improvements in the U.S. EXPRESS business. Following an impairment review, a non-cash writedown on EXPRESS Americas fixed assets of around 600 million euros will be recognized in the 2007 accounts. Deutsche Post World Net still expects the EXPRESS division to make consistent progress in underlying profit and to reach an EBIT of between 900 million euros and 1.1 billion euros in 2009.

“The U.S. Express business is a key management priority and we are looking at a variety of options to improve performance. In doing so, we are committed to maintaining a significant presence in the U.S. market, which remains of strategic importance to the Group,” said Chief Financial Officer John Allan.

The Group is heavily focused on the implementation of its “Roadmap to Value” capital markets program. Real Estate disposals agreed on since the program was announced on Nov. 8, 2007 will generate more than 350 million euros in cash, representing good progress toward the target of at least 1 billion euros in proceeds over two years.

As a further measure to increase shareholder value, Deutsche Post World Net intends to partner with a third-party service provider for parts of its global IT infrastructure, generating long-term savings for the Group of at least 1 billion euros. Details of this plan are scheduled to be released tomorrow morning, Jan. 24, at 8 a.m. CET.

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National Foreign Trade Council (NFTC) welcomes new Chairman John Mullen, CEO, DHL Express

The National Foreign Trade Council (NFTC) announced the appointment of its new Chairman, John Mullen, Chief Executive Officer for the Express division of Deutsche Post World Net (DPWN), the parent company of DHL, effective January 22, 2008. Mullen oversees DHL’s global operations, which includes a presence in more than 225 countries and territories.

Mullen is also member of the Board of Management of DPWN, the world’s largest transport and logistics group. Prior to being named worldwide CEO of the Express division, Mullen was the CEO of U.S. based DHL Americas. Before joining DHL, Mullen spent 10 years with the TNT group, holding various senior leadership positions, including Chief Operating Officer for two years and Chief Executive Officer of TNT Express Worldwide for three years.

“With protectionist sentiments growing, the Doha Round outcome uncertain and much work left to be completed in the U.S. Congress on the three pending FTAs, now is a critical time for the NFTC to work with policymakers to illustrate and underscore the benefits of trade to domestic and international economic growth,” said Mullen. “I look forward to working with the NFTC to help lead these efforts.”

Mullen will succeed Dinesh Paliwal, President, Chief Executive Officer and Vice Chairman of Harman International, who served as Chairman of the NFTC since 2005.

The National Foreign Trade Council (www.nftc.org) is a leading business organization advocating an open, rules-based global trading system. Founded in 1914 by a broad-based group of American companies, the NFTC now serves hundreds of member companies through its offices in Washington and New York.

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DHL to make Belgade regional center

Belgrade will soon become DHL’s regional center, the company’s representatives say.

The company is panning to make Belgrade the regional center for the Western Balkans in October, DHL Beograd General Manager Darko Babiæ has announced.

Babiæ said that DHL is planning to introduce flights from Belgrade to its distribution center in Leipzig, Germany, which would make the Serbian capital the regional hub.

DHL packages arriving from all around the world shipped to Macedonia, Albania, Montenegro and Bosnia-Herzegovina, and packages from these four countries, will all be delivered via Belgrade.

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DHL continues to expand its service points network in Russia

DHL is expanding its presence in the Russian market and announces opening of two more service points in Moscow and one in Kazan.

DHL network currently encompasses over 500 cities in Russia. Opening of the new offices is part of the program to expand DHL’s service points network. This program has been developed in line with the global strategy of the company, which sets provision of the most reliable and accessible service as one of DHL’s priorities. In 2007, DHL opened a total of 12 service points across Russia.

The new offices stand out both for the range of services provided and technical capabilities. They are styled to meet the company-wide requirements for such centers all over the globe and provide a vivid example of DHL corporate style. All DHL service points offer the customers a full range of express products both within Russia and abroad.

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