Tag: Europe

Deutsche Post unfazed by US presidential candidate concern over DHL cuts

Posted by | Jul 31, 2008 | |

Deutsche Post World Net (DPWN) shook off criticism by US presidential candidates Barack Obama and John McCain of the planned closure of DHL’s air hub at Wilmington, Ohio, and stressed it is on track with the US restructuring measures.

On Tuesday (29th July), Obama and McCain both took up the issue of the planned Wilmington closure, with the expected loss of some 8,000 jobs at DHL and sub-contractors ABX Air and Astar Air Cargo. They each called for an investigation into potential anti-trust issues resulting from the planned DHL-UPS airlift deal, and spoke out in favour of government support for workers who lost their jobs.

Speaking at company press conference on its half-year financial results, DPWN CEO Frank Appel said he was “sorry” about the job losses at Wilmington but stressed the cuts were necessary in view of the likely USD 1.3 billion loss at DHL Express USA this year and to strengthen DPWN as a whole. “If we did not do this, then we would endanger even more jobs,” he declared.

In response to questions, Appel said DPWN had held talks with various US officials for some time and commented that the statements of the two presidential candidates were “moderate” and showed they understood DHL’s problems.

Due to DHL’s heavy US losses, the situation was not comparable with that of Nokia, which was forced to pay back subsidies in Germany after announcing the closure of a production site, he said. DHL Express had received “low” subsidies at Wilmington but did not expect to have to pay them back.

Appel also stressed that the measures to restructure DHL Express USA were on track despite deteriorating market conditions and the weakening US economic environment. The first DHL-contracted aircraft had been taken out of service, the first DHL ground stations closed and other cost reduction measures had been implemented, he said.

Read More

Blue Dart Profit 206.69 million up by 19.94 pct

Posted by | Jul 31, 2008 | |

Blue Dart Express Limited declared its financial results for the quarter and half year ended June 30, 2008 at their Board Meeting held in the city.

Profit after tax for the 2nd quarter ended June 30, 2008 was Rs 206.69 million, an increase of 19.94 pct over the corresponding period of the previous year. Income from operations for the 1st half ended June 30, 2008 was Rs 4,842.86 million, an increase of 31.19 pct over the corresponding period of the previous year.

With the reinforcement of its ground express product ‘Dart Surfaceline’ last year, Blue Dart has now expanded its reach to over 20,955 locations across the country. Pioneers in India’s air express segment, Blue Dart today operates six air freighters, across 62 air routes with a payload capacity of 300 tonnes per night.

1 INR = 0.0237638 USD

Read More

Deutsche Post Profit Falls 11 pct on DHL U.S., Postbank

Posted by | Jul 31, 2008 | |

Deutsche Post AG , said second-quarter profit fell 11 percent on costs to revamp the DHL Express division’s U.S. unit and after writedowns hurt earnings at Deutsche Postbank AG.
Net income fell to 254 million euros (USD 396 million), or 21 cents a share, from 285 million euros, or 24 cents, a year earlier, Bonn-based Deutsche Post said in a statement. Sales rose 5 percent to 16.2 billion euros.
Chief Executive Officer Frank Appel forecast in May that the DHL U.S. express-delivery unit will suffer a loss of USD 1.3 billion this year as a slowing U.S. economy hurts demand for air shipments and the business struggles to compete with United Parcel Service Inc. and FedEx Corp. Postbank, also based in Bonn, yesterday 30th July reported a 21 percent drop in second-quarter profit because of writedowns on debt-related investments.
Deutsche Post announced plans in May to limit losses at the U.S. express-delivery operations by shrinking the network, firing workers and transferring air deliveries to Atlanta-based UPS. The revamp will cost the mail carrier USD 2 billion through 2009, it forecast at the time. Deutsche Post said today the unit’s reorganization is “on track” and that talks with UPS over a final contract are making progress.
Postbank, of which Deutsche Post owns 50 percent plus one share, said yesterday that second-quarter net income fell to 119 million euros from 151 million euros a year earlier after writing down the value of securities by 143 million euros. The quarter’s markdowns bring Postbank’s total losses related to the U.S. subprime-mortgage-market collapse to 429 million euros.
Appel said in a statement today that the mail carrier is having discussions with “various potential partners” on the bank’s future. Deutsche Post announced June 25 it’s holding “exploratory” talks about a sale of Postbank as the company focuses on mail, express deliveries and logistics.
Postbank may fetch 9 billion euros to 11 billion euros, Carsten Werle, an analyst at Sal. Oppenheim in Frankfurt, wrote to investors this month. The bank has a market value of about 7.6 billion euros after the stock dropped 23 percent this year.

Read More

DHL enlarging in Seville

Posted by | Jul 31, 2008 | |

DHL Express, a member of Germany’s giant mail service provider Deutsche Post World Net, recently phased in a new logistics terminal on an almost 21,000 sqm tract of land in the Carmona logistics park in the province of Seville (Andalusia, Spain). The facility provides 7,390 sqm of useable space and is equipped with a total of 90 loading bays, 26 of which are for HGVs, and 64 for small delivery vans and CEP vehicles. The new DHL logistics platform handles domestic and international overland traffic, as well as sea and airfreight services. DHL invested over EUR 7.7 million in the new complex, which can process up to 3,500 parcels per hour.

Read More

Deutsche Post World Net reports double-digit growth in first half

Posted by | Jul 31, 2008 | |

Deutsche Post World Net reported double-digit growth in its underlying EBIT for the first half, despite challenging economic conditions. Underlying EBIT, or earnings before interest and taxes excluding non-recurring effects, gained 12 percent to 1.9 billion euros.

Reported EBIT declined by 11 percent to 1.5 billion euros due to one-time charges at the Group’s Financial Services division and costs to restructure its DHL U.S. Express business. Revenue gained 3.4 percent, with growth being held back by negative currency effects. Excluding those effects, revenue grew
7.8 percent.

Deutsche Post has been able to maintain its position following the full opening of the German letter mail market on Jan. 1, 2008 with the impact of a worsening economic environment remaining limited. Total volumes in its Mail Communications unit increased by 3.2 percent in the second quarter, with the number of customer contact points being raised further.

Revenue in the Mail division rose 1.6 percent to 3.4 billion euros in the quarter. EBIT gained 1.9 percent to 321 million euros in spite of the new market environment and higher costs.

In the Express division the leading position in most markets outside the U.S. was maintained, helped by strong growth in its cross-border Day Definite and Domestic businesses. The division also benefited from its strong presence in fast-growing regions such as Asia/Pacific and Eastern Europe/Middle East/Africa (EEMEA). Accordingly, Asia/Pacific recorded organic revenue growth – excluding currency effects and other non-operative items – of 13 percent.

In the EEMEA region, organic revenue rose 26 percent, helped by higher fuel surcharges and strong performance of almost all products. In the Express Americas division, organic revenue increased 4.2 percent, due to increased demand for Day Definite products in Latin America, Canada and the Carribbean.

Measures to restructure the Group’s DHL Express U.S. business are on track, despite deteriorating market conditions and the weakening economic environment in the U.S. Deutsche Post World Net in May presented a plan to restructure DHL Express U.S. to cut losses by 1 billion dollars in 2011. By that time, the Group expects the contribution to the global network to exceed the losses incurred by the business. Negotiations about a planned air lift agreement with United Parcel Service (UPS) are making progress.

Read More

Advertisement

Advertisement

Advertisement

P&P Poll

Loading

What's the future of the postal USO?

Thank you for voting
You have already voted on this poll!
Please select an option!



View ResultsHide Results

Post & Parcel Magazine


Post & Parcel Magazine is our print publication, released 3 times a year. Packed with original content and thought-provoking features, Post & Parcel Magazine is a must-read for those who want the inside track on the industry.

Subscribe to the Magazine

 

Pin It on Pinterest