Tag: Europe

24th Universal Postal Congress opens for business in Geneva

Posted by | Jul 23, 2008 | |

The Honourable Musalia Mudavadi, Deputy Prime Minister of the Republic of Kenya, officially opened the 24th Universal Postal Congress. The UPU is indeed giving the Congress a special African flavour because Kenya was unable to host the event owing to the unrest in the country at the beginning of this year.

Moreover, the UPU gives particular priority to the development of the postal sector in developing countries, especially in Africa, and this issue will be at the heart of numerous discussions during the Congress. In spite of great progress in developing the single postal territory since the creation of the UPU 134 years ago, there remain great differences between industrialized and developing countries in terms of quality of service, postal reform and the adoption of new technologies, declared Mr. Mudavadi, speaking before 1,500 delegates, among them about 70 ministers.

The Secretary General of the United Nations reminded delegates that postal services were universal, connecting people the world over. “The UPU makes a valuable contribution in many different areas, including migration and fund transfers, transport and trade, education and literacy, sustainable development, health and security, and standards to ensure compatibility and interconnectivity… Across the world, Posts provide a natural gateway to the information society,” declared Ban Ki-moon, in a message relayed by Sergei Ordzhonikidze, Director General of the United Nations Office in Geneva.

A Universal Postal Union more open to the world and to its environment is today welcoming a “united world postal community,” said Edouard Dayan, UPU Director General and Secretary General of Congress. “The postal sector is increasingly seen as not only driving economic development, but also offering countries a new possibility of access to the world economy by enabling them to join a universal network.”

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Interim Report for January-June 2008: Increased Costs, Reduced Profitability

Posted by | Jul 23, 2008 | |

– Itella Group’s consolidated net sales for January–June totalled EUR 923.5 million, up by 8.5 per cent. The share of international operations was 29 per cent.
– Consolidated operating profit for January–June totalled EUR 43.9 million, down 33.1 per cent year-on-year. EBIT margin fell to 4.8 per cent. Profitability was especially reduced by the sharp increase in labour expenses and increased fuel costs.
– With regard to Itella Information’s early-year company acquisitions, the Polish subsidiary began operations in May, and the joint venture with Norway Post in June.
– In April, Itella Logistics entered into an agreement concerning the acquisition of Russia’s leading provider of warehouse services, NLC (National Logistic Company). Official permissions required for the acquisition have been received, and the transaction will be concluded in August.

Jukka Alho, President & CEO of Itella:

“The economic downtrend did not affect the demand for Itella services in Finland, but road freight volumes in Denmark and the Baltic region turned down. Demand for logistics services remained strong in Russia. Against the European trend, letter mail delivery volumes increased by 3 per cent in Finland, while newspaper deliveries decreased by 3 per cent.

The increases in volume and prices could not compensate for the sharp increases in fuel and salary costs, leading to a reduced profit. However, the profit performance met expectations. The tight situation caused by increased costs is expected to continue during the second half.”

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Correos invests 1.2m Euros in high tech equipment

Posted by | Jul 23, 2008 | |

Correos has installed new automated sorting equipment in Madrid. President of Correos, Jose Damian Santiago said: “This is a real milestone and marks the way that we have to continue. We need this new technology to guarantee a high level of service”

The new equipment, estimated to have cost around 1.2m euros, heralds a new technological age for Correos, which says it will not only vastly improve the way it handles mail but that the sender and recipient will be able to know at any given time, where in the postal system the mail is. It can also give predicted delivery dates.

The initiative forms part of a range of technology it intends to introduce to modernise and automate its mail handling capabilities. It says the changes will apply both to business and domestic customers.

Correos is still a publicly-owned company and is split into various divisions and business units, as well as five Corporate Departments. The group also includes the affiliated companies Chronoexprés, Correo Híbrido and Correos Telecom. Correos distributes more than 5,900 millon deliveries each year and reaches 19 millon homes and two million companies.

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GLS inaugurates depot in Tyrol

Posted by | Jul 23, 2008 | |

The parcel and express service provider GLS Austria has opened a new EUR 2 million depot in Zirl (Tyrol, Austria). The facility’s 50 workers and drivers can handle up to 15,000 parcels a day. The 1,650 sqm handling hall with 57 docking stations is located on a 12,000 sqm plot of land directly adjacent to the Inntal motorway. Construction was completed in less than three months, the staff and equipment moved in last weekend, and a few hours later the depot went on stream, and has already processed its first shipments.

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DHL Hub Leipzig: The last hurdle is cleared in Brussels

Posted by | Jul 23, 2008 | |

Deutsche Post welcomed the conclusion of the most recent state aid proceedings with an eye on the new hub of its express subsidiary DHL. The proceedings against the Free State of Saxony, which have been pending since 2006, have focused on the state’s financial contribution to the construction of a new runway at Leipzig Airport. In its decision, the commission did not object to the contribution.
An additional aspect of the proceedings dealt with financial guarantees of Saxony and the airport with regard to permanent 24-hour use of the airport among other things. Commitments to liability had been made here, since unlimited use of its facilities in Leipzig is indispensable for DHL as an express company and the company had sought maximal security for its investments at that time. The commission has now declared the commitments as not permissible.
No negative consequences result for the hub itself, however. Operations and the required investment security have been ensured in the meantime to the greatest possible extent through political and legal decisions.
CEO Frank Appel emphasized that Deutsche Post can live quite well with the commission’s decision: “We have obtained in the meantime the long-term security that DHL urgently needs at the Leipzig location. After the conclusion of the last EU Commission’s proceedings we can really say that we no longer see any restrictions from Brussels on the further operations of our express business at this important location.”
The limited reimbursement requirement also has no consequence whatsoever on the operational day-to-day business nor on DHL’s decision to operate the central European hub in Leipzig for the long term.

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