Tag: Europe

Royal Mail profits plummet 86%

Posted by | Feb 9, 2007 | |

UK postal provider Royal Mail has reported an 86% drop in first half profits following a massive increase in its pension deficit. The troubled group has said it is now hoping to close its final salary pension scheme to new employees in a bid to stem any further growth of the current GBP6.6 billion deficit.
Profits during the period between April and September 2006 dropped to GBP22 million, compared to GBP159 million during the same period a year earlier.

The pension deficit increased by GBP1 billion, as servicing costs grew from GBP280 million to GBP730 million during the last year. The postal operator currently employs around 190,000 workers, 167,000 of which pay into the pension scheme.

Chief executive Adam Crozier said the costs incurred by servicing the pension fund has led to a drop in competitiveness of the company, which means it will now be forced to raise the cost of its products and services to fund the scheme.

To ensure the problem does not worsen, Royal Mail has chosen to start a six month consultation period to decide whether to replace the current scheme for new staff.

Read More

Post Danmark withdraws from Morgendistribution Danmark

Posted by | Feb 8, 2007 | |

Post Danmark has today decided to sell its shares in Morgendistribution Danmark A/S. The 49 per cent of the shares, which are held by Post Danmark, will be sold to 365 Media Scandinavia A/S, who thus will become the sole owner.

Last year, Post Danmark committed itself to establishing Morgendistribution Danmark because of the opening of an entirely new market for household distribution of free newspapers etc. early in the morning.

– We must now conclude that our expectations for this market cannot be fulfilled. This is due, among other things, to the restrictions that the competition authorities have put into their approval of the cooperation and that de facto make us a passive investor. The conditions in question will eliminate the strategic prospects of the cooperation and not make it possible for Post Danmark to contribute with know-how or otherwise, says Helge Israelsen, CEO.

Post Danmark estimates to have lost approximately DKK 10 million as a result of its involvement in Morgendistribution Danmark.

For more information: Helge Israelsen, CEO, tel. +45 33 75 40 00.

Read More

UPS Bulgaria reports surge in incoming express deliveries

Posted by | Feb 8, 2007 | |

The Bulgarian unit of UPS said incoming shipments have posted a significant increase so far in 2007 with outgoing packages rising 20% year-on-year in January, said Zhana Toromanova, the UPS marketing manager for Bulgaria.

In synch with Bulgaria’s EU entry on January 1, UPS aligned its local product range to the pan-EU portfolio it offers in 27 member states.

The company started offering UPS Express Plus which guarantees delivery by 9 am the next business day to virtually all business areas within the country and in Europe; UPS Standard, a service for less urgent shipments with day-definite delivery; and UPS Expedited, a service for shipments to worldwide destinations.

UPS said the new services are expected to boost Bulgaria revenues by 15% in 2007. The company reported a 22% increase in revenues last year.

Read More

Growing concerns over the UK government's post office closure proposals

Posted by | Feb 8, 2007 | |

The influential Counters Advisory Group, chaired by Elizabeth Hodder of Postwatch, has today written to Postal Services Minister Jim Fitzpatrick setting out its concerns with the Government’s proposals for the closure of 2,500 post offices. The Minister attended the group’s meetings in December and January.
The group wants, among other things:
• All local factors which affect a community to be taken into account when deciding the future of individual post offices.
• The timetable for the restructuring programme to be flexible enough to secure the right outcome for customers.
• Local consultations to take place over 12 weeks and not 6 as wanted by the Government.
• Outreach solutions (like mobile post offices) to be in place before the post offices they replace close.

In support of these points, Elizabeth Hodder said:
“The Government’s proposals unnecessarily restrict the factors to be taken into account to distance and topography. The majority of the group want issues like the availability of public transport, walking distance to the nearest post office (not just as the crow flies measurements), the effect on the local economy and relevant socioeconomic factors such as age, health and deprivation to be assessed.

Read More

Concerns with the UK Government's post office closure proposals

Posted by | Feb 8, 2007 | |

The influential Counters Advisory Group, chaired by Elizabeth Hodder of Postwatch, has today written to Postal Services Minister Jim Fitzpatrick setting out its concerns with the Government’s proposals for the closure of 2,500 post offices. The Minister attended the group’s meetings in December and January.

The group wants, among other things:
• All local factors which affect a community to be taken into account when deciding the future of individual post offices.
• The timetable for the restructuring programme to be flexible enough to secure the right outcome for customers.
• Local consultations to take place over 12 weeks and not 6 as wanted by the Government.
• Outreach solutions (like mobile post offices) to be in place before the post offices they replace close.

In support of these points, Elizabeth Hodder said:
“The Government’s proposals unnecessarily restrict the factors to be taken into account to distance and topography. The majority of the group want issues like the availability of public transport, walking distance to the nearest post office (not just as the crow flies measurements), the effect on the local economy and relevant socioeconomic factors such as age, health and deprivation to be assessed.

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