The international credit rating agency Fitch said it was cutting its rating on the long-term debt of Deutsche Post in the light of the semi-privatised German postal authority’s acquisition of the US parcel delivery service Airborne.
Fitch said in a statement it was cutting Deutsche Post’s debt rating to “A+” from “AA-“, but the outlook was stable and Fitch was therefore removing the ratings from “Watch Negative.”
Read MoreMail and package delivery company Deutsche Post announced a sharp rise in second quarter earnings over 2002 when the company was hit with a massive fine from the European Union.
The company announced a net profit of 150 million (US$172 million) between April and June, compared to net loss last year of 257 million for that period. But in 2002, the company was hit with a 906 million fine from the European Union for misusing German government subsidies that skewed comparison.
Deutsche Post said its earnings were actually lower than expected, damaged by the sluggish global economy. It reported that second quarter sales for this year fell to 9.422 billion (US$10.8 billion) from 9.648 billion last year.
Read MoreDeutsche Post, the German national postal service operator, is reported to have announced plans to increase charges for parcel deliveries for business customers, with effect from September 1. The price increase comes in reaction to road tolls for HGVs.
There is reported to be some uncertainty regarding the exact date on which the new toll is to be introduced. While the German government had envisaged August 31 as a launch date, the EU Commission has expressed reservations regarding the toll plan.
Read MoreDeutsche Post continues to steadily modernise its mail and parcel processing in Germany. Siemens Dematic will deliver hardware and software components that enhance the letter and parcel handling processes.
Dr Frank Appel, a member of Deutsche Post World Net’s Management Board and responsible for Corporate Services, and Johann Löttner, Chairman of Siemens Dematic’s Board of Management, signed an extensive contract package in Bonn, Germany. The total investment is approximately EUR 90m for the next two years.
Read MoreThe German state is planning to sell further stakes in former nationalised enterprises, notably postal service operator Deutsche Post and hopes to raise a further EUR 5.5bn.
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