Tag: Royal Mail

Royal Mail boss ready to take charge at Sainsbury's

Allan Leighton, chairman of the Royal Mail and former Asda boss, is ready to take control of supermarket chain Sainsbury in the event of a takeover bid.
It is understood that Mr Leighton, who worked alongside Archie Norman to revitalise Asda during the 1990s – has been approached by the private equity consortium working on bid plans and has told them he is keen to work with them.

His final decision is believed to hinge on what potential bid price they arrive at. He is unwilling to get involved if the price required to buy Sainsbury’s is more than 550p, as it would starve the supermarket chain of the investment funds he believes are necessary.

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UK Mail awarded major contract with BBC

Business Post Group plc announces that its mail company UK Mail, a competitor to Royal Mail in downstream access postal services, has been awarded a contract to provide downstream access postal services for TV Licensing. This marks a major achievement for UK Mail and follows in the footsteps of the prestigious mail contract won with HM Government Department for Work and Pensions (DWP).

This new contract is due to commence on 1 April 2007 and is worth up to GBP 8.1 million per year.

UK Mail beat off formidable competition from three rival postal providers in the final stages of the tender process in 2006. The business’s provision of significant cost and service benefits coupled with its various pricing and product innovations were all critical factors in the final decision. The BBC began trading with UK Mail on a trial basis in October last year whilst negotiating the final details of the contract. During this period substantial cost savings were identified alongside an improved flow of calls to its call centre.

All presorted mail from TV Licensing will now be dispatched via UK Mail’s downstream access model whereby mail is collected and sorted at its national network of 58 sites into Royal Mail’s 69 Inward Mail Centres on a daily basis.

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Letter bomb in London wounds one

A letter bomb exploded Monday in the mailroom of a London company that administers the capital’s traffic congestion charge, slightly wounding a female worker, the police said.
The padded envelope exploded at an office belonging to Capita Group, which administers the £8, or USD16, daily fee meant to cut down on traffic in central London. The company also collects television licensing fees and developed the database for the Criminal Records Bureau, combining data from 43 British police departments, and has significant contracts with the government.
“We can confirm that there has been a small explosion at our Victoria Street office this morning,” said a Capita spokeswoman, speaking on condition of anonymity in line with company policy.
Scotland Yard said the wounded woman was an employee of Capita.
Capita was formed in 1984 and has more than 26,000 employees in the Britain, the Channel Islands, Ireland and India.

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Citipost launch new Downstream Access Unsorted Packet Service

Citipost DSA Ltd, a leading player in the UK Downstream Access market, has officially launched its Unsorted Packet service for organisations sending packets up to 1kg, across the UK. The company state the new service will offer businesses a cost effective, reliable and easy to use packet solution saving time, money and hassle.

A number of benefits listed include flexible collection times, a two to three day delivery service, complete service and management reporting,all set up in only two weeks for businesses that regularly send over 1,000 unsorted packet items on a daily, weekly, monthly or ad hoc basis. Citipost DSA collects the packets from clients, process these on-site, fully supported by leading technology and processes and ensure delivery into Royal Mail for the final mile delivery.

Steve Hibbert, CEO of Citipost DSA, says, “Our Unsorted Packet service is an exciting development for Citipost DSA in terms of expanding our client reach and company network. We listen to our clients and continually provide new, innovative services that deliver to make sure we help customers extend their reach and reduce costs. We’ve already secured a number of key clients who are already benefiting from substantial cost savings.”

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UK Post offices offered cash to close down

Post offices have been offered GBP60,000 to close down as part of Royal Mail’s concerted bid to close thousands of branches, it has emerged.
The government is expected to give the green light to the closure of 2,500 post offices when the consultation is completed in March.
And subpostmasters are expected to receive similar “compensation” to the last round of closures – an average of GBP60,000 each.
Bournemouth Borough Council is trying to set up a rare joining of forces with the councils of Poole and Christchurch to petition the government en masse.
Cllr Emily Morrell-Cross said: “Out of 14,000 branches nationwide, we are told only 4,000 are viable. So this round of closures is just the beginning. We need to act now.
A spokesman for Royal Mail said: “The network is currently losing GBP4 million – that is the big issue.”

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