Tag: UPS

UPS still testing presort partnership with no plans to expand the test

Posted by | Mar 31, 2003 | |

United Parcel Service is still testing the presort partnership it launched in May 2001, but it has no plans to expand the test in the near term. At the moment, UPS Mail Innovations is focused on integrating the acquisitions it made in the mailing business, hybrid mailer Mail2000 and flat consolidator RMX, into the overall UPS structure. UPS Mail Innovations is the name of the UPS Supply Chains Solution group that operates Mail Technologies (formerly Mail 2000) and Expedited Mail Service (formerly RMX). UPS bought Mail2000 in March for a reported $100 million, and RMX shortly thereafter for an undisclosed
amount. When asked if Mail2000 was profitable, Mary Shrepfer, director of marketing for UPS Mail Innovations, would only say that the “the overall business unit [UPS Supply Chains Solution] was profitable.” This business unit includes all nonpackage products and services. UPS does not release financial
information on individual operations. Shrepfer said UPS Mail Innovations continues to test UPS Presort in the Atlanta area, but it dropped its test in Dallas after presort partner PSI Group was bought by Pitney Bowes. UPS Presort is a contract service in which UPS partners with a presort service bureau to collect mail from small and mid-sized companies that might not have enough volume on their own to utilize a presorter. UPS acts as the consolidator and brings the mail from multiple companies to the presort partner. Shrepfer said UPS might look to expand this service in the long term. The company remains excited about the potential in the mail market. It sees further opportunity in the upstream work share activities of the mailing industry. “We see an opportunity to expand our core capabilities, which are collection, sortation and distribution,” Shrepfer said, adding that the company can leverage the UPS name with its valued customers. (UPS’ corporate strategy team tells us the company has no interest in delivering mail should the monopoly one day
be lifted.) Despite its activity in the mailing industry, UPS Mail Innovations will not have a booth at the upcoming National Postal Forum, although it will have one at MAILCOM. Mary Shrepfer will be at the forum and looking to make contact with customers or partners. You are encouraged to make contact with her via the company’s website, www.mailinnovations.com.

Do not quote without clearance from BMR – covered by strict copyright

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UPS wants U.S DOT to examine DHL's purchase of Airborne

Posted by | Mar 28, 2003 | |

United Parcel Service Inc. has asked the government to investigate the planned acquisition of Airborne Inc. by German postal service Deutsche Post AG’s DHL express mail arm.

Atlanta-based UPS said Wednesday in a filing with the U.S. Department of Transportation that the $1.05 billion deal reached Tuesday raises questions about the degree of control that Deutsche Post is able to exert on the domestic express package and cargo market.

Also Thursday, the union representing 489 DHL pilots took issue with comments made by one of the shipping company’s top executives.

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High hurdles for DP-Airborne deal

Posted by | Mar 28, 2003 | |

Deutsche Post World Wide AG must negotiate a tricky political and regulatory environment if it hopes to secure approval for its proposed $1.05 billion acquisition of Airborne Inc. The deal raises a host of political issues, including state-sponsored monopolies, national security and free trade. The German government owns a majority stake in Deutsche Post, which has led to charges that the postal giant is using monopoly profits from German mail delivery to subsidize U.S. operations. Also in question: whether Deutsche Post and its U.S. unit, DHL Worldwide Express, can structure the deal to avoid a U.S. ban on foreigners controlling domestic airlines, including cargo carriers.

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UPS attacks airborne deal

Posted by | Mar 27, 2003 | |

United Parcel Service accused Deutsche Post of further violating foreign ownership laws after the German postal operator struck a deal to buy Seattle-based Airborne’s ground operations for $1.05bn. The complaint, filed with the Department of Transportation, calls for further widening a federal examination into whether Deutsche Post is flouting laws forbidding foreign companies from owning more than 25 per cent of US airlines. UPS claims Deutsche Post is in direct control of Chicago-based DHL Airways, a cargo carrier, via its subsidiary, DHL Worldwide.

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UPS worldwide named in “BusinessWeek 50”

Posted by | Mar 26, 2003 | |

UPS, in its first year of eligibility as part of the S&P 500, has been named in BusinessWeek magazine’s BusinessWeek 50.

The list, published in the magazine’s special annual spring issue, recognizes America’s best-performing major companies. The starting point for the magazine’s editors always is the S&P 500, to which UPS was added last year.

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