Tag: USA

U.S. Postal Service may build new facility near Nashville airport

Posted by | May 28, 2008 | |

The United States Postal Service is considering whether to build a new processing and distribution facility near Nashville International Airport.

The Postal Service is discussing a deal with the Metropolitan Nashville Airport Authority to lease and develop 47 acres of vacant land near the airport. The plot, which lies at the intersection of Old Murfreesboro Road and Faircloth Road, is designated for non-aviation use, said Emily Richard, an airport spokeswoman.

The authority’s board of commissioners has been briefed on the proposal several times — most recently in February — but no agreement has been reached, Richard said.
Panattoni Development Co., a Sacramento, Calif.-based industrial and commercial real estate company, would likely manage the facility.

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USPS targets large shippers

Posted by | May 28, 2008 | |

USPS is expected to announce a slate of large express freight contracts in August after being allowed to bid for commercial contracts for the first time.

Earlier this month, USPS was allowed for the first time to offer tailored contracts to customers, having been almost frozen out of the commercial market.

Previously, the company had to offer flat-rate pricing to all customers. “In express, it was extremely limiting,” said Gary Reblin, vice president for expedited mail at USPS. “We realized we were behind the eight-ball.”

Reblin said in an interview that USPS is bulking up its sales force to target niche markets such as small businesses and the retail returns sector, focusing on smaller packages.
USPS said it had an advantage over rivals by leveraging its existing mail and package delivery infrastructure.

He said a number of larger shippers were starting to commit to its service, and the company plans to announce a number of three-year contracts later in the summer.
USPS differs from existing operators in offering flat-price deals with annual increases, avoiding the fuel surcharges that shippers said were becoming an increasingly important part of contract negotiations.

The company has a market share of around 30 pct in the U.S. air express market – ranking first above FedEx – but only 4.3 pct of the expedited segment for next-day and two-day delivery.

Reblin said it aimed to grow its share of the expedited market, but declined to provide targets.

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Presentation by Frank Appel on DHL U.S. Express Restructure Plans

Posted by | May 28, 2008 | |

Deutsche Post World Net unveiled a plan to restructure its DHL U.S. Express business. The plan will lead to sustainable improvements in financial performance and provide a sound starting point for a more efficient and customer-oriented business in the future. Under the plan, DHL U.S. Express will redesign the network to better match capacity with customer requirements and partner with UPS for airlift capacity on domestic and international Express products in North America. DPWN Chief Executive Officer Frank Appel presents the rationale behind the plan and the anticipated improvements.

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UPS to provide lift for DHL Air Express packages in North America

Posted by | May 28, 2008 | |

UPS announced it will work with DHL Express U.S. toward an agreement to provide transportation in its air network for all of DHL’s express, deferred and international package volume within the United States. UPS also would provide air lift for DHL packages between the United States, Canada and Mexico.

A final contract is anticipated later this year. The agreement, when finalized, would be expected to extend for 10 years and produce up to $1 billion in additional annual revenue for UPS. The company said it would begin phasing in a limited amount of volume in 2008 with ramp up in 2009.

The agreement would not involve the pick-up or delivery of DHL packages to their customers, only the transport of packages, primarily between airports, in North America. As such, the work will be similar to that currently performed by UPS for the U.S. Postal Service.

UPS will be able to handle much of the anticipated new volume in its existing air network, although additional capacity will be added beginning in 2009 upon full implementation. The total amount of capacity needed will be determined at that time; however, UPS is currently scheduled to take delivery of seven new aircraft in 2008 and another five in 2009. The company is also well along on a USD 1 billion expansion of its UPS Worldport air hub in Louisville, Ky.

The arrangement with UPS is part of a broader U.S. restructuring announced by Deutsche Post World Net at a press conference in Bonn, Germany.

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