sweden and denmark agree merger terms/media/documents/public/market-flash/... · 2009-10-30 · the...
TRANSCRIPT
Market Flash Issue 385 | 10 February 2009
EUROPE
Sweden and Denmark Agree Merger Terms
Cost Control Helps DPWN DHL Innovation Signs up Telecoms Partner Österreichische Post Retains Catalogues Swiss Post Plans Limited Rate Rises Business Post Increases Revenues Itella Sells Invoice Automation Business DHL Service for French Online Traders Deutsche Post Offers Addresses Free Brydon the New Chairman for Royal Mail New HR Chief for Correos DPWN Supports Education for the Young Designer Patterns Jazz up Itella Mail CitySprint Wins NATS Contract Aramex Expands its Mail Business
AMERICAS
Postal Service Losses Continue US Postal Service Delivers 96% On Time Direct Energy Chooses Epost in Alberta New CFO Named for US Postal Service Downturn has Negative Impact on UPS US Operators Pick Up DHL Business DHL Invests in International Americas DHL Global Mail Invests in Sorting and
Tracking New Tracking Technology from FedEx Service Aids Compliance with ISF Rules
ASIA-PACIFIC
Ambassador Rescues GeoPost Acquisiton Collapse of Bill Frees Operators In India NZ Post Considers Public Offer New Parcels Brand for Japan Post’s JV Blue Dart Results Show Impact of
Downturn SingPost Sees Costs Rise in Third Quarter FedEx Chooses New Chinese Partner
In this issue
www.ipc.be To access breaking news on the postal industry, visit our website www.ipc.be and subscribe to the RSS feeds. News archives and reports can also be accessed from our on-line media centre. Market Flash readers who have not yet requested a password, can do so by contacting Britt Janssens at
Sweden and Denmark Agree Merger Terms
print next
The planned merger between Posten AB and Post Danmark took
a major step towards completion at the beginning of February
with the signing of a final agreement by the Swedish Ministry of
Enterprise, Energy and Communications and the Danish Ministry
of Transport.
The merger is now ready to be examined by the relevant regulatory
authorities. It will not involve either investment company CVC
Capital Partners or De Post/La Poste of Belgium. Post Danmark has
agreed to sell its stake in De Post/La Poste to CVC and withdraw
from any holding in the Belgian operator in order to facilitate the
merger with Posten.
Post Danmark and CVC jointly acquired a fifty percent stake in De
Post/La Poste in 2006. Post Danmark chief executive officer Helge
Israelsen said the partnership with De Post/La Poste had produced
positive results for both organisations. “We have together achieved
what we set out to do in terms of modernisation of the business
platform and putting it on a positive trend for the future,” he said.
THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
Issue 385 | 10 February 2009 print next
15 Years of Service Improvement1989 - 2004
Sweden and Denmark Agree Merger Terms (continued)
Post Danmark has expressed itself willing to maintain a coop-
eration agreement with De Post/La Poste by continuing to share
know-how and expertise and the secondment of operations
postal executives.
Commenting on the merger agreement between the Swedish and
Danish governments, Posten president and group chief executive
officer Lars G. Nordström said: “We will begin our work with
structuring the new company to bring home the synergy effects
and other strategic advantages of the merger.”
The merged company will have an annual turnover of about SEK
45 billion and more than 50,000 employees. The Swedish state
will own approximately sixty percent and the Danish state forty
percent. Voting rights will be split 50/50.
Europe
Cost Control Helps DPWN
Deutsche Post World Net’s (DPWN) full year 2008 profit reached
target, owing to strict cost control and cash conservation,
according to the company.
Full year underlying earnings (EBIT) before interest and tax
excluding non-recurring effects amounted to just above the
targeted EUR 2.4 billion.
The company’s reported EBIT is a loss, owing to large non-re-
curring charges related to restructuring of express operations in
the United States and write-downs on goodwill and intangible
assets. With all these impacts included, DPWN said that 2008
reported EBIT loss was “significantly better” than EUR 1 billion.
Express volumes outside the US showed negative growth in the
fourth quarter with only Eastern Europe, the Middle East and
Africa (EEMEA) showing increases. Mail volumes in Germany
continued stable and revenues in the Supply Chain/CIS division
developed at a rate in line with the first nine months.
Year end net debt was around EUR 2.4 billion compared with EUR
2.9 billion in 2007. The cash position was around EUR 1.4 billion
following disposal of assets.
Since December 31, the company has improved is cash position
with receipt of EUR 3.1 billion from the sale of a stake in Deutsche
Postbank.
DPWN does not expect to issue 2009 guidance before the end of
the first quarter; it does expect business conditions to be tough
throughout the year.
EuropeAmericasAsia-Pacific
THE NATURAL PARTNER FOR THE POSTAL INDUSTRY PAGE 2 - Issue 385
Issue 385 | 10 February 2009 print next
PAGE 3 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
DHL Innovation Signs up Telecoms Partner
Deutsche Telekom AG’s corporate customer division T-Systems has
joined the DHL Innovation Initiative to raise efficiency in supply
chains via technologies such as telematics and mobile services.
The contract lasting at least three years makes T-Systems the fifth
global company to join the research network created by the DHL
initiative.
A key focus of the partnership will be on mobile services. The
two companies will look at how mobile technology can improve
processes at Deutsche Post World Net, or contribute to the conve-
nience and availability of the group’s services.
DHL and T-Systems will seek out new information and commu-
nication trends and examine their impact on logistics and postal
services.
Österreichische Post Retains Catalogues
Österreichische Post is to continue delivering catalogues for mail
order companies Quelle and Neckermann for another five years,
having lost the two companies’ parcels business last year to
Hermes.
The five-year contracts involve delivering six million catalogues
weighing more than 1kg each.
Swiss Post Plans Limited Rate Rises
Rising costs have caused Swiss Post to seek price increases for
parcels and international mail for the first time in several years.
It has asked its price regulator for permission to raise its rate for
parcels weighing up to 5 kg by CHF 1.00 from April. However, a
CHF 1.00 discount will be available to customers who frank their
parcels in advance via Swiss Post’s WebStamp online service. The
rate for parcels weighing between 5 and 30 kg will reduce by CHF
1.00.
Swiss Post is also seeking permission to increase rates for interna-
tional letters, parcels and express by about seven percent. The last
price adjustment for international mail was in 2000.
It is attempting to soften the impact of rising costs on its
customers. In July this year, the Swiss postal monopoly is due
to reduce from 100 grams to 50 grams. From that date, letters
weighing more than 50 grams will be subject to VAT in Swit-
zerland, but Swiss Post says it is considering absorbing the extra
cost.
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 4 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
Business Post Increases Revenues
UK parcels and mail operator Business Post, increased revenues by
three percent year-on-year in the October to December quarter
despite seeing a decline in parcels revenue.
UK Mail again achieved double-digit growth, winning new
business and additional volume from existing customers. The
company warned, however, that the rate of mail revenue growth
would slow compared with the high levels achieved in the wake
of UK postal liberalisation.
Strong improvement in Business Post’s express business led to
significantly higher revenue year-on-year in the Specialist Services
division.
Itella Sells Invoice Automation Business
Itella has sold its invoice automation business in Norway to
Basware Corporation.
Itella is continuing to offer outbound and inbound invoice services
in Norway through its joint venture with Norway Post, Itella Infor-
mation AS, in which it holds a 51 percent stake.
DHL Service for French Online Traders
DHL Global Mail has extended its parcels service for French e-com-
merce operators shipping goods outside the country.
DHL Global Mail Parcel manages the despatch of goods to all
European destinations via a single information system and offers
online tracking.
It picks up parcels from senders in France, processes them through
the DHL international network and arranges for delivery by postal
operators with which it has agreed rates in destination countries.
Deutsche Post Offers Addresses Free
Deutsche Post has published its 2009 address catalogue of about
five million business addresses available free of charge.
Its subsidiary, Deutsche Post Direkt, offers the address service
which includes almost 100 million selection criteria such as
number of employees and level of revenue.
The catalogue also provides detailed information about Deutsche
Post Direkt’s address management products and services.
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 5 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
Brydon the New Chairman for Royal Mail
The United Kingdom Government has appointed a new chairman
to Royal Mail Group, Donald Brydon, the chairman of technology
company Smiths Group and the London Metal Exchange. He has
already become a non-executive director and will take over the
chairmanship from Allan Leighton who steps down after more
than seven years at the end of March.
Business secretary Lord Mandelson, said: “There is no doubt
Royal Mail faces many challenges - the company has a volatile
multibillion pound pension deficit and letter volumes are falling
dramatically as people turn to email. But the company has a
positive future if the right action is taken.”
Allan Leighton welcomed Mr Brydon’s appointment, saying he
had a strong track record across a range of businesses.
New HR Chief for Correos
Correos of Spain has appointed Luis Pérez Capitán as its human
resources director.
A specialist in occupational risk prevention and author of several
monographs on labour legislation, Luis Pérez Capitán has taught
at the Public University of Navarre and has held the post of labour
and social security inspector in Vizcaya and Navarre.
DPWN Supports Education for the Young
Deutsche Post World Net has signed up as a founder member of
Teach First Germany in order to help create educational opportu-
nities and support for children and young people in Germany.
It will provide financial support and the active participation of
its employees. It is grouping together all its educational support
projects in a company-wide programme in which the partnership
with Teach First Germany is the first step.
Designer Patterns Jazz up Itella Mail
Itella Group has expanded its licensing cooperation with fashion
house IVANhelsinki to new “Design Mail” products on sale
through Posti post offices.
Seven patterns will appear on a range of gift wraps, a deluxe
telegram, postcards and ePostcards. “Seventy million postcards
are sent annually through Itella,” said Director Tarja Pääkkönen.
“This was a starting point for an idea to dress these messages
using Finnish design and offer strong stories about Finland at the
same time.”
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 6 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
CitySprint Wins NATS Contract
United Kingdom express company CitySprint has won a national
and international contract to provide same day and next day
services to air traffic control services provider NATS.
The company will deliver to engineers in the field, employees,
customers and suppliers in the UK and Europe.
Aramex Expands its Mail Business
Middle East express and freight transport group Aramex is
expanding its presence in the mail sector with the acquisition of
documents management company Metrofile Middle East.
Metrofile’s operation in the United Arab Emirates (UAE) will be
integrated into Aramex’s wholly owned records management
company, Infofort which has operations in the UAE, Saudi Arabia,
Bahrain, Jordan and Egypt.
Aramex said the acquisition would bring innovative solutions to
document management, data protection, digital archiving and
scanning for a wide customer base.
EuropeAmericasAsia-Pacific
DHL Offers Return Label PrintingDHL Parcel in Germany is offering a simplified returns s e r v i c e f o r e - c o m m e r c e traders and private customers by offering a faci l ity for return labels to be printed from computers rather than enclosed in packages with goods.
DPD Expands in RussiaDPD Russia has opened a depot in Belgorod, western Russia, to expand its network in the country to 32 branches.
French Postal Workers Join Protest StrikePosta l workers jo ined a nationwide strike in France on January 29 in protest at the government’s handling of the economic crisis. La Poste said about 28 percent of workers joined the strike while postal unions claimed a forty percent turnout. About 100 post offices were closed all day.
GLS Opens Depot in Stras-bourgRoyal Mail’s European parcels subsidiary, GLS, has opened a 2,000sq metre depot in Stras-bourg to handle up to 10,000 parcels a day.
TNT Supports Press Photog-raphersT N T h a s e x t e n d e d i t s corporate sponsor contract with World Press Photo for another three years. World Press Photo encourages high professional standards in photojournalism and supports and promotes the work of professional press photogra-phers.
GO! Expands in Eastern EuropeGerman express company GO! has renewed contracts with its subsidiaries in the Czech Republic and Poland as part of its expansion in eastern Europe.
Post Office Promotes its ServicesThe United Kingdom Post Office has published results of two surveys designed to promote its foreign currency and credit card services. The Consumer Credit Report looks at credit card use and the Travel Services Holiday Money Report identifies “holiday hotspots”.
An Post Supports Computer LiteracyAn Post i s col laborat ing with Intel and Microsoft to address literacy problems in Ireland and promote the Log On Learn programme to encourage older people to gain computer skills through one-to-one teaching sessions.
Pathfinder Points to Postal Service PointsDeutsche Post in Germany is offering customers a new way to locate postal service points. Pathfinder is an online service which identifies local mail boxes, Packstations, Postbank cash machines and bank statement printers.
Air Cargo Traffic SlumpsGloba l a i r ca rgo t ra ff i c s lumped by 22.6 percent in December and ended 2008 down four percent, according to figures released by the Internat ional Air Transport Association (IATA). A five percent fall is currently expected for 2009.
>>In Brief - Europe
print next
PAGE 7 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
Americas
Postal Service Losses Continue
The United States Postal Service (USPS) has reported a net loss of
USD 384 million in the first quarter of its fiscal year to December
31.
It said the economic recession contributed to a 5.2 billion decline
in mail volume compared with the same period last year, including
a three billion decline in Standard Mail. USPS is forecasting that
volume in FY 2009 as a whole will be down by 12 to 15 billion
pieces.
Preliminary results show operating revenue at USD 19.1 billion,
6.3 percent lower than the same time last year. Operating
expenses were USD 19.5 billion, 1.1 percent below the first
quarter last year.
Energy prices did fall during the period but USPS faced record
high cost-of-living adjustments that are part of the national
collective bargaining agreements.
Postmaster General John E Potter, has asked Congress for the
flexibility to reduce mail delivery frequency to five days a week
and for legislative changes to provide relief from “the crippling
cost burden” of pre-funding the employer premium for health
benefits of future retirees.
“It is possible that the cost of six-day delivery may simply prove
to be unaffordable,” said Mr Potter. “It could become necessary
to temporarily reduce mail delivery to only five days a week. We
would do this by suspending delivery on the lightest volume days.
Toward this end, I reluctantly request that Congress remove the
annual appropriation bill rider, first added in 1983, that requires
the Postal Service to deliver mail six days each week.”
Mr Potter has proposed a legislative change in the way health
benefits of future retirees are funded. This, he says, would
improve the Postal Service’s financial position and cash flow while
protecting the obligation to satisfy the basic benefit funding
need.
“Our proposal would retain the 10-year payment schedule but
would permit the Office of Personnel Management to pay the
Postal Service’s portion of health benefit premiums for current
retirees from the Postal Service Retiree Health Benefits Fund. This
would save the Postal Service up to USD 24.6 billion through
2016,” said Mr Potter.
He pointed out that the Postal Service Retiree Health Benefits
Fund has a balance of USD 32 billion. An additional USD 2 billion
would be available to the Postal Service to offset costs in 2009 if
current retiree health premiums were paid from the fund rather
than from operating revenue.
Postal Service responses to the worsening financial situation
include eliminating USD 5.9 billion in costs in the next two years,
including reducing work hours by 100 million this year, freezing
salaries of all officers and executives at 2008 levels, reducing
travel budgets and halting construction of new facilities.
Issue 385 | 10 February 2009 EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 8 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
US Postal Service Delivers 96% On Time
The United States Postal Service’s national on-time performance
scores for First Class Mail delivery reached 96 percent in a pilot
of a new ratings system during fiscal year first quarter ending
December 31.
The Postal Service said the new system is more rigorous, including
more than 850 three-digit ZIP codes for the first time plus a
test for international mail and the classification of mail used by
commercial bulk mailers.
Other results include a 92 percent performance for two-day
delivery, and 86 percent for both three-day and international
priority mail delivery. The Postal Service also achieved a 93
customer satisfaction rating.
Delores Killette, Postal Service vice president and consumer
advocate, said that delivery times would be longer in some
geographic areas owing to greater use of ground rather than air
transport. “While some time might be lost in ground transpor-
tation, it is more economically and environmentally friendlier than
air transport,” said Ms Killette.
Direct Energy Chooses Epost in Alberta
Canada Post has a new customer for its epost electronic invoice
service - energy and related services company Direct Energy, which
is offering the epost option to its customers in Alberta.
Direct Energy customers who go online at the Canada Post epost
website will also be able to choose to receive electronic invoices
from 100 other companies already signed up to the system.
New CFO Named for US Postal Service
Joseph Corbett has been named the new chief financial officer
and executive vice president of the United States Postal Service to
replace H. Glen Walker, who is moving to a new role.
Mr Corbett has 25 years’ accounting, finance and consulting
experience. He is currently president and managing director
of FinSol, a finance and accounting consulting business that he
founded in 2005. He has also served as senior manager at KPMG,
where he began his professional career.
“The severity of the current economic downturn has profoundly
challenged the Postal Service. Joe’s depth of experience and
particular expertise in guiding the financial activities of large and
complex organisations through times of change, make him ideally
suited for this position,” said Postmaster General John E. Potter.
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 9 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
Downturn has Negative Impact on UPS
UPS has announced adjusted diluted earnings per share of USD
0.83 for the fourth quarter, a 22 percent decline from the USD
1.07 adjusted diluted earnings per share for the same period last
year.
Reported results for the 2008 fourth quarter include the impact of
a USD 575 million non-cash impairment charge primarily related
to the UPS Freight business owing to an extremely challenging LTL
environment.
For the full year, UPS posted an adjusted operating profit of USD
$6.0 billion and adjusted diluted earnings per share of USD 3.50,
within the range the company provided mid-year. On a reported
basis, operating profit was USD 5.4 billion and diluted earnings
per share were USD 2.94. Consolidated revenue increased by 3.6
percent to USD 1.5 billion.
“The severe decline in economic activity around the world resulted
in sharply lower package and freight volumes for UPS,” said
chairman and chief executive officer Scott Davis. “Consequently,
we’re making the tough decisions necessary to adapt our enter-
prise to today’s realities. This includes changes in organizational
structure, compensation and network configuration.”
In the three months to December 31, consolidated package
volume dropped 3.7 percent to one billion items and revenue
declined by five percent. Total export volume increased by 1.6
percent but revenue declined by eight percent owing mainly to a
shift away from premium services.
Looking ahead to 2009, the company expects one of the most
difficult years in its history. It said lower package volume and
reductions in package weight would put further pressure on
margins.
US Operators Pick Up DHL Business
UPS, FedEx and the United States Postal Service benefitted from
DHL’s withdrawal from the US domestic market at the end of
January, having picked up the company’s estimated USD 3.5
billion of business.
To a limited extent, additional volumes compensated the three
operators for continuing decline in the overall express and parcels
market.
They are now targeting DHL’s international business, estimated to
be worth USD 1billion.
DHL Invests in International Americas
DHL Express has opened an advanced logistics gateway at Mexico
City’s International Airport and a customer service call centre.
The facilities, costing USD 6.2 million, increase operational
capacity and strengthen the Mexican and international network.
DHL is investing in maintaining a leading position in international
services in the Americas. That includes USD 4.5 million spent on a
hub in Panama and a gateway in Montego Bay, Jamaica.
The company plans to invest USD 200 million in Latin America in
the next two years with five-year strategic investment in Mexico
amounting to USD 112 million.
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 10 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
DHL Global Mail Invests in Sorting and Tracking
DHL Global Mail has invested more than USD 1.5 million in sorting
equipment and implemented new Transportation Management
System (TMS) technology to cut mail handling costs and enhance
tracking visibility.
Two advanced sorting machines will be installed at the company’s
largest mail terminals in Chicago and New York City with capacity
to process 8,000 pieces per hour. They have high-speed feeders
for flat-size mail to further reduce manual processes.
TMS software manages shipments between pick-up and delivery
and DHL Global Mail’s relationships with transportation partners.
It provides shipment visibility and is expected to provide improved
tracking capability.
The first phase of TMS implementation was completed last year
to cover transport between DHL Global Mail’s seventeen mail
terminals in North America.
New Tracking Technology from FedEx
FedEx Corp has launched new tracking technologies to give
customers real-time visibility, in 26 languages, on shipment status
via desktop, mobile devices or the web.
The company says that users can view tracking results based on
different time zones, order of shipment, event and weight conven-
tions and tracking numbers can be saved for follow-up use.
Service Aids Compliance with ISF RulesFedEx Trade Networks has a new service designed to help
customers meet new US requirements under the United States
Customs and Border Protection’s (CBP) Importer Security Filing
and Additional Carrier Requirements, commonly referred to as ISF
or 10+2.
Under the new ISF regulations, US importers are responsible for
transmitting ten additional data elements electronically to CBP at
least 24 hours before ocean cargo is loaded onto a vessel bound
for the US.
The new FedEx Trade Networks ISF service offers customers
options to best fit their supply chain. FedEx Trade Networks can
file and manage the ISF process on customers’ behalf, or provide
facilities for customers to self-file the required ISF data elements
via a web portal.
EuropeAmericasAsia-Pacific
FedEx in “Best to Work For” ListingFedEx has once again made it into the FORTUNE “100 Best Companies to Work For” achieving 90th place a n d r e c o g n i t i o n f o r i t s protection of hourly wage rates while implementing pay cuts and freezes for senior management.
New Head of UPS Freight ForwardingKen Torok has been named president of UPS’s global freight forwarding opera-tions responsible for strategy, performance and revenue growth.
>>In Brief - Americas
Issue 385 | 10 February 2009 print next
PAGE 11 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
Asia-Pacific
Ambassador Rescues GeoPost Acquisition
Groupe La Poste subsidiary GeoPost has gained the right to
purchase a sixty percent stake in Indian express parcel company
Continental Air Express in the face of strong opposition from the
Department of Posts and initial rejection of the acquisition by the
Foreign Investment Promotion Board.
The proposal to purchase has been cleared with some conditions
following an intervention by the French ambassador to India who
wrote a letter to the finance minister asking him to reconsider the
rejection by Indian authorities.
The Department of Posts claimed that any postal operator seeking
to establish operations outside its national territory would require
agreement from India Post.
GeoPost argued that it is a separate business owned by La Poste
and focusing on the premium parcel segment. That, it claimed,
means that UPU obligations do not apply. It said its operations
in other countries have not triggered any such dispute with local
postal operators.
Supporting its case, GeoPost had cited the case of DHL, majority
owned by Germany’s Deutsche Post. But the Department of Post
countered by stating that DHL was operating in India before it
was acquired by Deutsche Post.
GeoPost has been allowed to buy into Continental on the
condition that it will not deliver letters and postal parcels or
engage in other activities reserved for local postal operators by
the international UPU convention. It has been asked to restrict
its operations to business-to-business express delivery of parcels
weighing more than 2 kg.
Collapse of Bill Frees Operators In India
The Indian Government has withdrawn proposed amendments
to the Indian Postal Act that would have prevented express
companies from handling documents and letters weighing less
than 300 grams.
The proposed measures also included imposing a universal service
obligation fee on express companies of up to ten percent of
turnover, and a lower foreign direct investment cap on the express
industry.
The Department of Posts will now redraft the bill and submit an
amended version to the Indian Cabinet.
NZ Post Considers Public Offer
New Zealand Post is considering making a NZD 150 million public
offer of interest-bearing subordinated notes in order to repay
existing debt and enable further growth.
The offer is expected to open in mid March and to close in April.
The interest rate has not yet been announced.
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009 print next
PAGE 12 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
New Parcels Brand for Japan Post’s JV
Japan Post Service and Nippon Express will establish a new brand
when they integrate their parcel delivery operations in October.
The Yu-Pack and Pelican brands will cease to exist when the new
brand, as yet undisclosed, is launched.
Blue Dart Results Show Impact of Downturn
DHL’s Indian subsidiary, Blue Dart Express, increased profits by
more than ten percent in 2008 but experienced slower growth as
the global financial crisis took effect.
Pre-tax profit was INR 773.5 million on revenues up by 21 percent
to INR 9.79 billion.
In the fourth quarter, however, operating revenues dropped 2.3
percent to INR 2.27 billion and the quarter’s net profit dropped
34.5 percent to INR 124 million.
“With the company having essentially a fixed cost-based business
model, the deceleration in volume growth is having an adverse
impact on margins,” said Anil Khanna, managing director.
SingPost Sees Costs Rise in Third Quarter
Singapore Post saw pre-tax profits in the third quarter to
December 31 decline by 1.3 percent year-on-year to SGD 44.83
million while costs increased by 5.2 percent to SGD 89.3 million.
Revenue rose marginally by 1.6 percent to SGD 123.95 million.
Mail revenue rose 1.5 percent to SGD 95.5 million while logistics
revenue rose 2.1 percent to SGD 18.5 million.
Group chief executive officer Wilson Tan said: “To weather
this downturn, we have given greater focus and priority to
management of costs and capacity planning. Concurrently, we
are actively seeking growth opportunities to help us expand our
business.”
FedEx Chooses New Chinese Partner
FedEx has contracted cargo airline Yangtze River Express to
provide domestic flights within China following its cancellation of
a contract with former partner, Okay Airways. The company says
it is focusing on developing its domestic express services in China.
EuropeAmericasAsia-Pacific
Issue 385 | 10 February 2009
PAGE 13 - Issue 385THE NATURAL PARTNER FOR THE POSTAL INDUSTRY
15 Years of Service Improvement1989 - 2004
ABOUT THIS PUBLICATION
IPC Market Flash is a bi-weekly newsletter providing a comprehensive look at new developments emerging in the international postal marketplace. It is published by the Markets and Communication Department of the International Post Corporation.
IPC Market Flash is sent out exclusively to IPC member posts. If you would like to contribute an article or photograph to this publication please contact us via email at [email protected] or send your submissions to : IPC Head of CommunicationAvenue du Bourget, 441130, Brussels Belgium
While every care has been taken to ensure the accuracy of this report, the facts and estimates stated are based on information and sources which, while we believe them to be reliable, are not guaranteed. No liability can be accepted by International Post Corporation, its directors or employees, for any loss occasioned to any person or entity acting or failing act as a result of anything contained in or omitted from this report.
print homeEuropeAmericasAsia-Pacific