DHL needs to close doors in Ohio
08-12-2008, 03:37 PM
#1
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Posts: 33
DHL needs to close doors in Ohio
It sounds like there is no alternative other than having UPS bail them out!!!
DHL has to shut down Ohio facility - Appel
Deutsche Post needs to shut down its DHL Ohio hub or face a loss of all its US business, Deutsche Post chief executive Frank Appel told German daily Frankfurter Allgemeine Zeitung.
"There is no alternative," Appel said. "Otherwise we would lose our entire express delivery business in the United States, which, at the end of the day, would cost a lot more jobs."
At issue is DHL's plans to shutter operations at a facility in Wilmington, Ohio, which could mean the loss of 8,000 jobs following DHL's proposal for UPS to handle its domestic air volume.
http://www.cargonewsasia.com/secured...&article=16715
DHL has to shut down Ohio facility - Appel
Deutsche Post needs to shut down its DHL Ohio hub or face a loss of all its US business, Deutsche Post chief executive Frank Appel told German daily Frankfurter Allgemeine Zeitung.
"There is no alternative," Appel said. "Otherwise we would lose our entire express delivery business in the United States, which, at the end of the day, would cost a lot more jobs."
At issue is DHL's plans to shutter operations at a facility in Wilmington, Ohio, which could mean the loss of 8,000 jobs following DHL's proposal for UPS to handle its domestic air volume.
http://www.cargonewsasia.com/secured...&article=16715
08-12-2008, 05:22 PM
#2
Gets Weekends Off
Joined APC: Apr 2007
Posts: 1,874
It sounds like there is no alternative other than having UPS bail them out!!!
DHL has to shut down Ohio facility - Appel
Deutsche Post needs to shut down its DHL Ohio hub or face a loss of all its US business, Deutsche Post chief executive Frank Appel told German daily Frankfurter Allgemeine Zeitung.
"There is no alternative," Appel said. "Otherwise we would lose our entire express delivery business in the United States, which, at the end of the day, would cost a lot more jobs."
At issue is DHL's plans to shutter operations at a facility in Wilmington, Ohio, which could mean the loss of 8,000 jobs following DHL's proposal for UPS to handle its domestic air volume.
http://www.cargonewsasia.com/secured...&article=16715
DHL has to shut down Ohio facility - Appel
Deutsche Post needs to shut down its DHL Ohio hub or face a loss of all its US business, Deutsche Post chief executive Frank Appel told German daily Frankfurter Allgemeine Zeitung.
"There is no alternative," Appel said. "Otherwise we would lose our entire express delivery business in the United States, which, at the end of the day, would cost a lot more jobs."
At issue is DHL's plans to shutter operations at a facility in Wilmington, Ohio, which could mean the loss of 8,000 jobs following DHL's proposal for UPS to handle its domestic air volume.
http://www.cargonewsasia.com/secured...&article=16715
08-12-2008, 05:34 PM
#4
Gets Weekends Off
Joined APC: May 2006
Posts: 999
Can't wait to see these hearings...wonder if they'll be on C-SPAN?
Denied:1up! Software
8/12/2008 12:21:00 AM
Task Force applauds House hearings
NEWS JOURNAL STAFF REPORT
Wilmington Mayor David Raizk, a co-chair of the Wilmington Economic Task Force, said Monday the task force welcomes the Friday news that two committees of the U.S. House of Representatives will hold hearings in September to examine the planned arrangement between DHL Worldwide Express and United Parcel Service (UPS).
“We applaud congressional efforts to examine the facts about the proposed deal between DHL and UPS,” said Raizk. “Its implications are significant and far-reaching, potentially affecting Open Skies, competition in the shipping and transportation industries, civil air defense, federal contracts and government subsidies to corporations. Because the potential costs to consumers and taxpayers are enormous, the deal should be closely scrutinized by our elected officials.”
Raizk emphasized the planned contract would have a devastating impact on the economic well-being of thousands of area residents and their families.
“In addition to national policy considerations, this deal has to be examined in relation to the effect on people’s lives,” he said. “These are not just numbers on a page. They are real people with real fears about how they will keep their homes, educate their children and keep food on the table.”
On Friday, John Conyers Jr. of Michigan, chairman of the House Judiciary Committee, announced the committee’s Task Force on Competitive Policy and Antitrust Law plans to hold hearings regarding consolidation in the airline industry in general and the proposed consolidation involving DHL in particular.
On the same day, James L. Oberstar of Minnesota, chairman of the House Transportation and Infrastructure Committee, announced his committee plans to examine how the proposed DHL-UPS relationship would affect service, costs, consumer choice and jobs.
Raizk thanked Ohio’s elected officials for their efforts in securing the hearings. All 18 members of Ohio’s congressional delegation signed letters requesting federal oversight of the planned transaction.
The Wilmington Economic Task Force is comprised of government officials from the city, county, state and national levels, along with representatives from ABX Air and ASTAR Air Cargo, community members and business officials. The task force is co-convened by Ohio Lt. Gov. Lee Fisher and Raizk.
The group was organized in response to the negotiations between UPS and DHL’s parent corporation Deutsche Post World Net to have DHL’s North American air freight transported by UPS aircraft, effectively shutting down air hub operations at the Wilmington Air Park.
The Wilmington Economic Task Force is working to preserve jobs and craft economically feasible solutions stemming from the potential direct loss of 8,200 jobs — with many more indirect job losses — in and around Wilmington.
The projected economic impact of the job losses exceeds $400 million annually, according to a media release issued Monday in conjunction with the Wilmington Economic Task Force.
Denied:1up! Software
8/12/2008 12:21:00 AM
Task Force applauds House hearings
NEWS JOURNAL STAFF REPORT
Wilmington Mayor David Raizk, a co-chair of the Wilmington Economic Task Force, said Monday the task force welcomes the Friday news that two committees of the U.S. House of Representatives will hold hearings in September to examine the planned arrangement between DHL Worldwide Express and United Parcel Service (UPS).
“We applaud congressional efforts to examine the facts about the proposed deal between DHL and UPS,” said Raizk. “Its implications are significant and far-reaching, potentially affecting Open Skies, competition in the shipping and transportation industries, civil air defense, federal contracts and government subsidies to corporations. Because the potential costs to consumers and taxpayers are enormous, the deal should be closely scrutinized by our elected officials.”
Raizk emphasized the planned contract would have a devastating impact on the economic well-being of thousands of area residents and their families.
“In addition to national policy considerations, this deal has to be examined in relation to the effect on people’s lives,” he said. “These are not just numbers on a page. They are real people with real fears about how they will keep their homes, educate their children and keep food on the table.”
On Friday, John Conyers Jr. of Michigan, chairman of the House Judiciary Committee, announced the committee’s Task Force on Competitive Policy and Antitrust Law plans to hold hearings regarding consolidation in the airline industry in general and the proposed consolidation involving DHL in particular.
On the same day, James L. Oberstar of Minnesota, chairman of the House Transportation and Infrastructure Committee, announced his committee plans to examine how the proposed DHL-UPS relationship would affect service, costs, consumer choice and jobs.
Raizk thanked Ohio’s elected officials for their efforts in securing the hearings. All 18 members of Ohio’s congressional delegation signed letters requesting federal oversight of the planned transaction.
The Wilmington Economic Task Force is comprised of government officials from the city, county, state and national levels, along with representatives from ABX Air and ASTAR Air Cargo, community members and business officials. The task force is co-convened by Ohio Lt. Gov. Lee Fisher and Raizk.
The group was organized in response to the negotiations between UPS and DHL’s parent corporation Deutsche Post World Net to have DHL’s North American air freight transported by UPS aircraft, effectively shutting down air hub operations at the Wilmington Air Park.
The Wilmington Economic Task Force is working to preserve jobs and craft economically feasible solutions stemming from the potential direct loss of 8,200 jobs — with many more indirect job losses — in and around Wilmington.
The projected economic impact of the job losses exceeds $400 million annually, according to a media release issued Monday in conjunction with the Wilmington Economic Task Force.
08-12-2008, 05:36 PM
#5
Gets Weekends Off
Joined APC: May 2006
Posts: 999
http://www.forbes.com/afxnewslimited/feeds/afx/2008/08/12/afx5312250.html
DHL Losing $5 million per day in US...
Deutsche Post CEO defends proposed U.S. job cuts - Forbes.com
Appel added that DHL is losing $5 million per day in the U.S.
Deutsche Post is in talks with United Parcel Service Inc., to which it would like to outsource its U.S. air express services, while it is also restructuring its ground express services to reduce annual losses of some $1.3 billion to $300 million by 2011.
The plans involve the closure of a logistics hub at Wilmington, Ohio, while threatening up to 8,000 jobs at airline ABX.
Both U.S. presidential candidates, Democrat Barack Obama and Republican John McCain, have voiced antitrust concerns over the planned cooperation between DHL and UPS.
Appel said both companies would remain strong competitors, even though UPS provides services to DHL. He added that talks with local authorities and unions on severance packages are ongoing, but provided no details.
DHL's U.S. business has posted unspecified losses since entering the market in 2004 in the face of tough competition from incumbents UPS and FedEx Corp. (nyse: FDX - news - people ) Its market share is estimated at below 10 percent.
Deutsche Post CEO defends proposed U.S. job cuts - Forbes.com
Appel added that DHL is losing $5 million per day in the U.S.
Deutsche Post is in talks with United Parcel Service Inc., to which it would like to outsource its U.S. air express services, while it is also restructuring its ground express services to reduce annual losses of some $1.3 billion to $300 million by 2011.
The plans involve the closure of a logistics hub at Wilmington, Ohio, while threatening up to 8,000 jobs at airline ABX.
Both U.S. presidential candidates, Democrat Barack Obama and Republican John McCain, have voiced antitrust concerns over the planned cooperation between DHL and UPS.
Appel said both companies would remain strong competitors, even though UPS provides services to DHL. He added that talks with local authorities and unions on severance packages are ongoing, but provided no details.
DHL's U.S. business has posted unspecified losses since entering the market in 2004 in the face of tough competition from incumbents UPS and FedEx Corp. (nyse: FDX - news - people ) Its market share is estimated at below 10 percent.
08-14-2008, 05:49 PM
#7
With The Resistance
Joined APC: Jan 2006
Position: Burning the Agitprop of the Apparat
Posts: 6,191
Always consider the Source:
DHL Parent's Chief Defends UPS Deal - WSJ.com
DHL Parent's Chief Defends UPS Deal
By COREY DADE and ALEX ROTH
August 14, 2008; Page B4
Hoping to quell the furor building for congressional hearings into DHL's outsourcing deal with United Parcel Service Inc., the chief executive officer of DHL parent Deutsche Post AG of Germany defended the move as critical to saving the U.S. business and its 43,000 jobs.
Frank Appel, CEO of the Bonn-based delivery giant, in his first interview since the agreement became a political target of presidential candidates John McCain and Barack Obama, said the only alternative is "more serious cuts to the whole operation" to stanch losses of $5 million a day. "I can't afford to take losses of $1.3 billion forever," he said.
Mr. Appel expressed sympathy for the more than 8,000 workers expected to lose their jobs in the closure of DHL's Wilmington, Ohio air hub and said he plans to dispatch local advisers to help them find other jobs.
Concerns raised by Republican Sen. McCain and Democratic Sen. Obama are understandable given the hub's importance to the local economy, Mr. Appel said. However, he said there are no grounds for the candidates' demands for an antitrust investigation. "I can't imagine what would be the legal position" to block it, he said. UPS has sought to clarify the deal as a vendor contract rather than a merger, which would trigger a federal anticompetition review. If consummated, the contract would make DHL the largest customer of UPS and generate $1 billion in annual revenue for the Atlanta shipping titan.
A spokeswoman for the House Transportation and Infrastructure Committee said Wednesday that a hearing likely will be scheduled for September.
The Ohio congressional delegation first requested a hearing, and the committee chairman, Democratic Rep. James Oberstar of Minnesota, has expressed unease about the job losses and potential effects on customer service and industry competition.
Sen. McCain, along with Rep. Mike Turner, also a Republican, who represents the Wilmington area, on Tuesday sent a letter to Mr. Appel urging him to visit the city and "hear first hand the many important issues of concern to the affected community."
Mr. Appel in the interview said that wasn't necessary. "I should go there if I can tell people something, but we have said what we can say at the moment," Mr. Appel said.
Yesterday, Ohio Lieutenant Gov. Lee Fisher said in an interview that the state wants to enter into "a risk-sharing, collaborative financial partnership" with the company, in place of the UPS deal. Mr. Fisher declined to disclose details of the proposal.
Deutsche Post AG spokesman Silje Skogstad said, "We are not aware of such a proposal."
Last week Sen. McCain met with DHL workers in Wilmington and pledged to try to stop DHL from slashing jobs. Sen. Obama voiced similar concerns in asking the White House to step in.
DHL announced the UPS deal in May as part of a downsizing of its expansion in the U.S., which has failed over the past five years to gain market share against UPS and FedEx Corp. DHL bought express-delivery company Airborne Inc. in 2003 for $1.05 billion. At the time, members of Congress questioned a foreign company buying the cargo airline, in light of the Sept. 11 terror attacks and a U.S. law preventing foreign investors from holding a majority stake in a U.S. carrier.
DHL's Wolfgang Pordzik, executive vice president of corporate public policy, in an interview disputed recent news reports about the work of former Washington lobbyist Rick Davis on the acquisition. Mr. Pordzik said Mr. Davis, who is currently Sen. McCain's campaign manager, represented Airborne before the acquisition and wasn't hired by DHL until after the purchase was completed. Mr. Pordzik said Mr. Davis's role for DHL was to "basically create good will" for DHL on Capitol Hill "without a specific legislative target...or regulatory target."
Lobbyist disclosures filed with the Senate and a McCain campaign spokesman say Mr. Davis's firm, Davis Manafort Inc., worked on behalf of Airborne to push through its sale to DHL. The campaign and the documents also say DHL hired Manafort after the acquisition. Mr. Davis declined to comment.
An Obama campaign ad airing in the Wilmington area says Mr. Davis and Sen. McCain helped "foreign-owned DHL buy a U.S. company and gain control over the jobs that are now on the chopping block in Ohio." The McCain spokesman, Brian Rogers, said the Obama ad is "absolutely wrong" as far as Sen. McCain's role in the 2003 acquisition. Mr. Rogers says the senator never took a position on the deal, but opposed an amendment to a military spending bill aimed at prohibiting foreign airlines from carrying U.S. military troops and equipment. DHL at the time had such a contract.
Obama campaign spokesman Nick Shapiro said the ad's claims are "factually accurate."
Write to Corey Dade at [email protected]1 and Alex Roth at [email protected]2
URL for this article:
DHL Parent's Chief Defends UPS Deal - WSJ.com
Possible plans by Ohio politicos supposedly include the possibility of a Casino on site to help the deprived. I just wonder if this will include tribal membership with the sop. I find it amusing that government controls gambling just like the mafia used to and that the National Enquirer now has more credibility than the NYT.
DHL Parent's Chief Defends UPS Deal - WSJ.com
DHL Parent's Chief Defends UPS Deal
By COREY DADE and ALEX ROTH
August 14, 2008; Page B4
Hoping to quell the furor building for congressional hearings into DHL's outsourcing deal with United Parcel Service Inc., the chief executive officer of DHL parent Deutsche Post AG of Germany defended the move as critical to saving the U.S. business and its 43,000 jobs.
Frank Appel, CEO of the Bonn-based delivery giant, in his first interview since the agreement became a political target of presidential candidates John McCain and Barack Obama, said the only alternative is "more serious cuts to the whole operation" to stanch losses of $5 million a day. "I can't afford to take losses of $1.3 billion forever," he said.
Mr. Appel expressed sympathy for the more than 8,000 workers expected to lose their jobs in the closure of DHL's Wilmington, Ohio air hub and said he plans to dispatch local advisers to help them find other jobs.
Concerns raised by Republican Sen. McCain and Democratic Sen. Obama are understandable given the hub's importance to the local economy, Mr. Appel said. However, he said there are no grounds for the candidates' demands for an antitrust investigation. "I can't imagine what would be the legal position" to block it, he said. UPS has sought to clarify the deal as a vendor contract rather than a merger, which would trigger a federal anticompetition review. If consummated, the contract would make DHL the largest customer of UPS and generate $1 billion in annual revenue for the Atlanta shipping titan.
A spokeswoman for the House Transportation and Infrastructure Committee said Wednesday that a hearing likely will be scheduled for September.
The Ohio congressional delegation first requested a hearing, and the committee chairman, Democratic Rep. James Oberstar of Minnesota, has expressed unease about the job losses and potential effects on customer service and industry competition.
Sen. McCain, along with Rep. Mike Turner, also a Republican, who represents the Wilmington area, on Tuesday sent a letter to Mr. Appel urging him to visit the city and "hear first hand the many important issues of concern to the affected community."
Mr. Appel in the interview said that wasn't necessary. "I should go there if I can tell people something, but we have said what we can say at the moment," Mr. Appel said.
Yesterday, Ohio Lieutenant Gov. Lee Fisher said in an interview that the state wants to enter into "a risk-sharing, collaborative financial partnership" with the company, in place of the UPS deal. Mr. Fisher declined to disclose details of the proposal.
Deutsche Post AG spokesman Silje Skogstad said, "We are not aware of such a proposal."
Last week Sen. McCain met with DHL workers in Wilmington and pledged to try to stop DHL from slashing jobs. Sen. Obama voiced similar concerns in asking the White House to step in.
DHL announced the UPS deal in May as part of a downsizing of its expansion in the U.S., which has failed over the past five years to gain market share against UPS and FedEx Corp. DHL bought express-delivery company Airborne Inc. in 2003 for $1.05 billion. At the time, members of Congress questioned a foreign company buying the cargo airline, in light of the Sept. 11 terror attacks and a U.S. law preventing foreign investors from holding a majority stake in a U.S. carrier.
DHL's Wolfgang Pordzik, executive vice president of corporate public policy, in an interview disputed recent news reports about the work of former Washington lobbyist Rick Davis on the acquisition. Mr. Pordzik said Mr. Davis, who is currently Sen. McCain's campaign manager, represented Airborne before the acquisition and wasn't hired by DHL until after the purchase was completed. Mr. Pordzik said Mr. Davis's role for DHL was to "basically create good will" for DHL on Capitol Hill "without a specific legislative target...or regulatory target."
Lobbyist disclosures filed with the Senate and a McCain campaign spokesman say Mr. Davis's firm, Davis Manafort Inc., worked on behalf of Airborne to push through its sale to DHL. The campaign and the documents also say DHL hired Manafort after the acquisition. Mr. Davis declined to comment.
An Obama campaign ad airing in the Wilmington area says Mr. Davis and Sen. McCain helped "foreign-owned DHL buy a U.S. company and gain control over the jobs that are now on the chopping block in Ohio." The McCain spokesman, Brian Rogers, said the Obama ad is "absolutely wrong" as far as Sen. McCain's role in the 2003 acquisition. Mr. Rogers says the senator never took a position on the deal, but opposed an amendment to a military spending bill aimed at prohibiting foreign airlines from carrying U.S. military troops and equipment. DHL at the time had such a contract.
Obama campaign spokesman Nick Shapiro said the ad's claims are "factually accurate."
Write to Corey Dade at [email protected]1 and Alex Roth at [email protected]2
URL for this article:
DHL Parent's Chief Defends UPS Deal - WSJ.com
Possible plans by Ohio politicos supposedly include the possibility of a Casino on site to help the deprived. I just wonder if this will include tribal membership with the sop. I find it amusing that government controls gambling just like the mafia used to and that the National Enquirer now has more credibility than the NYT.
08-14-2008, 05:59 PM
#8
Retired Doug herder
Joined APC: Mar 2005
Position: Former DC8 73 Capt DHLAirways/Astar. Retired
Posts: 424
I agree to consider the source Jungle. I notice he didn't mention the 6 billion in net profit that DPWN achieved with DHL globally in 2007 in there either. I'd still like to know how air ops. puts these guys in the red 1 billion per year. I don't see how. Nationwide operations, (air/ground combined) perhaps. Just air ops.? No way. I notice that he never shows how they are losing the money. Just that they are. Fuel costs alone aren't going to account for those kind of losses.
08-14-2008, 06:10 PM
#9
With The Resistance
Joined APC: Jan 2006
Position: Burning the Agitprop of the Apparat
Posts: 6,191
I agree to consider the source Jungle. I notice he didn't mention the 6 billion in net profit that DPWN achieved with DHL globally in 2007 in there either. I'd still like to know how air ops. puts these guys in the red 1 billion per year. I don't see how. Nationwide operations, (air/ground combined) perhaps. Just air ops.? No way. I notice that he never shows how they are losing the money. Just that they are. Fuel costs alone aren't going to account for those kind of losses.
The WSJ article also outlines the crux of DHL's legal defense: they are changing vendors for a service, not merging. This is the question that will be addressed by any hearings. I am sure an army of Lawyers has been mulling over this exact question for quite some time and already know the answer.
Both groups of politicos have called the other liars and this is to be expected.
08-14-2008, 06:11 PM
#10
Gets Weekends Off
Joined APC: Mar 2007
Position: No more APC 4 me. Quit because of moderation.
Posts: 134
Always consider the Source:
DHL Parent's Chief Defends UPS Deal - WSJ.com
Yesterday, Ohio Lieutenant Gov. Lee Fisher said in an interview that the state wants to enter into "a risk-sharing, collaborative financial partnership" with the company, in place of the UPS deal. Mr. Fisher declined to disclose details of the proposal.
Deutsche Post AG spokesman Silje Skogstad said, "We are not aware of such a proposal."
DHL Parent's Chief Defends UPS Deal - WSJ.com
Yesterday, Ohio Lieutenant Gov. Lee Fisher said in an interview that the state wants to enter into "a risk-sharing, collaborative financial partnership" with the company, in place of the UPS deal. Mr. Fisher declined to disclose details of the proposal.
Deutsche Post AG spokesman Silje Skogstad said, "We are not aware of such a proposal."
So, Ohio, a US state, is going into business with Germany to compete against UPS and FedEx - both US companies??? What the hell kind of arrangement is that?
I wouldn't be too thrilled about paying taxes to Ohio to subsidize a German company if I lived in Ohio!
I think the Ohio Lieutenant Gov. is smoking some good crack to offer that deal!
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