Added validity for FedEx/DHL rumor?

[Clyde]

Rumor around the industry is that FedEx and DHL will enter into an agreement where FedEx will takeover most of DHL's domestic deliveries and in exchange DHL will do the same for FedEx's European volume.

Now, with the recent cancellation of FedEx's plans for a Paris domicile, does this add any weight to the above rumor?

 

[fob727]

http://www.smartmoney.com/bn/index.cfm?story=19990923073953

 

[hyflyin]

http://www.smartmoney.com/bn/index.cfm?story=19990923073953

Is an article from 1999 supposed to tell us something? Much can change in 9 yrs.

 

[fob727]

I'm sorry, wrong link and now I can't get it to paste.

It's from the April ALPA magazine. The article talks about the ongoing negotiations between the pilots and management, along with the holdups. I.E-housing, domestic storage and compensation. The compensation issue is mostly due to the high rate of taxation in France and China.

My point is that the Paris domicile is still in negotiations.

 

[flyinboxes]

My friend at FedEx said the negotiations are on going although CDG is canceled for now. DHL thing isn't going to happen. Looks like they have been talking though on a logistics deal with remote delivery options overseas and domestic, could even involve the USPS. Air is unaffected.

 

[FastHap]

Deutsche Post, Fedex talks on U.S. express partnership deal fail - report
April 15, 2008: 0302 AM EST


FRANKFURT, Apr. 15, 2008 (Thomson Financial delivered by Newstex) -- Talks between Deutsche Post World Net AG. and Fedex (NYSE:FDX) Corp. on a strategic partnership in the U.S. express market have collapsed, Handelsblatt reported.

'Talks with Fedex on a cooperation have fizzled out,' the report quoted Axel Funhoff, analyst at Dutch Bank ING Groep (NYSE:ING) N.V. as saying, attributing his information to sources close to the companies.

Deutsche Post's DHL express operations in the United States have posted unspecified losses since the German mail services company entered the market in 2004.

Chief executive Frank Appel in a recent interview said the company is in talks with potential partners but said Deutsche Post is not dependent on finding a partner.

The report said a spokeswoman for Deutsche Post declined to comment on the matter.

fr1/ejb
Copyright Thomson Financial News Limited 2008. All rights reserved.

http://money.cnn.com/news/newsfeeds/articles/newstex/AFX-0013-24500097.htm

 

[HeavyjetDC8]

....Air is unaffected.

As it should be, because Air isn't the problem. Both ABX and Astar move aircraft to destination on time but said aircraft regrettably don't contain an over abundance of payload.

 

[Colonel Savage]

...but said aircraft regrettably don't contain an over abundance of payload.

Well who's friggin fault is that?

BTW, if ASTAR cuts and runs, why couldn't Airborne go back to providing their own service like they did before. It would take some time, but with a coordinated transfer of business from DHL back to ABX it might get done.

Would be a good riddance.

 

[hvydriver]

Well who's friggin fault is that?

BTW, if ASTAR cuts and runs, why couldn't Airborne go back to providing their own service like they did before. It would take some time, but with a coordinated transfer of business from DHL back to ABX it might get done.

Would be a good riddance.

DHL would never do that.

 

[shooter]

Well who's friggin fault is that?

BTW, if ASTAR cuts and runs, why couldn't Airborne go back to providing their own service like they did before. It would take some time, but with a coordinated transfer of business from DHL back to ABX it might get done.

Would be a good riddance.

One thing we could all be sure of is that if DHL does not stop losing customers both ABX and Astar will be out of jobs. DHL can't keep bleeding money and remain here doing what we all do now. Either they need to fix the problems to get packages to move through the system or there will be nothing left from any of us.

I don't know if the now failed FedEx partnership would have saved the money DHL needed to return to the black, but I doubt that partnership would have been in the best interest for ABX and Astar air networks. I think DHL's stupidity and incompetence will (or already has) push both airlines between a rock and a hard place. Their arrogance will be the demise of many or possibly all from both companies and it pisses me off.