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Thinking out loud on DHL and asking a few QQ's

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shooter

Call me the Tumblin' Dice
Joined
May 13, 2006
Posts
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What do you think the chances of UPS calling up DHL, proposing a deal with no intention of ever going through with it just for DHL to open their book to them?

http://switchnow.ups.com/comparesolutions.html

Wow, did DHL ever screw themselves into a corner with a crazed raccoon.
 
I heard a rumor today that the UPS deal had pretty much been abandoned due to the drastic drop in DHL volume over the past few months. That is just a rumor I heard today, so take it with a pound or so of salt.

This latest batch of UPS advertising does one of two things:
A. Confirms the deal has been abandoned, or
B. Is an attempt to show they are still "vigorously competing in the marketplace".
 
I don't buy it that UPS double crossed DHL.

DHL volume is already being transported on UPS aircraft. The deal is already completed, and more will be announced after the election.
 
Even if this is just a display of UPS and DHL showing they are still competing, UPS proposed this deal to DHL. So by persuading DHL this is they way should go, DHL is now in a position to be killed off by the UPS "plan" with the UPS products including the international product. With or without UPS carriage of DHL volume, DHL product is so weak they may never survive.

There are so many not up for re-election that are opposed to this deal election day will not figure into the equation. Either its done or its not and election will not delay the announcement if it is done.
 
There was no great conspiracy theory here. Both sides knew what the other was doing and DHL was looking to save face and money but get out of a market they could not really get into. All we are talking about is are they dead today, or will it take until tomorrow.
 
There was no great conspiracy theory here. Both sides knew what the other was doing and DHL was looking to save face and money but get out of a market they could not really get into. All we are talking about is are they dead today, or will it take until tomorrow.

I will have to disagree with you there. Airborne had a niche third in this market until the Germans came in, bought it and tried to re-invent the wheel (their model was a square one to boot). Had they kept the low cost business niche and expanded it with the DHL international I think they would have had a winner. But spilled milk now, so ppfffttt. I do agree with you that they are done, one way or another. Just waiting for the carcass to stop twitching.
 
I will have to disagree with you there. Airborne had a niche third in this market until the Germans came in, bought it and tried to re-invent the wheel (their model was a square one to boot). Had they kept the low cost business niche and expanded it with the DHL international I think they would have had a winner. But spilled milk now, so ppfffttt. I do agree with you that they are done, one way or another. Just waiting for the carcass to stop twitching.

Was hete the ceo of airborne express or did he come into the picture after DHL bought Airborne. Just curious. I think the best would be if someone started airborne express back up, and started the low cost package delivery again. I bet with the economy, politics the way they are and how the state of ohio has been treated I would think if airborne started back up their would be alot of support.
 
Was hete the ceo of airborne express or did he come into the picture after DHL bought Airborne. Just curious. I think the best would be if someone started airborne express back up, and started the low cost package delivery again. I bet with the economy, politics the way they are and how the state of ohio has been treated I would think if airborne started back up their would be alot of support.

Hete was running ABX Air for Airborne Freight. ABX Air was Airborne Freight's wholly owned subsidiary carrier. The two did business under the trade name of Airborne Express. Airborne, as part of the run up to DHL buying them changed their name to Airborne Express and became a wholly owned subsidiary of Airborne Inc. At that point, ABX Air also became a wholly owned subsidiary of Airborne Inc. The company continued to due business as Airborne Express.

I don't think the money is there to restart the old Airborne, nor do I think Hete wants to, at least not right now. First he has to get rid of the old line ABX crews whom he hates and thinks are making way to much money for way to little work.
 
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