UPS Offer
- UPS and TNT Express preparing response to European Commission’s Statement of Objections; open and constructive dialogue continues
- Second Offer period ends 9 November 2012; UPS to extend Offer period if exemption granted by AFM or, if not granted, promptly launch new public offer on the same terms and conditions
- Transaction expected to complete in early 2013
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Commenting on this quarter’s developments, Bernard Bot, interim CEO said:
‘TNT Express showed a mixed performance this quarter, with lower results in Europe but improvements in Asia Pacific. In a challenging economic environment, we benefited from our diversified product portfolio and superior customer service. The quarter saw the highest customer satisfaction score ever realised. Customer growth was also good, with notable additional business won in the Automotive, Industrial and High-Tech sectors. Finally, we continue to contain costs and shed loss-making activities to support our operating results. Our cash performance was also strong.’
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2012 outlook and aims:
- Challenging trading conditions in Europe and Asia Pacific intercontinental
- Europe & MEA: indirect and fixed cost control initiatives in place to help mitigate impact of negative yield trend
- Asia Pacific: year-on-year benefit from reduced exposure to fixed intercontinental air capacity and improved performance from domestic businesses
- Americas: focus on improving results in Brazil
- Working capital to be in line with medium-term aims, capital expenditures lower
2013:
- TNT Express and UPS committed to the intended merger and confident that European competition clearance will be achieved, allowing completion of the transaction in early 2013
