News - 30 May 2008
DHL forges US alliance with UPS
Deutsche Post World Net's board recently stated that its subsidiary DHL aims to save around EUR 640 million annually by cooperating with UPS.
The partners will sign a contract for the air transportation of DHL Express' national and international products within North America, to be carried out by UPS. DHL will restrict its activities in the USA to collecting, delivering and sorting letters, small parcels and packages. Its future cooperation partner UPS will take over air transportation for USD 1 billion annually. DHL is not only divesting itself of its fleet of 105 aircraft, but is also withdrawing from those regions where its network is not profitable. Deutsche Post expects DHL Express to make a loss of USD 1.3 billion in the USA in the current financial year.
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