TNT announced that it has completed the sale of its freight management business unit to Frenchlogistics service provider Geodis. The sale was announced on 16 November 2006.
The total transaction value is €460 million on a cash and debt free basis. Taking intoaccount various deal related costs and deductions, TNT said that it expects net proceeds ofapproximately €450 million.
The book gain of the transaction is expected to be approximately € 190 million. Final amountswill be calculated on the basis of completion accounts, and the results of the transaction will beaccounted for in the Q1 profit for discontinued operations.
TNT confirmed its intention, as stated on 4 December 2006, to use most of the proceeds of thesale of the freight management business to make further share repurchases.
