Deutsche Post World Net expects DHL to suffer a single-digit percentage drop in its US revenues in2008 as the financial crisis hits the country’s economy, according to chairman Klaus Zumwinkel.
“We are feeling the crisis in our express business in North America,” he said in an interviewwith German business magazine Capital published this week. It was clear that the problems in thefinancial sector were impacting on the US economy, he commented. “Less is being sold and thus lessis being transported,” he pointed out.
In response, DHL would adjust its capacity in the USA, Zumwinkel said. Overall, DPWN expectedthe express business to suffer a single-digit percentage drop in its US revenues in 2008 as aresult. But this “is not worse than the competition”, he stressed. FedEx, for example, had issuedtwo profit warnings in recent months.
The Deutsche Post chief stressed, however, that the company had no plans to withdraw from theUS market. “We have invested in a stable, good quality network for the whole USA that is linked tothe global network. If we were not present in North America, then we would not do such goodbusiness in Europe and Asia. Even when it’s not going ideally for us there at the moment, thismarket is essential for a global network,” he stressed.
Zumwinkel also reiterated that Deutsche Post would review this year whether to sell itsfinancial services subsidiary, Postbank. The two major German banks, Deutsche Bank and Commerzbank,have both indicated interest in Postbank.
