Aug 10, 2008

TNT and UPS talks

"Dutch parcel delivery group TNT NV stayed tight-lipped on Sunday about a newspaper claim that it has received an informal takeover approach from U.S. rival United Parcel Service Inc (UPS).   The rising price of fuel had increased the likelihood of consolidation among logistics groups like UPS, TNT, DHL and Federal Express." Source Forbes

This is going to be really interesting , consolidation talks. DHL will swing by TNT I think. They are both EU based entities. FEDEX will never merge with UPS. However, this is all speculation , remember that oil prices are going down. Once Oil prices level, pricing wars will begin again. PErsonally, I Think that both Fedex ad UPS will go thru de-vestments first before going thru a consoladation.

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