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USPS Strikes Landmark Agreement For European Delivery of Packages

Press release from the issuing company

WASHINGTON - James P. Wade, Vice-President of the Postal Service's International Business announced today that the Postal Service has signed a landmark agreement with Consignia LLP, formerly the British Post Office, for the delivery of Global Express Mail (EMS) and Global Air Parcel Post (Air Parcels) in Europe. "Posts all over the world are creating new models for the benefit of their customers. This agreement provides an integrated network for the delivery of EMS and Air Parcels in Europe. We will be using a single delivery partner with an integrated IT system. This will be a vast improvement over working with 23 different postal administrations and delivery agents with dissimilar methodologies and standards," said Wade. This is the first time tracking capabilities will be available for Air Parcels and enhances the tracking and tracing for EMS. "This agreement will allow us to greatly enhance our track and trace capabilities providing centralized access to information and give the American public more flexible service options and more reliable service," said Wade. The actual delivery of packages will be made by Consignia's Pan-European parcel company, General Logistic Systems (GLS). The GLS network is made up of 23 national parcel companies, some wholly owned by GLS, with others operating as partners. In total, the GLS network serves customers in 30 countries throughout Europe. "I am delighted that we have earned the confidence of another major player in the world's postal market," said John Modd, Managing Director of Consignia's International Services. "The GLS network is a key player in the European parcel market where it has an excellent reputation for high quality and reliable parcel service." A trial period that began November 1 was successfully completed in December, 2001. Air parcels to all 23 destinations are now being delivered via Consignia's GLS network. At the beginning of January, 2002, EMS items destined for Sweden, Netherlands, Germany, France, Denmark and Austria were tendered to the GLS network. Delivery of EMS items, via Consignia's GLS network, for the remaining European destinations will be phased in over the first three months of 2002. They are: Andorra, Belgium, Finland, Gibraltar, Greece, Ireland, Italy, Liechtenstein, Luxembourg, Malta, Monaco, Norway, Portugal, San Marino, Spain, Switzerland, and Vatican City. Upon full implementation, GLS will deliver all of the U.S. Postal Service's EMS and Air Parcel volume to Europe - an average of 6,000 pieces daily. There will be no change to existing EMS and Air Parcel postage rates as a result of the agreement.