Business, Freight News, Logistics

UPS and TNT get statement of objections

[ October 22, 2012   //   ]

UPS and TNT said on 19 October that they have received a Statement of Objections (SO) from the European Commission (EC) over the competitive effects of their intended merger on the international express small package market in Europe.

In a statement, the two carriers described the SO as a normal step in a second phase merger procedure. It is a confidential document that sets out a provisional position of the Commission and does not prejudge the final outcome of the case. UPS and TNT Express added that they would respond to the EC “within a couple of weeks, and intend to preserve the confidentiality of the document and discussions in line with common practice.”

They reiterated their belief that competition in Europe “continues to be significant, coming from multiple players who offer similar services. The combined company will help create a more efficient logistics market, thereby improving the competitiveness of Europe and the solutions offered to businesses and consumers. Those benefits include future improvements to e-commerce to help achieve the EU objective of a Digital Single Market. In addition, customers and consumers will benefit from a broader portfolio of services and better global access, along with lower supply-chain costs overall and improved service levels in terms of timing and reliability.”

They added that they were working to complete the transaction in early 2013.

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