TPG POSTS 10.7% RISE IN FIRST-HALF PROFIT; EXPRESS EARNINGS DOWN

   TNT Post Group, parent company of the Dutch post office and
international express carrier TNT, reported a 10.7-percent increase in net profit, to 404 million Dutch guilders ($192 million) in the first six
months of the year.
   Sales grew 8.7 percent to NLG 8.6 billion and operating income increased 5.7 percent to NLG 724 million.
   TPG separates its business into three segments: mail, express and logistics.
   Express revenue, which included the business of recently acquired French delivery company Jet Services, increased 9 percent to NLG 3.5 billion in the first six months. However, earnings from express operations fell more than 23 percent to NLG 109 million. TPG blamed the poor performance on slower economic growth in Europe, lower package volumes, higher network costs and lower yields.
   John Fellows, the TPG board member in charge of express operations, stepped down in June. TPG said it has implemented a cost-cutting and service improvement plan to boost express earnings for the rest of the year.
   Earnings from logistics operations rose 23.6 percent to NLG 89 million on a 28.5-percent increase in logistics revenue of NLG 1.4 billion. Logistics revenue includes the acquisition of Italy’s Tecnologistica and the logistic activities of Jet Services. TPG also said it saw considerable growth in logistics revenue from its North American and Asian operations.