PostNL struggles with reorganisation costs

Postal delivery group PostNL on Monday announced a fall in turnover in the first half of 0.2% to €2.1bn and net profit of €116m.


The company is under pressure from extra costs and the delay in its reorganisation. That reorganisation cost PostNL €9m in the first quarter.
Following its split in 2011 from its express delivery arm TNT Express, the company also spent €6m on rebranding vehicles, uniforms and equipment.
The weaker than expected results will continue into the second quarter, CEO Herna Verhagen said in a statement. Verhagen, who took over from Harry Koorstra earlier this year, expects PostNL to make a decision on its reorganisation towards the end of this year.
The reorganisation was postponed until 2013 in July following complaints about late or missing post from the new centralised locations.
PostNL is expecting €1.5bn from the sale of TNT Express to its American peer UPS. However, the takeover is delayed by a review by the European Commission which is likely to take months.

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