Oesterreichische Post outlines investments, will face new competitor in Austria |
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Wed, 14 Mar 2007 15:28
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VIENNA (AFX) - Oesterreichische Post will make investments worth 350 mln eur over the next two years, Deputy CEO Rudolf Jettmar told a press conference following the publication of the Austrian postal and carrier services company's 2006 results.The company plans to enter at least one more Eastern European market in 2007, news agency Austria Presse Agentur (APA) reported. It did not disclose which market or markets it is targeting.CEO Anton Weis said no capital increase would be needed to fund these investments.Oesterreichische Post said it will invest 50-100 mln eur in the parcel sector in Western Europe and a further 70-80 mln in the same sector in Eastern Europe.Some 50-100 mln eur will be spent on new products and services in Oesterreichische Post's mail division, while the remaining 70-180 mln will probably be invested in the Austrian market, Wais said.Logistics firm Hermes, a subsidiary of Germany's Otto Versand, today announced it would start delivering parcels in Austria from the start of July.Oesterreichische Post said its EBIT is likely to be reduced by 20-25 mln eur as of 2009-10 as a result of new competition, APA reported.At 2.52 pm, shares in Oesterreichische Post were down 0.32 pct at 32.45 eur, while the ATX Index was down 1.95 pct at 4,357.94.peter.klopf@thomson.compkl/ms1COPYRIGHTCopyright AFX News Limited 2007. All rights reserved.The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited
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Morgan Stanley places 1.1 mln shares in Oesterreichische Post - report 