TNT N.V. announced today that it has received a binding offer from French logistics and transport company Norbert Dentressangle to purchase from its French logistics subsidiaries TNT Logistics Holdings SAS and TNT Logistics France SARL the majority of the contract logistics activities and part of the transportation activities. Additionally, Management Buy-Out offers have been received for most of the remainder of the transportation business of the French Logistics business unit.
TNT Logistics France SARL has invited the Works Councils of the involved French companies to meet in the next weeks to inform and to consult them about these offers. TNT N.V. announced on 29 July 2005 that it estimated the total loss relating to the sale and refocus of the French Logistics business unit to be up to EURO 140 million pre-tax, to be booked largely in 2005, and reiterates this guidance on the basis of these offers. At this moment no further details about the offers can be disclosed.
TNT N.V. announced on 29 July 2005 that it intended to sell its French transportation activities and to refocus on those parts of the contract logistics where the cost of capital can be earned, including complex supply chain solutions for the automotive industry and the contract recently awarded by SNCF. This contract will be implemented from April 2006 onwards by TNT in France and is not part of the business to be sold.
The current activities of the French Logistics business unit of TNT N.V. consist of transportation, representing 60% of the business, and contract logistics, representing 40% of the business. Losses of the French Logistics business unit amounted to EURO 17 million in the first half of 2005, on revenues of EURO 117 million.
The French Express business unit of TNT is not involved or impacted by these offers.