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DHL Ending Domestic Package Delivery

US Postal Service Targets New Customers

Posted: 4:57 pm EST January 30, 2009Updated: 10:37 am EST January 31, 2009

DHL pulled the plug on its domestic package delivery business Friday, leaving its hub at the Wilmington Air Park with only international operations remaining.

The change had been scheduled for weeks.

DHL spokesman Jonathon Baker told WHIOTV.COM that the move resulted in no dramatic reduction of flights from Thursday to Friday.

Baker said the changes have been gradual over time, along with reduction in staff levels.

Total job loss is expected to be 8,200 when the company realignment plan is completed.

Where DHL leaves off, the United States Postal Service hopes to pick up.

USPS spokesman Ray Jacobs said competition will be fierce for DHL’s former customers.

“It’s about $3.4 billion worth of business and the Postal Service is competing for a big portion of that,” Jacobs said, “and other shipping companies are competing for it as well.”

Jacobs said the USPS is going after the portion of the business that involves small parcels and document delivery.

With their extensive infrastructure across the country, the USPS will be very competitive, Jacobs said.

“Most of it is business to customer type mail and the biggest strength that we have is our delivery network. We go everywhere, every day across the United States and there is nobody else in the United States that does that,” Jacobs said.

How long will DHL remain in Wilmington?

That is unknown.

The company said Friday talks with UPS are “ongoing.”

Should the two companies reach a working agreement, it is expected that DHL would remove most of its operations from Wilmington and ship them off to Louisville, Kentucky.

The fate of the Wilmington Air Park is also up in the air. The city has formally requested that the company donate the facility to the community for future development.

The company has expressed its willingness to help the community, but has not yet made a formal response to the city’s request.

Jim.otte@whiotv.com

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