DHL Shutting down U.S. Operations...

Discussion in 'Current Events' started by iGary, Nov 10, 2008.

  1. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
    #1
    Just coming in on CNN.

    Yikes, that's a lot of delivery drivers, pilots and other folks without jobs.

    Edit: They have yanked it off the "Breaking news" section. Hrmmm.
     
  2. macrumors Penryn

    rdowns

    Joined:
    Jul 11, 2003
    Messages:
    26,934
    #2
    http://www.marketwatch.com/news/sto...x?guid={33087DB0-161A-4EED-97D4-51711EF1A19C}

    PLANTATION, Fla., Nov 10, 2008 (BUSINESS WIRE) -- --International shipping to/from U.S. remains intact
    --Will reduce U.S. operating costs by over 80%
    --U.S. stays an integral part of DHL's global network

    DHL, the world's number one international logistics and express service provider, today announced a repositioning of its U.S. Express business. Beginning January 30, 2009, DHL's U.S. Express business will focus entirely on its international offerings and will discontinue its domestic-only air and ground services. However, the company will retain a strong international presence and capability in the U.S. going forward.

    The announcement was made this morning at a press conference held in Bonn, Germany by Deutsche Post World Net, parent company of DHL U.S. Express.
     
  3. macrumors 601

    Diatribe

    Joined:
    Jan 8, 2004
    Messages:
    4,177
    Location:
    Back in the motherland
    #3
    They just made it official. They're going to shut down their entire U.S. local operation and cut 14.900 jobs.

    German
    Link


    Edit: Beat me to it. And the above link is probably easier to understand for most here anyway. Gonna leave the link for those who speak German.
     
  4. Moderator emeritus

    edesignuk

    Joined:
    Mar 25, 2002
    Messages:
    19,103
    Location:
    London, England
    #4
    Holy. S***. :eek: :(
     
  5. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
    #5
    This is going to be ****** Christmas for a lot of people this year. :(
     
  6. JNB
    macrumors 604

    JNB

    Joined:
    Oct 7, 2004
    Messages:
    6,873
    Location:
    In a Hell predominately of my own making
    #6
    Was there really enough room for three intra-US delivery behemoths, anyway? Considering how much I actually saw DHL being used all over the country, I suspect the international operation must have been subsidizing the domestic US one.
     
  7. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
    #7
    Apple uses(d) DHL for most if not all of their parts/service delivery. I'm sure FedEx will get that.
     
  8. macrumors 601

    Diatribe

    Joined:
    Jan 8, 2004
    Messages:
    4,177
    Location:
    Back in the motherland
    #8
    Yeah, it is really unfortunate that this comes in December. They have a $1.2 billion loss this year in U.S. operations, which is just insane. And looking at the economic crisis there are a lot of companies looking at their business right now and deciding what actions to take, even the ones that are not doing so badly. This is far from being over.
     
  9. macrumors 68030

    Big-TDI-Guy

    Joined:
    Jan 11, 2007
    Messages:
    2,605
    #9
    I love the etiquette and wordplay used when cutting jobs. "Repositioning" "Dynamic Shift" and "Efficiency Improvements". :rolleyes: :mad:
     
  10. macrumors demi-god

    SwiftLives

    Joined:
    Dec 7, 2001
    Messages:
    1,338
    Location:
    Charleston, SC
    #10
    DHL slashes workforce. Circuit City files for bankruptcy.

    And it's not even 9:00 yet.

    Gonna be a long week.
     
  11. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
  12. macrumors 68030

    Big-TDI-Guy

    Joined:
    Jan 11, 2007
    Messages:
    2,605
    #12
    I thinks its time to take the hit on my 401k. :(
     
  13. Moderator emeritus

    edesignuk

    Joined:
    Mar 25, 2002
    Messages:
    19,103
    Location:
    London, England
    #13
    All this along with the GM & Ford news, crikey :(
     
  14. macrumors demi-god

    SwiftLives

    Joined:
    Dec 7, 2001
    Messages:
    1,338
    Location:
    Charleston, SC
    #14
    It's probably down to about a 0.401k by now.

    On the bright side, now is the time to invest. On the downside, now is the time to invest with what, exactly?

    Long week.
     
  15. macrumors demi-god

    Joined:
    Oct 14, 2005
    Messages:
    10,732
    Location:
    Virginia Beach
    #15
    DHL is a surprise, but Circuit City's been tanking for a long, long time.

    It sucks that these folks are all losing jobs (esp. right before the holidays), but it double-sucks that Circuit City is announcing bankruptcy today, which will undoubtedly be attributed to the recent 'economic crisis', when their problems have been going on for the last few years.
     
  16. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
    #16
    Going into bankruptcy right before the holidays spells the end of Circuit City, in my opinion. They have no cash, their stock is almost worthless and they have a ton of liabilities outstanding.
     
  17. macrumors Penryn

    rdowns

    Joined:
    Jul 11, 2003
    Messages:
    26,934
    #17
    According to what I've read, they had no choice. They owe their creditors huge sums ( HP at $118M, Samsung at $116M, Sony at $60M, Zenith at $42M, Toshiba at $18M) and needed to do something to get inventory into their stores.
     
  18. macrumors demi-god

    Joined:
    Oct 14, 2005
    Messages:
    10,732
    Location:
    Virginia Beach
    #18
    I agree. :( What's crazy is that Best Buy has stated that they'd consider buying some of Circuit City's closed locations. Amazing how two companies in the same retail space can be having such opposite experiences.
     
  19. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
    #19
    No choice, I agree, but I think they're done for. Kramer basically said "anyone without cash in the bank going into this holiday season is in trouble."

    I think I believe him.
     
  20. macrumors Penryn

    rdowns

    Joined:
    Jul 11, 2003
    Messages:
    26,934
    #20
    They have secured a $1.1 billion loan to provide working capital while reorganizing. Apparently, credit must not be that tight.

     
  21. Guest

    iGary

    Joined:
    May 26, 2004
    Messages:
    19,583
    Location:
    Randy's House
    #21
    Someone has $1.1 billion they wanna write off. :p

    I still think they'll go buh-bye. I hope I am wrong for the sake of all the employees. :(
     
  22. macrumors Penryn

    Abstract

    Joined:
    Dec 27, 2002
    Messages:
    24,229
    Location:
    Location Location
    #22
    Well someone (i.e. your government) has far more money going towards GM, and that isn't exactly really a sound investment either.
     
  23. macrumors 603

    OutThere

    Joined:
    Dec 19, 2002
    Messages:
    5,731
    Location:
    NYC
    #23
    To be fair DHL's domestic shipments market share had to be pretty small...yes Apple used them, but very few other companies. It's rare to find DHL as a shipping option buying online, and I certainly would send packages Fedex or UPS before DHL. Hell stuff that comes to my house via DHL is dropped off by a sketchy guy in his beat up chrysler minivan.

    All this talk about the credit crunch and you see stuff like that, and Chase (unprompted) bumps my Visa's credit limit by 30%... :confused:
     
  24. macrumors 68000

    Antares

    Joined:
    Jan 16, 2006
    Messages:
    1,706
    Location:
    Somewhere in the Milky Way....a little place calle
    #24
    I knew something was up with DHL when, a few weeks ago, they suddenly and unexpectedly broke a contact to provide DHL shipping services at Walgreens stores. That could have been lucrative for DHL.
     
  25. macrumors regular

    bombboy

    Joined:
    May 15, 2007
    Messages:
    105
    Location:
    SoFla
    #25
    Fed-Ex services are just so much better and freight pricing is much better. I'm surprised this hasn't happened sooner when Fed-Ex started picking up LTL companies to beef up their freight backbone. When Fed-Ex pulled that, UPS went and picked up Overnite Express to do the same. DHL was relegating small stuff and document packs more than anything by then.
     

Share This Page