DHL to shut down U.S. domestic package service
Published on Friday, November 14, 2008
DHL, the express package delivery service known for its bright yellow trucks, will discontinue its United States domestic air and ground services as of Jan. 30, leaving that business mostly to its two larger rivals, FedEx and UPS.
DHL, owned by Deutsche Post World Net, headquartered in Bonn, Germany, announced the decision Nov. 10 saying its U.S. operations would concentrate solely on international shipments.
The move will eliminate 9,500 jobs and result and cut the number of stations it has to 103 from 412.
The cuts will reduce DHL’s U.S. operating costs by more than 80 percent, from $5.4 billion to less than $1 billion.
DHL’s Tucson operations operate under a franchise contract.
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