Comments on: UPS could be bidding against itself for TNT http://blogs.reuters.com/breakingviews/2012/02/22/ups-could-be-bidding-against-itself-for-tnt/ Mon, 26 Sep 2016 03:26:00 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: RachaelHolland http://blogs.reuters.com/breakingviews/2012/02/22/ups-could-be-bidding-against-itself-for-tnt/comment-page-1/#comment-8890 Thu, 23 Feb 2012 15:41:10 +0000 http://blogs.reuters.com/breakingviews/?p=9594#comment-8890 A shame TNT seems to be approaching a possible merger from a $ offer only orientation. Historically, UPS has the lowest-cost operations..due to lower investment in employees, facilities, equipment..and will likely lay-off a significant number of TNT employees.

Conversely, FedEx operates from a strategic investment orientation with the goal of growing sales and jobs. Big picture: an international supply chain gateway leveraging Schiphol/TNT, FedEx Super hub, and 1-2 other geographic spots.

Lastly, on shareholder value, the UPS bid resulted in a 60% increase (on just offer, not deal) in stock prices – which on a stock-based acquisition – could translate into significant cash to fund investment in international markets – if the companies hold a significant portion of their own stock.

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