Group La Poste Makes First U.S. Acquisition

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Group La Poste, a $15 million company that is part of the French postal authority, is expected to announce today that it has acquired 40 percent of full-service international mail company Brokers Worldwide, Folcroft, PA.

Brokers Worldwide is one of the largest international mail distribution companies in the United States. Its primary business is collection, processing, consolidation and international delivery services for letters, magazines, statements, books and catalogs. Its customer base includes National Geographic, Victoria's Secret, Merrill Lynch, the American Medical Association, Princeton University and the University of Pennsylvania.

"By aligning with an international partner that has been in the mail and delivery business for 500 years, we've secured the company's ability to compete strongly in an industry that is experiencing great consolidation," said David Muenzer, co-chairman and president, Brokers Worldwide. "The partnership will allow us to grow and create more jobs."

Group La Poste, a $15 million company that is part of the French postal authority, is one of the world's largest postal and logistics services. It serves more than 3 million clients daily, processing more than 22 billion pieces of mail per year. The acquisition is part of its strategy to strengthen its position in the United States as it prepares for the deregulation of the French postal sector. It is also Group La Poste's first U.S.-based acquisition.

However, La Poste has been forming U.S-based alliances recently. FedEx Corp., Memphis, TN, announced an agreement Sept. 13 with Chronopost International, the parcels and logistics holding company of La Poste Group. The agreement, effective Jan. 1, 2001, will give Chronopost International customers access to the FedEx air network, while FedEx customers in several key markets will benefit from the European ground infrastructure of Chronopost.

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