PostNord’s owners, the Swedish and Danish states, have signed an agreement that will involve the owners providing funding of SEK 2.2 bn (€227m) for the transformation of the Danish operations.
The agreement will result in SEK 1,533m (€158m) being provided by the Danish state, which constitutes a payment for ensuring the universal postal service, and is earmarked specifically to cover extra legacy costs relating to the reduction of Danish employees with special employment conditions. SEK 267m (€27m) constitutes an equity contribution from the Danish state and SEK 400m (€41m) constitutes an equity contribution from the Swedish state.
Chairman of the Board of PostNord, Jens Moberg, said, “Digitalization has resulted in the need for a major transformation of the Danish business operations. We are therefore very pleased that the owners have come to an agreement regarding the financing of this and that the owners are united in their support for PostNord’s business activities. This means that we can now resume the transformation of the Danish operations with renewed vigour … Once the transformation is complete, we will be able to maintain the universal postal service and have profitable letter-related activities, even with the small letter volumes that now exist in Denmark.
Source: PostNord
