The ratings on the Netherlands-based mail, express, and logistics group TPG N.V. (TPG; formerly TNT Post Group N.V.) reflect the company's strong position in the Dutch mail business and its good position in the global express and logistics businesses, combined with a conservative financial profile. TPG's very strong position in the conventional Dutch postal market underpins the ratings. TPG's mail business contributed 37% of the group's €9.9 billion ($9.0 billion) total revenues and 68% of its €1.26 billion EBITDA in 2000 and has one of the highest earnings before interest, taxes, and amortization (EBITA) margins (21%) of European postal operators, attained through a high level of automation, allowing lower staff costs. Ongoing cost flexibility and cost reduction measures should help
