The ratings on the Netherlands-based mail, express, and logistics group TPG N.V. reflect the company's strong position in the Dutch mail business, as well as 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 35% of the group's €11.2 billion ($9.9 billion) total revenues and 64% of its €1.37 billion nonlease-adjusted EBITDA in 2001, and has one of the highest earnings before interest, taxes, and amortization (EBITA) margins (20%) of European postal operators, attained through a high level of automation, allowing lower staff costs. Ongoing cost flexibility and cost-reduction measures should help to maintain this operating
