Stable and significant cash flow generation in the Dutch mail business; Strong market positions in European express and Dutch mail; Strong profitability relative to peers; Prudent financial policy and good free cash flow generation. Mail faces the full liberalization of the Dutch market and increased rate of structural decline in volumes; Material cost-savings programs required to support or restore profitability at Mail and Express, respectively; High exposure to currently depressed European economies; Operational gearing effect at Express to support global network leaves the division vulnerable to volume decline. The ratings on the Netherlands-based mail group TNT N.V. reflect our assessment of its strong business risk profile, which is supported by the highly profitable and cash-generative Dutch mail business, the group's
