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Ohio leaders try to halt DHL move

By Kristin McAllister

Staff Writer

Saturday, July 26, 2008

WILMINGTON — Lt. Gov. Lee Fisher and a team of statewide political leaders during a community meeting said they're keeping the pressure on in trying to stop DHL Express' parent from turning over its domestic air cargo operation in Wilmington to the United Parcel Service in Louisville, Ky.

Fisher told the group gathered Saturday, July 26 at the Kelly Center at Wilmington College that leaders throughout Ohio are aggressively working to halt the DHL/UPS deal, because its impact in Ohio reaches far beyond the southwest corner of the state.

Deutsche Post, owner of DHL, wants to move DHL's air-freight, ground transport and overseas packaging operations to UPS' hub in Louisville. If the deal goes through, it could cost the region 8,200 jobs.

The tentative agreement calls for DHL to hire UPS under a 10-year contract. DHL says that such a pact could stem domestic operational losses that it expects will exceed $1 billion this year.

The Ohio congressional delegation and leaders have asked the U.S. Department of Justice to investigate whether the DHL proposal violates U.S. antitrust laws by reducing competition in the express package delivery market.

Fisher explained that background work is ongoing but that an investigation cannot begin until an agreement is signed between the two carriers.

"Yes, I think we have a very strong case, but absolutely, not a slam dunk," Fisher said. "They don't call it a merger ... but it has all the effects of a merger."

Capt. Joseph Teuchert, spokesman for the Save The Jobs coalition and a 15-year employee of Astar Air Cargo, said his group has more than 11,000 petition signatures against the proposed agreement.

"DHL, Deutsche Post, needs America. They don't want to provide a product that is wholly integrated with their logistics, so they need us. That's the whole key to this antitrust suit," Teuchert said.

Teuchert expressed concern about the impact a deal between the carriers could have on the safety of troops serving overseas, because Astar Air Cargo and ABX Air provide military airlift cargo to troops.

Rep. Mike Turner, R-Centerville thanked Teuchert for bringing up the point and assured the group that its being addressed at the state, local and federal levels.

Kevin Carver, regional economic development director in Dayton, said $1 million already has been allocated in Ohio rapid response funding in the event that a deal is signed and that officials are seeking additional federal funding.

Fisher said his office has set up a Web site at www.airparkhelp.com showing the latest developments.

"We're still here either way," Fisher said. "Either way, we're with you day in and day out, whether it's rebuilding in transition, or whether it's putting the pieces back together and moving on."

Contact this reporter at (937) 225-9338 or kmcallister@DaytonDailyNews.com.

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