WEDNESDAY APRIL 15th, 2005

CANADA POST TABLES ANNUAL REPORT

Ottawa (April 13, 2005) – In its 2004 Annual Report tabled today in Parliament, Canada Post reported a consolidated net income for its group of companies of $147 million for the fiscal period ended December 31, 2004.

The return on equity for 2004 reached 12.1 per cent, a key milestone, triggering the commencement of an annual dividend payment at the rate of 40 per cent of net income, as established in the multi-year Policy Framework. The Corporation will pay a dividend of $59 million to the government of Canada in 2005.

Canada Post’s consolidated net income of $147 million was a decrease of $106 million from 2003, and the cost of operations increased by $251 million or 4.1 per cent from the comparative period.

“The financial success achieved by the Corporation has provided a solid foundation for future growth,” said Gordon Feeney, Chairman of the Board. Mr. Feeney as well as current Canada Post President, Anne Joynt, both said strategies must be revised to bring new products to the marketplace, along with cost containment, in order to face the realities of  stiff competition and technological changes.

NAMMU President, Kathleen Rowe, offered congratulations to Anne Joynt on a successful and very difficult year, however, declined comment on the report pending a thorough review.

According to Rowe, “We are in fact, actually more interested in the revised Policy Framework, which has yet to be published. This drives the strategic planning of Canada Post, and we want to see the impact the NAMMU Phase 1 Report, supported by the CPC independent workshops, have had on the forward thinking of the Corporation. If the recommendations have been implemented, it will signal a positive win-win for the Corporation and the mailing industry.”

 

More Information: media@nammu.org

                                416-977-3703

                                Amber Richardson                                     

 

NAMMU is the voice of the Canadian mailing industry, representing the business interests of end users and the supplier infrastructure. The Canadian mailing industry employs >500,000 individuals, across all economic sectors and contributes >80 per cent of the revenue and volume of Canada Post Corporation.