DHL Losing $5 million per day in US...

Deutsche Post CEO defends proposed U.S. job cuts - Forbes.com

Appel added that DHL is losing $5 million per day in the U.S.

Deutsche Post is in talks with United Parcel Service Inc., to which it would like to outsource its U.S. air express services, while it is also restructuring its ground express services to reduce annual losses of some $1.3 billion to $300 million by 2011.

The plans involve the closure of a logistics hub at Wilmington, Ohio, while threatening up to 8,000 jobs at airline ABX.

Both U.S. presidential candidates, Democrat Barack Obama and Republican John McCain, have voiced antitrust concerns over the planned cooperation between DHL and UPS.

Appel said both companies would remain strong competitors, even though UPS provides services to DHL. He added that talks with local authorities and unions on severance packages are ongoing, but provided no details.

DHL's U.S. business has posted unspecified losses since entering the market in 2004 in the face of tough competition from incumbents UPS and FedEx Corp. (nyse: FDX - news - people ) Its market share is estimated at below 10 percent.