Ohio AG to investigate DHL proposal

6/24/2008
ASSOCIATED PRESS

COLUMBUS, Ohio Ohio is launching an examination of whether a proposal by package delivery company DHL would violate antitrust laws.

DHL wants to drop ABX Air and ASTAR as its air cargo handlers at its hub in Wilmington and replace them with Atlanta-based United Parcel Service. UPS would handle DHL packages at UPS existing hubs.

Ohio officials have estimated the proposal could mean the loss of at least 6,000 jobs at the DHL hub in southwest Ohio.

Ohio Attorney General Nancy Rogers said Monday that she has asked DHL, its owner Deutsche Post, and UPS to preserve all records related to the deal. Rogers wrote in a letter to the companies that she may investigate whether the deal would reduce market competition.

Spokesmen for both DHL and UPS say they will cooperate with the state review.