GeoPost and Neopost Join Forces in France to Roll out a Network of Automated Lockers for Delivering and Returning Parcels

Regulatory News:

GeoPost, a subsidiary of La Poste group and the French market leader in parcel delivery for businesses and consumers and Neopost (Paris:NEO), the European market leader in mailroom equipment and a key player in logistic solutions via its subsidiary Neopost ID, have signed an agreement to create and operate a network of secure automated lockers for the delivery and return of parcels in France. The agreement entails an initial roll-out of around 1,500 lockers by 2016, and more than 3,000 lockers in the long term to be installed by Packcity France, a company jointly-owned by Neopost and GeoPost.

In a world where e-commerce is increasingly developing, the Packcity lockers will be installed in easily accessible places and will provide a simple and secure solution fitting to the needs of parcel recipients who seek greater efficiency and flexibility for picking up or sending back their parcels.

Neopost will provide Packcity France with the lockers, associated software and installation and maintenance services. Packcity France will be in charge of operating - under the Packcity brand - two separate networks: a network dedicated to GeoPost for one-third of the lockers, and a shared network open to other carriers, large general retailers and specialist retailers offering click & collect services, as well as entities willing to offer a concierge service.

The lockers are to be installed in places with high footfall, such as railway stations, city centres, shopping centres etc. Customers who choose to purchase online and to be delivered in a Packcity locker will receive a unique pick-up code by e-mail or text message when the parcel is available. They then simply need to go to the locker, enter the code on the terminal screen and the door opens automatically. Packcity also allows shoppers to return purchases easily and in less than a minute.

Financing needs planned within the framework of the agreement will amount to around €50 million, broken down as two-thirds for Neopost and one-third for GeoPost.

For Neopost, the agreement marks a further development following the successful roll-out of a parcel locker network in Australia for Australia Post and the launch of a Packcity pilot project in November 2013 in the Paris region.

For GeoPost, this agreement complements the range of delivery solutions offered by La Poste group in France.

Partners will explore possibilities to roll out similar networks in other European markets.

Paul-Marie Chavanne, Chairman of GeoPost, comments: "We are delighted to have signed a partnership with Neopost, a major French group with a strong international presence, in order to develop new, modern, practical and efficient delivery solutions. The agreement currently relates to France, but the aim is to extend it abroad, starting with Europe, by adapting to local market requirements.”

Denis Thiery, Chairman and Chief Executive Officer of Neopost, comments: "We are extremely proud and happy to join forces with GeoPost on developing an innovative and original model that will benefit all those involved in e-commerce in France. The agreement will enable us to further assert our ambitions in the logistics area, by strengthening our position as parcel facilitator.”

ABOUT GEOPOST

GeoPost is the French leader and the second largest European provider of parcel transport and delivery services for businesses and individuals. GeoPost is the holding company for La Poste group's Express Parcel subsidiaries. The company had a €4.026 billion turnover in 2012, delivering 720 million parcels around the world, in particular in the field of e-commerce. The GeoPost group is made up of subsidiaries that are acknowledged in their domestic markets, such as Chronopost in France and Portugal, Exapaq and Pickup Services, SEUR in Spain and DPD in most of the other countries where the Group is present. GeoPost combines the best European road-transport network with its air-transport network to serve over 230 countries and regions in the world.

ABOUT NEOPOST

NEOPOST IS THE EUROPEAN LEADER and the number two world-wide supplier of Mailing solutions, as well as an increasingly key player in the area of Communication and Shipping Solutions. A specialist in mailroom equipment, Neopost offers the most advanced solutions for franking, folding/inserting and addressing solutions, in addition to a comprehensive range of services, including consultancy, maintenance and financing solutions. Neopost is also gradually developing a portfolio of new activities with the aim of reinforcing its offering and the services provided for its clients in the areas of Client Communications Management, Data Quality and Logistics Solutions.

With a direct presence in 30 countries and 6,000 employees, Neopost generated full-year sales of €1.07 billion in 2012. Its products and services are sold in more than 90 countries.

Neopost is listed in the A compartment of Euronext Paris and belongs notably to the SBF 120 index.