PRESS RELEASE

POSTAL SERVICES: ANTITRUST AUTHORITY LAUNCHES INVESTIGATION INTO POSTE ITALIANE SPA FOR POSSIBLE ABUSE OF DOMINANT POSITION

Proceedings to determine whether Selecta was obstructed in favor of subsidiary Postel.

In a meeting on 09 March 2011, the Autorità Garante della Concorrenza e del Mercato decided to launch investigation into Poste Italiane SpA to determine whether it privileged Postel, one of its subsidiaries, by keeping Selecta out of the market. Postel and Selecta both operate in the services sector as intermediaries between client-senders and the bulk mail provider, which is Poste Italiane itself.  In essence, these companies provide clients with data entry/printing/enveloping before using Poste Italiane for delivery.

Notice was served during the inspections performed today in collaboration with the Market Protection Corps of the Guardia di Finanza (Italian Tax Police).  According to the decision, Poste Italiane allegedly abused its dominant position in the service sector for bulk mail delivery by acting to exclude Selecta from the market as one of Postel's competitors. With this objective in mind, more specifically, Poste Italiane abruptly and unexpectedly changed how it was requesting payment from Selecta for delivery services.  After first allowing Selecta to accumulate a debt of 65 million euros in 2008 and 72.3 million euros in 2009, beginning in September 2010 Poste required a repayment scheme on penalty of ceasing to provide the bulk mail delivery service (bills, commercial invoices, etc.). Poste Italiane also requested payment for services in view of previous contract conditions that dictated a 75-day term, which was extendable in some cases. Postel, however, was not subjected to any such changes in the payment process. If actually applied, practices like these would benefit Poste Italiane by obtaining (through Postel) the market share currently held by Selecta.  It could also have supply-side repercussions as the users of bulk mailing services would have one less alternative to the Poste Italiane Group subsidiary.

Rome, 14 March 2011