Ruairi Quinn (Dublin South East, Labour)
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Question 84: To ask the Minister for Communications, Marine and Natural Resources if he has received the annual report of An Post; his views on the report; and if he will make a statement on the matter. [14400/05]

Noel Dempsey (Meath, Fianna Fail)
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The annual report and accounts of An Post for 2004 were received in the Department and were presented to Government on 19 April 2005 prior to their being laid before each House of the Oireachtas. The financial outturn for the year resulted in operating profits of €1.8 million, which is testament to the policy of controlled financial management, in line with the recovery strategy that the company implemented throughout 2004.

The year 2004 was a challenging period for all involved in An Post, the board, management and employees, and difficult cost cutting decisions had to be made. To attempt to build a brighter future for the company, negotiations under the auspices of the Labour Relations Commission, continued throughout the year and although progress has been slow, I believe that, with the continued co-operation of all parties, an agreement can be reached that will set the company on a firm financial footing for the future. The importance of the current negotiations reaching a successful conclusion cannot be stressed sufficiently. With the many challenges facing the postal sector including globalisation, liberalisation, electronic substitution and falling mail volumes, it is vital that a clear road-map for the future of the company is adopted and proactively implemented by all stakeholders.

The financial results in 2004 have provided a foundation on which the company can build. An Post has a statutory mandate to be financially viable and this needs to be reflected in the planning and actions of the company for the future. An Post must deliver a high quality of service as well as developing new and innovative products designed to meet the needs of customers, if it is to prosper in a competitive market. The company has many assets on which it can build, including a highly skilled workforce and a nationwide delivery and post office network.

I am confident that with the dedication of all stakeholders to implement agreed changes, An Post can be turned around and primed to meet the challenges facing the postal sector.