An Post CEO Slams “Irresponsible Leak” Amidst Financial Dispute
Minister Denies Role, Defends Postal Giant’s Viability
An Post’s chief executive, David McRedmond, has voiced strong criticism over what he termed an “irresponsible leak” from a government minister regarding the company’s financial standing. The ensuing public dispute centers on the company’s performance and future needs.
Financial Discrepancies Emerge
Media reports suggested the Cabinet was informed of dire financial realities facing the state-owned postal service, with one outlet claiming An Post would have incurred substantial losses without the one-off revenue from last year’s elections. **Mr. McRedmond** vehemently refuted this, stating it was “simply not true” during an interview with RTÉ radio’s Morning Ireland.
“It was an irresponsible leak from a Government Minister, which is wholly unacceptable. These are not the actions of a responsible shareholder. The company is doing really well.”
—David McRedmond, CEO, An Post
Mr. McRedmond highlighted the company’s record revenue, exceeding €1 billion for the first time, and a significant increase in earnings from €38 million to €55 million, with a net profit of €10 million. He asserted that An Post is experiencing the highest parcel growth of any postal operator in Europe.
Ministerial Rebuttal and Confidence
Minister for Communications, **Patrick O’Donovan**, later denied being the source of the leak, emphasizing that An Post is a “very viable” and “profitable” entity. He stated that he presented An Post’s accounts to the Cabinet meeting and would not breach “Cabinet confidentialities.”
“Mr. **McRedmond** is “absolutely right” and that “An Post has been transformed over the last number of years under his leadership.”
—Patrick O’Donovan, Minister for Communications
Mr. O’Donovan added that if specific individuals are making claims about An Post’s financial state, they should identify themselves. He acknowledged past challenging years for the company but stressed its recent profitability and ongoing transformation. He also pointed out that some politicians are incorrectly linking An Post’s financial discussions with separate funding concerns raised by independent postmasters.
Future Outlook and Operational Needs
Mr. McRedmond acknowledged the election boost but stressed that An Post is experiencing rapid growth in commercial parcel markets, which requires increased working capital due to payment terms shifting from upfront stamp purchases to 60- or 90-day credit. He clarified that these requests for flexibility stem from a position of strength.
The CEO expressed concern about the impact of negative reporting on An Post’s 10,000 employees and customer perception, warning it could be “reckless in the extreme.” He is advocating for the lifting of a 1984 borrowing cap and greater flexibility on working capital.
An Post aims to secure government approval for regulatory changes, which **Mr. McRedmond** described as normal discussions for a company having one of its best years. He categorically denied any plans to close post offices.
According to a 2023 report by Statista, the global e-commerce market is projected to reach nearly $6.3 trillion by 2024, highlighting the significant growth potential in the parcel delivery sector where An Post is actively expanding (Statista, 2023).
Mr. O’Donovan affirmed his full confidence in An Post, stating that such organizations across the EU face challenges post-Covid, but An Post has distinguished itself as a leader in parcel delivery within Ireland.