CORRECTED: LDP asked to revise postal system privatization laws+
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[February 16, 2006]

CORRECTED: LDP asked to revise postal system privatization laws+

(Japan Economic Newswire Via Thomson Dialog NewsEdge)TOKYO, Feb. 16_(Kyodo) _ The president of a holding firm established as part of Japan's postal system privatization asked the ruling Liberal Democratic Party on Thursday to consider revising the privatization laws, including giving the firm greater freedom in business acquisitions, LDP officials said.



Yoshifumi Nishikawa told an LDP meeting that the present laws impose constraints on his company's future acquisitions of other firms that would be required to make the privatization successful, the officials said.

He noted that Germany's postal privatization has been successful thanks to Deutsch Post's positive acquisitions of other companies.



The new firm was founded last month to become a holding company for four postal service firms after privatization, which starts in October 2007. Nishikawa, a former Sumitomo Mitsui Banking Corp. president, took the helm of the company.

Nishikawa also complained that the privatization laws unreasonably allow the holding company to buy back shares in postal savings and insurance companies after selling them all within 10 years.

In the postal system privatization, Nishikawa said, his firm will give priority to the maintenance of the nationwide post office network, uniform postal savings and insurance services and greater business freedom.

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