JAPANPOSTHOLDINGS/ (UPDATE 1)

July 6 | Mon Jul 5, 2010 3:37pm EDT

July 6 (Reuters) - Japan Post Holdings Co's [JP.UL] mail delivery arm has fallen behind on deliveries of around 320,000 parcels as of Monday, following the takeover of the parcel services of a joint venture with Nippon Express Co (9062.T), the Nikkei business daily said.

Communications Minister Kazuhiro Haraguchi will ask Japan Post on Tuesday for an official report on the delivery delays and may take administrative action if necessary, the paper said.

The takeover of the Pelican delivery service, operated by joint venture JPExpress Co on Thursday, and combining it with its own Yu-Pack delivery service, led to the delays in deliveries due to errors in procedure, Nikkei said.

On Monday alone, about 60,000 parcels failed to make it to their destinations on time, Nikkei said. The paper added Japan Post has begun notifying customers that it is willing to provide compensation, in case the delay results in spoiled perishables and other damages.

J.Front Retailing Co (3086.T) group member Daimaru Matsuzakaya Department Stores Co, which faced delivery delay of several dozen items, has switched to services offered by Yamato Transport Co and other firms instead, the paper said. (Reporting by Aftab Ahmed in Bangalore; Editing by Vyas Mohan) (aftab.ahmed@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: aftab.ahmed.reuters.com@reuters.net))

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