transferred its ultimate holding company to Bermuda from Hong Kong.

The move on Tuesday came as a majority stake in DHL was taken by Japan Airlines, German airline Lufthansa and Japanese trading company Nissho Iwai.

DHL, which has a branch in Bermuda, said the move would allow DHL to increase its commercial use of JAL and Lufthansa's long-haul networks.

Mr. Errol Gates, Worldwide Services director of DHL, said the transfer of the company's holding company, DHL International Ltd., to Bermuda took place on Wednesday.

JAL and Lufthansa each took a five percent stake in DHL in 1990 and agreed this week to increase it to 25.001 percent trespeicvely. Nissho Iwai, which took a 2.5 percent stake at the same time, increased it to 7.5 percent.

DHL, which is a privately held company, increased its document business by 15 percent and its package business by 22 percent last year.

It has offices in 80,000 towns and cities in 200 countries.

In addition to taking a stake in DHL International, the three companies took a 12.5 percent stake in Middletown N.V., the Netherlands Antilles based holding company for DHL ground transport services.