UPS Sets 4.9% Increase in 2012 Ground, Air Rates

United Parcel Service announced they will raise its ground and air rates by 4.9%, effective January 2nd. The company earlier this year set a 6.9% increase for its UPS Freight less-than-truckload business, which took effect August 1st. The ground shipment net increase is based on a 5.9% boost in the base rate, minus 1% for fuel surcharges. The air rate is based on a 6.9% increase in the base rate, minus a 2% reduction in the fuel surcharge. UPS is ranked No. 1 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.

Source: Transport Topics

What Bankruptcy Might Mean for USPS

In the past several weeks, Reuters described USPS as “on the brink of bankruptcy”, the Associated Press explored what happens “in the event of a shutdown”, and the San Francisco Chronicle says postal executives are meeting with corporate “restructuring” (AKA bankruptcy) advisors. When a private business goes through bankruptcy reorganization, it cedes to the court control over which liabilities get paid. Unsecured creditors (like owners of Forever Stamps) are in line behind secured creditors and often end up with nothing, as you might know if you’ve ever owned a gift card for a retailer that went Chapter 11. No one has spelled out what a “bankruptcy” or “reorganization” would mean for the Postal Service, though clearly there are thoughts in some quarters about how to void the Postal Service's labor contracts and selected financial obligations. The point is that, whether liberal or conservative, you should be wary of any effort to present bankruptcy court as the answer to the Postal Service’s mounting debts and financial losses.

Source: Dead Tree Edition

New Senate Postal Bill Introduced

Seems like everyone wants to fix the Postal Service. Earlier this month, Senator Bernard Sanders (I-VT), introduced another bill S.1853, Postal Service Protection Act of 2011. This bill would recalculate and restore retirement annuity obligations of the United States Postal Service, eliminate the requirement that the United States Postal Service pre-fund the Postal Service Retiree Health Benefits Fund, place restrictions on the closure of postal facilities, create incentives for innovation for the United States Postal Service, to maintain levels of postal service, and for other purposes.

Source: Open Congress

USPS Offers North Pole Postmark through December 10th

The Postal Service is once again adding some magic to the Holiday Season by offering “North Pole” postmarks on mail. To receive the special holiday postmark, customers should affix the correct postage to addressed envelopes and cards; then pack them in a larger envelope, box, Priority Mail or Express Mail package and send them to:
North Pole Holiday Cancellation
Postmaster
4141 Postmark Dr.
Anchorage, AK 99530-9998
To ensure delivery by Christmas, all requests must be received in Anchorage by December 10th.

Detach Address Card Rate Reduced

The USPS provided notice to the PRC regarding its price increase for DALs on Standard Mail Saturation Flat-Size mail. Since the filing, the USPS has concluded that a smaller price increase would be more appropriate. The USPS therefore plans to reduce that price from 5.0 cents to 3.0 cents, saying price increase too large.

Source: PRC Filing