Norway Post to increase postage rates

Norwegian postal services company Posten Norge AS has said that it would increase the postage rates for both letters and parcels beginning 1 January 2004.

The postage rate for domestic letters would increase from NOK5.50 to NOK6.00, while the rate for domestic packages would go up some 2 Posten said.

The new rates are expected to increase revenues by some NOK270m.

Last week Posten Norge revealed plans to reorganise its mail terminal structure to reduce costs by some NOK500m. The reorganisation is also expected to reduce the number of jobs by some 880.