Tag: Courier/Express/Parcels

USA: Magazines braced for higher postage

On Saturday, the U.S. Postal Service is set to raise rates an average 12 percent for mailing magazines across the country — a move many feel favors the larger magazines at the expense of smaller ones.

The postal service contends the new standards will boost efficiency and offer users more choices by encouraging publishers to co-mail and co-palletize, which is combining multiple magazines into a single mailing.

The new rate system also includes discounts for mailers who print labels that a computer can read, as well as incentives for publishers who agree to ship their titles along with other magazines and for dropping their magazines closer to their final destinations, John Waller, director of the Postal Regulatory Commission office of Rates, Analysis and Planning, said yesterday.

Magazine publishers both locally and nationally are bracing for the new postal rate restructuring.

While the average increase is about 12 percent, the postal service said, publishers claim that postal rates for smaller publications could increase by as much as 30 percent while the increases for larger-circulation magazines could be less than 10 percent because they take advantage of the discount incentives.

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DHL spends USD 7.8 M in Minnesota

DHL said it has invested USD7.8 million to open a new regional sort center facility to serve its air and ground network in the Midwest.

The Plantation-based express delivery and logistics firm said the new facility, in Bloomington, Minn., relocates DHL from a 35,000-square-foot space in Blaine, Minn., to one more than double that size.

The new 79,049-square-foot regional sort center is also closer to the Minneapolis-St. Paul International Airport. The company predicted its new technologies to more than double the packages it can process each hour.

DHL also recently completed a USD1.2 billion buildout of its U.S. domestic network and infrastructure, including an expanded primary air and ground hub in Wilmington, Ohio, and seven new regional sort centers throughout the country.

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Business Post steps up pressure on Royal Mail

Business Post, the postal services company, said its turnover had risen 13 per cent in the first quarter of 2007 compared with the same period last year.

In an interim management statement ahead of Tuesday’s annual general meeting, the company said its struggling parcels business was “making progress in an increasingly competitive market” while other parts of the business were performing strongly.

Business Post’s parcels contract with Federal Express, worth about GBP 20m in revenue and GBP 2m in operating profit, was terminated on April 30. If the revenues from this contract were excluded, the company’s underlying revenue increase for the first quarter would have been 18 per cent, the company said.

More than 10 per cent of the 20bn items posted each year in the UK are now handled by private sector contractors. Business Post handles more than one in 20 letters posted in the UK.

Business Post said it had managed to minimize the disruption caused by the Royal Mail strike at the end of June.

The company said when it announced its full year results in May that it had more than doubled revenues of its UK Mail operation in the year to March 31 2007 to GBP 90.3m, following the full opening of the letters market to competition at the start of last year.

In May, the company said its operating profit from UK Mail also doubled from GBP 3.2m to GBP 6.4m after investing a further GBP 4m to increase sorting capacity.

The group’s turnover was GBP 325.6m in the year to March 31, compared with GBP 278.2m the previous year, and profit before tax was GBP 9.8m compared with GBP 4.7m the previous year.

Tuesday’s statement contained no information on the company’s expected profits or dividends.

Business Post now has more than 400 customers, including Prudential, which the company won in June, the BBC and the Department for Work and Pensions.

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Russian and Chinese Posts start exchanging e-postal orders

An agreement was signed between the Russia Post, the Federal Unitary Enterprise and the Chinese Post, the Chinese Corporation.

According to the agreement, e-postal orders in the RF are to be paid in rubles, while in China in the US dollars or in yuans. At the same time the highest order should not exceed USD 1.5. The number of e-orders accepted in Russia and addressed to one client is not limited.

At present the technical base in both countries is absolutely ready to start providing the service, corresponding to the technology developed by the Worldwide Postal Alliance, the international bureau. The parties are to arrange and carry out e-orders using the mentioned technology.

The orders could be carried out between the individuals, the individuals and entities, and vice versa. Thus the money transfer is to cover all the main market segments.

The tariff for the carried out services is to be equal to the already existing tariffs for the international transfer of money: from 2% to 5% depending on the sum. The average time of transfer is from 2 to 3 days.

The Russian Post is going to sign agreements on e-orders with a number of other non-CIS countries. According to Igor Syrtsov, Russian Post Director General such agreements are to be signed with France, Israel, Turkey, and the UAE. Igor Syrtsov noted the Russian Post had already switched to the e-postal orders. The Russian Post currently carries out e-postal orders with Ukraine, Kazakhstan, Byelorussia, Azerbaijan, Armenia, Kirgizia, Lithuania, Moldavia and Estonia.

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TNT Post wins multi-year distribution contract with Dutch Sanoma unit

TNT NV’s Dutch postal unit TNT Post has signed a multi-year distribution contract with Sanoma Uitgevers, a Dutch unit of Sanoma WSOY, one of the largest consumer magazine publishers in Europe.

Financial details were not disclosed.

The contract calls for the delivery of 73 mln magazines, 800,000 parcels and 17 mln postal items per year, according to the statement.

A TNT post subsidiary will also be involved in the application of an electronic payment system for customers.

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