Postal News from December 2007:
December 31, 2007
The
Postal Regulatory
Commission is soliciting public comment on the degree to which the Postal
Service’s operations and financial results comply with the policies of title 39.
Comments by interested persons are due on or before January 30, 2008. Reply
comments are due on February 13, 2008.
The
following reports have been posted on the U.S. Postal Service Office of
Inspector General website (http://www.uspsoig.gov/)
today. If you have additional questions concerning the report, please contact
Agapi Doulaveris at 703.248.2286.
Address Management System Information – Southwest Area (Report Number DR-AR-07-006(R) http://www.uspsoig.gov/FOIA_files/DR-AR-07-006r.pdf
City Delivery Vehicle Mileage – Base Versus Actual – Capital Metro Area (Report Number DR-AR-08-003) http://www.uspsoig.gov/FOIA_files/DR-AR-08-003.pdf
From
Royal Mail: "On Monday 7th April 2008 our new prices will come into effect.
If you would like to look up the new prices, just view the document below to get
straight to the updated price table for that particular service.
Read more about the new prices." Here are some other goodies brought to our
attention by one of our correspondents.
Quality of Service brochure from Royal Mail showing city by city results
Executive Summary of Royal Mail study on "mail media effectiveness"
If U.K.
addressing is important to your company, check out the
Postcode Address File (PAF®) pages posted on the Royal Mail web site..
MediaWeek has reported that "With core categories like auto and tech still
wobbly, a threatening ad recession and prognosticators downshifting their
outlooks for spending, 2008 is, indeed, turning out to be another challenging
year; and compounding the projected ad softness come soaring prices in postal,
paper and elsewhere. Print’s pains extend to the newspaper industry. A survey of
more than 500 newspaper executives by Len Kubas Consultants found that most
projected declines in ad revenue for 2008. Execs at large newspapers were most
pessimistic."
According
to Czech Business Weekly,
"Czech postal service operator Česká pošta (ČP) plans to operate its own
pharmacies in the future to better use the network of post offices. ČP CEO Karel
Kratina said the company was interested in over-the-counter drugs. He added that
CP is also considering the distribution of books as a way to better use its
fleet of vehicles."
The
Lancashire Evening Post has reported that "Preston council bosses are set to
approve a plan to slash the authority's postal bill by more than £17,500 – by
dumping Royal Mail for its second class mail. The cabinet is expected to agree
that all such mail will be delivered by rival operator TNT, with first class
mail and special deliveries still handled by Royal Mail. It could ultimately
lead to all deliveries being switched from the Royal Mail."
Logisitics Management has said that "When it comes to understanding the many
facets of supply chain operations, few have DHL Express CEO Hans Hickler beat."
Forbes has reported that "Swiss economic minister Doris Leuthard said she
wants to see the Swiss postal service liberalised."
The
New York Times has noted that "in the course of their daily rounds, New
York’s letter carriers face any number of unpleasant surprises. In May, the
Postal Service rolled out National Dog Bite Prevention Week in response to the
biting of 3,184 carriers in 2006. More recently, however, the agency added an
unlikely item to the catalog of potential threats to postal workers: people who
want to get their mail."
December 30, 2007
Smallbusiness.co.uk has noted that "SMEs [small-to-medium enterprises]
should use the internet and postal marketing in a 'complimentary way' to ensure
maximum effectiveness, says a marketing expert. James A Matthewson, a tutor for
the Institute of Direct Marketing and founder of My Digital JAM Limited, states
that email and direct mail have been proven to be very effective when used
together, as have search engine adverts and local radio campaigns. He says:
'Integration of marketing is key – testing channels to identify what they do
best is a smart way to approach it.' 'For SMEs, it's all about profit, so
ensuring their activity delivers a positive return on investment is key, ' adds
Mr Matthewson."
The
San Francisco Chronicle has reported that "A federal appeals court ordered a
San Francisco judge on Friday to reconsider his ruling requiring United Parcel
Service to give its deaf employees a chance to compete for jobs as drivers of
small delivery trucks."
December 29, 2007
According to
the
Associated Press, "More than 80 percent of Americans now own cell phones — a
statistic Jupiter Research analyst Neil Strother equated with "carrying a
potential advertising channel in their pocket." [You lucky ducks!]
December 28, 2007
On the
Postal Regulatory Commission web site:
United States Postal Service FY 2007 Annual Compliance Report
USPS-FY07-2 - FY 2007 Cost Segments and Components Report (Hard copy & Excel)
Richard
Miller, executive director of the International Mailers Advisory Group (IMAG)
has urged his members to get involved in the ongoing dialogue with the Postal
Service over the structure and pricing of its international mail and package
services. Others who are not members of IMAG also are encouraged to contact
Miller.
Engadget has reported that "Sounds like the video download game in't as
easy as the biggies make it out to be. Wal-Mart, whose download store has been
open all of a year and a couple of weeks is already shutting down, apparently
abandoning the effort after its tech partner HP discontinued whatever technology
it was running the thing." See also the
Washington Post.
According to
the
Motley Fool, "In another few days, the holiday frenzy will be over for
international deliverers FedEx and United Parcel Service, and U.S. economy
watchers will figuratively place stethoscopes to the company's chests. After
all, they're both economic bellwethers, but FedEx now will have a new -- and
potentially expensive -- IRS note to lug with it on its runs."
From the
Federal Register: "The Postal Regulatory Commission is establishing a docket
to develop a record which will allow it to meet statutory requirements
pertaining to a review of nonpostal services. It solicits comments from the
Postal Service and others to assist in this task. Initial briefs due June 18,
2008; reply briefs due July 2, 2008. See Supplementary Information section for
additional dates. Submit comments electronically via the Commission's Filing
Online system at http://www.prc.gov."
According to
the
Associated Press, "U.S. House members spent $20.3 million in tax money last
year to send constituents what's often the government equivalent of junk mail."
December 27, 2007
The Postal
Regulatory Commission is scheduling two technical conferences on one aspect of
the Postal Service's compliance report that will be filed shortly with the
Commission. To provide interested persons with as much notice as possible, the
Commission has issued a notice
on its website -- announcing conferences on January 11 and January 23, 2008.
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PostCom welcomes its newest member: Parascript, LLC 6899 Winchester Circle, Suite 200 Boulder, CO 80301-3696 represented by Kaz Jaszczak, Director of Product Planning and Operations |
The
Courier, Express and
Postal Blogspot has noted that "Both the Financial Times and the Wall Street
Journal are reporting that Fox and Apple have reached an agreement to set up a
movie rental service. In this service,users would download a movie from the
iTunes store at a cost of $2.99 for one month's rental. This is cheaper than
anything offered by Netflix or Blockbuster by mail and every video rental store.
This service also offers the convenience of immediate delivery, even if the
immediate delivery may take as much as two hours, and restrict the use of a home
computer or home computer network during that period."
From PR
Newswire: "Valassis,
the nation's leading marketing services company, will launch a unique consumer
brand named RedPlum. The rollout campaign, which will begin in January 2008,
will rely primarily on Valassis' own advertising vehicles ranging from free-
standing inserts and Polybags to its Direct Mail Package, which will retire the
ShopWise(R) name in January. In collaboration with the brand launch, Valassis
will introduce redplum.com, a dynamic, interactive destination for value,
savings and special deals in an array of categories including grocery, beauty,
travel, electronics, home and entertainment."
AFX has reported that "FedEx Corp. has said its FedEx Freight and FedEx
National LTL subsidiaries will implement 5.48% general rate increases, effective
Jan. 14. The general rate increases will apply to interstate and intrastate
traffic, and certain shipments between the United States and Mexico and Canada,
FedEX said. Rates for other operating companies within FedEx Corp., specifically
FedEx Express and FedEx Ground, will not be affected."
South Asian Media Net has reported that "The government has decided to raise
postal charges from January 1. From January 1, Bangladesh Postal Department will
sell a post card at Tk 1.50 instead of Tk 1 and envelop at Tk 3 instead of Tk 2.
Besides, an additional 20 per cent service charge will be added to the actual
cost of all foreign mails."
December 26, 2007
According
to the
Philippine Daily Inquirer, "The appeal of sending mail the traditional way
has remained despite the unpleasant reputation of the country’s postal system
and the advent of electronic mail and mobile phones that could send messages in
the wink of an eye. Public trust in the postal system has also deteriorated due
to “allegations of corruption, inefficiency, thievery, pilfering and nondelivery
(of mails and parcels),” admits Postmaster General Hector Villanueva. From 5
billion letters sent annually through Philippine Postal Corp. (Philpost) a
decade ago, the figure is now down to 290 million."
Magazine
editor Dan O'Rourke has reported that
PARCEL magazine has just posted Joe Loughran's annual UPS Rate Analysis.
This detailed account of the new UPS rates will help you fine-tune your budget
and adjust your transportation plan to take advantage of best pricing. We thank
Joe for the tremendous in-depth analysis. Please visit
www.PARCELindustry.com to see the entire analysis.
The
a report by the Congressional Research
Service on the "Franking Privilege: Historical Development and Options for
Change" can be found at
http://www.fas.org/sgp/crs/misc/RL34274.pdf
JCNNetwork has
reported that "Japan Post Holdings Co. said Wednesday its predecessor Japan Post
incurred a net loss of 442 billion yen in April-September, compared with a net
profit of 237.7 billion yen a year before. A special loss of 1,419.5 billion
yen, stemming from a change in accounting methods to report pension costs,
weighed down on the bottom line."
The
Times of India has noted: "Thousands of packages are delivered via speedpost
everyday. But is the process foolproof? Not entirely. Director Postal Services,
Swati Pandey, however, claimed that speedpost was 98% safe. "At all stages, the
employees work in groups and are supervised. The only time when a package is
handled by an individual is when the delivery man carries it," she said. "Indian
Postal Services is such a big industry that handling more than 10,000 packages a
day does not guarantee cent per cent safety."
December 25, 2007
From the
Detroit Free Press: "QUESTION: Which country answers the most letters to
Santa? ANSWER: France. Last year, it responded to 1.4 million letters from 126
countries. This year's total was expected to be even higher. Advertisement About
60 temporary secretaries for Père Noël, as Santa is known there, fill envelopes
with a variety of colorful form letters in French. "Santa Claus is French,
there's no question," said Marie-Pierre Seize, head of customer relations for La
Poste, France's postal service. Germany responds to the letters in 16 languages.
"People write to Germany because the real Santa Claus lives here. ... We want
people to understand Santa's answers," said Sylvia Blesing, who oversees Santa's
Angels at the Himmelpfort post office, north of Berlin. In Canada last year,
11,000 postal volunteers answered more than a million messages, usually in the
language in which they were written. Any letter with "Hohoho" in the address is
automatically sent to Canada, where H0H 0H0 is among its postal codes."
December 24, 2007
The
New York Times has asked: " Have you sent out your holiday cards this year?
What about your e-cards? If your second answer was yes, you are in good company.
Once seen as the tacky, last-minute substitute for pen and paper, e-cards have
become more acceptable this holiday season, especially in the corporate world,
where LinkedIn and Facebook have become popular places for sending holiday
greetings. In other words: It’s no longer just a Merry Christmas. It’s another
networking opportunity. Many companies are embracing electronic greetings, which
are cheaper, greener and more versatile than traditional cards and often look
more sophisticated to pixel-trained eyes. Now that people have grown more nimble
with online video, point-and-click holiday greetings have become a new palette
for creativity, while static paper cards may induce a wince rather than a joyful
noise."
The
Financial Times has reported that "The high hopes that greeted a
transatlantic trade deal ostensibly ending a dispute over online gambling have
been almost immediately dashed by a look at the small print. The European Union
last week hailed an agreement with Washington to open up its warehousing,
courier and testing service sector as compensation for closing the online gaming
market to foreign companies last year. But within 24 hours of the deal being
unveiled last week, the US issued a "clarification" that left European companies
doubtful of the deal's benefits, and trade experts questioning whether it would
stick. The Office of the US Trade
Representative (USTR) said the US Postal Service had allowed foreign competitors
to handle overseas mail for 20 years. All it was doing was making the decision
legally binding so it could not be reversed. Sensitive sectors such as
domestic delivery and storage at ports and airports would remain closed."
The
BBC has reported
that "Complaints about the late arrival of online deliveries have risen by a
third in the run-up to Christmas, according to a government advice service.
Consumer Direct says it has received 3,000 complaints in six weeks. Royal Mail
says the "vast bulk" of Christmas post will arrive on time and online retailer
Amazon says its delivery success rate is above 99%."
According to
Sify, "Don't be
surprised if you see British citizens queuing up in post offices in India to
post Christmas cards to friends and family in Britain. Many Britons have found
that the Indian postal system is cheaper and more reliable than Royal Mail."
The
Kent News has reported that "People should not to blame the postman if
packages are not delivered in time for Christmas Day, said an MP. Roger Gale,
the Conservative MP for North Thanet, said that Royal Mail’s senior management
were at fault for late arrivals after they imposed later start times and
cost-cutting measure on postal workers. He said some blame lay directly with
chairman Allan Leighton and chief executive Adam Crozier."
Business Week has reported that "The catalog remains one of the best ways to
reach consumers during the holiday season. So when an activist Web site called
Catalog Choice contacted the likes of L.L. Bean, Williams-Sonoma (WSM), and
Harry & David and asked them to take thousands of people off their mailing
lists, the retailers knew they had a public-relations problem. How did they
respond? Some—mostly outdoorsy brands like L.L. Bean and Lands' End (SHLD)—made
soothing noises. Others blew off the Web site (and subsequently, the people
declining their catalogs), and have done nothing with the names. Still, despite
being less than three months old, Catalog Choice has managed to spook an
industry. Consider the Nov. 29 e-mail from the Direct Marketing Assn. Bearing
the subject line "JUST SAY NO," it warned retailers that Catalog Choice's
"priority is to eliminate catalogs as a marketing medium. It is not in your
interest to further their efforts!"
December 23, 2007
Newsroom
America has reported that "Most of Belgium was bought to a virtual
standstill on Friday as a 24 hour general strike affected transport, schools and
government services. Postal workers at sorting offices walked out on Thursday
evening and airport authorities warned of possible disruption to flights."
The Times has reported that "Royal Mail faces an angry consumer backlash
this weekend over more than 2m parcels and letters lost or delayed in the
Christmas post. Customers across the country are in danger of being left without
their presents as postal workers are overwhelmed by the £10 billion boom in
online shopping. The backlog has allegedly been compounded by postal workers
deliberately failing to deliver presents to save time on their rounds.
Yesterday, at depots round the country, customers were being forced to brave the
winter chill and wait in long queues to reclaim their Christmas parcels."
December 22, 2007
WCPO has noted that "College mailrooms are groaning under the weight of
packages these days as more students are buying and selling items online. The
buying habits of today's students are nothing like they were several years ago,
said Sandi Taylor, purchasing and mail services manager at the University of
Redlands, where the volume of packages has increased 30 percent since 2004.
"Students today are so tech-savvy and they have more money," Taylor said. Surges
in online book-buying, cell phone purchasing and eBay ordering are forcing some
colleges to expand their mail centers and to invest in high-tech devices to
track the packages."
The
Peterborough Telegraph has reported that "a pensioner has branded Royal Mail
"Scrooges" after all of his friends had to pay to receive his Christmas cards.
Keith Bowdery was furious when he found out his pals were having to traipse off
to collection points and pay £1.16 to pick up the cards he had sent them. The
postal service refused to deliver the cards because they were 5mm too big. But
the 71-year-old from Coniston Road, Gunthorpe, Peterborough, said he had even
asked at his local post office in Werrington Green to check if the cards
measured up."
The
Associated Press has reported that "FedEx Corp. disclosed Friday that it has
received an IRS challenge to its business model for contracting with independent
drivers for the company's FedEx Ground division. FedEx said in a Securities and
Exchange Commission filing that the IRS "has tentatively concluded" through a
2002 audit that contract drivers with FedEx Ground should have been classified
as company employees. The IRS decision is the latest in a series of attacks on
FedEx Ground's system for contracting with independent pickup and delivery
drivers who own and maintain their own trucks while lacking access to work
benefits provided for company employees."
The
Akron Beacon
Journal has reported that "A proposal to move about two dozen post office
jobs from Canton to Akron might be scuttled. Canton Area Local Postal Workers'
Union President Carmine Russo said he has learned that U.S. Rep. Ralph Regula,
R-Navarre, was able to pass legislation in Congress that would keep the jobs in
Stark County. A provision in the fiscal year 2008 appropriations bill directs
the General Accountability Office (GAO) to review the Postal Service's Area Mail
Processing consolidation plans for several locations nationwide, including
Canton. That plan had called for relocating some of the work from Canton to
Akron."
December 21, 2007
From the
U.S. Postal Service DMM Advisory:
We have posted the Advance Notice of Proposed Rulemaking on the implementation of Intelligent Mail® barcodes on Postal Explorer at http://pe.usps.com. We are sincerely interested in your feedback and for the first time have set up a special email address at imb@usps.gov to receive your questions and comments. Due to the end of year backlog, the Federal Register is not likely to publish this notice until the first week of January. We will accept comments for 45 days after the notice is published in the Federal Register.
The notice provides the technical specifications required for mailpiece, tray and container Intelligent Mail barcodes. Additionally the notice proposes that in January 2009, we will require mailers to meet one of two options using Intelligent Mail barcodes to access automation prices for letters and flats. The first option, referred to as “Full Service” Intelligent Mail, will require the use of unique Intelligent Mail barcodes applied to letter and flat mailpieces, trays, sacks, and containers, such as pallets, and the submission of electronic mailing documentation. The second option, or “Basic” Intelligent Mail, will only require mailers to apply Intelligent Mail barcodes on mailpieces and not on trays and containers. Accordingly, starting in January 2009, automation prices will no longer be available for the use of the POSTNET barcode.
Swissinfo.ch has reported that "Switzerland's postal authority - Swiss Post
- has put a new service online to make life easier for its customers."
Mailers
Council executive Robert McLean has reported that "The FTC was to submit a
report ".identifying Federal and State laws that apply differently to the United
States Postal Service with respect to the competitive category of mail . . . ."
However, the report won't be published until after January 15.
According to the staffer in charge of the project, "The Commission has had a lot
on their plate this month, and felt that they would like more time to review the
report. January 15 was chosen because that's when the new Congressional session
begins."
Forbes has reported that "Deutsche Post World Net AG's chief financial
officer John Allan said a minimum wage for postal workers recently approved by
Germany's government will have 'no immediate effect' on the company's cost
structure."
Parcel
magazine has just posted Joe Loughran's annual UPS Rate Analysis. This detailed
account of the new UPS rates will help you fine-tune your budget and adjust your
transportation plan to take advantage of best pricing. We thank Joe for the
tremendous in-depth analysis. Please visit
www.PARCELindustry.com to see the entire analysis.
The latest copy of the National Association of Postmasters of the U.S. electronic governmental affairs newsletter is available on the NAPUS web site.
The
International Herald Tribune has noted that "G.P. Sawant never charged the
prostitutes for his letter-writing services. Not long after the women would
descend on this swarming, chaotic city, they would find him at his stall near
the post office, this letter writer for the unlettered. They often came hungry,
battered and lonely, needing someone to convert their spoken words into
handwritten letters to mail back to their home villages. The letters ferried
false reassurances. Sometimes, suspicious parents would board a train to Mumbai
and turn up at Sawant's stall, which a daughter had listed as her address.
Sawant greeted them kindly but revealed nothing about the woman's work or
whereabouts. Such is the letter writer's honor code: When you live by writing
other people's letters, you die with their secrets. But now the professional
letter writer is confronting the fate of middlemen everywhere: to be cut out. In
India, the fastest-growing market for mobile phones in the world, calling the
village or sending a text message has all but supplanted the practice of
dictating your intimacies to someone else."
The
Philadelphia Inquirer says you should "Pity the poor Costa Rican postman.
Sure, he doesn't have to deal with sleet or snow. But consider what passes for
an address here: From the Tibas cemetery, 200 meters south, 300 meters west,
cross the train tracks, white two-story house. It might be difficult for GPS
addicts to comprehend, but Costa Rica doesn't have a standardized system of
addresses - at least not ones that can be typed into MapQuest. Mail is just one
problem. Emergency crews, cab drivers, utility workers and delivery people spend
an inordinate amount of time on cell phones and knocking on doors to find out
where they are supposed to be."
PrintWeek has reported that "The DMA (U.K.) has warned the government not to
place an "unrealistic burden" on businesses to fund a universal postal service
when it publishes its review next year. Secretary of state for business John
Hutton announced the review on 17 December, outlining the government's
commitment to maintain the universal service while investigating the impact of
opening the postal market to competition two years ago. DMA head of postal
affairs Alex Walsh told printweek.com: "I think that it is appropriate to review
exactly what the 'universal service' is in the light of increasing use of
electronic media by consumers, and not place an unrealistic burden on business
users to support it."
The
Washington Post has reported that "For the first time in 35 years, the U.S.
fertility rate has climbed high enough to sustain a stable population,
solidifying the nation's unique status among industrialized countries. The
overall fertility rate increased 2 percent between 2005 and 2006, nudging the
average number of babies being born to each woman to 2.1, according to the
latest federal statistics. That marks the first time since 1971 that the rate
has reached a crucial benchmark of population growth: the ability of each
generation to replace itself." [Ultimately, that will mean more delivery
stops.]
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The latest issue of
the PostCom Bulletin is available online. In this issue:
Congress pushed through an omnibus appropriations measure this week before leaving Washington for the holidays. But the spending bill contained a few surprises and once again allows Congress to meddle in the operational affairs of the Postal Service.
The USPS this week posted its updated Strategic Transformation Plan, FY 2006-2010, on its website. The revised Plan reflects the changes the Postal Accountability and Enhancement Act has brought to postal business, including the Postal Service’s newfound ability to earn a profit and the understanding the USPS must grow revenue, not just cut costs.
The Postal Service’s final rule on service standards primarily reflects minor changes from its proposed standards, with only a few substantive changes in the area of non-contiguous U.S. locations and the addition of standards for some international market-dominant products not in the proposal. The Postal Service beat its statutory deadline by one day, publishing its final rule on modern service standards for market-dominant products in the December 19th issue of the Federal Register.
The Postal Service has included changes in its final rule on service standards for some international services. That’s because the Postal Regulatory Commission clarified the market-dominant products subsequent to the date the USPS published its proposed service standards.
Last week PostCom highlighted its comments to the Postal Service on the proposed address placement requirements for flats, and address construction requirements for letters and flats. PostCom said some of the proposed rules pose serious operational issues for mailers and, as a consequence, threaten economic harm to the Postal Service resulting from lost volume. Others weighed in with similar concerns, as well as raising additional issues with the USPS’ proposed changes.
Attorney Murray Comarow offers advice to Postal Regulatory Commission Chairman Dan Blair about selecting contractors and soliciting opinions for postal reports.
Murray Comarow takes issue with “misleading statements and blunders” in a recent opinion piece on privatizing the U.S. Postal Service.
Association for Postal Commerce VP Kate Muth offers up some or her own ideas on building the Postal Service’s business.
D.C. will have its postmark. Serrano blocks New York postal consolidation. UPS faces challenges in 2008.
EU lawmakers approve full mail competition from 2011. TNT to establish own postal wage scale.
PostCom welcomes three new members for 2008.
A list of upcoming postal-related events.

The National
Association of Postal Supervisors
Legislative and Regulatory Update -- December 20, 2007 has been posted on
this site.
Industry
Week has reported that "Document process automation solutions provider Esker
recently released results of a survey of over 150 North American billing and
invoicing managers regarding customer invoicing practices and preferences.
Results suggest that while many companies are reaping the efficiency benefits
arising from electronic invoice formats and automation, 88% of respondents still
saw room for improvement with manual processes surrounding invoices sent via
physical mail."
According to
Newsday,
"Online retailers enabled procrastinating holiday shoppers this year by offering
free standard shipping until late in the season. But behind these e-commerce
operations lies another critical enabler: delivery companies armed with a
beefed-up workforce, planes, trucks and hundreds of miles of conveyor belt."
From
Business Wire: "New research has found that 9 in 10 British people send
Christmas cards and of those, 62% still sends them by post. Furthermore, the
research commissioned by new online postal greeting card service Greetz (http://www.greetz.co.uk)
shows that over three quarters of people (77%) actually prefers to receive real
cards sent in the post."
Newsday has reported
that "workers at TTPost offices throughout the country staged a second day of
protest action yesterday to highlight their dissatisfaction with the TTPostal
Corporation over salary negotiations for the period 2005/2007. According to the
Trinidad and Tobago Postal Workers’ Union (TTPWU) General Secretary Reginald
Crichlow, the majority of workers heeded the union’s call and stayed off the
job."
AllAfrica.com has
reported that "the Postal and Telecommunications Regulatory Authority (Potraz)
this week began the hunt for a new Director General (DG) to replace incumbent
Cuthbert Chidoori who quit his job in August after clashing with government over
industry issues."
Dow Jones has reported that "Mexico's postal service said Thursday it aims
to be self-funding with annual revenue of more than 10 billion pesos ($923.9
million) by 2012 under a five-year modernization plan. In a press release, the
postal service, or Sepomex, said to reach that goal, it will increase the number
of mail carriers to 30,000 and open about 500 new offices by the end of 2012.
Sepomex currently has about 20,000 employees, 1,370 offices and annual revenue
of about $250 million. As part of its modernization program, the postal service
will implement a tracking system for packages and has reached an agreement with
the postal employees union to improve productivity. Most firms in Mexico use
private package delivery companies because of reliability problems with the
postal service."
The Postal
Regulatory Commission has published a "Notice And Order Concerning Review Of Nonpostal Services"
(Docket No.
MC2008-1). The Commission is initiating this docket to fulfill its
responsibilities under section 404(e) of the Postal Accountability and
Enhancement Act.
December 20, 2007
The
Government Accountability
Office has posted on its web site its latest report on
"Postal Service and
Mailing Industry Mail-Related Recycling: Accomplishments and Postal
Opportunities—Interim Results."
The
APWU
has written to all members of the U.S. House of Representatives, asking them to
co-sponsor and support the Mail Network Protection Act, which would require the
Postal Service to bargain with unions before committing to significant
subcontracting. The legislation (H.R. 4236) was introduced by Rep. Stephen Lynch
(D-MA) on Nov. 15.
icBerkshire has reported that "with the closure threat hanging over post
offices across west Berkshire and Reading there was anger this week when it was
revealed the Royal Mail chairman is having his term of office extended and could
be in line for a hefty bonus. Allan Leighton could receive almost £180,000 in
performance-related payments on top of his £20,000 salary, and will now stay on
until at least March 2009, a year beyond his current contract."
Reuters has reported that "Package delivery company FedEx Corp on Thursday
reported a lower quarterly profit, citing weak U.S. economic growth and high
fuel costs, but the results beat analyst estimates. FedEx also issued an outlook
for the current quarter that fell short of analyst estimates, sending the
company's shares down." See also the
Financial Times and
Air Cargo World.
From
the U.S. Postal
Service: "The Move Update standard currently applies to mailings of
First-Class Mail. Effective November 23, 2008, the minimum frequency for Move
Update will change from 185 days to 95 days prior to the date of mailing and the
Move Update standard will also be required for all Standard Mail. In order to
comply with the Move Update standard, mailers must update an address used on a
mailpiece in a mailing for any class of mail with an approved method."
Press Release: "The launch of a Digital Order Form from YUDU Media, the UK’s
leading provider of digital catalogues, is set to end the complications of fax
orders for catalogue companies and increase order intake efficiency. According
to YUDU Media, 75 per cent of their B2B catalogue clients still use fax for the
majority of orders which can be time consuming and confusing for both the
customer and processing team."
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PostCom welcomes its newest member: BearingPoint 1676 International Drive McLean, VA 22102-4832 represented by Marc Greathouse, Managing Director, Public Services |
The
U.S. Postal Service has posted on its site a
2007 update
to its Strategic Transformation Plan.
From
PR Newswire: "Authentidate Holding Corp., a worldwide provider of software
and web-based services that enable enterprises and individuals to exchange
information securely and conduct trusted business transactions, today announced
that it has received a non-compliance notification from Nasdaq dated December
18, 2007 stating that for the last 30 consecutive business days, the closing bid
price per share of the Company's common stock has been below the $1.00 minimum
per share requirement for continued listing as set forth in Nasdaq Marketplace
Rule 4450(a)(5). The letter has no effect on the listing of the Company's common
stock at this time."
From
Business Wire: "As the mailing industry marks the first anniversary of
landmark postal reform legislation, Pitney Bowes Inc. offered an upbeat
assessment of the work that has been done to implement the law’s provisions, and
of the implications the new law has for anyone who sends or receives mail."
According to
Radio
Netherlands, "Once again a number of internal borders are being scrapped in
the European Union. As per 21 December 2007 there will no longer be any border
controls between the 'old EU' and nine recently acceded member states." [Oh
sure, sure, sure. Just try and mail something. Then tell me whether the borders
have gone away.]
Gibbons Stamp Monthly has reported that "Royal Mail will be increasing the
prices of both first and second class stamps next April. The price of first
class stamps will rise from 34p to 36p, while second class stamps will go up
from 24p to 27p." See also
MSN
Money.
Report of
The U.S. Department of
the Treasury On Accounting Principles and Practices for The Operation of the
United States Postal Service’s Competitive Products Fund can be found on the PRC
website. In receiving the report, Postal Regulatory Commission chairman Dan
Blair said that "the Commission appreciates the hard work of the Department of
Treasury and its staff on these difficult issues. We look forward to studying
Treasury's recommendations over the next few weeks."
According to
the President of the National Association
of Letter Carriers, "we have entered a new era, the era of the “Office of
Inspector General,” which has taken over from the Postal Inspectors—and from the
Postal Service itself—key elements of employee monitoring, investigations and
law enforcement. How is the OIG doing? In the past year, in just three
cities—Houston, Texas, and Battle Creek and Grand Rapids, Michigan—OIG agents
brought charges that resulted in more than 100 removals. In virtually every
case, the improperly suspended carriers were returned to work with full back
pay, including lost overtime. The total cost to the rate-payers was well over $1
million, plus hundreds of thousands of dollars for replacement labor during the
wrongful suspensions and the high cost of litigating the removals through the
grievance-arbitration process."
The
Herald-Journal has noted that "Rickke Russell wrote a letter to her friend
on a small piece of tissue paper, folded it up tightly and taped it to the leg
of a pigeon. The pigeon was then released from the window of the fifth-grader’s
classroom and flew 6 miles to Hyde Park, where Rickke’s teacher removed the
letter, put it in an envelope and mailed it. Rickke is part of Kirk Jorgensen’s
fifth-grade class at Woodruff Elementary School, and her letter’s journey was
part of what Jorgensen and his students believe to be the only operating pigeon
postal service in the world. The class now calls the system “p-mail.”
[Editor's Note: If Congress continues to peck away at the integrity of postal
reform with appropriations bill riders and so forth....this may become the only
hard-copy message delivery system that's left....Are there service performance
standards for P-Mail?....Can a pigeon handle a 2 lb flat?....]
The
Sofia Echo has reported that "The market for postal services in Bulgaria in
2007 was expected to reach 200 million leva, Plamen Vachkov, chairperson of the
State agency for Information Technology and Communication (SAITC), said at a
meeting with Edouard Dayan, director general of the Universal Postal Union (UPU)
international bureau. Largest part of the market, 67 per cent, was taken by
non-standard services, mostly courier services. SAITC said it expected the
decline in use of standard postal services to end when alternative suppliers
would enter the market. The traditional provider of standard postal services,
Bulgarian Postal Services, has a marketshare of only 30 per cent, while in 2004,
it held half the market, Dnevnik said. Dayan proposed to private operators, who
took part in the meeting, to organise themselves in a Balkan pool and become
collective member of the UPU. UPU would finance activities to improve the
quality of services and Bulgarian members could apply for support, Dayan said.
Dayan added that internationally, postal service were no longer just delivering
letters, but had become intermediaries in e-commerce and money transfer."
Forbes has reported that "The upper house of Germany's parliament has
approved the introduction of minimum wages to the postal industry, a move the
lower house and the cabinet have already approved."
The
Sioux City Journal has reported that "A provision in a just-passed Senate
appropriations bill would prevent the U.S. Postal Service from consolidating
mail processing services until it meets certain requirements. In a news release,
Sen. Tom Harkin, D-Iowa, said the provision would require the USPS to further
review its decision to close Sioux City's mail processing center and consolidate
it with Sioux Falls. The provision is nonbinding, but such recommendations are
normally followed by federal agencies, Harkin said in the release." See also a
similar story in the
New York Daily News.
The
International Brotherhood of Teamsters has notified
UPS
that a new contract covering approximately 240,000 UPS employees has been
certified approved and ratified.
Air Cargo World
has reported that "Massachusetts fined FedEx Ground $190,000 for "intentionally
misclassifying" 13 pickup and delivery drivers as independent contractors rather
than employees, raising the stakes in a nationwide battle over the carrier's
independent contractor business model."
December 19, 2007
Editor's
Update: Earlier, we reported on a piece that appeared in the
Financial Times that the U.S. had struck a "bilateral deal that would
provide European businesses, such as TNT of the Netherlands and Deutsche Post of
Germany, with unspecified new opportunities in the US postal and courier
market." Inquiring minds want to know: What got bargained away? As it turns
out...nothing. There were no new concessions given to anyone regarding access to
U.S. postal markets.
From
Business Wire:
Returned Mail Solutions, Inc. (RMS), a leading UAA Solutions company, today announced the release of optiMAIL. optiMAIL enhances current front-end data configurations as well as back-end print, mail, lettershop and logistics for Direct Mail. This solution is targeted towards a hard-line reduction in annual Direct Mail postal budgets of 5-10%. More information is available at www.directmailreturns.com and www.returned-mail.com/uaa.html.
Pitney Bowes Management Services, Inc. (PBMS), a wholly-owned subsidiary of Pitney Bowes Inc. has launched Pitney Bowes Mailstream Consulting Services(TM), a new services offering designed to help customers manage rising postal costs.
From the
Federal Register: "The Postal ServiceTM establishes modern service standards
for its market-dominant products. Section 301 of the Postal Accountability and
Enhancement Act, Public Law 109-435, 120 Stat 3198 et seq. (December 20, 2006)
requires the Postal Service, after consultation with the Postal Regulatory
Commission (PRC), to establish by regulation within a year of its enactment, a
set of modern service standards for its market-dominant products. This notice
responds to that requirement by establishing the required regulations."
CEP News (Courier-Express-Postal), published by the MRU Consultancy, has reported that:
After the German Parliament gave a clear vote for the introduction of a minimum wage for mail delivery personnel last Friday, TNT applied to the Ministry of Employment for a special minimum wage rate.
Following the German Parliament’s minimum wage decision, publishing house Axel Springer AG - majority stakeholder of mail service provider PIN Group - reacted swiftly by announcing last Friday that it would no longer provide financial support for the PIN Group.
Frank Heemskerk, State Secretary in the Dutch Ministry for Economic Affairs, has made a clear statement against a partial liberalisation of the domestic mail market in Holland.
Following massive criticism, Post Danmark has decided to refrain from cutting back its services. The Danish post had intended to cut back this service from next year, but citizens and their local representatives as well as liberal coalition party Venstre and Transport Secretary Carina Christensen have been lobbying for some time to maintain the service, which is particularly popular among older people.
The Canadian Union of Postal Workers (CUPW) wants an extensive and public review into whether Canada Post’s monopoly on outgoing mail should be abolished.
Germany’s Hermes Logistik Gruppe has applied to the Ministry of Finance to be exempted from VAT.
Leading US online DVD rental company Netflix will have to use different dispatch bags or pay around 12 euro cent extra per consignment. U.S. Postal Service has issued an ultimatum, according to »eFluxMedia« (9.12). Although the amount seems negligible, it would affect Netflix’s cost budget considerably, as the company dispatches over 1.6m items daily.
British regulator Postcomm has rejected Royal Mail’s proposal for so-called "zonal pricing".
The executive board and supervisory board of Austria’s Österreichische Post agreed on a package of measures designed to reposition the post’s parcel and logistics segment.
DHL wants to set up its own B2C network in England. This is the first time that the Deutsche Post subsidiary takes on deliveries of parcel and express consignments to private individuals outside its domestic market.
TNT Express is aiming for the pole position in emerging markets such as China, India and South America while at the same time defending the market leadership achieved in Europe last year.
Nippon Express and Kintetsu World Express as well as Japanese airline All Nippon Airways (ANA) intend to jointly enter the express market.
10 companies have put in a bid for Korea Express, one of the country’s leading CEP service providers.
Spanish trade unions have called for a strike among postal workers on the 19, 20 and 21 of December. Daily »El Adelantado de Segovia« (10.12) reported that the unions were protesting against unequal and inadequate wages.
The Spanish franchisee of UPS subsidiary Mail Boxes intends to enter the mail market.
Last Thursday Deutsche Post inaugurated the first of its so-called Post 24/7 service islands in Berlin. Post 24/7 consists of a cash machine, statement printer, packing station, stamp vending machine and post-box, and Deutsche Post is putting up 30 of them in Berlin and 15 each in Bonn and Dortmund. The post will extend the feature to other cities if response to the pilot scheme is positive.
Next year India Post will deploy a cargo aircraft for the first time in its history.
Employees of Mexican post Sepomex do not appear very happy with their freshly negotiated work contract.
The MRU, founded in 1992, is the only consultancy in Europe, which has specialised in the market of courier-, express- and parcel services. For large-scale shippers and CEP-services in particular, the MRU provides interdisciplinary advice for all major questions of the market, as there are for example market entry, product design, organisation, and EDP.To learn more about the stories reported above, contact CEP News. (We appreciate the courtesy extended by CEP News to help whet your appetite for more of what CEP offers.)
The
Stamp Collecting Roundup has noted that "The USPS News Link reports that the
Sun City, AZ, Main Post Office is using pedal power to lower its fuel costs.
According to the report, its letter carriers ride bicycles on 37 delivery routes
— saving USPS $24,000 in annual gasoline costs at current prices. Bicycle
delivery conserves 7,800 gallons of gasoline annually when compared to Long Life
Vehicle delivery and eliminates 25,000 pounds of carbon dioxide emissions."
As the
Miami Herald has
noted, "With the holidays approaching, the volume of mail headed to service
members in Iraq has skyrocketed. In one 24-hour period last week, 788,473 pounds
of mail came into Iraq, according to the U.S. military's Postal Operations
Division in Kuwait. Compare that with a 24-hour period in July, when soldiers
received a mere 294,808 pounds."
China
Post Logistics, the country's top logistics firm, plans to raise over $2 billion
in a Hong Kong and Shanghai stock market listing in 2008, sources said, amid
mounting foreign competition in the booming sector. The company, run by the
state operator of the country's huge postal system, is expected to raise at
least $2 billion in total on both markets, though it was too early to tell how
much it could rake in eventually, one of the sources familiar with the deal told
Reuters.
In a letter
to the editor of the PostCom Bulletin, National Academy of Public
Administrators fellow
Murray Comarow offers some comments on an opinion piece written by
James Montanye on the need to end the Postal Service's monopoly.
The Postal
Regulatory Commission is looking for contractors to do some of the heavy lifting
in preparation of its report on universal service, the letter mail monopoly, and
mailbox access. In an open letter to the chairman of the Postal Regulatory
Commission, National Academy of Public Administrators fellow
Murray Comarow offers some thoughts on the matter.
Forbes has noted that "Axel Springer AG said it expects to write down the
value of postal service provider PIN Group AG, in which it holds a majority
stake, by up to 620 mln eur this year after talks with the other owner to
finance the business failed."
The
Washington Post is encouraging DC residents to "Break out the holly, as well
as the last-minute holiday cards. The nation's capital has received an early
Christmas present: the restoration of the Washington, D.C., postmark. Out with
the old -- the SUBURBAN MD and SOUTHERN MD postmarks -- and in with WASHINGTON,
DC for at least 90 percent of the stamped mail originating in the District. The
news was announced yesterday by Del. Eleanor Holmes Norton (D-D.C.), who stood
in the lobby of the National Capitol Station Post Office to declare that she had
holiday greetings for the city."
The House of
Representatives at 5:18 pm has unanimously passed the
Freedom of
Information Act (FOIA) reform bill (S. 2488) that passed the Senate by
unanimous consent on December 14. The bill aims to fix some of the most
persistent problems in the FOIA system, including excessive delay, lack of
responsiveness, and litigation gamesmanship by federal agencies. Following
today’s approval by the House, the OPEN Government Act will be sent to the
President's desk for approval.
Independent.ie has reported that "compensation is now available for late
letters and shoddy postal services. The 'Complaints and Dispute Resolution
Guidelines' for postal service providers will see this implemented over 20 of
Ireland's 31 postal service providers. Comreg yesterday issued the guidelines,
which cover An Post, but also companies like Cyclone Couriers, Olympus, and
Nightline, some of Ireland's larger courier firms. The new guidelines do not
cover larger delivery firms such as Fedex, DHL and SDS, but this may change when
the postal service industry is liberalised under EU laws in 2011 and is opened
up to greater competition."
The
Financial Times has reported that "All Nippon Airways plans to challenge DHL
and Federal Express in Asia by joining forces with two Japanese transport groups
to launch a door-to-door express parcel service. The airline will take a 34 per
cent stake in the venture, targeting business-to-business customers, according
to a memorandum of understanding signed yesterday."
The
Standard has reported that "The Postal Corporation of Kenya has embarked on
a Sh100 million project to revamp its courier services. Mr Fred Odhiambo, the
chief executive officer said the programme was geared at reclaiming its
dominance in the courier services."
December 18, 2007
Below we reported that "Chairman José E. Serrano
successfully included a provision in the omnibus appropriations bill for FY08
that blocks the Postal Service from moving forward on a plan to consolidate the
Bronx Postal distribution center operations into the Manhattan-based Morgan
Postal Distribution Facility until Congress and the Government Accountability
Office are satisfied that the consolidation is merited." What follows is a link
to the entirety of the
conference report language providing revenue foregone monies and addressing
network realignment/AMPs."
Reuters has reported that "Axel Springer AG said it rejected an offer to buy
out its majority stake in loss-making mail service PIN because would-be buyer
and PIN Chief Executive Guenter Thiel could not assure PIN's future."
The
Financial Times has noted that "Most pin pricks are harmless - this one is
acutely painful. Managers at Axel Springer, Germany's largest publisher of
newspapers and magazines, must be ruing the day they laid eyes on Pin Group, a
rival to state-owned Deutsche Post in German mail delivery. Having spent about
half a billion euros to take control of Pin this year, Springer has since been
threatened by government plans to increase the minimum wage for all postal
industry workers, in effect protecting the state's monopoly. If, as looks
likely, parliament waves the law through on Thursday, an asset with a book value
of €650m will be practically worthless. Springer has few options but to find a
buyer or wind it down."
According to
Startups.co.uk, "Businesses deserve an ‘efficient and cost effective’ postal
service and any review of the market must take this into account, it has been
claimed. The British Chambers of Commerce (BCC) made the comments in response to
business secretary John Hutton’s announcement of a ‘comprehensive review’ of
developments in the postal services market since its liberalisation two years
ago. The review will look at trends in future market developments and the likely
impact on Royal Mail, other carriers and consumers."
The
Daily Record has reported that "the Royal Mail have been accused of creaming
off millions of pounds from customers confused by postal charges. An
investigation by trading standards officers revealed punters were overcharged at
Post Office counters when sending parcels. Millions more who put the wrong stamp
on Christmas cards are leaving family and friends to stump up a £1 handling fee
plus the excess when the postie delivers their festive message. Consumer group
Postwatch yesterday condemned the double whammy as "unacceptable"."
The
Washington Post has reported that "Statehood may still be a dream on the
horizon, but at least the D.C. postmark is coming back. A new system of
processing would ensure that the majority of D.C. mail receives a D.C. postmark,
Del. Eleanor Holmes Norton (D-D.C.) and D.C. Postmaster Yverne P. Moore
announced today at a news conference at the North Capitol Station Post Office.
Norton, who asked the post office to restore use of the postmark after she
learned that its use had been in decline, said the announcement was a "very good
reason to say happy holidays to the District of Columbia. Not only from me but
from the postal service."
The
Canadian Broadcasting Corporation has reported that:
Media and printing company Transcontinental Inc. signalled Tuesday that it is not interested in purchasing the entire operations of struggling rival Quebecor World Inc. While Transcontinental wants to continue to grow, it plans to focus on very specific niches that have proven successful. These include direct marketing, digital media and outsourced printing of U.S. newspapers. The Globe and Mail quoted sources as saying American printing giant R.R. Donnelly and Sons and private investment funds Kohlberg Kravis Roberts and Cerberus Capital Management were among potentially interested buyers.
The union representing postal workers says safety may not be the only reason Canada Post is moving rural customers to super-box sites. "One of our major concerns is that Canada Post is looking at this as a back door, a way to cut costs and to save money and cut jobs down the line," Jean-Francois Savoie, a representative of the Canadian Union of Postal Workers, told CBC News Monday.
As if making toys were not enough! It seems that mail from children around the world is also keeping Santa's elves hopping this year. The Universal Postal Union, the United Nations agency that connects national post offices worldwide, says Santa will get more than six million letters from hopeful children around the world this year. The letters with be variously addressed to Santa Claus, St. Nicholas, Father Christmas, Pere Noel or one of the many other names the bearded gentleman is known by around the world.
According to
postal commentator and PostCom Vice President
Kate Muth, "It
is easy to criticize the Postal Service and other large organizations because
they move slower than more nimble free-market enterprises. That’s the nature of
the beast. And it’s also easy for some of us in the industry to shoot down
Postal Service ideas without offering any constructive proposals. That’s not
fair either. But many Postal Service customers have good ideas about how to
improve the mail business."
Add this to
your reading list. Be sure to check regularly
http://courierexpressandpostal.blogspot.com:80/. It's latest in valuable
sources of postal and logistical news and information available on the web site.
This site is owned and operated by Alan Robinson, a well-respected postal and
logistical services veteran.
Reuters has reported that "A committee of European Union lawmakers on
Tuesday approved EU plans to open the bloc's 88 billion euro ($130 billion)
postal markets to full competition, setting the stage for final approval next
month. The European Parliament's transport committee voted 37 to 2, with six
abstentions, in favour of market liberalisation."
Chairman José
E. Serrano successfully included a provision in the omnibus appropriations
bill for FY08 that blocks the Postal Service from moving forward on a plan to
consolidate the Bronx Postal distribution center operations into the
Manhattan-based Morgan Postal Distribution Facility until Congress and the
Government Accountability Office are satisfied that the consolidation is
merited. [Editor's Note: We regret to note that the congressional unraveling of last year's postal reform has
begun.]
Reuters has reported that "The head of Axel Springer's troubled postal business PIN Group is quitting and
withdrawing an offer to buy the unit, according to a magazine report on Tuesday,
casting uncertainty over PIN's future. Last week, German publisher Springer
pulled the financial plug on its loss-making mail service company and said it
was looking to sell its majority stake."
From the
U.S.
Postal Service: "Postal Service employees everywhere now have access to a
new cutting-edge human resources (HR) system to meet the demands of the
information age. Rollout of the technology phase of the PostalPEOPLE initiative,
the largest implementation of its kind in the federal government or private
sector, was completed in October."
Air Cargo World has reported
that "DHL's losses in the United States appear to be deepening and the express
carrier is looking closely at the entire operation even as it struggles with its
major North American air service provider. But DHL is concerned with larger
issues, including a sharp decline in its air express business in North America
over the last year that helped drag down overall profits at parent Deutsche Post
World Net in the third quarter. DPWN Chairman Klaus Zumwinkle told analysts in
Germany last month the company must look at how to "restart the whole thing"
next year, but he rejected any idea that DHL would scale back in the face of
problems in the United States."
The
U.K. Postal Services Commission (Postcomm) has said that "Postcomm, the
independent regulator for postal services, welcomes the Government’s review of
the UK postal services market, which was announced earlier today. Postcomm looks
forward to cooperating fully with the review which comes at a time of profound
change for the market. The regulator’s official submission to the review will be
published in due course."
There's a
nice piece on USPS CFO
Glen Walker in CFO magazine. Check it out.
According to
Public Citizen, "Under the U.S. Constitution, no administration can
unilaterally change U.S. commitments under a trade agreement, so hopefully the
Europeans know that the Bush administration’s offer to bind more sensitive
service sectors to WTO jurisdiction is meaningless unless Congress approves such
a proposal. Whatever the Bush administration is considering trading away to get
out of its current WTO gambling mess would have to be approved by Congress.
Depending on the scope of commitments, the notion of putting the U.S. postal
services and safety testing under WTO jurisdiction also could prove explosive in
Congress."
The
Financial Times has reported that "Online gaming companies in Europe were
dealt a blow yesterday as the European Union accepted a US offer to open some
other services markets as compensation for shutting foreign companies out of
America's lucrative gambling industry. The EU said
the bilateral deal would provide
European businesses, such as TNT of the Netherlands and Deutsche Post of
Germany, with unspecified new opportunities in the US postal and courier,
research and development, storage and warehouse
sectors." [Makes you
wonder....What just got bargained away?]
The
Wall Street Journal has reported that "With Web companies now beginning to
dominate the market for local ads online, newspaper publishers are scrambling to
change the way they sell ads, hiring sales teams that specialize in the digital
market and creating new editorial packages to sell. But it may be a case of too
little, too late."
The Telegraph has reported that "The Government has extended Allan
Leighton's tenure as chairman of Royal Mail."
The
BBC has reported that "Postal workers in Staffordshire have gone on strike
over the suspension of nine colleagues. The industrial action at the Burslem
depot in Stoke-on-Trent affects the ST6 post code and is due to continue until 2
January. Royal Mail bosses and the Communication Workers Union met on Monday in
a failed last-ditch bid to avoid the walk out. It affects 32,000 homes and
businesses but Royal Mail said 200 managers had been drafted in to handle
deliveries."
As
The Independent has noted, "The Government is launching a comprehensive
review of developments in the postal market since Royal Mail, Santa's sole
helper for almost 350 years, lost its monopoly two years ago. The review, which
will report back next summer, will assess changes in the UK mail market since it
was liberalised on 1 January 2006; study the impact of competition on Royal
Mail, which remains the largest player in the industry; and look at the way
future trends may affect stakeholders such as customers and alternative
carriers. The maintenance of a universal postal service, which allows an
individual to post a letter to any destination in the country, will underpin the
inquiry as it also looks at ways of sustaining the provision." See also
The Herald and the
International Herald Tribune.
December 17, 2007
|
|
PostCom welcomes its newest member: J.Crew 770 Broadway New York, NY 10003-9522 represented by Michael Braaten Vice President, Print Production |
Sky
News has noted that "Postal authorities in Canada are trying to track down a
"rogue elf" who has been writing obscene letters to children, supposedly on
behalf of Father Christmas."
The
Financial Times has reported that "Germany yesterday entered the next round
in its fierce political battle over the minimum wage as the country's labour
minister said he saw last week's deal on basic pay for postal workers setting a
precedent for other sectors."
AllAfrica.com has
reported that "A recent postal policy consultative conference resolved that a
tenable postal sector policy is what the people of Botswana need now. This
decision by stakeholders at the conference was arrived at after it was
discovered that Botswana does not have a specific postal sector policy that
takes into account developments in the postal sector worldwide and in the
country itself."
According
to
The Peninsula, "A pair of postage stamps designed by Qatar's General Postal
Corporation (Q-Post) was selected by the Arab League as the first common stamp
for all member countries."
Newindpress has reported that "I M G Khan, Secretary to the Department of
Posts, on Sunday said the Universal Postal Union (UPU) is likely to prefer
India's Department of Posts, one of the biggest postal services in the world,
for outsourcing postal services across the world."
MENA-FN
has reported that "The Director General of state-owned Emirates Post (Empost)
announced that the company is planning to start discussions with financial
advisers next month on the sale of 49 percent of its shares to the public, Gulf
Daily News reported. He pointed out that the postal company would choose three
lead managers and complete a valuation before starting the initial public
offering (IPO), adding that the valuation of the offering may reach $817
million."
The
Philippine
Information Agency has reported that "In its efforts to hasten movement of
mails in Eastern, Visayas, the Philippine Postal Corporation (PhilPost), Region
8 headed by Regional Director Fabioleta P. Ferraris recently opened new mail
routes in Southern, Leyte and Northern Samar."
The
BBC has reported
that "The government has announced a review of UK postal services to examine how
increased competition in the industry has impacted Royal Mail."
According to
Russia Profile, "On Oct. 8, President Vladimir Putin named Andrei Kazmin the
new head of Russia’s postal service, whose network of branches is twice the size
of Sberbank’s. Kazmin, who headed Sberbank for 11 years, is widely credited with
having masterminded the transformation of the unwieldy Soviet-era institution
into a competitive modern corporation. Under Kazmin, Sberbank’s market
capitalization grew a staggering 107 times over to $95.7 billion as of Nov. 1,
2007, second only to Gazprom. Kuzmin’s new home, the Russian postal service,
employs some 415,000 people and has more that 40,000 offices across the country.
Every year, the postal service processes approximately 1.5 billion letters, 38
million parcels, and 200 million money transfers. Putin has entrusted Kazmin
with the daunting task of modernizing the organization. Unlike Sberbank, which
has undergone a drastic infrastructural overhaul in the past decade, the postal
service has done little to make its operations more efficient and its brand more
attractive. Completely government-owned, its services are notoriously irregular.
Communications Minister Leonid Reiman has claimed that it takes from three to
seven days for a letter to get from one regional center to another, but it is
not uncommon for local mail to travel for weeks across the city of Moscow."
According to the
Globe and Mail, "Login records for scores of small businesses that use
Canada Post's business shipping website are available online as a result of a
Web server glitch, leaving sensitive information such as names, addresses and
shipping details vulnerable."
Forbes has reported that "Deutsche Post AG rival TNT NV plans to introduce
its own, lower pay scale in response to the German government's planned
introduction of a minimum wage in the postal sector, Financial Times Deutschland
reported. 'We will insist on the independence of our pay structure and if
necessary do so via the courts,' TNT Post Germany CEO Mario Frusch told the
newspaper."
December 16, 2007

If you haven't yet seen it, you should. The
Mail Moves America Coalition
has launched its web site.
According to
the
New York Daily News, "The U.S. Postal Service doesn't track how many people
get general delivery, but local mail officials say the general delivery lines
have been getting longer in the past few years - and so are the stacks of mail
for the service."
The
Olive Press has reported that "postal workers in Spain are to stage a
three-day walkout in protest at low salaries. The strike, which will run from
December 23 to the end of Christmas Day, has been organised by trade unions UGT
and the postal workers’ representatives SLC. “Postal workers do not believe they
are remunerated sufficiently to deal with the workload they are given,” a UGT
spokesman said. The walkout, which has been timed to cause maximum delay over
the busy festive period, is also a protest over equal opportunities."
AFP
has reported that "The head of Axel Springer, Europe's largest newspaper
publisher, which plans to stop investing in a private postal service because of
German minimum wage laws, blasted the Berlin government for ignoring a conflict
of interest."
December 15, 2007
The
Financial Times has reported that "Axel Springer, the German publishing
group, yesterday put Pin Group, its domestic logistics subsidiary, Pin Groupup
for sale after the Berlin parliament passed a controversial minimum wage bill
for the postal sector which the company claims will make it impossible to
compete."
General Dynamics Robotic Systems has been awarded $40 million as a
subcontractor to Northrop Grumman Corporation on the United States Postal
Service’s (USPS) Flats Sequencing System (FSS) program. The program will further
automate the USPS’ flats mail technologies. General Dynamics Robotic Systems is
a part of General Dynamics Land Systems (Sterling Heights, Michigan), a wholly
owned subsidiary of General Dynamics (NYSE: GD). The sophisticated sorting
system is designed to sort large envelopes, magazines, newspapers, catalogues
and circulars into delivery point order. The FSS sorts mail at a minimum rate of
37,000 pieces an hour.
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PostCom welcomes its newest member: OfficeMax 1590 1st Avenue Ottawa, IL 61350-4823 represented by Timothy Gable, Director, Production Services |
December 14, 2007
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The latest issue of
the PostCom Bulletin is available online. In this issue:
The Postal Regulatory Commission has revised its deadline for comments on the Postal Service’s service performance measurement proposal in response to a request by PostCom. The PRC pushed back the due date for initial comments to Jan. 18, 2008. Reply comments now are due by Feb. 1, 2008.
At this week’s Board of Governors meeting, Postal Service executives said they will issue two significant items next week including the final rule on service standards and an update to the USPS’ 2006 Strategic Transformation Plan.
PostCom this week submitted its comments on the USPS’ proposed address placement requirements for flats, and address construction requirements for letters and flats. PostCom said some of the proposed rules pose serious operational issues for mailers and, as a consequence, threaten economic harm to the Postal Service as the result of lost volume. PostCom urged the USPS to balance “the needs of mailers to maintain creativity in mailpiece design, with the needs of the Postal Service to facilitate processing and delivery of flats under FSS. The association said the USPS must be careful not to ‘standardize’ the value and utility of mail products out of existence.”
The Postal Regulatory Commission last week issued a Notice of Request for Comments on the Postal Service’s proposed service performance measurement solution. In its 75-page conceptual proposal, the USPS describes measurement approaches that include using an expanded version of its External First-Class measurement system to measure single-piece First-Class Mail; Delivery Confirmation for parcels; other measurement system proposals for Special Services; and a hybrid measurement system for presort letters and flats that relies on Intelligent Mail Barcode data as well as data from independent third-party reporters. The USPS’ proposal also includes timelines, projected IMB adoption rates and statistical validity of proposed measurement solutions for market-dominant mail segments. Initial comments are due by January 18, 2008.
Although the U.S. Postal Service Board of Governors this week approved the Postal Regulatory Commission’s recommended decision on the Bank of America Corp. negotiated service agreement between the and the Postal Service, the USPS has not yet announced an effective date for the agreement. The NSA, the first to be based strictly on cost savings, calls for Bank of America to use improved address barcode technology in exchange for discounted postage rates.
The USPS’ modified specifications for printing the Intelligent Mail Barcode are more acceptable to the industry than the Postal Service’s original proposal, but printers of flat mail still have concerns. Printers continue to work closely with the Postal Service to find solutions to the proposed minimum barcode height.
In response to a story about the USPS’ fourth quarter Quarterly Statistics Report in last week’s PostCom Bulletin, some readers pointed out the fourth quarter results were “good for the Postal Service.” They said under the new law, the Postal Service must strive to make a profit every year.
In this opinion piece, author and economist James Montanye says the postal reforms Congress enacted last fall seriously trail those already adopted by the European Union and other countries. He says more serious postal reform is needed in the United States, and soon.
Rep. Norton requests D.C. postmark. DMM Advisory: Coins Mailed in Window Envelopes. Kodat leaves Treasury Dept.
German lower house votes for minimum wage for letter carriers. UPU: 2006 was a good year for receipts in the mail industry. Netherlands puts off liberalization. PIN Group faces bankruptcy in face of minimum wage. Zumwinkel pelted over stock sale. Kroes: Minimum wage means liberalization hasn’t gone far enough. Swiss Post network swings parcel market in its favor.
A list of upcoming postal-related events.

The
following reports have been posted on the U.S. Postal Service Office of
Inspector General website (http://www.uspsoig.gov/)
today. If you have additional questions concerning the report, please contact
Agapi Doulaveris at 703.248.2286.
Management Advisory – Project Management Challenges in Engineering Programs (Report Number DAMA08001)
Manual Transportation Payments (Report Number FTAR08001)
Management Advisory Automated Area Mail Processing Worksheets (Report Number ENMA08001)
National Review of SmartPay Purchase Card Transactions – Interim Audit Report (Report Number CAAR08002)
The Postal Service’s Comprehensive Strategic Workforce Plan (Report Number HMAR07004)
From
the U.S. Postal Service: The Consumer Price Index (CPI) was updated
today. The latest price cap for market dominant products is available on the
Postal Regulatory Commission’s Web site (prc.gov). Customers who would like an
indication of the potential average price change for each market dominant class
can refer to the Commission’s Web site. We’ll use the DMM Advisory to keep you
informed of the monthly updates."
From
CSRWire: "Consumers can
"ship green" this holiday season thanks to Climate Counts' on-time delivery of a
new shipping sector ranking. DHL (and its parent Deutsche Post World Net) and
the U.S. Postal Service lead the rankings, with UPS and FedEx both lagging.
Climate Counts also released a new "Holiday Shopping Guide" of 60 well-known
companies’ climate commitment. Holiday shoppers can download and print the
pocket-sized guide at ClimateCounts.org."
As
Bloomberg has noted, the "German wage vote riles Deutsche Post competitors."
Reuters has reported that "German publisher Axel Springer said on Friday it
was looking to exit the postal business and was willing to sell its majority
stake in mail service company PIN Group. Springer has been considering all
options for its stake in PIN ever since the government last month agreed to
impose a minimum wage in the sector higher than that paid by PIN. "
The
Associated
Press has reported that "Germany's lower house of parliament on Friday
approved instituting a minimum wage for letter carriers -- putting an end to an
issue that has fueled tension in the left-right coalition government. The
measure will introduce a de-facto hourly minimum of between 8 euros and 9.80
euros ($11.75 and $14.40) for letter carriers. The German letter delivery market
is scheduled to become fully open to competitors of former monopoly Deutsche
Post AG on Jan. 1, the same day the minimum wage agreement takes effect. The
measure was approved 466-70 with 16 abstentions in parliament's final session
before the Christmas holiday. It still needs upper house approval, but the
governing coalition has overwhelming control there and it is expected to be
passed easily."
According to
the
Wall Street Journal, "United Parcel Service Inc. is ramping up for its
busiest day of the year, with 22 million package deliveries expected Wednesday.
But once the holiday rush is over, the Atlanta company and its incoming chief
executive will have to wrestle with daunting challenges that include the slowing
U.S. economy and UPS's sheer enormity."
Dow Jones has reported that "Germany's lower house of parliament Friday
approved a bill that will introduce a minimum wage for letter carriers, a move
that critics say will protect partially state-owned postal service provider
Deutsche Post AG from competition. The bill was approved by 466 of the 552 votes
cast, while 70 voted against it and 16 abstained. Labor Minister Olaf Scholz
defended the bill against sharp criticism that it would cost jobs, saying such
claims were "nonsense" and that competition would increase in the postal sector
next year. "There will be competition for the best management, but no
competition for who pays the lowest wages," Scholz told the lower house ahead of
the vote. "What we agree on won't cost any jobs. The opposite is probably true."
According to the
Financial Times, "When German legislators vote on a law today imposing a
minimum wage for postal services, one of the largest groups of opponents will be
in the Christian Democratic Union. While two opposition groups and the Social
Democratic party, co-ruler in the coalition, will endorse the bill, guaranteeing
adoption, at least 20 CDU MPs will reject it, in a serious indictment of the
political judgment of Angela Merkel, the chancellor. Ms Merkel has defended the
move as social policy. But it now appears she was the victim of a ploy by an
alliance of trade unionists, centre-left politicians and Deutsche Post, the
former state monopoly, to defeat the liberalisation of the postal market due
next month."
According to the
Globe and Mail, "Canada Post was forced to halt the delivery of some letters
from Santa Claus yesterday after a number of children received responses that
were more naughty than nice."
The Star has
reported that "Canada's consumer watchdog has issued a warning about customs
brokerage fees, saying it has received a growing number of complaints about
these often-unexpected costs of importing goods from the United States.
Meanwhile, a Statistics Canada study played down the extent of cross-border
shopping, saying the increase this year was "insignificant," despite a soaring
dollar."
The
Yorkshire Post published an op-ed piece by George Thomson, general secretary
of the National Federation of SubPostmasters, calling for support for Royal
Mail's efforts to wean the wheat from the chaff within its retail system.
December 13, 2007
Israel
Post Company Ltd. is moving forward with the introduction of financial services
at its branches. Sources inform ''Globes''
that Israel Post recently published a tender for the selection of a consultant
to advise it on the tender. The deadline for applications is December 27.
From
the U.S. Postal Service: "We issued new
Customer Support Ruling (CSR) PS-328, Mailing Coins and Similar Items in Window
Envelopes at Automation Letter Rates, to clarify the mail preparation
requirements for these types of mailpieces. Coins or tokens visible through a
window envelope must be affixed to one of the components in the mailpiece,
covered in a second wrapping, and streamlined within the envelope as described
in the new CSR. The coin or token cannot interfere with the address or the
barcode."
The
Houston
Chronicle has reported that "U.S. long-haul truck drivers can continue to
spend as much as 11 hours a day behind the wheel, after a federal agency refused
to return to lower limits sought by safety advocates. The U.S. Transportation
Department, in an interim rule issued Tuesday, sided with the trucking industry
and upheld a 2004 increase in daily driving time from 10 hours. The rule also
keeps a 14-hour daily limit for drivers to be on duty."
As the
American Postal Workers Union has noted, "Rep. Stephen F. Lynch (D-MA) has
asked his congressional colleagues to co-sponsor legislation he introduced last
month that would require the Postal Service to bargain with unions before
engaging in significant subcontracting."
Joy Online has
reporte that "The Chairman of the Board of Directors of the Ghana Post (GP),
Professor Addo Fenning, has urged the GP to take decisions that will catalyse
the development and modernisation of the postal network and improve its
efficiency through the application of information and communication technology
(ICT) in all facets of postal transactions."
Javno has
reported that "The Croatian Foreign Affairs and European Integrations Ministry
on Wednesday forwarded a protest note to Italy voicing harsh protest against the
issuing of an Italian postal stamp with images of the city of Rijeka and the
writing “eastern land that used to be Italian” (Fiume – terra orientale gia’
italiana)."
From
PR Web:
"Here's a little surprise for consumers just in time for the holidays. AG
Interactive, Inc., the eCard division of American Greetings Corporation, has
launched a new line of seasonal cards that folks will soon discover in their
mailboxes -- their postal mailboxes." [Wow! Paper greeting cards that can be
mailed. They are portable. They'll even fit in your pocket. You can fold them.
No boot-up time because they're always "instant-on," and they require no
batteries....What a concept!]
According to
Forbes, "Economic Affairs State Secretary Frank Heemskerk has rejected a
request from postal company Sandd BV for a partial liberalisation of the Dutch
domestic postal market next year, the Economic Affairs Ministry said."
The
Bath Chronicle has reported that "A watchdog group says a Royal Mail pricing
shake-up has created more losers than winners.A survey conducted by Postwatch
South and West has shown that 39 per cent of businesses have found their postage
costs have increased since Royal Mail moved to pricing mail by size last year."
Fleet News has reported that "The Royal Mail has confirmed that it is to
stop its employees from using their own vehicles for work. More than 8,000 of
the Royal Mail’s 120,000 staff currently use their own transport while at work."
December 12, 2007
From
PR-Inside: "Pitney Bowes Inc. has entered into an agreement to acquire the
Pitney Bowes business division, including inventory, and stocks, equipment,
customers, employees and other assets of CL Computers Pte Limited and CL
Computers (M) Sdn Bhd., the company that has served as its distributor for the
mailstream markets in Singapore and Malaysia."
Online Media has reported that "the benefits of e-mail can be green in more
ways than one, according to David Maher, vice president of Fidelity's
communications & advertising. Maher, speaking at MediaPost's Email Summit, gave
attendees a chuckle by showing a photograph of one customer sitting next to a
huge pile of paper mail received from Fidelity in a single week. Fidelity is
saving many millions of dollars per year on paper and USPS mailings (which were
costing $4 a pop, multiplied by several thousand per day)."
CEP News (Courier-Express-Postal), published by the MRU Consultancy, has reported that:
At an analysts’ conference in London last week, TNT’s CEO Peter Bakker delivered a positive summary of his company’s change of strategy, which began in 2005. Mr Bakker said TNT’s sale of its logistics and forwarding segment had been successful and had made it possible to invest around 3bn euros in the optimisation of the capital structure. Next year would see the start of the second phase - "Grow And Build Value" - which is set to be completed by 2012.
German publishing house Axel Springer Verlag, the majority shareholder of the PIN Group, will reach a decision regarding the insolvency of its holding this Friday.
The Danish government could be forced to sell yet another large packet of Post Danmark shares within the next two years or else face payment of a steep invoice from private equity firm CVC.
In future, it will be easier for senders of bulk printed matter in Britain to receive compensation for lost, late and damaged consignments. Postcomm has drafted a proposal together with Royal Mail and consumer protection organisation Postwatch, Postcomm announced on 5.12. The aim is to make both the application and evidence procedures simpler and more customer friendly.
Pos Malaysia Bhd suffered a decline in turnover and saw profits cave in by more than 30 % during Q3 (30.9).
Rabobank intends to use Australia Post’s network in order to increase its presence in the domestic market. According to »Australian Business« (6.12), the bank focuses chiefly on so-called agribank business. Through a partnership with the post, Rabobank will be in a position to provide its customers in Australia’s rural areas with commercial banking services.
Schweizerische Post’s dense network of post offices gives the post a strategic advantage over its private competitors in the parcel market. Swiss regulator PostReg came to this conclusion after comparing a number of parcel service providers.
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The French La Poste is selling its subsidiary Europe Airpost (2006 turnover: 242m euros, 25 aircraft) to Irish Air Contractors.