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November 29, 2007
The next price change for mailing and shipping services will take place under the new pricing rules. The Postal Service Governors will decide when this price change will occur, and we will provide at least 90 days’ notice to customers. Future price changes will occur annually, on a predictable schedule.
Under the new law, the average price change for our mailing services may increase no more than the rate of inflation, as measured by the Consumer Price Index (CPI). The price cap applies independently to each market dominant class of mail — First-Class Mail, Standard Mail, Periodicals, and Package Services (including single-piece Parcel Post). Individual prices may vary within each class, as long as the overall increase for that class does not exceed the price cap. Our shipping services — bulk parcels and expedited products such as Express Mail and Priority Mail — are not subject to a price cap.
Customers who would like an indication of the average price increase for each market dominant class can refer to the Postal Regulatory Commission’s Web site (prc.gov). The Commission has posted the current price cap that would apply if the Postal Service issued a notice of a price change. The CPI and the postal price cap are updated around the middle of each month. We will send a DMM Advisory to keep you informed.