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Shaping a More Efficient Future Pricing Change Effective Monday, May 14

Explore the comprehensive updates in mail rate structure and service enhancements beginning Monday, May 14, with a focus on shaping a more efficient future. This initiative includes new pricing strategies, incentives, and reduced undeliverable mail, aimed at reflecting market shifts and improving choice availability. Additional attention is given to the importance of shape criteria and weighing factors in pricing determinations. The revision also entails modifications in products and services such as First-Class Mail Forever Stamp, Workshare initiatives, and Standard Mail improvements. Join us in unfolding an enhanced mailing experience on July 15 and beyond through these strategic adjustments.

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Shaping a More Efficient Future Pricing Change Effective Monday, May 14

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  1. Shaping a More Efficient Future Pricing Change Effective Monday, May 14

  2. Shaping a More Efficient Future Periodicals July 15 Implementation • Outside-County • More complex container rate application • Bundle rates based on sort level and container level • Container rates based on container type, level, and entry • Allow time for software development

  3. Shaping a More Efficient Future Request for Reconsideration • Standard Mail flats • Nonmachinable surcharge for First-Class Mail letters • Priority Mail Flat Rate Box

  4. Shaping a More Efficient Future New Prices • Reflect changes in operations and the marketplace • Offer more choices • Include incentives • Reduce undeliverable-as-addressed mail • Better reflect that shape matters

  5. Shaping a More Efficient Future First-Class Mail® Forever Stamp • Booklets and sheetlets • Available April 12 • Single-piece rate 41¢ • Good forever

  6. Shaping a More Efficient Future First-Class Mail® Shape Matters –Single-Piece • Letters 41¢ • Nonmachinable surcharge 17¢ • Additional ounce 17¢ • Postcards 26¢ • Flats 80¢ • Parcels $1.13

  7. Shaping a More Efficient Future First-Class Mail® Shape Matters – Letters • Maximum weight 3.5 ounces • Pieces that exceed 3.5 ounces or any letter-size dimension are charged as flats Minimum 5 inches 3-1/2 inches 0.007 inch Maximum 11-1/2 inches 6-1/8 inches 1/4 inch Length Height Thickness Nonmachinable letters weighing 1 ounce or less will be charged 17¢ nonmachinable surcharge.

  8. Shaping a More Efficient Future First-Class Mail® Shape Matters – Flats • Maximum weight 13 ounces • Pieces that exceed any dimension are charged as parcels Minimum* 11-1/2 inches 6-1/8 inches 1/4 inch Maximum 15 inches 12 inches 3/4 inch Length Height Thickness *Flats exceed at least one of these dimensions. Flats with the following characteristics are also subject to parcel prices: • Not flexible • Not rectangular • Not uniform in thickness

  9. Shaping a More Efficient Future First-Class Mail® Shape Matters – Lower Prices • Lower prices for • Letters over 1 ounce • Flats over 6 ounces

  10. Shaping a More Efficient Future First-Class Mail® Shape Matters – Example • Flat-size to letter-size envelope 97¢ 58¢ Save 39¢ 2-ounce example

  11. Shaping a More Efficient Future First-Class Mail® Shape Matters – Example • Parcel to flat 97¢ $1.30 Save 33¢ 2-ounce example

  12. Shaping a More Efficient Future First-Class Mail® Workshare • Presort and automation flats additional ounce 17¢ • Automation letter additional ounce 12.5¢ • Maximum weight • Presort letter 3.3 ounces • Automation letter 3.5 ounces

  13. Shaping a More Efficient Future First-Cass Mail® Automation Letters • Automation Carrier Route rates eliminated • No change to rate eligibility 5-Digit/Scheme Overflow Mail 3-Digit/Scheme Overflow Mail AADC Overflow Mail 5-digit/scheme optional 3-digit/scheme Mixed AADC AADC • Require 85% full trays • Reduced overflow option

  14. Shaping a More Efficient Future First-Class Mail® Machinable Letters • Simplified tray preparation Origin 3-digit AADC Mixed AADC

  15. Shaping a More Efficient Future First-Class Mail® Automation Flats Must be • Flexible • Rectangular • Uniformly thick

  16. Shaping a More Efficient Future First-Class Mail® Presorted Parcels • New rate structure • Barcodes required • UCC/EAN Code128 • or POSTNET

  17. Shaping a More Efficient Future Priority Mail® Flat Rates

  18. Shaping a More Efficient Future Priority Mail® Dimensional Weight and Balloon Rate Pricing • Dimensional weight Zones 5-8 • Balloon rate Local and Zones 1-4 • USPS-complimentary packaging not subject to either • Lower prices for heavier items

  19. $4.15 Shaping a More Efficient Future Priority Mail® Dimensional Weight Pricing Example Save

  20. Shaping a More Efficient Future Express Mail® New 1-Pound Price

  21. Shaping a More Efficient Future Standard Mail™ Initiatives • Greater recognition of shape • Eliminate DDU rate for letters • Drop ship closer to destination • Detached Address Label surcharge

  22. Shaping a More Efficient Future Standard Mail™ Automation Letters • ECR automation rates eliminated • No change to rate eligibility 5-Digit/Scheme Overflow Mail 3-Digit/Scheme Overflow Mail AADC Overflow Mail 5-digit/scheme optional 3-digit/scheme Mixed AADC AADC • Require 85% full trays • Reduced overflow tray option

  23. Shaping a More Efficient Future Standard Mail™ Machinable Letters • Simplified tray preparation Optional Origin/Entry 3-digit AADC Mixed AADC

  24. Shaping a More Efficient Future Standard Mail™ Nonmachinable Letters • Separate rate structure 5-digit 3-digit Mixed ADC ADC

  25. Shaping a More Efficient Future Standard Mail™ ECR Letters • New tray preparation for barcoded automation-compatible letters 3 ounces or less • No change to preparation for nonautomation and pieces weighing over 3 ounces • DSCF-entry rates allowed for some DDU entry

  26. Shaping a More Efficient Future Standard Mail™ Flats • Changes to flat-size mailing standards • Cover costs • Efficient processing and delivery

  27. Shaping a More Efficient Future Standard Mail™ Automation Flats • Must be • Flexible • Rectangular • Uniformly thick • Maximum thickness 3/4″ • Minimum size 5″ x 6″

  28. Shaping a More Efficient Future Standard Mail™ Flexibility Test Length runs parallel to the surface Flats over 10 inches long that contain a rigid insert; length perpendicular to surface

  29. Shaping a More Efficient Future Standard Mail™ Nonautomation Flats • Not required to meet all automation standards

  30. Shaping a More Efficient Future Standard Mail™ Enhanced Carrier Route Flats • Not required to meet all automation standards • ECR maximum size 12″ x 15″ • No change to preparation

  31. Shaping a More Efficient Future Standard Mail™ Parcels • New rate structure Machinable rate tiers Irregular rate tiers • DDU-entry option • Barcodes required

  32. Shaping a More Efficient Future Standard Mail™ Not Flat-Machinable • Rigid pieces • USFM 1000 standards • Provides an additional option

  33. Shaping a More Efficient Future Standard Mail™ Not Flat-Machinable • Preparation • 6 ounces and over – machinable parcel preparation • Less than 6 ounces – irregular parcel preparation • Barcodes required • Rate marking required • “NFM” or “Not Flat-Machinable” • DDU entry rates

  34. 41.4¢ Shaping a More Efficient Future Standard Mail™ Parcel Drop Ship Pricing Example Save

  35. 12.4¢ Shaping a More Efficient Future Standard Mail™ NFM Pricing Example Save

  36. Shaping a More Efficient Future Package Services Initiatives • 20-pound balloon rate • Barcodes required on Parcel Select • Nonpresorted Bound Printed Mail rate • Scheme preparation required for BPM, Library Mail and Media Mail

  37. Shaping a More Efficient Future Extra Services • New low-cost OneCode Address Change Service • Redesigned Insurance • Barcoded and scanned • $200 and less no signature required • Lower electronic return receipt fee

  38. Shaping a More Efficient Future Extra Services • Continue Post Office Box realignment • Caller service now aligned with fee groups • Business Reply Mail prices based on shape • Confirm maintains tiered structure • Annual mailing and permit fees increase

  39. Shaping a More Efficient Future International New Shipping and Mailing Options • Global Express Guaranteed® • Express Mail International • Priority Mail International • First-Class Mail International

  40. Shaping a More Efficient Future International Online Discounts • Global Express Guaranteed®– 10% • Express Mail International – 8% • Priority Mail International – 5%

  41. Shaping a More Efficient Future International Global Express Guaranteed® • Expedited date-certain delivery service

  42. Shaping a More Efficient Future International Express Mail International • Reliable 3- to 5-day service • Flat-Rate envelope option

  43. Shaping a More Efficient Future International Priority Mail International • Reliable 6- to 10-day service • Flat-Rate box and envelope options

  44. Shaping a More Efficient Future International First-Class Mail International • Reliable and economical • For documents and lightweight items

  45. Shaping a More Efficient Future International Business Services • International Priority Airmail • International Surface Airlift • M-Bags

  46. Shaping a More Efficient Future Resources USPS.com • Pricing change – usps.com/ratecase • Postal Explorer – pe.usps.com • MailPro – usps.com/mailpro • DMM Advisory – dmmadvisory@usps.com

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