A review of the Exigent Rate Case from our partner, Thomas Glassman of Wilen Direct.

Mr. Tom Glassman of Wilen Direct

In general, the Postal Rate Commission granted the USPS request for additional revenue as a result of recession related losses.  Even though the mailing industry argued that the losses were from diversion to other marketing methods.  As a result, the rates contained in its exigent price filing would be allowed to take effect on January 26th.  However, the PRC did not agree that the rate increase should be permanent and so directed that the rates should be implemented as a “surcharge”.  The USPS was further directed to submit a plan for the eventual removal of that surcharge.  I believe that you will see them in place for a long time.