Home  >  Community  >  The eBay Outlook  >  FedEx to handle USPS Priority and Express mail


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 airguy
 
posted on May 8, 2001 11:35:41 PM
Just came across this today, should be interesting........

US court of federal claims last month ruled in favor of USPS and Federal Express Corporation's transportation agreement, which is scheduled to be implemented in august. Under the agreement FedEx will transport Express and Priority Mail in its existing air system. Emery had challenged the validity of the agreement before the court saying the contract should have been competitively bid.

Think this is going to cost us more? or just what we are paying now?

Airborne struck a deal with the post office last year and now they will take packages from Airborne that have PO Boxes, also in some areas I guess you can drop Airborne packages at the post office for pickup by Airborne, I wonder if they pay the post office for the service?

 
 shrty411
 
posted on May 9, 2001 03:33:09 AM
This agreement is supposedly a cost Saver. In the short run I think it will help the delivery times as we can be less dependant on commercial flights (this is where most of the delays occur). We have a similar agreement with Emery right now where they fly mail to a hub and it is sorted and flown back to the destinations overnight. Works ok(especially for express), but their capacity is limited. What will ultimately come of this agreement with Fed-ex will be seen. Right now there is supposed to be no merging of the services. They are strictly flying mail for us and we are only putting Boxes in our offices.

Maria

 
 Empires
 
posted on May 9, 2001 09:04:45 AM
I wonder how the fuel costs will affect the profit margin now? for FX

 
 
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