UPS to Raise Rates for Some U.S. Services

IGBT

Lifer
Jul 16, 2001
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The company, whose shares were up in early trading, raised rates for its commercial ground service by 3.9 percent, and air and international services will increase by 5.5 percent.

UPS also recalibrated the index used to determine its air fuel surcharge, reducing it by 2 percent but keeping the cap at 12.5 percent. The Atlanta-based company said the reduction will benefit customers as fuel prices moderate.
 

DurocShark

Lifer
Apr 18, 2001
15,708
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Here's the email I just got:

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Dear DUROCSHARK,

Since you are a UPS customer, we want to give you advance notice of new UPS rates that will take effect January 2, 2006. You can click here by December 12, 2005 to request a reminder e-mail when the new rates go into effect and the 2006 UPS Rate and Service Guide is available on ups.com®.

UPS published On-Demand Rates* will change as follows: Commercial Ground will increase 3.9%, and UPS Air and International Services will increase 5.5%.

In addition, we are recalibrating our Air and International fuel surcharge index downward by 2%. UPS remains the only express package delivery company with an air fuel surcharge cap, passing along significant savings to our customers. As fuel prices decline and the fuel surcharge calculation falls below the 12.5% cap, customers will see even greater savings as a result of the lowered index. UPS?s air fuel surcharge is the lowest among major air express carriers. By comparison, our competitors are applying fuel surcharges of 20% or more.

The fuel surcharge index calculation for UPS Ground remains unchanged and is pegged to fluctuations in the U.S. Energy Department?s On-Highway Diesel price.

Adjustments will be made to accessorial charges in 2006. The residential surcharge for UPS Ground will increase by $0.25. The residential surcharge for UPS Air Services and UPS 3 Day SelectSM will increase by $0.35. The Additional Handling charge and the charge for Collect on Delivery (C.O.D.) service will increase by $1 per package. UPS Delivery Confirmation and Signature Required services will increase by $0.25 per package, and Adult Signature Required service will increase by $0.50.

On December 1, 2005, you may view all On-Demand Rates and accessorial charges for 2006 at ondemandrates.ups.com. Updated service and rate information, as well as a downloadable copy of the 2006 UPS Rate and Service Guide, will be available on ups.com on January 2, 2006.

Thank you for the business you entrust to UPS.
*The net impact of these changes on your shipping costs will vary according to your shipping
characteristics and the terms of your agreement with UPS.

© Copyright 2005 United Parcel Service of America, Inc. UPS, the UPS brandmark, and the color brown are
trademarks of United Parcel Service of America, Inc. All rights reserved.

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Please do not reply to this e-mail.