Wednesday, November 10, 2010

Inflation is coming... BIG TIME!

UPS will be raising their shipping rates 4.9% across the board come the beginning of 2011. Their maximum dimensional weight specs will shrink to the point that many items that would fit in a generic 1-lb box will now automatically weight 2-lbs, and thus be charged a higher rate.

FedEx, I'm sure, will follow suit. The U.S. Postal Service got denied their request for a rate increase, and they're already running in the red, which means that at some point in 2011 postage rates will increase as well.

Shipping costs increasing across the board at 5%... in this economy... umm... yeah... those added business expenses to get anything shipped from-here-to-there will be passed along to you & I.


It's coming.

Very soon.

11/12 Update: Well, I was right. The U.S. Postal Service just posted an $8.5 billion loss.

The U.S. Postal Service more than doubled its losses in fiscal year 2010, despite cutting billions of dollars in expenses and trimming its staff.

The Postal Service said its net loss totaled $8.5 billion in the fiscal year that ended Sept. 30. That compares to a loss of $3.8 billion the prior year.

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