NOTE: COMMENTS REGARDING ANY FEDERAL REGISTER NOTICE MUST BE SENT TO THE ADDRESS INDICATED IN THE DOCUMENT. ANY COMMENTS ON THE RAPID INFORMATION BULLETIN BOARD SYSTEM (RIBBS) ABOUT ANY FEDERAL REGISTER NOTICES WILL NOT BE USED OR CONSIDERED IN THE COURSE OF ANY RULE MAKING. ------------------------------------------------------------------------------- =============================================================================== [Federal Register: January 6, 1997 (Volume 62, Number 3)] [Rules and Regulations] [Page 638-645] From the Federal Register Online via GPO Access [wais.access.gpo.gov] ----------------------------------------------------------------------- POSTAL SERVICE 39 CFR Part 20 Global Package Link (Formerly International Package Consignment Service) AGENCY: Postal Service. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: The Postal Service, after considering the comments submitted in response to its request in 61 FR 13,765 (March 28, 1996) for comments on interim regulations implementing International Package Consignment (IPCS) service to Canada and the United Kingdom, hereby gives notice that it is adopting the interim regulations as amended on a permanent basis, without substantive modification. The name of this service has subsequently been changed to Global Package Link (GPL). EFFECTIVE DATE: 12:01 a.m., January 6, 1997. FOR FURTHER INFORMATION CONTACT: Robert Michelson, (202) 268-5731. SUPPLEMENTARY INFORMATION: On March 28, 1996, the Postal Service published in the Federal Register interim regulations implementing Global Package Link (GPL) to Canada and the United Kingdom and requested comments (61 FR 13765 (March 28, 1996)). GPL is an international mail service designed for mail order companies sending merchandise packages to other countries. The service was initially available to Japan. For the service to Canada, a customer would be required to mail at least 25,000 packages annually and to connect its information systems to the Postal Service so that the Postal Service and the customer could exchange information about the customer's packages. The customer would also be required to designate the Postal Service as its carrier of choice to Canada. There were two levels of service to Canada and there were rate discounts for sending larger numbers of parcels during the year. For service to the United Kingdom, a customer would be required to mail at least 10,000 packages annually and to connect its information systems to the Postal Service so that the Postal Service and the customer could exchange information about the customer's packages. The customer would also be required to designate the Postal Service as its carrier of choice to the United Kingdom. There were three levels of service to the United Kingdom and there were rate discounts for sending more than 100,000 packages annually. Comments were due on or before May 31, 1996. Comments were received from two commenters, a company engaged in international package delivery, WorldPak, Inc., and an association of companies engaged in international package delivery, the Air Courier Conference of America (ACCA). After considering these comments, the Postal Service has decided to adopt the regulations without substantive change. WorldPak asserts that GPL rates to Canada and the United Kingdom are not permitted under the Acts of the Universal Postal Union because the rates for the highest level of GPL service are lower than domestic rates for single-piece Express Mail. No citation of authority is given, but the Postal Service believes that the commenter is referring to article 6.2, of the Universal Postal Convention, which provides, ``The charges collected, including those laid down for guideline purposes in the Acts, shall be at least equal to those collected on internal service items presenting the same characteristics (category, quantity, handling time, etc.).'' The Postal Service does not agree that GPL rates are inconsistent with article 6.2. In the Postal Service's view, it is inappropriate to compare rates for the highest level of GPL service with single-piece Express Mail rates. GPL is a bulk service, in which customers tender many packages at one time. There is no bulk Express Mail service and therefore no bulk Express Mail rates. Insofar as quantity is specifically a characteristic that article 6.2 recognizes as making a difference, article 6.2 does not require a comparison with single-piece rates. In addition, GPL does not guarantee delivery within any specific time. Express Mail guarantees delivery within one or two days, depending on destination, and postage is refunded if the service standard is not met. This also makes any comparison with domestic Express Mail rates inappropriate. Accordingly, the Postal Service concludes that GPL rates are not lower than the rates for any service having the same characteristics. WorldPak also asserts that GPL service to Canada is unauthorized because it is a freight service, not a postal service. WorldPak asserts that GPL is a freight service because GPL items are delivered by a private sector contractor, not Canada Post Corporation, and GPL items are cleared through customs using commercial customs clearance procedures. The commenter also asserts, contrary to its argument that GPL rates are illegal because they are lower than domestic Express Mail rates, that GPL delivery by private contractors is not authorized by the Universal Postal Convention because it is not EMS service. The Postal Service does not agree that GPL service is unauthorized. The distinction this commenter attempts to draw does not appear to have any significance. Delivery by a private contractor is, and long has been, one of the ways mail is delivered. Moreover, in the current environment in which postal administrations in other countries are being privatized, e.g., Netherlands and [[Page 639]] Germany, delivery of international mail by privately owned companies is becoming more commonplace. The use of commercial customs clearance procedures is likewise not a consideration in determining whether GPL service is authorized. While the Acts of the Universal Postal Union provide for documentation that is used for clearing most postal items through customs, the procedures that are followed in the destination country are prescribed by that country. In most cases, the main difference between commercial and postal customs clearance is the preparation of a manifest. For most postal items, customs clearance can be accomplished using documents on the package without preparing a manifest, although nothing in the Acts precludes the preparation of a manifest if the law of the destination country requires it. Finally, this argument does not take into account that the Postal Service is authorized to provide nonpostal as well as postal services. 39 U.S.C. Sec. 404(a)(6). Even if GPL could be correctly characterized as not being a postal service, that would not make it unauthorized. ACCA also asserts that GPL service is unauthorized, but argues that it is unauthorized because it is a new classification of mail and must be recommended by the Postal Rate Commission before it can be established. The association asserts that Air Courier Conference of America v. Postal Service, 959 F.2d 1213 (3d Cir. 1992), held that 39 U.S.C. Sec. 407 excepted only international rates from submission to the Postal Rate Commission, not international classifications. The association is mistaken. Section 407 has been consistently interpreted as applying to both international rates and classifications since the two things are largely inseparable from a practical point of view: one cannot establish rates without reference to the items to which the rates apply. Moreover, most international mail classifications and services are established in postal treaties and conventions. The basic classifications of LC, AO including both printed matter and small packets, and parcels are established in the Universal Postal Convention and Postal Parcels agreement, which are postal treaties ratified by the President of the United States. The levels of service, surface, surface air lift (SAL), airmail, and EMS are also established in the Convention. GPL matches these classes and services with volume-discount rates that are attractive to large volume mailers. It does not create any new classes of mail or service. It should also be noted that the Postal Rate Commission has never asserted jurisdiction over either international rates or classifications. Both WorldPak and the ACCA assert that GPL rates do not make an appropriate contribution to overhead and do not take into account all of the cost attributable to the service. WorldPak asserts that the Postal Service's measurement of costs do not take into account the program managers of the service, do not take into account the travel, marketing, and related costs of the service, and do not take into account the costs of contractors to operate the GPL and CPAS information systems. ACCA asserts that the costs are understated because they use terminal dues expense as opposed to the actual cost of delivery incurred by the country of destination and do not take into account the value of services provided in the country of destination that are not generally available to the public. The Postal Service disagrees. WorldPak appears not to understand which costs are attributable and which are not. It also appears not to understand that cost evaluations are done at a service or category level, i.e. GPL as a whole, not at a country specific level. In general, attributable costs are those that vary with volume. The costs of program managers, travel, marketing, etc., do not vary with volume and are not attributable. The other costs that are attributable are those that, while not volume variable, are exclusively associated with a particular service. An example of this from the domestic context is Express Mail advertising. Since postal managers, regardless of title, perform duties pertaining to more than one service or category of mail, there are no such costs exclusively associated with GPL service as a whole, much less GPL service to any one country. Insofar as GPL incurs contractor costs to operate the GPL and CPAS information systems, to the extent that these costs are volume variable they are included in the costs of the service. ACCA argues that the charges for delivery in the destination country might not include all the costs incurred by the delivery agent for delivery and that, therefore, the total economic cost for GPL service might not be included in the GPL cost base. ACCA urges that the cost base for GPL rates be revised to include any costs that the delivery agent might have omitted. The association does not cite any data source that might support its assertion, nor is the Postal Service aware of any data that might relate to them. Accordingly, there is no basis for believing that the charges do not cover the costs of delivery in the destination country, and no basis to make any adjustment even if there were some rational economic reason to include any cost other than what the delivery agent in fact charges for its services. Similarly, ACCA urges that the costs of GPL service be adjusted upward to account for the economic value of the customs clearance services provided by the delivery agent, which ACCA asserts might not be correctly priced because such customs clearance services are not available to other international transportation service providers. The Postal Service disagrees. First, insofar as Canada is concerned, the Postal Service uses commercial customs clearance procedures using a customs broker. This is the same customs clearance that private sector delivery companies use. Second, insofar as the United Kingdom is concerned, there is no basis for believing that the cost of customs clearance is not included in the charges established by the United Kingdom postal administration, since such services are provided to all mail of the kind sent by GPL regardless of the rate charged by the Postal Service. Moreover, there are no data which could be used to make such an adjustment even if it were appropriate. ACCA asserts that the contribution to overhead could be as low as one cent, and that such a low contribution would not be appropriate. ACCA provided no data or analysis to support its position. The Postal Service has reviewed the cost and revenue for GPL and has concluded that in view of the competitive nature of the parcel market, GPL does make a reasonable and appropriate contribution to overhead. ACCA asserts that the rates for GPL to Canada and the United Kingdom are unduly discriminatory because they are lower than rates for single-piece EMS to those countries. The Postal Service disagrees. Rates for GPL service reflect differences in the markets for bulk parcels and single-piece parcels. The market for bulk parcels is highly competitive and is characterized by substantial discounting by the various competitors. No such discounting is present in the market for single-piece parcels. The costs of the two kinds of service are also different, with the bulk parcels being less costly to handle. These differences in costs and market conditions lead the Postal Service to conclude that the rates for GPL to Canada and the United Kingdom are not unduly discriminatory. WorldPak asserts that the interim regulations are unlawful because they contain misstatements and lend [[Page 640]] themselves to unreasonable discrimination. As an example, WorldPak asserts that the regulations are inaccurate in that they state that the Postal Service's Customs Pre-Advisory System (CPAS) electronically advises the GPL delivery agent and Canadian Customs of the contents of each package. According to WorldPak, the information is transmitted customs clearance information is transmitted electronically to a customs broker. The Postal Service agrees that this provision is technically inaccurate, in that the data is transmitted to a customs broker who is an agent for the Postal Service's delivery agent and who provides the data to Canadian Customs. The technical inaccuracy does not, in the Postal Service's view, make the interim regulations illegal. The provision will be amended, however, to remove the reference to transmitting data to the delivery agent and Canadian Customs. As a second example, WorldPak asserts that the provisions concerning Air Courier Service are inaccurate in that they state that Air Courier Service packages will be transported to Canada overnight. According to WorldPak, overnight air transportation to Canada depends on a number of variables, and in certain hypothetical cases, might not be transported overnight. The Postal Service disagrees with this assertion. Overnight transportation to Canada is the service commitment for Air Courier Service and the Postal Service sees no problem in meeting this commitment. As a third example, WorldPak asserts that the interim regulations suggest that there are or will be more GPL processing facilities than the one at New York's JFK Airport. According to WorldPak, this could be unduly discriminatory in that additional facilities could be located close to favored customers. WorldPak also asserts that the use in the regulations of the term ``in general'' suggests that subjective criteria would govern where facilities would be located. The Postal Service concludes that these objections have no merit. The phrase ``in general'' allows the possibility for customers who are more than 500 miles from a GPL processing facility to process packages at their facility for pickup by the Postal Service. At the time the interim regulations were published, the Postal Service was constructing an additional GPL facility near the Dallas-Fort Worth International Airport and was planning facilities in Chicago, San Francisco, Seattle, and Miami. Those new facilities were announced in the Federal Register on July 30, 1996, 61 FR 39592-93. Whatever concern might have been engendered by the wording of the provision in question was addressed in that publication. As a fourth example, WorldPak asserts that GPL to Canada and the United Kingdom will not benefit all postal customers by generating revenues which will contribute to fixed costs because the Postal Service does not know enough about the costs of these new services. According to WorldPak, GPL to Canada and GPL to the United Kingdom should be considered as separate services which should individually satisfy the requirements of the Postal Reorganization Act. The Postal Service disagrees. First, the prices for GPL to Canada and the United Kingdom take into account the variable costs and are designed to make a contribution to fixed costs on an individual basis. However, the Postal Reorganization Act does not require that the rates of international postal services be evaluated on a country by country basis. It requires only that each type or category of service cover its variable costs and make a contribution to fixed costs. GPL as a whole certainly meets this requirement. Moreover, differences in the details of how a service is provided to different countries do not change how the requirements of the Act are applied to the service as a whole. Accordingly, the Postal Service adopts the following amendments to the International Mail Manual which is incorporated by reference in the Code of Federal Regulations, See 39 CFR 20.1. All other interim changes in the rule for Global Package Link service which were published in the Federal Register as amendments of this interim rule remain in effect as interim rules. List of Subjects in 39 CFR part 20 International postal service, Foreign relations. PART 20--[AMENDED] 1. The authority citation for 39 CFR part 20 continues to read as follows: Authority: 5 U.S.C. 552(a); 39 U.S.C. 401, 404, 407, 408. 2. Subchapter 620 of the International Mail Manual, Issue 16, is amended as follows: 6 Special Programs * * * * * 620 Global Package Link 621 Description 621.1 General Global Package Link is a bulk mailing system that provides fast, economical international delivery of packages containing merchandise. Global Package Link is designed to make it easier and less costly for mail-order companies to export goods. The Postal Service provides Global Package Link on a destination country-specific basis pursuant to the terms and conditions stipulated in 620 and the Individual Country Listings. * * * * * 621.3 Availability Global Package Link is available only to destination countries identified in 620 and the Individual Country Listings. 622 Qualifying Customers To qualify, a customer must enter into a service agreement containing the commitments stipulated in 625.2 and must be able to meet the general and destination country-specific preparation requirements stipulated in 620 and the Individual Country Listings. 623 General 623.1 Special Services The special services provided for in Chapter 3 are not available for packages sent by Global Package Link unless specifically provided for in 620 or the Individual Country Listings. 623.2 Customs Documentation The requirements for customs forms vary by destination country as stipulated in 620 and the Individual Country Listings. 623.3 Size and Weight Limits Size and weight limits for packages sent by Global Package Link vary by destination country as stipulated in 620 and the Individual Country Listings. 623.41 Rates Rates vary by destination country as stipulated in 620 and the Individual Country Listings. 623.42 Postage Payment Method Postage must be paid by permit imprint or any other Postal Service approved method. 624 Preparation Requirements 624.1 General Requirements * * * * * 624.2 Destination Country-Specific Requirements Certain preparation requirements vary by destination country as stipulated in 620 and the Individual Country Listings. 625 Global Package Link Service Agreements * * * * * [[Page 641]] 625.2 Required Provisions a. The customer's commitment to send at least 25,000 packages (or 10,000 to the United Kingdom) by Global Package Link during the next 12 months to the specified destination country. * * * * * 626 Global Package Link to Japan * * * * * [Change 627 to 626.7 Customs Forms Required] * * * * * [Change 628 to 626.8 Preparation Requirements] * * * * * [Change 628.1 to 626.81 Express Service] * * * * * [Change 628.11 to 626.811 Processing at JFK] * * * * * [Change 628.12 to 626.812 Processing Mailer's Plant] * * * * * [Change 628.2 to 626.82 Standard Air Service] * * * * * [Change 628.3 to 626.83 Economy Air Service] * * * * * 3. Effective immediately, chapter 6 of the International Mail Manual, Issue 16, is amended by adding new section 627 as follows: 6 Special Programs * * * * * 620 Global Package Link * * * * * 627 Global Package Link to Other Destination Countries Information concerning Global Package Link for the following designated countries is detailed in the Individual Country Listings (ICLs) section. a. Canada. b. Great Britain and Northern Ireland. * * * * * 4. Effective immediately, the Individual Country Listing for Canada in the International Mail Manual, Issue 16, is amended by adding the following information, concerning Global Package Link, to the end of the listing. Global Package Link Description Global Package Link to Canada provides the customer with two delivery options and with preparation by the Postal Service of the customs forms and delivery labels required by Canada. Delivery Options Air Courier Service Air Courier Service is the fastest option. The Postal Service will transport Air Courier Service packages from the customer's plant or from the designated Global Package Link processing facility to Canada overnight where they will receive expeditious customs clearance and be released to the delivery agent. From there, the packages will receive courier service throughout Canada and be delivered to major population centers overnight. Normal delivery times will be two to three days from dispatch to final delivery. Ground Courier Service Ground Courier Service will offer overnight transportation to Canada and ground transportation to final destination in Canada. It will receive the same expeditious customs clearance as Air Courier Service and normal delivery times for 95 percent of all Canadian addresses will be three to six days after dispatch from the customer's plant, depending on the location of final destination. (For addresses in the Maritimes and extreme northern territories where distance and poor roads affect transportation, delivery times could be as long as eight days.) Processing and Acceptance Within 500 Miles of a Global Package Link Processing Facility If the plant at which the customer's Global Package Link packages originate is located within 500 miles of a Global Package Link processing facility, the Postal Service will verify and accept the packages at the customer's plant and transport them to the Global Package Link processing facility according to a schedule agreed upon by the Postal Service and the customer. More than 500 Miles from a Global Package Link Processing Facility If the customer's plant from which the Global Package Link packages will originate is located more than 500 miles from a Global Package Link processing facility, the customer can choose one of two processing options. Option One: The customer will be required to present the packages to the Postal Service for verification at the customer's plant and transport them as a drop shipment to a Global Package Link processing facility according to a schedule agreed upon by the Postal Service and the customer. Option Two: The customer will process the packages using Postal Service-provided computer system workstations and sort and prepare the packages as required by the Postal Service. Then, the Postal Service verifies and accepts the packages at the customer's plant and transports them by truck to the nearest air mail facility according to a schedule agreed upon by the Postal Service and the customer. From the air mail facility, the Postal Service dispatches the Global Package Link packages to Canada, bypassing a Global Package Link processing facility. Required Package Specific Information Requirements are the same as those detailed in Section 626.3. Insurance and Indemnity Air Courier Service Packages sent through Air Courier Service are insured against loss, damage, or rifling at no additional cost. Indemnity will be paid by the Postal Service as provided in DMM S500. However, packages are not insured against delay in delivery. Neither indemnity payments nor postage refunds will be made in event of delay. Ground Courier Service Packages sent through Economy Service may be insured at an additional cost. See 320. Postage General The base rates for the two currently available options are set forth below. These rates may be reduced by one or more of the three additive annual discounts depending on how many packages the customer mails to Canada using either of the two Global Package Link delivery options in a twelve month period. Base Rates The Postal Service will charge the base rates, in 1-pound increments, for the first 100,000 packages mailed by the customer during a 12-month period. Rate Reductions ------------------------------------------------------------------------ Number of packages Percent discount ------------------------------------------------------------------------ Up to 100,000............................. Base Rate. 100,001 to 500,000........................ 3% off base rates. 500,001 to 1,000,000...................... 4% off previously discounted rates. 1,000,001 and over........................ 5% off previously discounted rates. ------------------------------------------------------------------------ [[Page 642]] Global Package Link To Canada -------------------------------------------------------------------------------------------------------------------------------------------------------- Base Rates <100k 101k-500k 3.00% Volume Discounts 501k-1m >1m 5.00% ---------------------------------------------------- 4.00% ------------------------- Pounds to: -------------------------- Air Ground Air Ground Air Ground Air Ground -------------------------------------------------------------------------------------------------------------------------------------------------------- 1.............................................. 10.15 8.55 9.85 8.29 9.45 7.96 8.98 7.56 2.............................................. 11.09 9.37 10.76 9.09 10.33 8.72 9.81 8.29 3.............................................. 12.74 10.92 12.36 10.60 11.86 10.17 11.27 9.66 4.............................................. 14.38 11.93 13.95 11.57 13.39 11.10 12.73 10.55 5.............................................. 16.03 12.95 15.55 12.56 14.93 12.06 14.18 11.46 6.............................................. 17.55 13.98 17.03 13.56 16.35 13.02 15.53 12.37 7.............................................. 19.19 14.93 18.61 14.48 17.87 13.90 16.98 13.20 8.............................................. 20.83 15.85 20.20 15.38 19.39 14.76 18.42 14.03 9.............................................. 22.46 16.80 21.79 16.29 20.92 15.64 19.87 14.86 10.............................................. 24.10 17.72 23.37 17.19 22.44 16.51 21.32 15.68 11.............................................. 25.55 18.55 24.78 17.99 23.79 17.27 22.60 16.41 12.............................................. 27.17 19.49 26.36 18.91 25.30 18.15 24.04 17.25 13.............................................. 28.81 20.45 27.95 19.84 26.83 19.05 25.49 18.09 14.............................................. 30.44 21.40 29.52 20.76 28.34 19.93 26.92 18.93 15.............................................. 32.06 22.36 31.10 21.69 29.85 20.82 28.36 19.78 16.............................................. 33.68 23.86 32.67 23.14 31.37 22.21 29.80 21.10 17.............................................. 35.32 24.84 34.26 24.09 32.89 23.13 31.25 21.97 18.............................................. 36.95 25.81 35.84 25.03 34.40 24.03 32.68 22.83 19.............................................. 38.57 26.99 37.41 26.18 35.92 25.14 34.12 23.88 20.............................................. 40.19 27.97 38.99 27.13 37.43 26.05 35.56 24.74 21.............................................. 41.53 28.74 40.29 27.88 38.68 26.76 36.74 25.43 22.............................................. 43.15 29.71 41.85 28.82 40.18 27.67 38.17 26.28 23.............................................. 44.76 30.69 43.42 29.77 41.68 28.58 39.59 27.15 24.............................................. 46.37 31.66 44.98 30.71 43.18 29.48 41.02 28.01 25.............................................. 48.00 32.65 46.56 31.67 44.69 30.40 42.46 28.88 26.............................................. 49.61 33.61 48.12 32.61 46.20 31.30 43.89 29.74 27.............................................. 50.85 34.60 49.32 33.56 47.35 32.22 44.98 30.61 28.............................................. 52.83 35.57 51.25 34.50 49.20 33.12 46.74 31.46 29.............................................. 54.46 36.55 52.83 35.45 50.71 34.03 48.18 32.33 30.............................................. 56.07 37.52 54.39 36.39 52.21 34.94 49.60 33.19 31.............................................. 57.27 38.21 55.55 37.06 53.33 35.58 50.66 33.80 32.............................................. 58.87 39.17 57.10 37.99 54.82 36.47 52.08 34.65 33.............................................. 60.49 40.14 58.67 38.94 56.32 37.38 53.51 35.51 34.............................................. 62.09 41.11 60.22 39.87 57.81 38.28 54.92 36.36 35.............................................. 63.69 42.08 61.78 40.82 59.31 39.19 56.34 37.23 36.............................................. 65.29 43.04 63.33 41.75 60.80 40.08 57.76 38.08 37.............................................. 66.90 44.02 64.90 42.70 62.30 40.99 59.18 38.94 38.............................................. 68.50 45.33 66.45 43.97 63.79 42.21 60.60 40.10 39.............................................. 70.10 46.49 68.00 45.09 65.28 43.29 62.02 41.12 40.............................................. 71.70 47.64 69.55 46.21 66.77 44.36 63.43 42.14 41.............................................. 72.79 48.26 70.60 46.81 67.78 44.94 64.39 42.69 42.............................................. 74.38 49.23 72.15 47.75 69.26 45.84 65.80 43.55 43.............................................. 75.97 50.21 73.69 48.71 70.74 46.76 67.20 44.42 44.............................................. 77.56 51.57 75.23 50.03 72.22 48.02 68.61 45.62 45.............................................. 79.16 52.56 76.78 50.99 73.71 48.95 70.03 46.50 46.............................................. 80.16 53.13 77.75 51.54 74.64 49.48 70.91 47.00 47.............................................. 81.74 54.94 79.28 53.29 76.11 51.16 72.31 48.60 48.............................................. 83.31 56.77 80.81 55.06 77.58 52.86 73.70 50.22 49.............................................. 84.78 58.64 82.24 56.88 78.95 54.60 75.00 51.87 50.............................................. 86.48 60.96 83.89 59.13 80.53 56.76 76.51 53.92 51.............................................. 88.06 62.45 85.42 60.58 82.00 58.15 77.90 55.24 52.............................................. 89.65 63.97 86.96 62.05 83.48 59.57 79.31 56.59 53.............................................. 91.23 65.52 88.49 63.56 84.95 61.01 80.70 57.96 54.............................................. 92.82 67.08 90.04 65.06 86.43 62.46 82.11 59.34 55.............................................. 94.40 68.64 91.57 66.58 87.90 63.92 83.51 60.72 56.............................................. 95.28 69.28 92.42 67.20 88.73 64.51 84.29 61.29 57.............................................. 96.85 70.37 93.94 68.26 90.19 65.53 85.68 62.25 58.............................................. 98.43 71.48 95.48 69.34 91.66 66.56 87.07 63.24 59.............................................. 99.99 72.58 96.99 70.40 93.11 67.58 88.46 64.20 60.............................................. 101.57 74.18 98.53 71.96 94.59 69.08 89.86 65.62 61.............................................. 103.14 75.30 100.05 73.04 96.04 70.12 91.24 66.61 62.............................................. 104.72 76.40 101.58 74.11 97.51 71.14 92.64 67.59 63.............................................. 105.51 77.48 102.35 75.16 98.25 72.15 93.34 68.54 64.............................................. 107.07 78.55 103.85 76.19 99.70 73.15 94.71 69.49 65.............................................. 108.63 79.70 105.37 77.31 101.16 74.22 96.10 70.51 66.............................................. 110.19 80.85 106.88 78.42 102.61 75.29 97.48 71.52 -------------------------------------------------------------------------------------------------------------------------------------------------------- [[Page 643]] Size and Weight Limits All Air Courier and Ground Courier Service packages must meet the following size and weight limits: Size Limits a. Minimum length and width: large enough to accommodate the necessary labels and customs forms on the address side. b. Maximum length: 60 inches. c. Maximum length and girth combined: 108 inches. Weight Limit Maximum weight: 66 pounds. Customs Customs Forms Normally all necessary Canadian customs forms will be automatically generated by the Postal Service computer workstations. Packages mailed to Canada through a Global Package Link facility will not be required to bear customs forms when they are tendered to the Postal Service. The Postal Service will verify, accept, and transport these packages to a designated Global Package Link processing facility. After scanning the customer-printed barcode on each package and correlating it with the package-specific information transmitted by the customer, the Postal Service will print the necessary customs forms and then affix them to the customer's packages as part of the processing operation at the Global Package Link processing facility. However, during the interim period in which the Postal Service and the customer are working together to establish the information systems linkages to enable the Postal Service to accomplish this, the customer may be required to prepare the necessary customs forms on its own and affix the forms to the packages before tendering them to the Postal Service. In those cases where the computer workstations are located at the customer's plant and operated by customer employees, the USPS computer will print the customs forms, and the customer will be required to affix these forms to the appropriate packages as instructed by the Postal Service prior to verification and acceptance of the mail. Customs Clearance The Postal Service has developed the Customs Pre-Advisory System (CPAS) as part of Global Package Link processing. This electronic system collects package-specific data to satisfy customs requirements as packages are processed using the USPS computer workstations located at either a Global Package Link facility or the customer's plant. The system electronically advises the USPS agent of the contents of each package mailed. Since this advisory information arrives before the mail, CPAS facilitates and simplifies customs clearance. Electronic pre-notification of the package contents and automatic preparation of required customs declarations assures the fastest clearance through Canadian Customs and reduces costs for the customer and the Postal Service. Preparation Requirements Air Courier Service Every package sent through Air Courier Service must bear a label identifying it as an Air Courier Service package. The customer is not normally required to affix this label. The Postal Service prints the necessary label and affixes it to the Air Courier Service package. However, during the interim period in which the Postal Service and the customer are establishing the information systems linkages to enable the Postal Service to accomplish this, the customer is required to affix an alternative label as instructed by the Postal Service to every Air Courier Service package. Ground Courier Service There are no Canada-specific preparation requirements for packages sent through Ground Courier Service. Packages weighing 1 pound or less must bear the Small Packet marking (see 264.21). * * * * * 5. Effective immediately, the Individual Country Listing for the Great Britain and Northern Ireland in the International Mail Manual, Issue 16, is amended by adding the following information, concerning Global Package Link, to the end of the listing. Global Package Link Description Global Package Link to the United Kingdom (U.K.) provides the customer with three delivery options and with preparation by the Postal Service of the customs and delivery labels required by the British Post Office. Delivery Options Premium Service The Postal Service will transport Premium packages to the U.K. by air. Once a package is dispatched from the customer's facility, it should clear Customs and be delivered in the U.K. by close of business on the third working day. The customer can track packages through delivery and reports on delivery performance are furnished to the customer in the formats and at the frequencies agreed upon by the Postal Service and the customer. Standard Service The Postal Service will transport Standard packages to the U.K. by air. Once a package is dispatched from the customer's facility, it should clear Customs and be delivered by close of business on the fourth working day. The customer can track packages through delivery and reports on delivery performance are furnished to the customer in the formats and at the frequencies agreed upon by the Postal Service and the customer. Economy Service The Postal Service will transport Economy packages to the U.K. by air. Once a package is dispatched from a customer's facility, it should clear Customs and be delivered by close of business the fifth or sixth working day. Tracking and tracing is available to the point of entry into the U.K. domestic mail stream. Processing and Acceptance Within 500 Miles of a Global Package Link Processing Facility If the plant at which the customer's Global Package Link packages originate is located within 500 miles of a Global Package Link processing facility, the Postal Service will accept the packages at the customer's plant and transport them by truck to the Global Package Link processing facility according to a schedule agreed upon by the Postal Service and the customer. More than 500 Miles from a Global Package Link Processing Facility If the customer's plant from which the Global Package Link packages will originate is located more than 500 miles from a Global Package Link processing facility, the customer can choose one of two processing options. Option One: The customer will be required to present the packages to the Postal Service for verification at the customer's plant and transport them as a drop shipment to a Global Package Link processing facility according to a schedule agreed upon by the Postal Service and the customer. Option Two: The customer will process the packages using Postal Service-provided computer system workstations and sort and prepare the packages as required by the Postal Service. Then, the Postal Service accepts the packages at the customer's plant and transports them by truck to [[Page 644]] the nearest air mail facility according to a schedule agreed upon by the Postal Service and the customer. From the air mail facility, the Postal Service dispatches the Global Package Link packages to the U.K., bypassing a Global Package Link processing facility. Required Package-Specific Information Requirements are the same as those detailed in Section 626.3. Insurance and Indemnity Premium and Standard Services Packages sent through the Premium or Standard Services are insured against loss, damage, or rifling at no additional cost. Indemnity will be paid by the Postal Service as provided in DMM S500. However, Premium and Standard packages are not insured against delay in delivery. Neither indemnity payments nor postage refunds will be made in event of delay. Economy Service Packages sent through Economy Service may be insured at an additional cost. See 320. Postage General The base rates for the three available delivery options are set forth below. These rates may be reduced by an annual discount depending on how many packages the customer mails to the U.K. using any of the three Global Package Link delivery options in a twelve month period. Base Rates The Postal Service will charge the base rates, in 1-pound increments, for the first 100,000 packages mailed by the customer during a 12-month period. Rate Reductions ------------------------------------------------------------------------ Number of packages Percent discount ------------------------------------------------------------------------ Up to 100,000............................. Base Rate. 100,001 and over.......................... 2% ------------------------------------------------------------------------ Global Package Link ---------------------------------------------------------------------------------------------------------------- Base rates For volumes > 100,000 Pounds to: ----------------------------------------------------------------------------- Premium Standard Economy Premium Standard Economy ---------------------------------------------------------------------------------------------------------------- 1................................. 13.87 11.17 9.95 13.59 10.95 9.75 2................................. 15.21 12.46 11.19 14.90 12.21 10.97 3................................. 16.54 13.75 12.43 16.21 13.47 12.18 4................................. 17.88 15.04 13.67 17.52 14.73 13.39 5................................. 19.21 16.32 14.91 18.83 16.00 14.61 6................................. 20.55 17.61 16.15 20.14 17.26 15.82 7................................. 21.88 18.90 17.39 21.44 18.52 17.04 8................................. 23.71 20.18 18.63 23.24 19.78 18.25 9................................. 25.08 21.47 19.87 24.58 21.04 19.47 10................................ 26.63 22.76 21.11 26.09 22.30 20.68 11................................ 28.00 24.05 22.35 27.44 23.57 21.90 12................................ 29.37 25.33 23.59 28.79 24.83 23.11 13................................ 30.96 26.62 24.82 30.34 26.09 24.33 14................................ 32.34 27.91 26.06 31.70 27.35 25.54 15................................ 33.96 29.20 27.30 33.28 28.61 27.76 16................................ 35.35 30.48 28.54 34.64 29.87 27.97 17................................ 36.99 31.77 29.78 36.25 31.13 29.19 18................................ 38.66 33.06 31.02 37.88 32.40 30.40 19................................ 40.61 34.35 32.26 39.80 33.66 63.62 20................................ 42.04 35.63 33.50 41.20 34.92 32.83 21................................ 43.47 36.92 34.74 42.60 36.18 34.05 22................................ 44.90 38.21 35.98 44.00 37.44 35.26 23................................ 46.33 39.49 37.22 45.40 38.70 36.48 24................................ 47.76 40.78 38.46 46.81 39.97 37.69 25................................ 49.19 42.07 39.70 48.21 41.23 38.91 26................................ 50.62 43.36 40.94 49.61 42.49 40.12 27................................ 53.44 44.64 42.18 52.37 43.75 41.34 28................................ 54.91 45.93 43.42 53.81 45.01 42.55 29................................ 56.38 47.22 44.66 55.25 46.27 43.77 30................................ 57.85 48.51 45.90 56.69 47.54 44.98 31................................ 59.31 49.79 47.14 58.13 48.80 46.20 32................................ 60.78 51.08 48.38 59.57 50.06 47.41 33................................ 62.25 52.37 49.62 61.01 51.32 48.63 34................................ 63.72 53.65 50.86 62.45 52.58 49.84 35................................ 65.19 54.94 52.10 63.88 53.84 51.06 36................................ 66.66 56.23 53.34 65.32 55.10 52.27 37................................ 68.13 57.52 54.58 66.76 56.37 53.48 38................................ 69.59 58.80 55.82 68.20 57.63 54.70 39................................ 72.45 60.09 57.06 71.00 58.89 55.91 40................................ 73.94 61.38 58.30 72.46 60.15 57.13 41................................ 75.44 62.67 59.54 73.93 61.41 58.34 42................................ 76.94 63.95 60.77 75.40 62.67 59.56 43................................ 78.44 65.24 62.01 76.87 63.94 60.77 44................................ 79.93 66.53 63.25 78.33 65.20 61.99 45................................ 81.43 67.82 64.49 79.80 66.46 63.20 46................................ 82.93 69.10 65.73 81.27 67.72 64.42 47................................ 84.42 70.39 66.97 82.74 68.98 65.63 48................................ 85.92 71.68 68.21 84.20 70.24 66.85 49................................ 87.42 72.96 69.45 85.67 71.51 68.06 [[Page 645]] 50................................ 88.91 74.25 70.69 87.14 72.77 69.28 51................................ 90.41 75.54 71.93 88.60 74.03 70.49 52................................ 91.91 76.83 73.17 90.07 75.29 71.71 53................................ 93.41 78.11 74.41 91.54 76.55 72.92 54................................ 94.90 79.40 75.65 93.01 77.81 74.14 55................................ 96.40 80.69 76.89 94.47 79.07 75.35 56................................ 97.90 81.98 78.13 95.94 80.34 76.57 57................................ 99.39 83.26 79.37 97.41 81.60 77.78 58................................ 100.89 84.55 80.61 98.87 82.86 79.00 59................................ 102.39 85.84 81.85 100.34 84.12 80.21 60................................ 103.89 87.13 83.09 101.81 85.38 81.43 61................................ 105.38 88.41 84.33 103.28 86.64 82.64 62................................ 106.88 89.70 85.57 104.74 87.91 83.86 63................................ 108.38 90.99 86.81 106.21 89.17 85.07 64................................ 109.87 92.27 88.05 107.68 90.43 86.29 65................................ 111.37 93.56 89.29 109.14 91.69 87.50 66................................ 112.87 94.85 90.53 110.61 92.95 88.72 ---------------------------------------------------------------------------------------------------------------- Size and Weight Limits All packages must meet the following size and weight limits: Size Limits a. Minimum length and width: large enough to accommodate the necessary customs/delivery label on the address side. b. Maximum length: 60 inches. c. Maximum length and girth combined: 108 inches. Weight Limit Maximum weight: 66 pounds. Customs Customs Forms Normally all necessary U.K. customs forms will be automatically generated by the Postal Service computer workstations. Packages mailed to the U.K. through a Global Package Link processing facility will not be required to bear customs forms when they are tendered to the Postal Service. The Postal Service will verify, accept, and transport these packages to a designated Global Package Link processing facility. After scanning the customer-printed barcode on each package and correlating it with the package-specific information transmitted by the customer, the Postal Service will print the necessary customs forms and then affix them to the customer's packages as part of the processing operation at the Global Package Link Processing Facility. However, during the interim period in which the Postal Service and the customer are working together to establish the information systems linkages to enable the Postal Service to accomplish this, the customer may be required to prepare the necessary customs forms on its own and affix the forms to the packages before tendering them to the Postal Service. In those cases where the computer workstations are located at the customer's plant and operated by customer employees, the USPS computer workstations will print the customs forms, and the customer will be required to affix these forms to the appropriate packages as instructed by the Postal Service prior to verification and acceptance of the mail. Customs Clearance The Postal Service has developed the Customs Pre-Advisory System (CPAS) as part of Global Package Link processing. This electronic system collects package-specific data to satisfy customs requirements as packages are processed using the USPS computer workstations located at either a Global Package Link facility or the customer's plant. The system electronically advises the USPS delivery agent and Customs in the U.K. of the contents of each package mailed. Since this advisory information arrives before the mail, CPAS facilitates and simplifies customs clearance. Electronic pre-notification of the package contents and automatic preparation of required customs declarations assures the fastest clearance through U.K. Customs and reduces costs for the customer and the Postal Service. Preparation Requirements Every package sent through Premium, Standard or Economy Service must bear a label identifying it as a Premium, a Standard or an Economy Service package. The customer is not normally required to affix this label. The Postal Service prints the necessary label and affixes it to the package. However, during the interim period in which the Postal Service and the customer are establishing the information systems linkages to enable the Postal Service to accomplish this, the customer is required to affix an alternative label as instructed by the Postal Service to every package. Stanley F. Mires, Chief Counsel, Legislative. [FR Doc. 97-106 Filed 1-3-97; 8:45 am] BILLING CODE 7710-12-P