USPS Seeks More Inclusive Co-Palletization Test

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The U.S. Postal Service filed a request with the Postal Rate Commission yesterday that it hopes will open its co-palletization test to more mailers.


The co-palletization program, begun last April, gives mailers of small-circulation periodicals the same work-sharing discounts enjoyed by large mailers when they combine bundles/packages of different periodicals on the same pallet and drop-ship them to an area distribution center or sectional center facility.


The USPS said the filing meets the needs of mailers who were ineligible for the co-palletization test by including incentives for heavier publications with a national scope and with high editorial content -- specifically, publications weighing more than nine ounces with less than 15 percent advertising content.


"We have seen the elimination of thousands of mail sacks," said Stephen M. Kearney, USPS vice president, pricing and classification. "We know there are more opportunities to reduce costs, and we plan to seek other ways to encourage our customers to take advantage of initiatives like this so that we can transform the postal service.


"The pieces that would have been entered in sacks have moved to more efficiently handled pallets. Palletization is possible when several small publications are prepared and entered as one mailing."


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