USPS Delay Means Smaller Price Increases for Mailers

The maximum 2011 price increase on most types of mail dropped a bit this morning because the U.S. Postal Service did not submit price increases before the Consumer Price Index for November was released. The price cap on such market-dominant classes as First-Class, Standard and Periodicals dropped to 1.741%, down from 1.799% if USPS had announced price increases before today. The cap is likely to drop below 1.65% if the Postal Service waits for the December CPI to be released on Jan. 14 before submitting 2011 price increases.

The Postal Service didn’t know how inflation-based price caps