[Federal Register Volume 62, Number 3 (Monday, January 6, 1997)]
[Rules and Regulations]
[Pages 638-645]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-106]


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POSTAL SERVICE
39 CFR Part 20


Global Package Link (Formerly International Package Consignment 
Service)

AGENCY: Postal Service.

ACTION: Final rule.

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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