FedEx Ground Raises Rates

FedEx followed its 3.5% average rate increase for Express with a similar 3.9% increase on Ground and Home Delivery services. The rates, which take effect on January 2, 2006, include changes in other charges for Express and Ground services.

The previously announced Express increase was comprised of a 5.5% average increase in standard list rates offset by a 2% reduction in its fuel surcharge.

In certain ZIP code areas, the delivery area surcharge will increase five cents per package for commercial locations and 10 cents per package for residential locations. This change applies to both Express and Ground.

The residential surcharge for FedEx Express and Ground shipments increases 10 cents per package. The same surcharge for Home Delivery will rise by 25 cents per package.

Signature fees also increase. Direct-signature-required goes up by 25 cents per package and adult-signature-required increases by 50 cents.

Additional handling for both Express and Ground shipments will increase by $1.00 per package.

Collect-on-delivery charges (both conventional COD and electronic collect on delivery) increase by $1.00 per package.

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