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Aug 10, 2017

HOLIDAY SURCHARGES * USA: FedEx vs. UPS

* Tennessee - FedEx to skip holiday surcharges for most orders

--- FedEx Corp. said it won’t charge additional fees for most orders during the holiday season, in contrast with United Parcel Service Inc., undercutting its main rival as they battle for e-commerce customers... The decision by FedEx, announced Thursday, is a gamble that it can cover the extra costs during a period when daily volume can double to more than 26 million packages. It will charge extra fees for deliveries requiring additional handling, which include larger and irregularly shaped packages, as well as oversize packages, which now make up 10% of its ground-shipping volume... UPS has set considerably different pricing for the holiday season. In June it said it would charge extra for most packages delivered to homes around Black Friday and Christmas. While the per-package fee ranges from 27 cents to 97 cents, analysts estimate that UPS could generate tens of millions in revenue from the fees... 
(Photo Getty Images - Workers sort packages at a FedEx global hub last December. Online holiday sales will rise an estimated 17%, a research firm says)    --   Memphis, TN, USA - The WSJ, by Paul Ziobro - Aug. 3, 2017

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