BEFORETHE
POSTAL RATE COMMISSION
WASHINGTON, D.C. 20268-0001
POSTALRATEANDFEE CHANGES,2001
j
I~ECEIVEI)
DEC17
5 0s i?i
Docket No. R2001-1
RESPONSE OF UNITED STATES POSTAL SERVICE
WITNESS SCHENK TO INTERROGATORY OF
ADVO, INC.
(ADVO/USPS-T43-1)
The United States Postal Service hereby provides the responses of witness
Schenk to the following interrogatory of ADVO, Inc: ADVO/USPST43-1,
filed on
December 3,200l.
The interrogatory is stated verbatim and is followed by the response.
Respectfully submitted,
UNITED STATES POSTAL SERVICE
By its attorneys:
Daniel J. Foucheaux, Jr.
Chief Counsel, Ratemaking
Nan K. McKenzie
475 L’Enfant Plaza West, S.W.
Washington, DC. 20260-l 137
(202) 268-3089 Fax -5402
December 17,200l
u
‘01
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
ADVOIUSPS-T43-1.
Please provide the mail processing (cost segment 3.1)
window service (3.2) and in-office (6.1) data in USPS LR-J-58, spreadsheet
LR58aecr-revised.xls, disaggregated by shape and density level. Provide also any
supporting documentation, in electronic format, used to develop the disaggregation.
RESPONSE:
The disaggregated costs for mail processing are presented in Attachment A, window
service in Attachment B, and in-office in Attachment C. Supporting documentation is
provided in USPS-LR-J-198.
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
Attachment A - Provided in Response to ADVONSPS-T43-1
TW.l3 Mail Processing (Cost Segment 3.1) Costs ($MW) - Piggyback and Premium Pay Factors Applied
Standard ECR Mall (Regular and Nonprofit)
~0.502
Basic
-Letters
-Flats
-Parcels
Total Basic
Saturation
-Letters
-Flats
-Parcels
Total Saturation
High Density
-Letters
-Flats
-Parcels
Total High Density
Automation
-Letters
-Flats
-Parcels
Total Automation
0.5-10~
1-1.50~
1.5-20~
2-2.50~
2.5-30~
3-3.502
3.5-40~
402-50~
5oz-602
602-702
7oz-602
49,391
18,125
1,206
68,722
'47,184
41,390
1.933
90.507
10.632
36,072
1,301
48,206
6,914
35,215
1,318
43,447
5,149
30,227
790
36,166
7,312
2,670
824
10,806
6,713
2,725
2
9,439
1,461
5,147
1
6,608
1,257
4,751
0
6,008
2,460
3,355
0
5,815
767
888
1
1,656
215
3,223
0
3,439
1.086
684
738
214
969
1,620
157
1,239
1
822
325
354
1
3
0
0
0
0
0
0
0
0
0
0
0
0
1,770
952
2,589
1,396
823
679
4
674
388
480
192
144
14,728
0
0
14.728
14,206
0
0
14.206
2,869
0
0
2,869
1.952
0
0
1.952
114
0
0
114
651
0
0
651
189
0
0
189
1.116
0
0
1,116
11
0
0
11
16
0
0
16
6
0
0
6
14
0
0
14
Total Standard ECR Mail
-Letters
72,517
-Flats
21,479
-Parcels
2,030
TOM
96,025
68,840
44,330
1,935
115,105
16,131
42,839
1,302
60.272
10,280
41,204
1.318
52.803
7,724
34.404
790
42,917
5,318
29,337
2,162
36,817
2,428
39.713
3,099
45,240
5,625
42.601
5,073
53,300
408
17.451
1,682
19,541
101
12,639
1,339
14,078
36
9,371
1,521
10,928
84
8,978
4,726
13.788
3,574
28,094
2,162
33,830
2,023
36,487
3,099
41,609
3,662
38,354
5.072
47,289
389
16.311
1.682
18,382
70
11.354
884
12,308
26
8,928
1,520
8,475
58
7,856
4.076
11.990
643
3,577
1
4,221
8
752
0
760
13
806
455
1,274
4
2,251
0
2,255
9
980
651
1,640
4
671
1
387
1
480
0
192
2
142
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
Attachment A - Provided in Response to ADVONSPS-T43-1
(Continued)
TYCI3Mail Processing (Cost !hgment 3.1) Costs (StNJO)- Piggyback and Premium Pay Factors Applied
Standard ECR Mail (Regular and Nonprofit)
8oz-9oz9oz-looz
Basic
-Letters
-Flats
-Parcels
Total Basic
Saturation
-Letters
-Flats
-Parcels
Total Saturation
High Density
-Letters
-Fiats
-Parcels
Total High Density
Automation
-Letters
-Fiats
-Parcels
Total Automation
lOoa-110~
lloz-120~
12oz-130~
13oz-140~
14oz-150~
15oz-16oz>16oz
Total
29
2,510
1,561
4.100
IO
2,322
524
2,857
IO
2,451
656
3,117
28
2,575
478
3,080
0
2,115
984
3,099
6
1.105
1,388
2,479
12
2,009
906
2.926
485
3,389
2,849
6,722
3
3
0
7
3
5
0
7
1
285
0
285
4
3
0
7
0
0
0
0
1
1
0
1
2
2
0
4
3
169
149
321
7
21
0
28
20.884
31.613
2,085
54,582
1
512
0
513
1
1
0
2
0
139
0
139
0,
1
0
1
0
0
0
0
0
253
0
253
0
0
0
0
0
1
0
1
1
6
0
6
3,286
7.720
0
11,006
7
0
0
7
2
0
0
2
3
0
0
3
7
0
0
7
0
0
0
0
1
0
0
1
4
0
0
4
13
0
0
13
14
0
0
14
35,925
0
0
35,925
Total Standard ECR Mail
-Letters
40
-Flats
3,025
-Parcels
1,561
Total
4,626
15
2,328
525
2,868
13
2,874
656
3,544
39
2,578
478
3.095
0
2.115
984
3,100
8
1,359
1,368
2,735
18
2,011
906
2,935
501
3,558
2,998
7,057
Attachment B - Provided in Response to ADVONSPS-T43-1
107 130,159
292 325,181
225 34,594
624 488,933
129 190,254
319 364,513
225 36,679
673 591,446
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
Tyg3 Window Service (Cost Segment 3.2) Costs ($ggg) - Piggyback and Premium Pay Factors Applied
Standard ECR Mail (Regular and Nonprofit)
~0.502
-Letters
-Flats
-Parcels
Total Basic
Saturation
-Letters
-Flats
-Parcels
Total Saturation
High Density
-Letters
-Flats
-Parcels
Total High Density
Automation
-Letters
-Flats
-Parcels
Total Automation
0.5-10~
592
1-1.50~
1.5-20~
2-2.50~
2.5-302
3-3.502
3.5-402
402-502
502-60~
602-70~
702-80~
62
0
654
1,473
365
0
1,838
92
189
0
281
53
441
0
494
22
182
0
205
14
209
1
224
4
393
0
397
0
727
0
728
1
304
0
305
0
150
0
150
0
79
0
79
0
40
0
40
404
36
0
440
220
128
0
348
83
621
0
704
77
238
0
315
68
319
0
387
33
190
0
223
10
73
0
83
7
73
0
80
3
359
0
361
0
109
0
109
0
43
0
43
0
20
0
21
52
3
0
55
16
11
0
27
-4
20
0
24
8
30
0
38
10
35
0
45
10
29
0
39
1
14
0
15
0
IO
0
11
0
26
0
27
0
25
0
25
0
17
0
17
0
10
0
10
181
0
0
181
555
0
0
555
44
0
0
44
13
0
0
13
6
0
0
6
12
0
0
12
8
0
0
8
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
Total Standard ECR Mail
-Letters
1,228
-Flats
102
-Parcels
0
Total
1,330
2,264
505
0
2,769
223
830
0
1,053
150
709
0
860
107
536
0
643
68
428
1
498
23
480
0
503
7
811
0
818
4
689
0
693
1
284
0
285
0
138
0
139
0
71
0
71
.
I..
.
.
,-__
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
Attachment 6 - Provided in Response to ADVONSPS-T43-1
(Continued)
NO3 Window Service (Cost Segment 3.2) Costs ($M@) - Piggyback and Premium Pay Factors Applied
Standard ECR Mail (Regular and Nonprofit)
8oz-9oz9oz-10oz10oz-11oz1102-120212oz-13oz1302-14021402-150z15oz-16oz
Basic
-Letters
-Fiats
-Parcels
Total Basic
Saturation
-Letters
-Flats
-Parcels
Total Saturation
High Density
-Letters
-Flats
-Parcels
Total High Density
Automation
-Letters
-Fiats
-Parcels
Total Automation
Total Standard ECR Mail
-Letters
-Flats
-Parcels
Total
Total
>16oz
0
2,250
2
0
3,214
0
0
2
5,466
0
0
0
0
0
0
30
15
8
10
4
3
1
0
0
0
0
0
30
15
8
0
10
4
3
0
1
2
0
0
1
0
1
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
1
0
1
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
7
0
'4
0
2
0
0
904
2,225
0
0
0
7
4
2
0
0
0
6
4
2
0
0
0
6
4
2
0
1
0
1
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
820
0
0
12
0
0
0
0
5
3
2
2
0
0
0
0
22
12
5
3
2
2
0
0
0
0
4.075
5,684
3
43
0
11
0
11
0
0
0
22
0
43
1
3,129
101
246
0
347
0
0
820
9,762
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
Attachment C - Provided in Response to ADVONSPS-T43-1
NO3 City Carriers (Cost Segment 6.1) Costs ($gW) - Piggyback and Premium Pay Factors Applied
Standard ECR Mail (Regular and Nonprofit)
~0.50~
Basic
-Letters
-Fiats
-Parcels
Total Basic
Saturation
-Letters
-Fiats
-Parcels
Total Saturation
High Density
-Letters
-Flats
-Parcels
Total High Density
Automation
-Letters
-Fiats
-Parcels
Total Automation
0.5-10~
1-1.50~
1.5-20~
2-2.50~
45,487
16,635
1,920
64,022
32,147
35,994
312
88,452
10,151
30,656
270
41,076
2,708
28,308
507
31,523
24,147
7,142
4,236
35,526
5,829
2,161
5,921
105
8,187
1.581
5,154
6,473
0
12,301
6,265
1,701
1,698
108
3.505
3,872
0
0
3,872
4.460
0
0
4,460
Total Standard ECR Mail
-Letters
78.017
-Flats
24,833
-Parcels
6,836
Total
109.685
44,137
44,164
417
88.718
12,830
39,879
375
53,084
4,531
1,056
679
0
6,735
2.5-30~
2.803
23,447
0
26,050
3-3.50~
1,559
20,040
107
21,706
814
4,663
277
5,754
757
6,055
258
1.016
239
1.513
147
1,754
129
0
6,811
0
530
2,526
192
3.820
3,249
0
0
0
440
0
0
0
0
0
440
0
173
0
0
173
5,259
3,675
29,126
516
33,317
2,635
27.848
236
30,719
518
3.302
35,988
699
41.948
0
2,029
3.5-40~
40z-50~
5oz-6oz
600
1,786
20,305
112
22,203
617
31,442
121
32,180
18,930
134
297
103
3,803
282
2,134
0
3,905
2.416
3.195
255
3,747
19,665
0
6oz-7oz
506
10,146
102
10,754
0
1,577
111
1,688
7oz-8oz
0
4,852
0
4,852
103
378
87
568
168
4,245
0
4,413
96
741
0
837
0
0
0
0
0
0
1,679
0
1,679
1.611
0
1.611
1,182
0
1,182
1.267
0
1,267
607
0
607
424
0
424
0
0
197
0
0
197
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
2,084
25,178
367
27,629
917
36,856
121
37,893
882
22,247
134
23,263
506
12.990
213
13,709
103
5,837
87
6,027
264
5,410
0
0
0
5,673
RESPONSE OF UNITED STATES POSTAL SERVICE WITNESS SCHENK
TO INTERROGATORY OF ADVO, INC.
Attachment C - Provided in Response to ADVONSPS-143-l
(Continued)
TYO3 City Carriers (Cost Segment 6.1) Costs ($000) - Piggyback and Premium Pay Factors Applied
Standard ECR Mail (Regular and Nonprofit)
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Basic
-Letters
-Flats
-Parcels
Total Basic
Saturation
-Letters
-Flats
-Parcels
Total Saturation
High Density
-Letters
-Flats
-Parcels
Total High Density
Automation
-Letters
-Flats
-Parcels
Total Automation
21602
Total
0
1,771
0
1,771
0
1,651
128
1,779
0
1,272
0
1,272
0
663
190
a73
0
735
0
735
0
515
0
515
0
141
0
141
0
0
96,312
628
0
252,596
195
1,023
0
0
4,097
355,905
0
0
0
0
0
441
0
441
0
0
0
0
0
220
0
220
0
0
0
0
0
91
0
91
0
0
0
0
0
0
0
0
,O
0
0
0
36,170
47,988
5,070
89,228
0
356
0
356
0
0
0
0
0
151
0
151
aa
0
0
aa
0
0
0
0
0
200
0
299
0
0
0
0
0
0
0
0
0
0
0
0
7,773
18,829
1,345
27,946
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
9,141
0
0
9.141
Total Standard ECR Mail
-Letters
0
-Fiats
2,126
-Parcels
0
Total
2,126
0
2,092
128
2,220
0
1,422
0
1,422
aa
904
190
1,182
0
735
0
735
0
a07
0
a07
0
141
0
141
0
a28
195
1,023
0
0
0
0
151,396
319.412
10,512
481.329
DECLARATION
I, Leslie M. Schenk, declare under penalty of perjury that the foregoing
answers are true and correct, to the best of my knowledge, information, and
belief.
&*
Leslie M. Scher&
Dated:
i2- 17
G/
CERTIFICATE OF SERVICE
I hereby certify that I have this day served the foregoing document upon all
participants of record in this proceeding in accordance with section 12 of the Rules of
Practice.
@A QvdQ+.A’<
Nan K. McKenzie
475 L’Enfant Plaza West, S.W.
Washington, D.C. 20260-l 137
December 17,200l