IIECEIVEU
t-E8 28 4 43 k’ti ‘00
USPS-LR-I-203
Periodicals Pricing Spreadsheets Provided in
Response to POIR No. 2 (Taufique, USPS-T-38)
CONTENTS
Regular (14 pages); electronic file RR2.Zip
Nonprofit (15 pages); electronic file NP2.Zip
Classroom (14 pages); electronic file CR2.Zip
GFY 98 BILLING DETERMINANTS
REGULAR RATE PERIODICALS
USPS T-38
Spreadsheet
RR-A
Page 1
For POIR 2
1
us, J T-38
Spreadsheet RR-B
Page 2
For POIR 2
FY99 PQ3 DATA ANALYZED
TO ESTIMATE
BASE YEAR WITH R97-1 STRUCTURE
B
A
lRegular
I
1 Nonautomation
2 Automation
2.100,358.868
pieces
Letter Pieces
I
3 Automation Flat Pieces
D
c
Rate FY98 1
1
E
ISd. of Ag.
1
I
1
1
93,285.614
1
I
2.173.777.216
1
1
I
I
7.788.869
25.108 1
5.882.966
1
Sum Basic Nonautomation
8 3/6 Nnnautomatinn
niarer
IFFY PRI
Sum Basic Automation
& 315 Automation
Letters (GFY 98)
Sum Basic Automation
8 3/5 Automation
Flats (GFY 98)
A
5 Piece Data for PQ3 FY99
I
I
6
7
Ci’=B7/Bl? & E7=D7iD17
C%=B8/818 8 EB=E8lEl8
C9=B9/819 & E9=D9lDl9
ClO=B1O/B17 8 EiO=DlO/D17
C1l=Bll/Bl8&El1=Dll/Dl8
Cl2=Bl2/B19
& El2=Dl2/Dl9
C13=B13/B17 & E13=D13/D17
Cl4=Bl4/Bl8
& El4=Dl4/Dl8
Cl5=B15/B19 & E15=Dl5/D19
a
9
10
11
12
13
IA
15
16
17 Nonautomation pieces
1% Automation Letter Pieces
19 Automation
Flat Pieces
Note: Since R97-f rates ware implemented
I
317544,069
1,273wJ
19,715,273
18.599
657,491.094
1.242.381
on January 70, 1999, FY99Q3 Billing Determinants
B17=87+810+813&D17=D7+D10+D13
818=88+811+814&D18=D8+D11+D14
B19=B9+B12+815&D19=D9+D12+D15
are used to estimate the Base Year with R97-1 structure
GFY 98 BILLING DETERMINANTS - R97-1 RATES, BASE YEAR
REGULAR RATE PERIODICALS
USPS T-38
Spreadsheet RR-C
Page 3
For POIR 2
USPS T-38
Spreadsheet RR-D
Page 4
For POIR 2
VOLUME
Source: USPS-T-6,
FORECAST
Table 1
REGULAR RATE PERIODICALS
GFY 2001 BILLING DETERMINANTS
I
- R97-1 RATES
53.x34.38,
s
0.438
USPS T-38
RR-E
Page 5
For POIR 2
3nr-rbdsheet
USPS T-38
Spreadsb
@R-F
faga 6
For POIR 2
RATE
I
41TY BEFORE
I
7ITYAR TO BASE YEAR SCALLING
3lBASE
DESIGN
I
YEAR VOLUME
.-JUTS
‘~1
7.195..
RATES VOLUME
7.545.945.uv4
,__
,“_
”,”
FACTOR
I
-
6 TYBR COST, WITHOUT CONTINGENCY
5
9 TYAR COST, WITHOUT CONTINGENCY
5
10 CONTINGENCY
FACTOR
I
,“Si-
-.
_,
1 .0217704705 ~TYAR Volume/Base Year Volume (LineG/LineJ)
no. 71.7
nnn ,U.zlr~-l-l*.
II lCr.0 I . . wPH,
Table E
1.501.1
IL.““”
“1
1 ,___,___,_“_
Q?? TSR ““” ,__.
II ISPS.T.,d
_
., w..PJ. Table E
‘----.‘I
ICDE-T-0
W.S”%~
11 lYE!R COST, (Including Contingency)
2.031.254.600
TYBR Cost * Contingency
12 TYAR COST, (Including Contingency)
1.961.567.400
1.0145
TYAR Cost * Contingency Factor (LineS’LinelO)
U,CD”.T.27 E”hihi, I ,?a9.27n
n ,
13 DESIRED COST COVERAGE
14.676.000
15 429 “no
14 PlBR FEES
15 TYAR FEES
“.
-~
.~“-,
LY.,
“..
_-.
Factor (Line6’LinelO)
-~“-I.
~
USPS-T-32, Exhibit USPS-32A
, lSPS.T.32~
--, Exhibit USPS-326.
p. 2
p. 2
GO.OO%IINPUT
99.935% Spreadsheet
309,912,OOO USPS-T-14,
317.659.600
USPS-T-36,
RR-A
WPH. Table D
Transportation
Cost * Contingency
Factor (Linel6’LinelO)
0.7491 LR-160. p. 9-10
21 Dist. Related Trans. Costs
22 Editorial Percentage
Piece Percentage
23 Editorial Percentage
Piece Discount
237.956.956
Distance Related proportion *Transportation
58.97% Spreadsheet
0.059
Spreadsheet
USPS-T-36,
RR-A
USPS-T-36,
RR-A
Cost
I
USPS T-38
Spreadsheet
RR-H
Page 8 of 14
For POIR 2
c
USPS T-38
Spreadsheet
RR-H
Page 9 of 14
For POIR 2
CALCULATION
e
2 Required
3 Piece Rate Required
Revenue
5 Revenue
@ 60%
Derived
needed from Pound Fates
\
Ub 6 T-38
Spreadsheet RR-I
Page 10
For POIR 2
DISCOUNTS
C
Revenue
4 Actual Piece Revenue
OF rh
D
5
2,046,619.209
5
1,227,971.526
5
1,231,195.093
5
815.424.116
Spreadsheet
C2'60
E
F
G
RR-F,((Linel1'Linel3)/Linel7)-Linel5
Percent
6
7 Presort
Volumes
ELCalculation
of Discounts
8 Basic
9 3-Digit
10 6.Digit
11 Carrier
Route
12
Volumes
PCt.
Rate
ReVelWe
883.614.462
11.71%
0.335
$
296.010,845
1.514.984.742
20.08%
0.29
5
439,345,575
2.196.262.322
29.11%
0.226
$
496.355.285
2.951.083.569
39.11%
0.140
5
413,151,700
7.545.945.094
100.00%
13
14
15 DISCOUNTS
GARCODED
LElTER
17
BARCODED
FLAT
16 DISCOUNTS
SlZE
GARCODED
LETTER SlZE
20
GARCODED
FLAT
6.13%
0.72%
5
(0.071)
5
(3,846,363)
86.488.307
9.79%
1.15%
5
(0.051)
$
(4.410.904)
42.169.266
2.78%
0.56%
5
(0.055)
$
(2,320,410)
694.034.242
45.81%
9.20%
5
(0.044) 5
(30.537.507)
FROM 5-DIGIT
22
BARCODED
LETTER SlZE
23
GARCODED
FLAT
24 DISCOUNTS
% of Tot.
54.174.127
FROM )-DIGIT
19
21 DISCOUNTS
% Of Presort
FROM BASIC
16
FROM CARRIER
1.496.416
0.07%
1.505.400.541
68.54%
0.02% 5
5
19.95%
(0.044) 5
(0.033)
5
(65&Q)
(49.678218)
ROUTE
25
HIGH DENSITY
21,268.573
0.72%
0.28%
5
(0.026)
5
(552,983)
26
SATURATtON
18.657.758
0.63%
0.25%
5
(0.043)
5
(802,284)
(289,228,498)
27
28 OTHER PIECE DISCOUNTS
29
PER-PC EDlTORtAL
30
31
DELIVERY
32
SCF ENTRY
DISCOUNT
OFFtCE ENTRY
4,449,669.202
58.97%
5
(0.065)
5
45,891.045
0.61%
5
(0.021)
5
(963,712)
2,605,132.568
34.52%
5
(0.012)
5
(31.261,591)
5 1.231.195,093
CALCULATION
R
3IPiece
I
c
Rates
I Spreadsheet
5 BAS’P hlnhlnl1Tnl”bTlnhl
Ic
1
I
‘m--h71ark
unit cast
LE”ER
J
0.166
36%
ASIC AUTOMATION
FLAT
5
0.029
175%
INAUTOMATION
5
0.044
102%
dATION LETTER
-. -.RATION FLAT
5
0.176
0.023
31%
5$5
0.096
0.192
114%
193%
23%
,215.DIGIT
1115
DIGITAUTOMATION
NONAUTOMATIONLE”ER
iTION LETTER
0.055 (Passthroughs
Times Unit Cost Savings
iTION FLAT
0.044 ]Passthroughs
0.109 IPar isrnrougns
”
Times Unit Cost Savings
^
^
-’I me* U~II I~OSI sawngs
I
0.044 IPassthroughs
Times Unit Cost Savings
I
_-.-
.._. -
- -‘-IT
NONAUTOMATION
5
5
0.033
0.195
Passthror lghs Times Unit Cost Savings
J
0.026
Par isthroughs
SATURATION
5
0.043
Passthrot
‘“‘“c”*“‘YG
5
0.021
0.012
Passthror
Ppathrnl
____..._ dghs Times Unit Cost Savings
0.065
From WP RR-H
JARRIER
FLAT
ROUTE
DISCNTDELIVERY
OFFICE ENTRY
UC-4“ISCNT SCF ENTRY
$
iscount
35 Presort
S
Discounts:
-.
niw3unt
_,_._, _-- 1Fin.l
,,.-. -.--
I5
4.410.904
39 3 DIGIT NONAUTOMATION
I5
68,174.313
40 3 DIGIT AUTOMATION
LETTER
I5
2,320.410
41 3 DIGIT AUTOMATION
FLAT
I5
30,537.507
I5
239,392.593
42 5 DIGIT NONAUTOMATION
43
5
.-,--DIGIT
AUTOMATION LETTER
45 CAR :RIER ROUTE
I5
1%
,_
I5
46 HIGH DENSITY
IS
44 5 DIGIT AUTOMPTlnN-.
..^...
-
..^
-
Times Unit Cost Savings
5
-, . --
36 BASIC AUTOI WATION FLAT
.
Passthmr lghs Times Unit Cost Savings
I
Base Yr. Rev. Leakage
BASIC NONAUTOMATION
-. - .-. - .- -. .
_^I
Passthrough
I
RR-G
ASIC AUTOMATION
HIGH DENSITY
.
unit cost savings
I
41
DIGIT AUTOMATION
I
USPS T-38
Spreadsheet RR-J
Page 11
For POIR 2
”
OF PIECE DISCOUNTS
.^^..
. FII AT
--
-....--.,^--.^--..--..
411 WKJtiAKlNCi
LAStiN
I l.ELIVkhi~
“rrltik
49 WKSHARING
DISCNT SCF ENTRY
LN
I W”
I-
50 Editorial Percent PieceDiscount
51 Total Discount Leakage
521Revenue Required from Pieces + Discount Leakages
531TYBR Pieces
541Revenue Requirement
+ Leakage Per Piece (Base Rate)
times Volume
IFinal Discount times Volume
IFinal Discount times Volume
65.642
Final Discount times Volume
AQ
.-,-.67R-,-,716
Final Discount times Volume
575,461.296 1Final Discount times Volume
552,963 IFinal Discount times Volume
^^^_
_^
I
I
I
I_.
.-
u=~. 111 ranal 0iscount
1
I
times Volume
31.261,591
Final Discount times Volume
269.226.496
Final Di?.munt times Volume
1,296.696.513
I5
Z524.61 36,039
I
7.545,945,094 ICell Cl2 from RR-I
0.335 ICell C52ICell C53
I$
Line 51 plus Cell C3 from RR-I
I
TYAR BILLING DETERMINANTS -AFTER RATES 8 VOLUME
REGULAR RATE PERIODICALS
1 PO”#?dS1 POIR2I
USPS T-38
Spreadsheet RR-L
Page 13
For POIR 2
USPS T-38
Spreadsheet RR-M
Page 14
POIR 2
REGULAR
I
RATE - POIR 2 Vs. CURRENT
POIR 2
RATES
CUrrent
Percent
USPS T-38
Spreadsheet NP-A
Page 1
For POIR 2
GFY 98 BILLING DETERMINANTS
NONPROFIT PERIODICALS
,&ii%
klivery
SCF
Rate Pounds
Unit
Pounds
Rat*
Portage
!
69.913
31.673.238
$
$
Zones 182
zone 3
zone 4
17.944.095
11.669.51!3
21,007,928
$
$
5
_ .-0.251
_
$
-, _ _, _ _
5,272,990
zone 5
23,818.848
s
0.292
$
6,896.704
zone 6
8.875.280
5
0.336
$
2.982.094
,zone 7
6.296.537
s
0.388
$
Z443.056
I
\
U5m j T-38
Spreadsheet NP-B
Page 2
For POIR 2
FY99 PQ3 DATA ANALYZED
TO ESTIMATE
I
I
1 Nonautomation
3 Automation
A
pieces
Flat Pieces
6
7 BASIC NON-AUTOMATION
8 BASIC AUTOMATION LETrER
9 BASIC AUTOMATION
FLAT
10 3.DIGIT NON-AUTOMATION
11 3-DIGIT AUTOMATION
LE”ER
12 3-DIGIT AUTOMATION FLAT
13 5-DIGIT NON-AUTOMATION
14 5-DIGIT AUTOMATION LETTER
15 SDIGIT AUTOMATION
16
17 Nonautomation pieces
18 Automation Letter Pieces
19 Automation Flat Pieces
FLAT
BASE YEAR WITH R97-1 STRUCTURE
I
4X.717,066
“^ ^” ^ ^ ^ ^
I
522.603.715
2.448.093
23.509.856
4.624.995
26.51
-mn
132,463,327
8 315 Automation
Flats (GFY 96)
“” =*
I
’
“.._. “I
” ” ““^
--..-..--.
-..-..
8 I=7=n7/n17
C8=88/B18 & E8=E8/E18
C9=B9/Bl9 & E9=D9/D19
ClO=BlO/Bl7&
ElO=DlO/Dl7
Cll=B1l/B18&El1=Dll/Dl8
Cl2=B12/Bl9
& El2=Dl2/Dl9
Cl3=Bl3/Bl7
8 El3=Dl3/Dl7
Cl4=Bl4/Bl8
8 El4=D14/Dl8
Cl5=BlYBl9
8, El5=Dl5/Dl9
dR~dA%C7=07/R17
3.70~
35.114.183
13,165.721
Sum Basic Automation
I
30.37
75,532,959
11,602
3694, I
56.45
8 ._,“._
92,347 ---
Letters (GFY 96)
I
7,695.710
pieces (GFY 96)
8 315 Automation
31.13%1
22.938.403
8 3/5 Nonautomation
Sum Basic Automation
35.13:
5,001.944
29.0”’
Sum Basic Nonautomation
0
^_
84.992
0
336.251
Note: Since R97-1 rates were implemented on January IO, 1999, FY9903 Billing Determinants
B17=B7+B10+813&D17=D7+D10+D13
B18=88+811+814&D18=D8+D11+D14
819=89+812+815&D19=D9+D12+D15
are used to estimate the Base Year with R97-1 structure
USPS T-38
Spreadsheet NP-D
Page 4
For POIR 2
VOLUME
FORECAST
Note: USPS-T-6. Table 1
NONPROFIT
PERIODICALS
‘S T-38
USF
spreaasneet NP-E
Page 5
For POIR 2
Portage
RlWPO”“d*
12,746
GFY 2001 BILLING DETERMINANTS - R97-1 RATES
NONPROFIT PERIODICALS
I
1
----“da
aate
1
Y.IJJ *
3.178 $
WJ, D
3.2165
3.2295
3.2635
3.3165
3.371$
3.4385
5
0.495
6.166.416
3.528.544
2.444.126
5.053.29s
6.626.236
3.011,560
2.522.385
2.950.105
IP
CARRIER ROUTE SATURATIO,.
PERCENTAGE EDITORIAL DISCOUNT
WKSHARING 0lSCNTOEU”ERY
OFFICE ENTRY
WKSH&q,NP- ruCPL,T EPC CLlTD”
I
Commlnpled - PImx 1s
SASIC IdON-A” rOMATlON
BASIC I WTOMP ,TTIONLETER
DACI,. I
iTION FLAT
JTOMATION
S-DIGIT AUTOM ATION LETTER
ATION FLAT
JTOMATlON
AUTOt.lATlON LETTER
AUTOMATION FLAT
iR ROUTE BASIC
-E HlGH DENSKY
T SATURATION
1.666,974.486
2,396.251
1’” 597.703
5
$
5
Pie.2a*
972.391
0
119
480.360
0
2.170
766.296
0
8.323
666.966
1,333
0
5
5
5
5
5
5
5
5
5
5
5
5
w44)
5
(0.007, 5
Wc4)
5
Rata
cl.294
0.232
cm48
0.253
0.206
0.214
0.197
0.162
(66.462.677)
(16,767)
(1.667.691,
Postage
5
5
286,883
9*
*n
5
5
”
5
0.103 ) $
0.085 1
ENTRY
costcoverage
I
I
I
66.27%
USPS T-38
Spreadsh
YP-F
age6
For POIR 2
I
I
~UWS-I -0,
5 TY BEFORE RATES TO BASE YEAR SCALING FACTOR
1.954,452,907
0.9146090196
6 TY AFTER RATES VOLUME
2.052,207,956
USPS-T-6 Table 1
0.9603646352
TYAR Volume/Base
7 TYAR TO BASE YEAR SCALLING
I
I
41TY BEFORE RATES VOLUME
6 TYBR COST, WITHOUT
QhYAR COST WlTHOllT
IOICONTINGENCY
FACTOR
FACTOR
5
CONTINGENCY
CONTINGENCY
I
If, 7”O M”
.--._-
.““...
TYBR Volume/Base
,”
Year Volume (Line4lLine3)
Year Volume (Line6lLine3)
s
ii
37
3s
39
40
41
42
C
0
E
F
0
H
I
.I
USPS T-36
USPS T-38
Spreadsheet
NP-H
Pageeof15
For POIR 2
USPS T-38
Spreadsheet
NP-H
Page9of15
For POIR 2
_-
CALCULATION
B
2 Required
3 Piece Rate Required
4 Commingled
5 Required
Revenue
7 Revenue
@ 70%
Piece Revenue
Revenue
minus
6 Actual Piece Revenue
Commingled
Derived
D
C
Revenue
Revenue
Incl. Comm. Rev.
needed from Pound Rates
UL. .zb T-38
Spreadsheet NP-I
Page 10
For POIR 2
OF I- IL CE DISCOUNTS
5
5
388.968.433
Wokpaper
258.277.903
C2'70Percent
J
648.011
5
16
257.464,250
$
111.504,183
E
G
F
NP-F,((Linell'Linel3)/Linel7)-Linel5
257.629.892
G34+C4
8
9 Presort
Volumes
8 Calculation
of Discounts
Volumes
PCt.
Rate
ReVelWe
10 Basic
159.116.993
8.15%
0.277
5
11 3-Digit
276.298,518
14.16%
0.247
$
68.245.734
12 5-Digit
489.811,930
25.09%
0.215
$
105.266.565
1,026,587,489
52.60%
0.134
$
137,562,724
1,951.814,929
100.00%
13 Carrier
Route
14
44.075.407
15
18
17 DISCOUNTS
18
19
% of Presort
FROM BASIC
BARCODED
LElTER
BARCODED
FLAT
20 DISCOUNTS
SlZE
% of Tot.
17.308.196
10.88%
0.89%
$
(0.053)
5
(917,334)
18,055.824
11.35%
0.93%
5
(0.033)
$
(595.842)
5
5
(0.057)
5
(1,641,588)
(0.028)
$
(3,549,107)
FROM 3-DIGIT
21
BARCODED
LETTER SlZE
22
BARCODED
FLAT
23 DISCOUNTS
28,799.784
10.42%
1.48%
128,753.819
45.88%
6.49%
FROM 5-DIGIT
24
BARCODED
LElTER
25
BARCODED
FLAT
26 DtSCOUNTS
SlZE
FROM CARRIER
27
HIGH DENSITY
28
SATURATlON
3,162.317
0.85%
0.16%
5
(0.043)
5
(135,980)
333.351.350
68.08%
17.08%
S
(0.022)
$
(7.333.730)
47,982.443
4.67%
2.46%
$
(0.032)
$
(1.535.438)
6.830.875
0.67%
0.35%
5
(0.047)
5
(321,051)
ROUTE
29
30 OTHER PIECE DISCOUNTS
31
PER-PC EDITORIAL
32
33
DELIVERY
DISCOUNT
OFFICE ENTRY
SCF ENTRY
1.555,974.488
79.73%
$
(0.051)
a
2,395.251
0.12%
$
(0.013)
a
(31,138)
416,897.703
21.36%
$
(0.007)
a
(2.918.284)
34
..-.-
~.~.. ..~.“.
$
^__.
-. ^._ . ..-..........._.
..-.
. _,.--
(79.354699)
256.816.238
CALCULATION
USPS T-38
Spreadsheet NP-J
Page 11
For POIR 2
OF PIECE DISCOUNTS
A
3lPiece
I
Rates
I
Unit Cost Savings
Passthrough[
18:
17 WKSHARING
,8 y”,cu*D#Lr.
,I R~rlPvxll””
DISCNTDELIVERY
OFFICE ENTRY
r.,cm.rr
0-c CLI-rO”
YIcn,I”
I cn,r
CI” I r.1
19 I ‘iece Rates
20 BASIC NONAUTOM, A-rlrlhl
.
0.0159 1
n“.““JI,-,,?,?AI,
Unit Cost Savings
80%
Notes
!
“I
LETTER
I
0.053
Passthroughs
Times Unit Cost Savings
22 BASIC AUTOM, 4TION FLAT
0.033
P;x&hroughs
Times Unit Cost Savings
23 3 DIGIT NONAUTOMATION
0.030
Passthroughs
Times Unit (
24 3 DIGIT AUTOMATIt )N LETTER
0.057
0.028
P;xsthroughs
Passthroughs
Times Unit Cost Savings
26 5 DIGIT NONAUTOM ATION
0.062
P;assthroughs
Times Unit Cost Savings
27 5-DIGIT AUTC )MATION LETTER
0.043
Pas&h,
28 ! i DIGIT AUTOMATION
0.02
26 3 DIGIT AUTOMATION
:ARRIER
I
,*
!
I
...“..
21 B,ASIC AUTOMATION
I5
I*
30lHIGH
FLAT
FLAT
ROUTE
DENSITY
Ti
Passthroughs
Times Unit Cost Savings
I5
0.143 IP; lssthroughs
Times Unit Cost Savings
I$
0.032
Passthroughs
Times Unit Cost Savings
31 SATURATION
I5
0.047
Passthroughs
Times Unit Cost Savings
32 WKSHARING DISCNTDELIVERY
OFFICE ENTRY
33 WKSHARIN” 8” YIU.,,”
nJE,-*rr I .,.,r
ccc LI”
CLrrD”
I n I
IS
I.
I
0.013
n nn7
V.““,
Passthroughs
,r,nsssthroughs
Times Unit Cost Savings
Times Unit Cost Savings
34E iditorial
1;
Percentage
Piece Discount
35 Pre! rort Discounts:
!
0.051 JSpreadsheet
Base Yr. Rev. Leakage1
I
NP-G
I
36 BASIC NONAUTOM.
37 BASIC AUTOMATION
LETTER
5
917,334
38 BASIC AUTOMATION
FLAT
5
595,842 IFinal Discount ti
39 3 DIGIT NONAUTOMATION
$
40 3 DIGIT AUTOMATION
$
DIGIT AUTOMATION
LETTER
FLAT
1%-D,
GlT AUTOM, 4TlON LETTER
4415 DIGIT AUTOMATION
:ARRIER
8,288,95
1,641,58
3349,107
DIGIT NONAUTOMATION
FLAT
ROUTE
iNSlTY
1-1 niscwnt
times Volume
135,98
tanal uiswunt
times Volume
7.333.730
lal Discount times Volume
146,802.011
IFinal Discount ti mes Volume
321,051
/KSHARlNG
bal Discount times Volume
30,355,940
I
1.535.43 8 (Final Discount times Volume
~TI~N
48 WKRHARING
Final Discount times Volume
DlSCNT”ELI”ERY
OFFICE ENTRY
DISCNT SCF ENTRY
50 Editoriz II Percent PieceDiscount
79.354699
51 Total Discount Leakage
5
283.781.097
52 Revenue Required from Pieces + Discount Leakages
61 TYnQ Diarae
J
541.410.989
1 45, ,?,A 0%
54 Revenue Requirement
$
0.277
+ Leakage Per Piece {Base Rate}
Final Discount times Volume
31~138 1Final Discount times Volume
2.918.284 IFinal Discount ti rnCC ““Illme
IFinal Discount times Volume
Line 51 plus C5 from NP-I
,?=I, Cl4 fro,,, NP-,
Cell C5ZCell
C53
I
TYAR BILLING DETERMINANTS
NONPROFIT
-AFTER
PERIODICALS
RATES & VOLUME
USPS T-38
Spreadsheet NP-M
Page 14
For POIR 2
NONPROFIT
Regular
- POIR 2 VS. CURRENT
Rate Pounds
RATES
POIR 2
current
Percent
Rate
Rate
Change
I
I
I
zone 7
$
0.460
a
0.436
9.59%
.zone 6
$
0.544
$
0.495
9.90%
Nonadvertising
5
0.162
%
0.156
16.67%
Regular
Rate Pieces
I
BASIC NON-AUTOMATION
I
I5
CARRIER
ROUTE BASIC
J
CARRIER
ROUTE HIGH DENSITY
$
I
0.277 1 5
0.251 1
10.36%
0.134
0.102
5
0.113
16.56%
$
0.094
0.076
(0.044,
6.51%
14.47%
CARRIER ROUTE SATURATION
PERCENTAGE EDITORIAL DISCOUNT
s
$
0.067
$
(0.051)
J
WKSHARINGDISCNTDELIVERYOFFICE ENTRY
$
(0.013) .$
(0.013)
0.00%
WKSHARING
5
(0.007)
(0.007)
0.00%
DISCNT SCF ENTRY
5
15.91%
USPS-T-38
Spreadsheet NP-N
Page 15
For POIR 2
CALCULATION OF COMMINGLED REVENUE USING REGULAR
TO BE SUBTRACTED FROM REVENUE REQUIREMENTS
ICommingled
Pounds
RATE
Pounds
POIR 2
Postage
GFYZOOI
RR Rates
RateYol.
Delivery Unit
SCF
pnes l&Z
5
0.169
$
1
5,006
0.199
5
997
44,495
0.233
$
10,367
59,673
0.246
$
14,799
zone4
111,630
0.267
$
32,095
zone5
327,561
0.345
5
113,015
Zone6
zone 7
75,354
146~205
0.406 J
"~4R s
30,594
70 222
Zone3
Zone 6
Nonadvertising
Total Pound Revenue
Commingled
Pieces
BASIC NO IN-AUTOMATION
BASIC AU TOMATION
J
1,461
0.175
5
60,172
a
353,743
325,751
0.335
$
0
0.264
a
119
0.264
a
0.29
$
460.360
3..DIGIT NON-AUTOMATION
.m
“‘JTOMATION
0.544
972,391
LETTER
BASIC AU TOMATION~ FLAT
3-u",!
n’r’-
2,722
456,127
1~
LETTER
01
2,170 1
3.-'^'I’
FLAT
.YIU, I mJTOMATION
ON-AUTOMATION
5-DIGIT NI
34
139.305
0.2351 $
-
0.2461 $
534
0.2261 $
177,703
1
766,296 1
I
01
SDIGITAUTOMATION
FLAT
cnnnKQ - ROIITF
-_.--..-.- RASIlT
CARRIER ROUTE HIGH DENSITY
C&-r, lDATlALl
ARRIER DA,
,\.,u,LITC ur.,v,-,
mu,.
I
I
6,323 1
5R6QA6
---, - - - I
I
1,333 1
“I
0.1141 $
” .“c.I,
““71 c*
152
PERCENTAGE
1
1.200.966 1
79
-- I
-0.0651 $
(76.064)
I
96.663
5-DIGITAL,
ITmrarlny
v,v,r., m-8
LETTER
EDITORIAL
DISCOUNT
WKSHARING
DISCNTDELIVERY
WKSHARING
DISCNT SCF Eh ITRY
OFFICE ENTRVl
1
0.1--J'
-K021
=
$
-0.0121 $
I
(1)
(1.1615)
USPS T-38
Spreadsheet CR-A
Page 1
For POIR 2
GFY 98 BILLING DETERMINANTS
CLASSROOM PERIODICALS
I
Pounds
$
0.169
0.190
5
0.214
5
96.205
0.224
$
133.997
S
0.251
$
246,455
5
0.292
s
277.106
201,366
5
0.336
$
0.366
$
5
67,66E
241,566
797 15.4 5
0.432
5
126,37C
0.143
S
7
RR 37s
I
zone3
I
458,919 t
5
596,202
zone4
961.909
I
zones i&2
I
Zone6
zone7
7nna R
I
Nonadvertising
27.867,019
BASIC NON-AUTOMATION
BASIC AUTOMATION
ASIC
J
AUTOMATION
LETTER
FLAT
j NON-AUTOMATION
3-DIGIT AUTOMATION
315 AUTOMATION
FLAT
5.DIGIT AUTOMATION
CARRIER
LETTER
ROUTE BASIC
1
16,792
93,735
3,905,72r
Postage
3.259.54s
15.694,636
J
0.211
55,516
J
0.191
5
5
4,670,063
5
5
O.ls4
5
887,487
0.160
S
2.476.661
2.777
947.107
15,713.094
LETTER
$
Rate
Pieces
Pieces
Postage
Rate
Pounds
Delivery Unit
16,765
5
0.146
5
6,717.990
5
0.142
5
2.791
5
0.140
5
17.641.668
5
0.115
10.604
391
2.002,29s
CARRIER ROUTE HIGH DENSITY
21,130
5
0.113
$
5
CARRIER ROUTE SATURATION
57.468
$
0.107
5
56.219.655
J
(0.042
$
a
5
(0.006
S
(2
(0.004
5
(6,33S
PERCENTAGE
EDITORIAL
DISCOUNT
WKSHARING
DISCNTDELIVERY
WKSHARING
DISCNT SCF ENTRY
OFFICE ENTRY
534
1.766,419
Pounds
31.663,553
Pieces 8 Revenues
60.793.141
J
6,14S
(2,331,46:
12,227,66f
12,229.24(
1.00012782
RPW Revenue
RPW Adjustment
2.36f
Factor
jmaynotbe
equal
) the product ota!eX
: volume
J
USPS T-38
Spreadsheet CR-B
Page 2
For POIR 2
FY99 PQ3 DATA ANALYZED
TO ESTIMATE
B
A
lClassrcom
I
1 Ncnaulomation pieces
2 Autcmation Letter Pieces
m Flat Pieces
BASE YEAR WITH R97-1 STRUCTURE
c
FY98
1
I
Sum Basic Nonautomation
31.407,730
8 3/5 Nonautomation
pieces (GFY 98)
77,072
Sum Basic Automation
& 3l5 Automation
Letters (GFY 98)
11,588.053
Sum Basic Automation
8 3l5 Automation
Flats (GFY 98)
5 Piece Data for PQ3 FY99
c”
7
0
9
IO
11
12
13
14
15
16
17 Nonautomation pieces
18 Automation Letter Pieces
19 Automation Flat Pieces
Note: Since R97-1 rates were implemented
C7=87/817
C8=88/818
C9=B9/Bl9
ClO=BlO/B17
Cl1=B11IB18
Cl2=Bl2lBi9
Cl3=Bl3/Bl7
Cl4=Bl4/B18
C15=Bl5/B19
4.595.594
0
5.802,274
B17=B7+BiO+B13
Bl8=B8+Bll+B14
B19=B9+B12+B15
on January 10, 1999, FY9903 Billing Determinants
are used to estimate the Base Year with R97-1 structure
USPS T-38
Spreadsheet CR-C
Page 3
For POIR 2
GFY 98 BILLING DETERMINANTS - R97-1 RATES, BASE YEAR
CLASSROOM PERIODICALS
USPS T-38
Spreadsheet CR-D
Page 4
For POIR 2
VOLUME FORECAST
Source: USPS-T-6, Table 1
CLASSROOM
PERIODICALS
USPS T-38
Spreadsheet CR-E
Page 5
For POIR 2
GFY 2001 BILLING DETERMINANTS - R97-1 RATES
CLASSROOM PERIODICALS
56.153.133
Pieces & Revenue
TYBR Fees
S
12,877,161
J
109,000
Revenue w Fees 8 Revenue Per Piece
a
0.231
S
12,986,161
pet Piece &Volume Variable Cost
5
0.254
J
14,2&1,400
Cost
cost coverage
90.15%
Page 8
For POIR 2
_r .____..__. __. -
I
41TY BEFORE RATES VOLUME
5jTY BEFORE RATES TO BASE YEAR SCALING FACTOR
I
1
+’
_
!
AFTER RATES VOLUME
55.153.133
0.9235754721
55.059,051
0.9051723117
7 TYAR TO BASE YEAR SCALLING FACTOR
‘*I*,c.““,““”
Olf a-,“” ,I‘JSPS-T-14.
9 TYAR COST, WITHOUT
CONTINGENCY
13.592.000
._.
141ran.rtts
FACTOR
14.254,400
Contingency)
---^
151TYAR FEES
15 PROPORTION
OF REVENUE
I
ILJSPS-T-14. WPJ, Table E
[TYBR Cost * Contingency
Factor (LineB’LinelO)
14.034.300 ITYAR Cost * Contingency Factor (LineS’LinelO)
1~00728 IlISPS-T-Z
Exhibit USPS 328~ Do 1~ ,L? of RR
I-
,a
l”Y,““”^^^ ”,“WS-I
.^^
‘^^^ - -a.
^^ Exhibit USPS 32A, p. 2
IS
115,000
USPST-32.
kxhlblf USPS 3ztl. P. 2
COST, W/O CONTINGENCY
S
19 TRANSPORTATION
COST, W/CONTINGENCY
2” Prnnnrti””
n-4 that is ftis+tanrp
related
- ..__.__.__
__
._r _.__.. n‘m”sMrtilfiM
_. __.._ r _.- __..___...._..___
5
21 IDkt. Related Trans. Costs
Is
221Editodal Percentage
Piecs Percentage
I
23 Editorial Percentage
Piece Discount
I5
100.013% s.preadsheet USPS-T-38, CR-A
.^_^ ..-.. -.h,n n
2.232,OOO Lw’s-l-14.
wm.
li
2.257,890 Transportation Cast * Contingency
“~7263 LR-lsn “~ !a,”
1.851,529 IDistance
Related proportion
92.489blSpreadsheet
0.044 lSpreadsheet
Factor (Linel8’LinelO)
* Transpatation
USPS-T-38,
CR-A
USPS-T-38,
CR-A
I
I
52.09% IFlPUT
TO GET FROM PIECE RATEj
17 MULTIPLIER TO GET ACTUAL REVENUE
15 TRANSPORTATION
Year Volume (Line5lLine3)
WPH. Table E
102.50% fJSPS-T-9
12 TYAR COST, (Induding Contingency)
43 nFs:IRFrl
COST
COVFRARE
__.-.-.__- _... -___
_ .--
I
Table 1
CONTINGENCY
11 TYBR COST, (Induding
I
USPS-T-5,
TYAR Volume/Base
8 TYBR COST, WITHOUT
10 CONTINGENCY
__. _.
IL!:‘3PS-T-5, Table 1
TYBR Volume/Base Year Volume (Line4iLine3)
Cost
USPS T-38
Spreadsheet CR-H
Page 8 of 14
For POIR 2
USPS T-38
Spreadsheet CR-H
Page 9 of 14
For POIR 2
)
j
CALCULATION
B
2 Required
Revenue
4 Commingled
5 Required
6 Actual
7 Revenue
Revenue
Piece Revenue
Revenue
D
C
14,270,123
3 Piece Rate Required
E
G
F
CR-F, ((Line1 l’Linel3)/Linel7)-Line15
cell Cl6 (CR-F)‘cell
C2
(Does not apply to CR)
minus Commingled
Piece Revenue
Spreadsheet
6,847.476
@ 70%
USPS T-30
Spreadsheet CR-I
Page 10
For POIR 2
OF PIECE DISCOUNTS
Revenue
6,&17,476
8,827,304
Derived
needed from Pound Rates
5,442,819
6
9 Presort
Volumes
B Calculation
of Discounts
Rate
PC,.
Volumes
RWellUe
10 Basic
12,724.lll
22.66%
0.277
$
3324.579
11 J-Digit
14,711,385
26.20%
0.236
S
3.471.887
12 5Oigit
12,349.643
21.99%
0.206
$
2.544.063
13 Carrier
16,367,794
29.15%
0.127
$
2.076.710
Route
56,153,133
14
1w.00%
15
16
17 DISCOUNTS
BARCDDED
LEI-fER
19
BARCODED
FLAT
20 DISCOUNTS
SIZE
BARCODED
LETTER SIZE
22
BARCODED
FLAT
24
25
0.56%
0.13%
$
(0.065)
$
661.440
5.36%
1.21%
.$
(0.044)
I
(4.627)
(29,983)
(I 11,757)
0
3,991.312
0.00%
0.00%
$
27.13%
7.11%
5
(0.056)
(0.028)
s
$
0.00%
$
(0.040)
s
10.74%
$
(0.023)
$
FROM 50lGlT
BARCODED
BARCODED
26 DISCOUNTS
Y, of Tot.
71,190
FROM J-DIGIT
21
23 DISCOUNTS
K of Presort
FROM BASIC
16
LETTER SUE
0
FLAT
FROM CARRIER
0.00%
6,030.649
48.83%
(138,710)
ROUTE
27
HIGH DENSITY
19,517
0.12%
0.03%
$
(0.026)
$
(507)
28
SATURATION
53,062
0.32%
0.09%
$
(0.044)
f
(2,336)
92.40%
0.00%
5
5
(0.048)
(0.013)
5
5
(2,492,576)
2.91%
5
(0.007)
5
(11,434)
6,827,304
29
30 OTHER PIECE DISCOUNTS
31
PER-PC EDITORIAL
32
DELWERY OFFICE ENTRY
DISCOUNT
33
SCF ENTRY
51.928.717
493
I.633445
S
34
_
(‘5)
- - _
CALCULATION
I
3lPiece Rates
I
41
1
BASIC NONAUTOMATION
FLAT
INAUTOMATION
- ._...._.
-
ARRIER ROUTE
. ..-..
(Benchmark
“.
I5
0.016 1
I5
0.027 1
I5
0.014 1
I5
0.062 1
,*
“.““”
i5
0.115 1
,iY
unit cost:
.a”
-.-_I
I5
~AATION FLAT
“ER
FLAT
130%
,
0.0159 1
I
AATION LETTER
I
1
-. .--
\TlON
ITOMATION
Passthrough
I
CR-G
,.a
.._.._ -..-..
IATION FLAT
_..._,”
Unit Cost Savings
Spreadsheet
I5
.-..
ASIC AUTOMATION
USPS T-38
Spreadsheet CR-J
Page 11
For POIR 2
OF PIECE DISCOUNTS
60%
I
I5
0.0
I5
0.0..
I5
I5
0.0
I
,. ----..--~..-
-.
45ICARRIE
I Volume
46 WKSHARING
DISCNTDELIVE
49 WKSHARING
DISC’“‘T cP= =h’TD”
i Volume
R IFi, nal Discount times Volume
nal Discount times Volume
50 Editorial Percent PieceDiscount
2,492,576
51 Total Discount Leakage
52 Revenue Required from Piece? _+ -.-nia-nnf-...---..I ~3k-c~~__
I
53 TYBR Pieces
54 Revenue Requirement
-
+ Leakage Per Piece (Base Rate]
I5
IFinal Discount times Volume
6,727.114 1
15_,57d
59”- Line 51 plus C5 from CR-I
-. ,__
56,153.133 ICell Cl4 fi _rn CYF).,
0.277 ICX311C52/CEll c53
I
USPS T-38
Spreadsheet CR-K
Page 12
For POIR 2
USPS T-38
Spreadsheet CR-L
Page 13
For POIR 2
TYAR BILLING DETERMINANTS -AFTER RATES 8 VOLUME
CLASSROOM PERIODICALS
Y.^^
^......
I
USPS T-38
Spreadsheet CR-M
Page 14
For POIR 2
CLASSROOM
- POIR 2 Vs. CURRENT RATES