[sunrise_sunset]

Fed Ex rates would go up a lot if they didn’t contract with USPS.

Kind of basic business there.

[ElkGroveDan]

Fed Ex rates would go up a lot if they didn’t contract with USPS. Kind of basic business there.

Yep and their customer base will shrink if they keep taking 3-4 weeks to deliver ground-rate packages. Cost vs. quality of service is a balancing act every company ever founded has to deal with. More basic business there.

[zipper]

Fed Ex rates would go up a lot if they didn’t contract with USPS.

Not sure what you mean, but see my post #116.

FedEx fills in available space on their airplanes with lower priority USPS mail, so yes the Post Office contract benefits consumers through lower FedEx rates overall. FedEx utilizes empty airplane space to ship USPS mail (allowing FedEx to offer lower, more competitive prices since their airplanes are more efficiently utilized).

On the other hand, consumers (at least the ones that pay taxes) lose out from the Post Office's loss of billions (yes, BILLIONS) of dollars in losses per quarter.