USPS approves higher rates; b-to-b marketers irate

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Washington--In a move that has the b-to-b direct marketing and publishing communities protesting, the United States Postal Service Board of Governors has voted to raise postage rates on July 1. "The Postal Service's action just doesn't make sense," H. Robert Wientzen, president-CEO of the Direct Marketing Association, said in a statement. "On top of a slowing economy, this Postal Service double-header will make it tougher for everyone who relies on the postal service," he said in a statement. "No self-respecting business would try to increase market share by increasing prices." The rate for a one-ounce, first-class piece of mail will remain 34 cents, but the cost for each additional ounce will rise from 21 cents to 23 cents. The USPS, which says it faces losses that could top $2 billion year, is under pressure from the federal government to turn a profit.
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