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ADVO urges postal service to focus on its competitive fitness through reclassification; direct mailer is disappointed with Postal Rate Commission decision.


WINDSOR, Conn.--(BUSINESS WIRE)--Dec. 2, 1994--ADVO Inc. voiced its disappointment with the Postal Rate Commission's decision to ignore the Postal Service's request, supported by most of the business mailing community, for a 10.3 percent, across-the-board postal rate increase, and instead raise the average first class postage POSTAGE. The money charged by law for carrying letters, packets and documents by mail. By act of congress of March 3, 1851, Minot's Statute at Large, U. S. 587, it is enacted as follows:
     2.-Sec. 1.
 by only 8.9 percent, while increasing rates for second, third and fourth class mail by 14 percent. However, the commission's decision does not benefit the general public whose cost of mailing a first class letter will increase by 10.3 percent.

"On behalf of ADVO's 27,000 clients, we are disappointed with the Postal Rate Commission's decision to reject this key opportunity for the Postal Service postal service, arrangements made by a government for the transmission of letters, packages, and periodicals, and for related services. Early courier systems for government use were organized in the Persian Empire under Cyrus, in the Roman Empire, and in medieval  to operate in a more market-driven, customer-focused manner. The Postal Service's unique proposal resulted from listening to the commonly expressed needs of its customers, including small businesses who depend upon third class advertising mail. The Commission's decision ignores the voice of the customer and puts a competitive stranglehold stran·gle·hold  
n.
1. Sports An illegal wrestling hold used to choke an opponent.

2. A force, influence, or action that restricts or suppresses freedom or progress. Also called throttlehold.
 on the Postal Service at a critical time when it is facing increased competition. Contrary to the case's evidence, the Commission's decision punishes most those types of mail which cost the Postal Service the least, but operate in highly competitive environments," said Robert Kamerschen, ADVO's chairman and chief executive officer.

"Regardless, the Postal Service must move forward to reclassify Verb 1. reclassify - classify anew, change the previous classification; "The zoologists had to reclassify the mollusks after they found new species"
class, classify, sort out, assort, sort, separate - arrange or order by classes or categories; "How would you
 its product lines and price structures to better compete with today's increasing communications alternatives and alternate hand delivery systems. Postal reclassification Reclassification

The process of changing the class of mutual funds once certain requirements have been met. These requirements are generally placed on load mutual funds. Reclassification is not considered to be a taxable event.
 must include pricing mail products in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[]

As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh.
 with their cost to the Postal Service and their demand in the marketplace. Anything less will drive away postal volume and adversely affect all mailers," said Kamerschen.

The Postal Rate Commission's decision ends an approximate nine-month period during which the presidentially-appointed commission evaluated the Postal Service's proposal for a 10.3 percent, across-the-board rate increase for all classes of mail. The Postal Service proposal had received support from most of the business mailing community as a practical and fair short-term financial solution to enable the Postal Service to focus on adapting to changing marketplace needs.

ADVO is the nation's largest microtargeting services company and largest third class mailer (1) An e-mail program. See e-mail program.

(2) A message sent by an e-mail program.

(3) A person or organization sending e-mail.
. ADVO specializes in effective and efficient targeted direct mail and in-store sales promotion and merchandising merchandising

Element of marketing concerned especially with the sale of goods and services to customers. One aspect of merchandising is advertising, which aims to capture the interest of the segment of the population most likely to buy the product.
 services for its clients' microtargeting needs. The company's brands of shared mail, Marriage Mail and Mailbox A simulated mailbox in the computer that holds e-mail messages. Mailboxes are stored on disk as a file of messages, a database of messages or as an individual file for each message. The standard mailboxes are usually In, Out, Trash and Junk (Spam).  Values, are distributed nationally to over 57 million households weekly. ADVO also offers solo mailings and limited printing and transportation services. It has 23 production facilities, 80 sales offices, and 7 administrative offices nationwide. ADVO's corporate headquarters are located in Windsor.

CONTACT: ADVO Inc.

Tracy Morris, 202/625-6577
COPYRIGHT 1994 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1994, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Dec 2, 1994
Words:437
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