U.S. Mail Cutting Rates to Win E-Commerce Business - Yahoo FedEx, UPS Howl as USPS Lowers Certain Prices as Much as 58% The U.S. Postal Service is aggressively slashing prices to attract big e-commerce companies in time for the holidays, aiming to steal business from both FedEx Corp. (FDX) and United Parcel Service Inc. (UPS). Over loud protests from its rival delivery giants, the Postal Service won approval from its regulators in August to lower prices by as much as 58% on certain Priority Mail packages for customers shipping at least 50,000 parcels a year. The post office says its prices were too high to be competitive. But in documents filed with the Postal Regulatory Commission, both UPS and FedEx say the agency is taking advantage of its status as a near monopoly to unfairly snag a bigger piece of the e-commerce pie.