UPS may hike charges for major customers for holiday package surges - Reuters
United Parcel Service Inc may charge major customers more for a surge in late, unplanned packages or turn down the business if it threatens disruptions during the peak holiday season, a top executive said on Friday, trying to avoid a repeat of last year's delivery meltdown.
UPS (UPS.N) and main rival FedEx Corp (FDX.N), both considered U.S. economic bellwethers, are approaching their busiest time. Last year a last-minute surge in online consumer promotions left an estimated 2 million express packages stranded on Christmas Eve.
"If it (a late surge) creates challenges and adds costs we would charge a premium," Chief Financial Officer Kurt Kuehn told Reuters. "If it puts our service at risk, we would have to deny (the business)."
United Parcel Service Inc may charge major customers more for a surge in late, unplanned packages or turn down the business if it threatens disruptions during the peak holiday season, a top executive said on Friday, trying to avoid a repeat of last year's delivery meltdown.
UPS (UPS.N) and main rival FedEx Corp (FDX.N), both considered U.S. economic bellwethers, are approaching their busiest time. Last year a last-minute surge in online consumer promotions left an estimated 2 million express packages stranded on Christmas Eve.
"If it (a late surge) creates challenges and adds costs we would charge a premium," Chief Financial Officer Kurt Kuehn told Reuters. "If it puts our service at risk, we would have to deny (the business)."