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Stamp prices might rise again

Staff and Wire Reports RENO GAZETTE-JOURNAL

PROPOSED RATE CHANGES
* First class: Increase 2 cents to 39 cents for first ounce, increase 1 cent to 24 cents for each additional ounce.
* Post cards: Increase 1 cent to 24 cents.
* Express mail: Increase lowest charge from $10.70 to $11.30.
* Priority mail: Increase minimum charge from $3.85 to $4.05.
* Parcel post: Raise lowest rate from $2.81 to $2.96.
* Certified mail: Boost from $2.30 to $2.40.
* Insurance: Raise minimum from $1.30 to $1.35.
* Money order: Increase from 90 cents to 95 cents.
* Registered mail: Raise from $7.50 to $12.75

WASHINGTON — - 4/8/2005 The Postal Service wants an extra 2 cents for its stamps. However, at the same time Friday that the agency proposed the stamp price increase, it also invited Congress to eliminate the need for it. The proposal sent to the independent Postal Rate Commission calls for increases to take effect early next year. The price of first-class stamps would rise from 37 cents to 39 cents, post cards would increase from 23 cents to 24 cents and other postal prices would rise similarly.

Chris Fleiner, president of JLH Mailing & Fulfillment in Sparks, a marketing company specializing in direct mail processing, said an increase might force customers to do less mass mailing and “mail smarter” by targeting more specific demographics. “In a business where pennies count, it affects the business,” Fleiner said. “What happens when it (rate hike) first comes around is you see a decline in business because people are trying to adjust their budgets.”

Kristal Gonzalez, general manager of Panda, a printing and mailing business in Reno, said customers are lost whenever the Postal Service increases rates. “If postage is too high — and some customers say it is now — it’s hard for them to bring a mailing to us,” Gonzalez said. “It’ll affect us quite a bit.”

Customers will buy lots of 1- or 2-cent stamps to make up the difference, said Cathy Hammond, owner of the Postal Depot in Reno. “We have seen over the years that each time there is an increase, people use the postal system less and less,” Hammond said. “People will find other ways of doing things that don’t cost as much.”

In announcing the rate proposal, the Postal Service said it is needed only because a 2003 law requires the agency to place $3.1 billion annually in an escrow account.

Postal officials have been urging Congress to drop that requirement and said they will withdraw the rate request if Congress does so. Postage rates last went up June 30, 2002, rising from 34 cents to 37 cents for a typical first-class letter.

Congress mandated the escrow requirement in 2003 when it passed a law reducing the amount of money the agency must pay into its retirement system, which auditors said was being overfunded. Instead, Congress ordered the money to be put into the escrow fund.

Elimination of that fund has been included in bills that would make other changes in postal operations, but Congress has not acted on the proposals.

Now that the Postal Service has formally asked for a 5.4 percent increase, the Postal Rate Commission will hold hearings and collect information before ruling on the proposal. That process can take as long as 10 months, meaning that if the rate increase is approved it wouldn’t take effect until early next year.

While electronic communications such as the Internet have taken some business from the Postal Service, there has been an increase in advertising mail. Officials have said that were it not for the escrow requirement the agency would not need to seek an increase for at least another year.

Overall, the Postal Service had $68.9 billion in income last year and $65.8 billion in expenses. The agency handled more than 206 billion items last year, a number it expects to grow slightly. While first class mail will continue to decline, the agency expects advertising mail to grow and, for the first time, to exceed the number of first class items this year.

Answer the Phone: Your Identity is on the Line

Beverly Hills, CA -- (ArriveNet - May 06, 2005) -- There hasn't been much good news in the battle against identity theft lately, with fraudsters staying one step ahead of the game. But don't panic, our old friend the telephone has come to the rescue.

We're all aware of the problem of identity theft, but did you know that your local pizza chain has had a solution for years? You recognize it as the system that prevents little Johnny from having twenty pizzas delivered to your door at midnight: the pizza chain calls you immediately after the order is placed to verify the validity of the order. Because little Johnny is afraid to be caught, he'll think twice about causing this pizza-related havoc.

TeleSign's patent-pending verification system has transferred this pizza concept to the high-tech world. It works like this: after filling out a form on a website, the user is prompted to enter his phone number. A robotic system then places a call to that number and speaks aloud a unique three digit code. Once that code is entered into the website, the authentication is complete. This system can be implemented at any point on a website: at registration, purchase, a specific time interval, or at the request of a user.

Email verification is the current standard for user authentication, but email may end up filtered, junked, bulked, or trashed. Because of spam, viruses, and phishing, email filtering has become so aggressive that even legitimate emails don't reach the inbox. But a telephone call cannot be stopped, making this the perfect time for the introduction of TeleSign’s solution.

The future of ecommerce is threatened by rampant fraud and lack of trust. TeleSign will force anonymous users to expose their faces by revealing their working phone numbers.

To try an interactive demo, visit (http://www.telesign.com/demo2/demo.asp) and have your phone ready.

For more information about TeleSign’s products and services, visit (http://www.telesign.com/demo2/) or email press2@telesign.com.

About TeleSign Corp.
TeleSign is a leader in innovative internet security solutions and provider of intelligent telephone-based verification solutions for any entity conducting business online where trust is essential and where fraud is a concern. TeleSign’s patent-pending Verification System provides a critical layer of security for the e-commerce world and is a proven deterrent against ill-intentioned web users. The company’s first product, the TeleSign Verification System, blends the latest internet, security and telephony technologies into a powerful new tool to combat fraud and enhance trust in e-business.

TeleSign Corp. seeks to provide simplified solutions for any company conducting business online where trust is essential and where fraud is a concern. TeleSign’s patent-pending Verification System provides a critical layer of security for the e-commerce world and is a proven deterrent against ill-intentioned web users. TeleSign’s Verification System is able to legitimize a web user’s claimed identification at a miniscule cost and with little inconvenience to all parties involved.

TeleSign’s Verification System is based upon the premise that ill-intentioned web users hesitate to disclose their working phone numbers. By placing a computer-generated telephone call coupled with a unique security code, we insist that a web user provide a legitimate telephone number or be rooted out. The company’s first product, the TeleSign Verification System, blends the latest internet, security and telephony technologies into a powerful new tool to combat fraud in e-commerce.

Visit http://www.telesign.com/demo2/ or call 310-276-5900 for more information.

TeleSign Corporation
Contact: Sam Gonen
Telephone: (310) 276-7843
Email: press2@telesign.com

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