USPS and FedEx have renewed their agreement for the Global Express Guaranteed (GXG) service to morethan 190 countries and territories under their long-standing commercial partnership.
The co-branded GXG product, launched in 2004, is the Postal Service’s premier, date-certaininternational delivery service. It is available at thousands of participating postal retaillocations nationwide, and through Click-N-Ship online at the USPS website. GXG shipping labels andpackaging feature both Postal Service and FedEx logos.
Under the arrangement, customers drop off GXG packages at their local post offices. FedExthen picks up those packages, sorts them, and handles the country-to-country linehaul and finaldelivery.
“The Postal Service is pleased to renew this important agreement with FedEx,” said PranabShah, USPS vice president and managing director, Global Business. “We plan to build on theaccomplishments of the initial agreement, enhancing GXG’s world-class service reliability by usingthe resources of both organizations to provide quality and value for our customers.”
“Global Express Guaranteed leverages the two great transportation networks of FedEx Expressand the Postal Service to bring greater choice and convenience for customers,” added T. MichaelGlenn, FedEx executive vice president for Market Development. “This agreement combines the globalreach, convenience, speed and reliability of the Postal Service and FedEx Express in a naturalextension of our long-standing relationship.”
FedEx has already had a strong relationship with the USPS for many years. In 2001, the twocompanies signed a seven-year contract for airport-to-airport delivery of Priority Mail, ExpressMail and First-Class Mail within the United States. In 2006, the companies signed a new seven-yearagreement for domestic air transportation of mail with FedEx flying over four million pounds ofU.S. mail every business day. With this agreement that replaces the final two years of the previouscontract, FedEx expects to generate about $8 billion in revenues through 2013.
A 2001 retail agreement with USPS that gave FedEx the opportunity to place its self-servicecollection boxes on postal property was not affected by the new contract. The retail agreement isexpiring this year.
