Swiss Post adjusts rates for newspaper delivery
Swiss Post adjusts the rates for the transportation of newspapers. From 2008, press subsidies will be restricted to the local and regional press and the non-profit membership press in accordance with a parliamentary resolution. The rates for newspapers still eligible for subsidies will rise by 4.4 percent.
Swiss Post adjusts the rates for the transportation of newspapers. From 2008, press subsidies will be restricted to local and regional press and non-profit membership press in accordance with a parliamentary resolution (see ). Swiss Post intends to retain its established rate structure for the titles that are still eligible for subsidies. However, the rates will increase by 4.4 percent. According to Swiss Post, this corresponds to the inflation that has occurred since 2004.
Hanspeter Lebrument, President of the Swiss Press Association, criticized the announced cost-of-living adjustment to the SDA as unjustified. He demanded that Swiss Post adhere to the statements made by Federal Councillor Leuenberger. Leuenberger had confirmed to parliament that there should be no price increases for the press entitled to subsidies, Lebrument told the SDA news agency.
Swiss Post will increase some of the prices for titles that are no longer eligible for subsidies. In order to accommodate the publishers of these titles, it is accepting a deficit and will bear a significant part of the loss of subsidies itself, according to a press release. Swiss Post has developed a cost and competition-based pricing model for the titles that are no longer eligible for subsidies. According to Swiss Post, it is largely based on a model discussed with the publishing industry and fulfills the legal requirement that all subscribed newspapers and magazines must be transported according to the same principles at distance-independent prices. Swiss Post will submit these prices to the price watchdog.
The effects of the new pricing policy on the large and medium-sized titles that have been excluded from the federal contributions are still difficult to assess at the moment, publisher president Lebrument told SDA. The Swiss Press Association lacked precise insight into Swiss Post's accounts. In addition, negotiations between the largest clients and Swiss Post are still pending.
Up to now, publishers have generally benefited from federal subsidies totaling CHF 80 million for the transportation of their press products. The contributions were passed on to them in the form of reduced postal rates. On June 22, 2007, Parliament decided to limit the subsidies to CHF 30 million per year. The membership press will receive CHF 10 million and the local and regional press CHF 20 million. These funds will now only benefit the local and regional press with a maximum circulation of 40,000 copies and the non-profit membership press with a maximum circulation of 300,000 copies.
Hanspeter Lebrument, President of the Swiss Press Association, criticized the announced cost-of-living adjustment to the SDA as unjustified. He demanded that Swiss Post adhere to the statements made by Federal Councillor Leuenberger. Leuenberger had confirmed to parliament that there should be no price increases for the press entitled to subsidies, Lebrument told the SDA news agency.
Swiss Post will increase some of the prices for titles that are no longer eligible for subsidies. In order to accommodate the publishers of these titles, it is accepting a deficit and will bear a significant part of the loss of subsidies itself, according to a press release. Swiss Post has developed a cost and competition-based pricing model for the titles that are no longer eligible for subsidies. According to Swiss Post, it is largely based on a model discussed with the publishing industry and fulfills the legal requirement that all subscribed newspapers and magazines must be transported according to the same principles at distance-independent prices. Swiss Post will submit these prices to the price watchdog.
The effects of the new pricing policy on the large and medium-sized titles that have been excluded from the federal contributions are still difficult to assess at the moment, publisher president Lebrument told SDA. The Swiss Press Association lacked precise insight into Swiss Post's accounts. In addition, negotiations between the largest clients and Swiss Post are still pending.
Up to now, publishers have generally benefited from federal subsidies totaling CHF 80 million for the transportation of their press products. The contributions were passed on to them in the form of reduced postal rates. On June 22, 2007, Parliament decided to limit the subsidies to CHF 30 million per year. The membership press will receive CHF 10 million and the local and regional press CHF 20 million. These funds will now only benefit the local and regional press with a maximum circulation of 40,000 copies and the non-profit membership press with a maximum circulation of 300,000 copies.
