Deutsche Post has now submitted its request for approval of new postal rates that are scheduled to take effect starting January 1, 2016, to Germany's Federal Network Agency. The price request is based on the so-called price-cap mechanism, which was recently revised by the agency. As announced several weeks ago, the price for a standard letter weighing up to 20 grams will be raised to 70 euro cents and then remain unchanged for three years starting in 2016, like all other letter mail products. The agency is likely to reach a decision about the application by mid-December.

In addition to the price adjustment to 70 euro cents for standard letters within Germany, the price for Maxibrief national items up to 1000 grams will also climb, from EUR 2.40 to EUR 2.60. International standard letters and postcards will cost 90 euro cents starting in 2016 instead of the former 80 euro cents. The price for large international letters (Grossbrief) up to 500 grams will be increased from EUR 3.45 to EUR 3.70. Prices for other individual letter mail formats, whether national or international, will remain unchanged. The new price for transporting standard letters within Germany must also be paid by business customers, but here the company has plans to increase the discount for downstream access for standard letters by 5 percentage points.

Price changes for individual letter mail formats will also be accompanied by a rise in rates for certain special services. In the future, items such as domestic or international registered mail (Einschreiben) will cost EUR 2.50. Some special services - registered mail to addressee's mailbox (Einschreiben Einwurf), delivery to addressee only (Eigenhändig) and/or with advice on delivery (Rückschein) - will each cost EUR 2.15.

Even after the envisaged adjustment to 70 euro cents, the price for standard letters in Germany will still be in the mid-range compared with letter rates in other European countries. This position will continue to improve thanks to the price stability foreseen for the next three years and the price hikes that continue to be expected for other countries in the following years.

New stamps and supplemental stamps on sale starting December 3

For customers who still have unused stamp stocks at the end of the year, Deutsche Post will begin selling 8-cent supplemental stamps at its retail outlets and online at www.efiliale.de starting December 3. Stamps with the new postage rates will also be available starting on that date. Business customers can also go to www.postofficeshop.de to purchase the higher-value stamps and any needed supplemental stamps beginning early next month and benefit from our online offers for business customers. Current stamps or supplemental stamps from previous years may also be used to frank Deutsche Post items. It is not necessary to exchange them. Individual stamps of any desired postage value can also be printed at any time at one of the 2,700 stamp machines nationwide.

An overview of the most important requested price changes has been attached.

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