Performance Based Pricing Guidelines

  1. All performance-based pricing calculations shall utilize FedEx rated data and shall exclude any rebills or rerates. 
  2. In any calculation period that includes one or more holidays, the monitored metric—whether Volume, Weight, or Revenue—will be adjusted to reflect the reduced number of operating days. For the purposes of these calculations, a standard business week is defined as five (5) operating days, Monday through Friday. While proration is applied to normalize the average based on the number of business days, all recorded Volume from each individual day within the calculation period will be included in the calculation. 
  3. Discount adjustment programs shall follow a standardized schedule based on the program frequency. Monitoring periods are as follows:
    • Weekly: Monday through Sunday, or as specified for a given number of weeks.
    • Monthly/Quarterly/Semiannual/Annual: Each period begins on the first day of the month following the end of the preceding period and covers 1, 3, 6, or 12 months, respectively.

Calculations relating to the monitoring period will be performed on the first, or if applicable the second, Monday after the monitoring period ends, provided at least seven (7) days have passed. Any adjustment to discounts based on the Customer’s compliance shall be applied in accordance with the Contract and will take effect on the Monday following the calculation date. 

Note: These conditions are subject to change without notice. 

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