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and 1992 agency agreements, after the foreign investors became
involved in DHLI, and continued through the time of trial.
A costing model (with the acronym “PRISM”) developed by Bain
for DHLI is used for pricing, budgeting, and planning purposes
and is also used in the imbalance fee calculation between DHLI
and DHL. For 1991, DHLI computed its per-unit cost of delivering
documents and dutiable parcels from DHL at $10.59 and $30,
respectively. For 1992, the document and dutiable parcel
delivery costs were $10.49 and $28.70, respectively.
The actual weighted average costs, including the 2-percent
markup used by DHL for 1990 and DHLI for 1991 and 1992, were
$10.19, $15.25, and $15.25, respectively. The 1988 amendment
also provided for a cost plus 2 percent payment to DHL for its
cost of handling transfer shipments. DHLI paid this transfer fee
to DHL, and DHLI did not perform a similar function for DHL.
Before 1987, DHL paid a fee to DHLI for delivery of outbound
shipments to certain remote or higher cost destinations (on-
forwarding fee). The on-forwarding fee was charged to DHL to
cover DHLI’s cost of delivering shipments from the first
international gateway to approximately 10 remote or higher cost
destinations.
The transfer cost factor was computed annually as DHL’s
average cost of handling a transfer shipment. For 1987, DHL
received its costs without the 2-percent markup for the transfer
shipments. The on-forwarding fee was eliminated after 1986. The
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