WASHINGTON (AP) - The U.S. Postal Service is bracing for a first-ever
default on billions in payments due to the Treasury, adding to widening
uncertainty about the mail agency's solvency as first-class letters
plummet and Congress deadlocks on ways to stem the red ink.
With cash running perilously low, two legally required payments for
future postal retirees' health benefits — $5.5 billion due Wednesday,
and another $5.6 billion due in September — will be left unpaid, the
mail agency said Monday. Postal officials said they also are studying
whether they may need to delay other obligations. In the coming months, a
$1.5 billion payment is due to the Labor Department for workers
compensation, which for now it expects to make, as well as millions in
interest payments to the Treasury.
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DelMarVa's Premier Source for News, Opinion, Analysis, and Human Interest Contact Publisher Joe Albero at alberobutzo@wmconnect.com or 410-430-5349
Let it die! Privatize! No more mail monopoly!
ReplyDeleteThe Fed passed a law that they must pre-pay retirement benefits into a fund controlled by the Government. Now the Government can go in and rob it like L.B.J. did with Social Security. Oh, did I mention he was a democrat?
ReplyDelete" Anonymous said...
ReplyDeleteLet it die! Privatize! No more mail monopoly!
July 31, 2012 12:08 PM"
Yeah! I want to pay $1.50 to FedEx to mail a letter! Free market, woo hoo!
1:47 Dumb mule...
ReplyDeleteYou paying 10 times that with the Government service.
Figure it out.