WASHINGTON — The U.S. Postal Service is hoping it can soon raise stamp prices by a penny or more.
The postal service on Wednesday reported a quarterly loss of $562 million, despite growth in package delivery, due to continued erosion in the use of first-class mail as well as expensive mandates for its retiree health care obligations. It also attributed losses to a forced reduction in stamp prices last year.
The postal service’s report shows earnings of more than $12 million for the three months that ended on March 31. But when taking into account expenses to prefund retiree health care and other items described as beyond the management’s control, it posted a loss.
Operating revenue came to $17.3 billion, a decrease of $474 million from the same time last year.
The postal service continued to notch double-digit growth in its package business, boosted by the strength of Amazon and other Internet retailers. But that wasn’t enough to offset losses in both first-class mail and marketing mail, also known as “junk mail,” which make up the bulk of revenue.
More
DelMarVa's Premier Source for News, Opinion, Analysis, and Human Interest Contact Publisher Joe Albero at alberobutzo@wmconnect.com or 410-430-5349
11 comments:
When I started writing letters (remember them?) a first class stamp was 3 cents. Air Mail (remember that?) was 7 cents. I remember when postage was raised to 4 cents and everybody squealed and said it was the end of the world.
I actively review my 'junk-mail' subscriptions and request the sender delete my address. I now get a lot less - so I don't have to bother recycling it. Yes, that hurts both the USPS and the recycling folks - but my preference is to not have to deal with it at all.
The retirement mandate funding is the right thing to do to protect the employees working under that arrangement! The arrangement itself is waaaaay tooooo generous and should be changed for new employees to reduce the liability on the USPS for the future!
Not getting any sympathy from me on this one - but they can find it in the dictionary...
Meanwhile, raising their prices causes folks to find other ways to do business - reducing participation - and subsequently their revenue!
Perfect example of Gov't run agencies that are poorly run and cost American taxpayers millions
Stop working Saturday.
Junk mail is all we get. Bills are received electronically and bills paid the same way. Rarely do business with any business that won't accept electronic payments unless it is a face to face cash transaction.
The USPS does not receive any funding from tax payers dollars. One of the only Government agencies that is not dependent upon taxes.
No Sat or delivery Sun mail (let private industry handle that).
I just mailed a 1.2 lb manila envelope, cheapest rate was $9
Ridiculous, and they wonder why people don't use the mail anymore.
Same pathetic excuse, we have to fund our employees retirement. They've been saying this for 30 years
They just bought a fleet of nice new vans but they're broke
It's one of those things that should be bid out, but we'll never see that.
Post a Comment