NY Times on the US Postal Service Financial Problems

The losses deepen and it looks like the U.S. Postal Service is going to have to take some drastic steps, such as cutting back service to five days. From to the NY Times:

Postmaster General John E. Potter says the Postal Service now expects to run a record $7 billion deficit in 2009, up from projections in March of $6 billion. Losses for the third quarter will not be made public until Aug. 5, but Mr. Potter says those numbers should be similar to figures from the second quarter, when the Postal Service lost $1.9 billion.
The Government Accountability Office added the Postal Service to its list of “high risk” federal programs on Tuesday, urging it to work with Congress to find a solution to its financial problems.

Comments

[Ann_from _Brooklyn]

I don't think they're at risk of reducing service to five days, I think this is what the Post Office and other agencies do to make sure they get their share of money from the Feds. A little, "The sky is falling!" and they'll get their money as usual. Squeaky wheel, etc..

[JDoors]

Careful Ann, if they think you know what they're up to you could get a surprise visit late at night ... ;)

The actual problem will abate somewhat now that the USPS raises rates annually.

[Ann_from _Brooklyn]

LOL Well, as long as they've got my movies when they visit they'll be safe. ;)

[Anthony]

I hate to say this but raise the postage rate again.

I'll send emails instead of postcards, and I'll keep getting my netflix movies through the mail thank you very much.

[Edward R Murrow]

I think that companies that use USPS as a delivery mechanism for their product should be charged more than people who use USPS to pay their bills, send letters to friends, etc.

Similar to paying for an express toll road.

[U Aint Working]

Solution is easy, time to cut expenses. Cuts in the wage and benefit department will yield the largest result especially to the taxpayers.

[Tom]

Edward R Murrow evidently does not realize that hand-addressed mail requires additional processing (a certain percentage simply will not OCR). It would be fair to charge them a higher rate, much like trucks are charged more on toll roads (which tells you how much you're subsidizing them out of your gas taxes on free roads).

[Paul]

The post office simply needs to understand it's time to run like a BUSINESS instead of a Government Sponsored Entity. They can't claim they haven't seen the writing on the wall with decreasing mail volume and postage increases that haven't shored up the bottom line. To have a 'sudden' $7 Billion dollar deficit just indicates the folks in charge have been asleep at the wheel for...oh...a decade or so.

[edgars]

Do you know that companies are paying top-dollar to have users like you try their products and services for free? At CashCrate, we pass that money on to you. Simply complete free offers and get paid without spending a Time!
its for free: http://cashcrate.com/1507202

[john]

find knew local

[Nike Shox Deliver]

Good blog. I reading your article with much more pleasure. So good you do. Go on writing and you will achieve what you want.