Postage Increase Imperils Wisconsin's Printing and Paper Industries

Wisconsin's paper mills and printing press operators, collectively the single biggest industrial sector in the state, suffered a setback Thursday when a U.S. Senate committee advanced legislation that would make permanent last month's temporary 4.3 percent increase in postal rates.

The increase, which went into effect Jan. 26, originally was meant as a two-year emergency reprieve to stabilize the U.S. Postal Service, which has been bleeding losses in the tens of billions of dollars over the past seven years.

The Senate committee approved a price shock that adds another twist in a downward spiral, said Joel Quadracci, chief executive of Quad/Graphics