U.S. Postal Service Ends Third Quarter with $5.2 Billion Loss
Despite continued success in generating new package delivery revenue, improving efficiency and reducing costs, large losses are expected to continue until legislative changes are made in line with the Postal Service Business Plan to return to financial stability. That plan includes measures that require urgent legislative changes, including:
- A refund of $11 billion of pension plan overfunding needed to pay down debt and invest for future growth
- Transition to a five-day schedule of weekly mail delivery
- The elimination of prefunding for retiree health benefits with the introduction of a Postal health insurance program, independent of the current federal programs.
“We remain confident that Congress will do its part to help put the Postal Service on a path to financial stability. We will continue to take actions under our control to improve operational efficiency and generate revenue by offering new products and services to meet our customers changing needs,” said Postmaster General and CEO Patrick Donahoe. “Moving forward with our business plan will make the Postal Service financially self-sustaining, provide a platform for future growth and preserve our mission to provide secure, reliable and affordable universal delivery services for generations to come.”
