Last Time I checked, UPS and FedEx were profitable companies...
Yet the USPS - The Postal Service is continuing to hemorrhage money, reporting a loss Tuesday of more than $2 billion over the first three months of the year and warning it could be forced to default on federal payments. Such a default would not interrupt mail service to millions of Americans, but it could further hobble an agency struggling with a sharp decline in mail because of the Internet and a tough economy.
The U.S. Postal Service is losing money so quickly you'd think it somehow got mixed up in the subprime mortgage business. It's on track this year for an operating loss of between $6 billion and $12 billion, debt surpassing $10 billion, and a $1 billion cash shortfall. For any business, those are some ugly numbers. . . . The post office has a government guaranteed monopoly on first class mail, but even with a monopoly it can't make money. But here's how the USPS is not treated like everyone else: It's exempt from taxes and antitrust law.
No one else is allowed to deliver first-class mail. Those are advantages, but on the other hand USPS is subjected to constant meddling from Congress -- for instance, the postmaster general Jack Potter has to ask Congress for permission to reduce a six-day delivery schedule to five in order to save money. And these same politicians get an earful from constituents anytime a local post-office branch, no matter how unprofitable for the USPS, is threatened with closure. . . Read More at CNN Money What recession? US Post Office Gives Out 3 1/2% raises even though it's $34 billion in debt
US Postal Service: a public Employee Pension and healthcare management organization that delivers mail on the side with a large $33.5 billion Deficit.
Read more here
The U.S. Postal Service is losing money so quickly you'd think it somehow got mixed up in the subprime mortgage business. It's on track this year for an operating loss of between $6 billion and $12 billion, debt surpassing $10 billion, and a $1 billion cash shortfall. For any business, those are some ugly numbers. . . . The post office has a government guaranteed monopoly on first class mail, but even with a monopoly it can't make money. But here's how the USPS is not treated like everyone else: It's exempt from taxes and antitrust law.
No one else is allowed to deliver first-class mail. Those are advantages, but on the other hand USPS is subjected to constant meddling from Congress -- for instance, the postmaster general Jack Potter has to ask Congress for permission to reduce a six-day delivery schedule to five in order to save money. And these same politicians get an earful from constituents anytime a local post-office branch, no matter how unprofitable for the USPS, is threatened with closure. . . Read More at CNN Money What recession? US Post Office Gives Out 3 1/2% raises even though it's $34 billion in debt
US Postal Service: a public Employee Pension and healthcare management organization that delivers mail on the side with a large $33.5 billion Deficit.
Read more here
