Reported losses of two billion dollars in the most recent quarter don't mean your local post office is going to close any time soon. Art Sackler is co-manager of the Coalition for a 21st Century Post Office. He says the vast majority of Americans don’t want to give up their post offices, despite e-mail and other alternatives.
“When, for example, the post service wants to do away with Saturday delivery,” Sackler says, “the amount of communications which hit congressional offices is off the charts.”
Sackler points out that fixed expenses like retiree health benefits caused the losses. With increasing volume and cuts in overhead, the U.S. Postal Service actually saw a slim two-percent increase in operating revenue for April through June.
Retired postmaster Mark Jamison says the losses were caused by fixed expenses, like five-point-seven billion dollars to pay for health benefits for future USPS retirees.
“So, the whole two billion dollars were things that weren't actually cash losses,” Jamison says. “Operations broke even.”