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U.S. Postal Service: Deteriorating Postal Finances Require Aggressive Actions to Reduce Costs: Congressional Testimony
Phillip Herr (au)
In Dec. 2006, the USPS had just completed FY 2006 with its largest mail volume ever -- 213 billion pieces of mail and a net income of $900 million. Two years later, USPS's mail volume dropped almost 5% -- the largest single-year decline. USPS was facing a potential net loss of over $1 billion for FY 2008. USPS anticipated continued deterioration due to the econ. slowdown, as the financial, credit, and housing sectors are among its key bus. drivers. The shifts in transactions and messages from mail to electronic commun. and from advertising mail to electronic media have affected the USPS's financial situation. This testimony focuses on: (1) USPS's financial condition and outlook; and (2) options and actions for USPS to remain financially viable. Illus.
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