The U.S. Postal Service said it lost $3.1 billion in the third quarter and warned a default on federal payments was possible without congressional action.
The third-quarter financial statement reflected the “anemic state of the economy” of the past three months and the growth of electronic communication at the expense of first-class mail volume, the USPS said Friday in a release.
Net losses for the nine months ended June 30 amount to $5.7 billion in 2011, compared with $5.4 billion in 2010, USPS officials said. Total mail volume was 39.8 billion pieces for the quarter, compared with 40.9 billion pieces in the third quarter of fiscal year 2010.
Despite efforts to reduce costs and grow revenue, projections indicate the service would have a cash shortfall and reach its borrowing limit by the end of the fiscal year, officials said. If Congress doesn’t act, the USPS will be in default on payments to the federal government.
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One Response
If they would charge junk mail the same rate as first class, they could kill two birds with onw stone.
1. They would make alot more money
2. My mail box would have alot less clutter.