Post Office Closings

[W. Gray]

From CNN:

The US Post Office lost $5.0b in its FY 2007.
The US Post Office lost $2.8b in its FY 2008.
The US Post Office just reported that it lost $3.8b in its FY 2009.

The FY 2009 loss of $3.8b came despite reduction of expenses by $6.0b and elimination of 49,000 jobs. (Leaving 712,000 employees)

The US Post Office will propose dropping Saturday deliveries beginning with FY 2010. That will save $3.5b but will not be enough to put the organization into the black.

[Tobina+1]

I just asked Carolyn about this the other day, and she said she didn't see them dropping Saturday delivery service.  She said that they'd have to re-do all the delivery scheduling, and the delivery guarantees wouldn't work on things like Priority, etc.  Was this an official announcement?

[W. Gray]

US Postal Service Chief Financial Officer Joseph Corbett made the announcement in a conference call with "the media."

[W. Gray]

Apparently CNN is the only network carrying this item--and it is not readily handy on that web site this morning.

The bills applicable to the postal service for FY 2010 were passed by Congress last July, so any attempt to stop Saturday deliveries would have to be a new effort.

There appears to be no sentiment in Congress to do so.

And, this announcement could be an attempt by the postal service to warn Congress or to get Congress to cover some of its payroll expenses.