USPS loss for FY 2009 tops a billion, January mail volume down 16%
In a filing with the Postal Regulatory Commission this week, the USPS announced a $751 million net loss for the month of January, almost double the $384 million lost in the first three months of the fiscal year which began October 1, 2008. That puts the estimated year to date loss at over $1.1 billion with eight months still to go in the fiscal year. It also announced that mail volume in January was down 16% from January 2008. That seems to indicate that the drop in volume is accelerating, as volume in the first three months was down 9.3%.
The text of the 8K report:
The U.S. Postal Service (USPS) previously announced a loss for the quarter ending December 31, 2008, in an 8K filed on February 9, 2009. USPS discloses that its unaudited January 2009 financial results were an estimated $5.80 billion in revenue and $6.55 billion in expenses, resulting in an estimated net loss of $751 million. This loss compares to a loss of $44 million in January 2008, which resulted from total revenue of $6.58 billion and total expenses of $6.62 billion. Mail volumes declined by over 16% in January 2009 from January 2008. The January results continue to illustrate that the downward pressure on the Postal Service business continues into 2009.
February 21st, 2009 16:16
The usps normally takes in 25% of its total revenue in december. Chew on that for awhile!
February 21st, 2009 17:57
its no joke, i’m delivering my route with little or nothing in my bag.
February 22nd, 2009 14:35
I can case my route and put everything up in 30 mn.
I don’t see any sign that mail volume will pick it up very soon, probably never.
February 23rd, 2009 19:43
The USPS is loosing money and volume faster than it can compensate. It must do something fast to help stop the bleeding. There needs to be action to get the 5 day delivery week going and stop the excess spending. We have a large fleet of vehicles that can run on compressed natural gas, but we cannot use CNG because the USPS did not plan for the upkeep!! The usps needs to be smarter in way it conducts day to day operations. Plan for the next quarters short falls. Get rid of the top heavy managment. Stop paying all this higher level for people to just carry around clipboards and do nothing to help process and deliver the mail.
February 23rd, 2009 20:41
If usps is losing so much money, then why is it taking Congress so long to do something about it. Maybe President Obama needs to step in and get rid of the red tape and let P.O. go to a 5 day work week before we go under.
February 23rd, 2009 20:41
I agree with blind leader. Something has to be done quick.. This organization is very top heavy. Everybody wants to be a boss. Cut down on management then maybe we will see some improvement.
February 24th, 2009 17:48
Can someone tell me why the postal service refused to give a buyout to the to those people thats under the CSRS? I THINK those people cost the USPS the most money in pay and benifits. If the usps did the math they will see just how much money they will save if they buy them out.
February 25th, 2009 20:00
Paul, it is plain and simple. If they give CSRS a buy out, it will show that someone is thinking and wanting to do the right thing!! We cannot have that now can we! If they did that we might not be able to cry about the billions we are loosing, and not be able to harrass the craft as much! The usps will save so much in the long run, it would be staggering and help keep the USPS running and doing what it needs to do. That is deliver the mail at an affordable price! Imagine that! Yea, take the VERA carrott they dangled in front of all those employees. What a joke, lets see. You are getting older and close to an actual retirement. Oh lets just kick them on the way out too. You work for the same company for years and have pride in what you do, only to be cast out like an old rug!
May 16th, 2009 18:05
Surely the nearly 700,000 of us can do something collectively to raise revenues