Thursday, February 10, 2011

First quarter loss announced

According to a press release, USPS announced a $329 million loss for FY11 Q1, compared to the $297 million for FY10 Q1.

* Without the retiree health benefit payment and noncash adjustment of workers’ compensation, USPS would have made $226 million for the first quarter.
* It reduced workhours by 6.4 million in Q1, equal to 3,600 full time equivalent employees.
* USPS ended the quarter with 578,292 employees, a reduction of 5,616 employees.
* Total mail volume increased by 707 million.
* Mailing services volume grew by 1.5 percent from the same period last year, while mailing services revenues declined. According to the USPS, “the increase in revenue from Standard Mail was not sufficient to offset the loss of revenue from the reduced volume of First-Class Mall.
* USPS’ liquidity concerns remain for FY11. Without some legislative action USPS will not be able to meet all of its financial obligations, including the retiree health benefits payment due on September 30, 2011.

What's your thought on this? Comment here.


Anonymous said...

I think this is just adding fuel to the fire. CID has had us collecting and turning in data that obviously they are going to use to hang us. I think a lot of us are going to see our offices, consolidated or closed in the coming 2 years and many of us are going to lose our jobs.

grannybunny said...

Congress needs to act. Without the accelerated prefunding of employee health benefits and the huge overfunding of our CSRS and FERS funds, USPS would be doing fine.