Postal Service Climbs Out of Debt (rate hike still coming in Jan 2006)

[UpInArms]

http://news.yahoo.com/news?tmpl=story&cid=513&e=9&u=/ap/20051206/ap_on_go_ot/postal_finances

WASHINGTON - The Postal Service is in a position not many Americans can claim: debt free. But even a projected surplus won't stop next month's postal rate increase, which the service says is needed to cover a congressionally mandated expense.

Once $11 billion in the red, the post office paid off the remaining $1.8 billion of its debt in 2005, postal Chief Financial Officer Richard Strasser said Tuesday.

It's the first time the Postal Service has been without debt since it was organized from the old post office in the 1970s.

Overall, the Postal Service finished fiscal 2005 with a $1.4 billion surplus on revenue of $69.9 billion and investment income of $86 million, minus expenses of $68.3 billion and interest of $265 million.

<snip>

And since January's increase is needed solely to cover the escrow requirement the agency is expected to announce another increase next year to take effect in 2007, to cover rising costs.

...more...

[preciousdove]

1. PO Clerk told a patron today they can't possibly give tape to everyone..

she needed some to close an envelope that the glue had failed on. Looked like she had about 20 Christmas cards to send and needed tape for one. People in line said that that tape would probably bankrupt the whole Post Office and everyone laughed.

Most POs here are good this one by my parents house is always undermanned and I think they put send the rejects there as clerks. It took the lady 10 minutes to process my two packages of Christmas Cookies I was sending to Iraq an effort started by another DUer.

[Mind_your_head]

2. The Post Office(s) in my town are really good

And the last time I was in there (a few weeks ago) I told the clerk so (that you all really do a GREAT JOB here - and thanks).

It's really nice to hear that there's at least ONE government agency out there that is responsible enough not to run in debt (and to have worked very hard, under difficult circumstances ~ competition from UPS, FedEx, and DHL, etc. ~ to actually run in the 'BLACK').

Good on you USPS!