34.7 F
Fort Worth
Thursday, January 28, 2021

Postal Service: More red ink, missed payments as mail slumps

WASHINGTON (AP) — The U.S. Postal Service is warning that it will likely default on up to $6.9 billion in payments for future retiree health benefits for the fifth straight year. It is citing a coming cash crunch that could disrupt day-to-day mail delivery.

The post office says it expects cash balances to run low by October. Postmaster General Megan Brennan stressed an urgent need for federal regulators to grant the Postal Service wide freedom to increase stamp prices to cover costs. She points to continuing red ink due to declining first-class mail volume and the expensive mandates for retiree benefits.

The Postal Service on Thursday reported a quarterly loss of $2.1 billion, compared to a $1.6 billion loss in the same period last year. That came despite double-digit growth in package delivery.

Related Articles

Our Digital Sponsors

Stay Connected

7,352FansLike
1,942FollowersFollow
11,787FollowersFollow
80SubscribersSubscribe

Latest Articles

Get our email updates

Stay up-to-date with the issues, companies and people that matter most to business in the Fort Worth.