USPS Defaults On Another $5.6 Billion Payment

[mrjarrell]

This makes twice they've defaulted now. Things are going downhill and it's their pension system that's dragging them under. Lots of companies and the government are going to feel that particualr pain in the coming years. Too many pensions and not enough income to cover them. Well, I guess they can just continue to jack up prices and taxes. They can always get more out of us. Like we have a choice.

USPS Defaults On Another $5.6 Billion Payment But Assures Customers It’ll Be Business As Usual

 

[ZombieApocolypse]

Yeah, i just defaulted on a $10,000 credit card debt and asked the company to raise my credit ceiling, guess what the reply was?

 

[RockofStrength]

Yeah, i just defaulted on a $10,000 credit card debt and asked the company to raise my credit ceiling, guess what the reply was?

Just a guess

 

[melensdad]

The Postmaster General has BEGGED Congress for the authority to close some of the smaller post offices, BEGGED Congress to be allowed to reduce service to 5 days a week, BEGGED congress for permission to streamline operations.

EACH TIME he has come up against the Postal Union and their buddies in the Democratic Party (and some RINOs) who have bocked EVERY ATTEMPT to save money because it would lead to reduced numbers of postal workers.

 

[Frankingun]

My nephews uncle from his moms side is a small town postmaster. He's looking at either unemployment or doing the same job for half the pay.

 

[hooky]

The Postmaster General has BEGGED Congress for the authority to close some of the smaller post offices, BEGGED Congress to be allowed to reduce service to 5 days a week, BEGGED congress for permission to streamline operations.

EACH TIME he has come up against the Postal Union and their buddies in the Democratic Party (and some RINOs) who have bocked EVERY ATTEMPT to save money because it would lead to reduced numbers of postal workers.

I'd like to say I'm amazed that this is the case, but I can't.

Who gets something on Saturday that couldn't have waited until Monday?

 

[rambone]

One of their brilliant solutions is to increase the amount of junk mail being delivered.


More Junk Mail: Postal Service's Latest Attempt To Fix Budget - ABC News

 

[poptab]

This reminded me of this

[ame]http://www.youtube.com/watch?v=xoSiA_eAZJg[/ame]

 

[melensdad]

One of their brilliant solutions is to increase the amount of junk mail being delivered.


More Junk Mail: Postal Service's Latest Attempt To Fix Budget - ABC News

From the use of logistics standpoint that actually is a brilliant solution. It would utilize the capacity to a higher extent. The routes are already running, trucks are already rolling. The more they put on the existing routes the closer to profit they will get.

You may not like junk mail but it is a fiscally responsible way to pull the USPS out of bankruptcy.

 

[45fan]

The Postmaster General has BEGGED Congress for the authority to close some of the smaller post offices, BEGGED Congress to be allowed to reduce service to 5 days a week, BEGGED congress for permission to streamline operations.

EACH TIME he has come up against the Postal Union and their buddies in the Democratic Party (and some RINOs) who have bocked EVERY ATTEMPT to save money because it would lead to reduced numbers of postal workers.

Things like this are what almost make me ashamed to be a part of a skilled trades union. The original intent of the unions were to make it possible to make a fair living for an honest days work. For some reason that has translated over the years to whatever we can squeeze out of the employer. The position the Postal system is in now is so dire that they have to make drastic cuts to keep things from folding completely, when smaller concessions years ago may(probably would have) put the postal service in a much more fiscally responsible position today.

 

[KPierce]

From the use of logistics standpoint that actually is a brilliant solution. It would utilize the capacity to a higher extent. The routes are already running, trucks are already rolling. The more they put on the existing routes the closer to profit they will get.

You may not like junk mail but it is a fiscally responsible way to pull the USPS out of bankruptcy.

Normally I agree with you on most things, but have to disagree with your assessment here. The article starts that the increase in junk mail will generate an additional $4.7 million and $15 million in new revenue.

Now it was not stated in the article what the time length on that new revenue is, ie by the week, month, or year. But lets be super optimistic and use that as the daily revenue and lets also assume that next year they will continue to deliver mail 6 days a week. at 312 days next year this will only generate $4.68 billion additional revenues next year.

But as they have defaulted on a $5.5 billion pre-payment in August and will be defaulting again on another $5.6 billion this month; that will put them in default on a total of $11.1 billion so far this year. The $4.68 billion I arrived at in the previous paragraph will help. But it will not prevent them from future defaults.

I agree that every thing they can do can help. But there a lot of things that need to be some major changes in order to bring them back to a sound financial base.

 

[gvsugod]

I have been saying for years that they need to close the USPS and contract mail delivery out to private companies on 10 year contracts.

I have no numbers to say how much the govt would save but I imagine its better than what we have now.

 

[poptab]

I have been saying for years that they need to close the USPS and contract mail delivery out to private companies on 10 year contracts.

I have no numbers to say how much the govt would save but I imagine its better than what we have now.

Why contract out mail delivery at all? Private companies already do a beter job at no cost to taxpayers.

 

[CampingJosh]

I get at least 6-10 pieces of mail daily year-round, and during my busy season it's well over 100 daily. And in all that, there is nothing that couldn't be done far more efficiently electronically.

 

[TopDog]

Come on people lets all ban together and help the poor post office.
When you get junk mail, open it. Take off any identifying marks from the junk inside. Make sure take your name and address off also. Put all the crap back in the provided envelop and send that crap back. The people that send the junk mail will then be paying for it both ways. Do the right thing.

 

[tirebay1997]

You can blame Ben Bernanke for the pension problems. In a world of 0% interest, pensions are screwed. If a pension fund doesn't get at least a 6-8% yield, it's toast.
If you're under 50 and are counting on a pension, plan accordingly.

 

[melensdad]

Normally I agree with you on most things, but have to disagree with your assessment here. The article starts that the increase in junk mail will generate an additional $4.7 million and $15 million in new revenue.

. . .

I agree that every thing they can do can help. But there a lot of things that need to be some major changes in order to bring them back to a sound financial base.

Actually I think we do agree.

I did not mean to imply that delivering junk mail would solve all their problems. In my earlier post I made it very clear that the Postmaster General has been begging Congress to allow him to do what is necessary and has been denied the ability to do it.

The only solution left is to increase the amount of mail. The reality is that many of us are paying bills electronically, no longer sending post cards from vacations, no longer mailing Christmas cards, etc. So what can the post office do? It can work to push more 'junk mail' through the system. Will that SOLVE the problems, nope. Will it help? Yup. Now if you combine that with some sensible cuts to service, reign in the pension costs, etc and then the post office can get its fiscal house in order.

Unfortunately the Democrats in Congress, with their Union buddies, and a small number of compliant RINOs have prevented the Postmaster General from making the necessary changes, closing some underused post offices, eliminating Saturday routes, etc.

 

[Prometheus]

Actually I think we do agree.

I did not mean to imply that delivering junk mail would solve all their problems. In my earlier post I made it very clear that the Postmaster General has been begging Congress to allow him to do what is necessary and has been denied the ability to do it.

The only solution left is to increase the amount of mail. The reality is that many of us are paying bills electronically, no longer sending post cards from vacations, no longer mailing Christmas cards, etc. So what can the post office do? It can work to push more 'junk mail' through the system. Will that SOLVE the problems, nope. Will it help? Yup. Now if you combine that with some sensible cuts to service, reign in the pension costs, etc and then the post office can get its fiscal house in order.

Unfortunately the Democrats in Congress, with their Union buddies, and a small number of compliant RINOs have prevented the Postmaster General from making the necessary changes, closing some underused post offices, eliminating Saturday routes, etc.

The post office is taking 8 days to deliver first class mail now. EIGHT DAYS.

My girls wanted me to mail them a letter or post card from TX last month. I sent it the day I arrived, a Monday, it was postmarked Aug 20th in TX. They received it Aug 28. No holidays during that time period either.

We went camping a few weeks ago and I ordered a new tag for my dog. Post marked Sept 11. I got it on the 19th.

Let private companies compete and deliver mail.

The government can't do anything right.

 

[melensdad]

Let private companies compete and deliver mail.

The government can't do anything right.

PRO, I don't dispute ANYTHING you wrote, but remember the PostMaster General has been asking for permission to fix things and run the Post Office like a real business, but its CONGRESS that forbids him from doing so.

You want to let private companies do the job . . . but Congress won't even let the PostMaster begin the process of operating like a private company.

 

[TopDog]

All I know is that when the problem is not enough people are using your service you dont raise prices, that is not how you encourage customers to use your products. It just cracks me up. The post office complains they are not making enough money because they have lost business to the private sector and the internet. So what is their solution? Raise the price of postage, yeah that will fix it. Here is an idea, how about we make the post office more efficient. Closing some smaller post offices will help but that is only a start.