The US Postal Service says it lost $2.2 billion in three months.
AP News reports that the U.S. Postal Service lost $2.2 billion in the three months that ended in June as the beleaguered agency, piling up financial losses that officials warn could top $20 billion over two years.
But the new postmaster general, Louis DeJoy, disputed reports that his agency is slowing down election mail or any other mail and said it has “ample capacity to deliver all election mail securely and on time” for the November presidential contest, when a significant increase in mail-in ballots is expected. “Our financial position is dire, stemming from substantial declines in mail volume, a broken business model and a management strategy that has not adequately addressed these issues,″ DeJoy told the postal board of governors at a meeting last week. “Without dramatic change, there is no end in sight.″
Without an intervention from Congress, the agency faces an impending cash flow crisis, he said. The Postal Service is seeking an infusion of at least $10 billion to cover operating losses as well as regulatory changes that would undo a congressional requirement that the agency pre-fund billions of dollars in retiree health benefits.