USPS starts fiscal year with a $112 million profit from operations

Despite the cries of bankruptcy from right wing politicians, the US Postal Service earned a profit of $112 million from its operations in October, despite a 5% drop in revenue, and a 10% drop in total mail volume compared with October 2010.

Unfortunately for postal workers and their customers, however, the accounting gimmicks enacted into law by Congress and the Bush Administration in 2006 require that the USPS hand that profit over to the Treasury. Not only that, but the USPS is required to borrow another $350 million from the Treasury, so that money can also be handed back to the Treasury for the so-called “trust fund” for potential future retiree health benefits.

The end result of all of this politically inspired money shuffling is that the postal service is forced to book a net loss of $139 million. From the politician’s point of view, it’s a win-win situation- each month, the gimmickry shifts another half billion dollars of the national debt “off budget”, to the USPS; and it matches the story people like Darrell Issa and Dennis Ross like to tell about bloated bureaucracies and overpaid workers.

We just can’t have a unionized government run operation making a profit, can we?

USPS Preliminary Financial Information (Unaudited).

  • hypenspin

    It’s a sad state. Who will hear or see this message.
    Go tell it on on the mountain. Let the truth be known.

  • postman

    did everyone just figure this out? we do make a profit and they take it. who gets the interest off this money thats for future retires?

  • gj

    unfortunately, the workers that the plubic see are thought of as over paid and that why the usps is in the red. xxx i think we all need to read the article dated 11-27-11 about top execs earn more the cabinet secretaries xxx i think who or whom set these pay package may need to be replaced. action like this make usps look like the banks,auto, and insurance companies. cry broke but give unbelievable bonuses to top execs.the article dated 11-27-11 should be posted and run in every news paper around the world so the public understand what realy going on

  • HAYWOOD JABLOME

    Politician’s………..nothing but a bunch of Nazi’s………do you hear me assa?

  • pstlwrkr479

    The USPS is a cash cow for the US Treasury, plain and simple. Before long the PMG will be eating fillet mignon and the employees will be in the food lines…

  • Maciej Pachnik

    Its all about numbers. Customer Service, Quality Service, & Love do not matter anymore.

  • bob komar

    The more of a profit the po makes,the pmg and his cronies will find a way to P- -S it away on meetings held at 4 star hotels and talk about making money for the po..selling cards,ornaments and 50 different ways to sell priority mail for the same price.Then having their lobster and chateaubriand.The public if they want to keep the po must demand someone with business sense, RUN THE POSTOFFICE

  • crazy

    Better watch it everyone, whether labor or management, on your comments. The USPS wants to have the ability to terminate employees for any negative comments made about the USPS, even though most of your comments are good ones. Blame Congress. They are the ones causing all the mess, forcing the USPS to make bad decisions about the service as a whole.