Chief Financial Officer Joe Corbett reviews the Postal Service’s latest in a “Dollars and Change” video released this week.
During fiscal 2019’s second quarter (Jan. 1-March 31), USPS recorded revenue of $17.5 billion. Operating expenses were $19.6 billion, leaving the organization with a net loss of $2.1 billion.
Several factors contributed to the net loss, including increases in salaries and benefits and higher transportation costs.
Corbett reports USPS is managing its business by delivering reliable service, making it easier for customers to track their mail and packages, and offering competitive pricing, among other measures.
“We continue to focus on actions we can take under current laws and regulations to grow revenue and reduce expenses, but our current business model does not provide the needed flexibility to effectively respond to ongoing volume declines for the Postal Service to remain financially stable,” he says.
The organization’s financial problems are “serious but solvable through ongoing aggressive management actions combined with urgently needed legislative and regulatory reforms,” Corbett says.
He concludes by thanking employees for their “active involvement in managing the levers we can control.”