The Post Office’s Books Are a Black Hole

Letter to the Editor

Your excellent article, “A first-class crisis in the making,” (April 11) made no mention of the fact that USPS has over $70 billion dollars in unfunded liabilities – mostly money promised to employees in retirement and health benefits. The USPS doesn’t have that money. And a massive taxpayer bailout may be required down the road.

Another critical problem facing USPS is its inability to improve financial transparency. In 2004, the Postal Service had $69 billion in revenue and $66 billion in costs. Where did that $3 billion of income come from? Nobody really knows. With only 60 percent of costs directly accounted for, it’s virtually impossible to know where the organization is losing or making money. If USPS is to become more efficient, it must provide more accurate accounting.