USPS Generates Net Income of $6.2 Million in May

Share this article:

The U.S. Postal Service generated net income of $6.2 million before escrow allocation during May, according to financial and operating statements.

The Civil Service Retirement System Funding Act required the USPS to place $3 billion in an escrow account by Sept. 30, 2006, to cover the difference between the CSRS retirement costs before and after the law's implementation. The USPS said it is allocating $250 million monthly for purposes of reconciling its financial position.

After the escrow allocation, USPS' financial position for May shifts to a net deficiency of $256.2 million.

USPS revenue in May is 11.5 percent higher than the same period last year, and $66.9 million over plan.

Expenses in May are 7.7 percent higher than the same period last year.

Total mail volume in May was 1.3 billion pieces, or 8.0 percent higher than the same period last year. With the exception of Periodical Mail and International Mail, all of the major mail categories posted volumes above levels last year.

Year-to-date, net income before escrow allocation is $1.65 billion or $281.3 million over plan. Year-to-date, the net deficiency after escrow allocation is $354.4 million.

Year-to-date revenue is 3.8 percent higher than last year and is $411 million above the year-to-date plan.

Expenses year-to-date are 4.4 percent higher than the same period last year.

Year-to-date, total mail volume is 0.9 percent or 1.2 billion pieces above last year.

A significant mail volume increase over last year is in the Standard Mail category, which increased 1.4 billion pieces or 2.1 percent. Year-to-date, First-Class Mail volume is 0.6 percent less than the same period last year.

Share this article:

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in Direct Mail

Delivered: University of Chicago Mailers

Delivered: University of Chicago Mailers

What's in our mailbox this month: University of Chicago mailers. See which ones make the grade—and which ones, not so much.

Ricoh Strikes a Blow for Multichannel on a Small Scale

Ricoh Strikes a Blow for Multichannel on a ...

The company introduces a creative service to help print shops augment direct mail with email and pURL landing pages.

Delivered: Insurance Mailers

Delivered: Insurance Mailers

What's in our mailbox this month: Insurance mailers. See which ones cover all their bases—and which ones, not so much.