Postal Service Warns of $22 Billion Hole From Coronavirus
The quasigovernmental agency, which operates as part of the executive branch, is asking Congress for financial support, even after the Treasury Department extended it a $10 billion loan and increased its annual borrowing limit under the Cares Act last month. The agency's Board of Governors has asked Congress to provide $25 billion in emergency funding, a $25 billion grant for modernization projects and access to $25 billion in Treasury loans.
"We are at a critical juncture in the life of the Postal Service," Postmaster General Megan Brennan said in a statement Thursday. "At a time when America needs the Postal Service more than ever, the reason we are so needed is having a devastating effect on our business." The Postal Service projects the pandemic to add $22 billion to the agency's continuing operating losses over the next 18 months, Ms. Brennan said. Mail volumes and purchases of the agency's services have plummeted with the mandated closures of businesses around the country. She said losses could hit $54 billion over the longer term and threaten the agency's ability to operate. Ms. Brennan delayed her retirement earlier this year during a search for a successor.
The quasigovernmental agency, which operates as part of the executive branch, is asking Congress for financial support, even after the Treasury Department extended it a $10 billion loan and increased its annual borrowing limit under the Cares Act last month. The agency's Board of Governors has asked Congress to provide $25 billion in emergency funding, a $25 billion grant for modernization projects and access to $25 billion in Treasury loans.
"We are at a critical juncture in the life of the Postal Service," Postmaster General Megan Brennan said in a statement Thursday. "At a time when America needs the Postal Service more than ever, the reason we are so needed is having a devastating effect on our business." The Postal Service projects the pandemic to add $22 billion to the agency's continuing operating losses over the next 18 months, Ms. Brennan said. Mail volumes and purchases of the agency's services have plummeted with the mandated closures of businesses around the country. She said losses could hit $54 billion over the longer term and threaten the agency's ability to operate. Ms. Brennan delayed her retirement earlier this year during a search for a successor.
Should have let them die a long time ago...
