USPS Starts Fiscal Year 2011 With $283 Million Net Profit

November 25, 2010 by
Filed under: financial statements, postal, postal finances, postal news, PRC, usps 

The US Postal Service yesterday filed its first month of the 2011 fiscal year (unaudited) preliminary financial report with the Postal Regulatory Commission. USPS reported a net profit of $283 million. This same period last year saw a $221 million net loss.

Total Mail Services Volume was up 5.0%, revenue down 1.7%
Total Shipping Services volume was down by 2.4%, revenue down 0.2%
Total Mail volume was up by 5.0%

First class volume down 6.2%, revenue down 5.4%
Stand Mail volume up by 15.6%, revenue up 11.4%

Total Workhours was down 6.0% (City Carriers 4.8%, Mail Processing, 7.0%, Customer Services 11.0%, Rural Delivery down by 3.0%, Other down 5.7%)

see full report via PRC

Comments

18 Comments on USPS Starts Fiscal Year 2011 With $283 Million Net Profit

  1. Jfa on Thu, 25th Nov 2010 9:08 am
  2. Wow….where did they find someone honest with giving the right numbers…from billions lost to millions in profit….

    AMAZIN…..!!!

  3. T.J. on Thu, 25th Nov 2010 9:13 am
  4. NOW THAT POTTER IS OUT OF THE PICTURE, AND 5 DAY DELIVERY WILL STAY, PROFITS WILL COME EVERY MONTH. CUT POSTAL MANAGEMENT AND YOU WILL SEE BIGGER GAINS.

  5. rick on Thu, 25th Nov 2010 12:52 pm
  6. It is amazing once an organization is investigated and Congress creeping all over the place, OIG reviewing books, the APWU engaged in battle and with a wealth of information at hand..just what comes out of the cracks. Squeeze them hard enough and it oozes out the seams. This is what I always felt was the case. People, cuts did have to be made, the USPS was wasteful in the past with no idea how to reign it all in. The immediate remedy was close plants and excess employees, that’s the panic button…. the long term was create another financial model, they just couldnt pull it together fast enough to answer anyone, and they so hoped the public would see them (USPS) as a victim, not the negligent perpetrator. But its coming as you will know from this article. Theres more, just watch.

  7. omalley on Thu, 25th Nov 2010 2:48 pm
  8. Isn’t it funny when you read the work hours that were cut that they are all craft employee hours. How about trimming the fat that doesn’t move any mail. Also when I say this article on the postal reporters website I had to laugh because when I went to this site this morning it reported that executive bonuses will now be based on the USPS finances. Hmm, didn’t take them long to cook the books. A few hours later they are millions in the black. THIEVES !!!!!!!

  9. obiewan on Thu, 25th Nov 2010 10:08 pm
  10. From what I’ve heard, every department in the Postal Service has reduced hours except Headquarters.

  11. Reality on Fri, 26th Nov 2010 3:53 am
  12. TJ,
    The Post Office has 6 day delivery.

  13. Ben Franklin on Fri, 26th Nov 2010 7:22 am
  14. You can thank the summer sale for mailers, as they came back to the postal service, mail volume grew, and suprisingly so did revenues. We don’t need a rate increase, we need a rate cut. Simplify the rate charts for Bulk Mail, STD mail, and for the normal customer and you will see volume increase as well as revenues. The shaped base pricing structure introduced at the begining of the massive losses caused customer confusion and drove them to alternate sources. As with all market based economys, the Postal Service needs to look at the Law of Supply and Demand – price yourself where your customers are willing to pay and your business will grow. Overprice your services and your business will disappear.

  15. uncommonsense on Fri, 26th Nov 2010 7:26 am
  16. This is an election related blip. Nov will probably be decent too. but then……..

  17. Grateful Manager on Fri, 26th Nov 2010 10:35 am
  18. Someone should read omalley the report. Management hours were cut 5.7%. That’s a larger percentage than the city carriers.

  19. SNILES on Sat, 27th Nov 2010 9:09 am
  20. IT’S AMAZING WITH THE RECORD LOSSES . THAT POSTAL MANAGERS WERE ABLE TO GIVE THEM SELVES RECORD BONUSES FOR THE PAST YEAR. FOR WHAT? FOR BEING INCOMPETENT?GET RID OF MORE MANAGERS AND WATCH PROFITABILITY RISE.

  21. my name on Sat, 27th Nov 2010 11:47 am
  22. Why do craft employees always thing mangement is the problem? Have you looked at your union lately? Filing petty grievances to get free money for prople that don’t want to do the work anyway; when the PO has been nickle and dimed to death by the unions and no one has a job will you be happy then? I know plenty of people who would gladly take a postal job and do the work without complaining just to be employed.
    Oh yeah, and how many craft employees could I find in the parking lot ON THE CLOCK (aka stealing from the government)… but mangers are the crooks right?

  23. beth on Sat, 27th Nov 2010 3:57 pm
  24. Dear myname, When they “cut” management all they do is shuffle supervisors around. If they end up in a lower position it doesn/t matter, because they have saved grade. Also it’s becoming rather trite to blame the Union. Management continuelly violates the Collective Bargaining Agreement. When they lose and pay out management turns around and does the exact same thing again! With out the Union (APWU) craft individuals would be totally unprotected from the supervisors who become petty tyrants when given such a small amount of power. If management didn’t break the CBA the union wouldn’t have to file grievances. It’s sad, but I don’t see it changing any time soon.

  25. Harry Potter on Sat, 27th Nov 2010 4:57 pm
  26. WOW ! Just in time for Bonuses……..

  27. To: My Name, on Sat, 27th Nov 2010 6:49 pm
  28. Isn’t it time for you to get a new pair of knee pads???? Management steals all of the time, first of all you’re all over paid for doing NOTHING, except helping DESTROY the USPS, you let the 204B’s come in,so they can do your work , while YOU TAKE OFF WITH YOUR “WORK SPOUSE,” (wink- wink) and when things go bad you wipe your butts on them, but when things go good, thanks to craft and maybe them, YOU get the BOUNES? (PAY FOR PERFORMANCE) or should I say lack of.. Everyone knows why most of you go into management, because you are LAZY, and don’t want to work, so shut the hell up!!

  29. bestcarrier on Sat, 27th Nov 2010 7:33 pm
  30. Tend to agree there has been some number crunching by mgmt. If we really dissect the numbers given the fit is OK but not completely accurate. There is a 500 million change (+) in profit. ( -221 to +283 = 504) Work hours are down 6%. Labor is about 75% of gross, 75x approx 80 billion gross = 60 billion for labor, about 5 billion per month. 6% reduction of 5 billion is only 300 million.

    The carrier that broke me in always says the USPS likes to use numbers to make their point at key times. Let’s face it; they can’
    t manage but they are the largest number crunchers in the world!

  31. Mailman on Sun, 28th Nov 2010 7:39 pm
  32. Interesting that on the same day that Harry Potter and his Forty Thieves come up with a policy that future bonuses are tied to USPS finances, that – suddenly – the USPS has a profit…………………

    Things that make you say “Hmmmm……………..”

  33. TB on Tue, 30th Nov 2010 1:17 am
  34. To the obnoxious and probably incompetent manager who blames the union for “petty grievances” and “people in the parking lot when they are supposed to be working.”

    Stop being a cry baby. If the Union is winning any grievances, it’s because you have no idea what your collective bargaining agreement and Local MOU cover If you had 1/2 a brain, you would competently manage withing the guidelines that you are given, or resign your position and return to honest work.

    Most managers I know have no idea what the contract says on any particular issue until they trample on it and get creamed with grievances. Then they clean it up for a short while and return to the same behavior that landed them in a sling in the first place. If it’s real bad, they find you a new area to screw up in and send over some new supervisor to fould up the old one. Step up, educate yourself on the legal way to do things and manage like they pay you to. If anyone is overpaid for not doing what they are supposed to, look in the mirror.

  35. Lee on Sun, 5th Dec 2010 1:30 am
  36. My experience is certain SDO’s, at least in Omaha PD&C, purposely violate the contract. That’s when I file a grievance. Having a mailhandler sort the mail from a pallet onto nuttings for example, instead of having the mail thrown onto the supposedly Low Cost Tray System. And this SDO has had so many grievances and harrassment charges filed against him, there aren’t too many places in the plant he can be moved to! As for some other SDO’s it’s sad when the MDO and an SDO from another area have to come by and check on your DIOSS or DBCS to see if you need help getting the mail out on time, when the SDO in charge of that area is clueless after two years in the position, doesn’t even know the dispatch times! But I do admit, we do have one good SDO who gets it, and one decent MDO who also knows the priority is getting the mail out on time and knows what it takes to do that. And these good ones also know the contract and how things are supposed to work.