USPS Hires Banking Advisory Firm to Help With Restructuring Business Model

Statement on Retention of Evercore Partners

The U.S. Postal Service must make fundamental changes to its business model to return to profitability and continue its mission of providing quality service to every address in the nation. Proposed changes include operational, compensation and benefits changes to reduce Postal Service annual expenses by $20 billion by 2015.

The Postal Service has hired Evercore Partners to review and advise the Postal Service on the ongoing restructuring of its business model. Evercore Partners has assisted other large, complex organizations experiencing financial challenges, including auto and other transportation companies.

Evercore Partners is a leading publicly-traded independent investment banking advisory firm that is recognized as an industry leader in advising clients on financial restructurings and other strategic transactions.

The Postal Service receives no tax dollars for operating expenses and relies on the sale of postage, products and services to fund its operations.

20 thoughts on “USPS Hires Banking Advisory Firm to Help With Restructuring Business Model

  1. Where did the USPS get the money to hire an investment firm if it says it is broke. Why are the Postal low-life upper tier managers trying this back door tactic. Why don’t they just be man enough to come out in the open and say they are privatizing the P.O.

  2. 2001 – Potter Creates the Mail Industry Task Force (MITF) with DPM Nolan and Pitney Bowes CEO Critelli co-chairs creating a platform for Postal Reform (Privatization).
    2002-Critelli becomes Council President of the Mail Industry CEO Council (MICEO), allowing MICEO to lobby MITF which is championing Postal Reform (Privatization).
    2002 – Nolan praises the work of the MICEO giving tacit USPS approval to Postal Reform (Privatization) ideas submitted therein.
    2002 – Potter submits USPS Transformation Plan to Congress which was chock full of short- and long-term options for change in USPS operations and delivery practices, and was a partial basis for the landmark Postal Reform and Accountability Act (H.R. 6407) passed in late 2006.
    2005 – Mail Express, Inc. a startup business-to-consumer lightweight package delivery company is created. (In 2010 renamed Streamlite, Inc.)
    2005 – USPS Board of Governors Attacks Union Pay and Benefits.
    2006 – Nolan and Critelli tout the importance of their Postal Reform (Privatization) plans.
    2006 – Nearly dead H.R. 6407 rises, Lazarus-like, and somehow crawls onto the desk of Pres. Bush to be signed into law on Dec. 20.
    2006 – H.R. 6407 the Postal Accountability and Enhancement Act (PAEA) includes “pay for performance” language that enhances Potter’s retirement package (Super-size me, please), while saddling the USPS with 5.5 Billion dollar prefunding leading to present day fiscal insolvency.
    2007 – Nolan who co-chaired the MITF from 2001 to 2006 leaves the USPS for Mail Express just three months after passage of H. R. 6407. Gail Sonnenberg also leaves USPS for Mail Express (According to Streamlite, Inc. Sonnenberg is credited with establishing “pay for performance” during her tenure as Vice President of Human Resources at USPS). 2010 – Dec. 3, Potter retires with a 5.5 Million retirement package, enhanced by the PAEA, and “Pay for Performance” bonuses.
    2010 – Pitney Bowes spends one million lobbying the Post Office and another million lobbying the Postal Regulatory Commission.

  3. Evermore: As a Window Clerk I give 100% everyday. Mangement is the problem. We never have enough clerks in the window at major times when customers get off work. The managers have been made aware of this and have actually watched the disaster unfold and customers leave instead of waiting in line with only one clerk at the window and one clerk in doing passports. They have actually said that they really do not care. The comments from the customers are getting nasty and it is upsetting to be the only clerk at the window at crucial times with no support from upper management. We have also asked what the plans are for Christmas and we are told “nothing has been decided yet”. Well it is almost here and the customers are nasty now. What the hell is going to happen in December? It really BLOWS!!!!

  4. If you want to know what the USPS is reeally up to, I suggest you read chapter two
    Of “Retirement Hiest” by Ellen Schultz. When will we wake up??? Educate yourself
    People; That’s what they fear most!!!

  5. Say good by to your privacy, they will know everything you buy,pay for and are interested in go Patriot Act. It started a long time ago. Turn it into the Corporate Communism store one stop for what we know you need.


    #1 Stop acting like spoiled brats.

    #2 Your not a private business and will never be one. Your a government service

    #3 Unload half of your management

    #4 Offer a years pay and three years service byouts

    #5 Give better service at your window counters the public hates waiting.

    #6 Get a sexy looking women as your PMG not a Fat Boy

    #7 Go back to the older logo

    #8 Stop trying to change everything,do this do that, a waste of management and cost with nothing else to do but get in the way,the employees know what to do better than you do and runs more smoother.

    #9 The monkey drank wine…leave it at that.

    #10 Are Evermore restructuring business model cost? Lets see carry the two add the one, comes out to $2.2 milion, we do funerals also.

  7. usps hires banking firm advisor / accounting for what?( can they hire some one else to do their job, who is going to pay for them usps budget or from the pokets of those whom they are advising to? )

    this is after the unions hire a law company to advice them? …

    put two together(what are they trying to defend), both are in opposite directions, workers get squeezed inbetweeen.

  8. to all of you who blame the Rethugicans and Tea Party………the Demonrats hold the White House and the Senate.

    Obama vetted and approved this former LSM operator loser PMG Donehoe…..quite clear that both are in way over their heads. is Donehoe going to give back his bounus because he has to hire an outside consulting firm to do his job.

    retired Chairman Robert Crandall of American Airlines Corporation never had to hire someone to do his job.

  9. I hate Socialists, there always talking about peoples rights, as if people are a valuable part of our country. I vote republican… cause when I get out of my minimum wage job and become filthy rich; I’M GOING TO LAUGH AT ALL OF YOOSE PEEPLE

  10. 1st class letter volume is down (the figure used in all PR-propaganda); although, NEVER mentioned is that bulk rate flats, post cards and many catchy advertising flyers are at all time highs, and the corporate mailers will not pay the actual cost to deliver them. Additionally, all parcel classes are at all time high volumes, too. But, the new corporate model is too screw the workers, by bad-mouthing them, bullying them in the workplace, all so the corporate execs and some management can siphon off bonuses, delayed compensation retirement packages, and all forms of payment they can milk the system for their own benefit.

  11. Sen. Sanders’ Bill Addresses USPS Crisis

    November 21, 2011 by Lu
    Filed under: APWU, politics, postal, postal news, usps

    Sen. Bernie Sanders (I-VT) recently introduced the Postal Service Protection Act (S. 1853 [PDF]), a bill that would go a long way toward resolving the USPS financial crisis, Legislative and Political Director Myke Reid reports.

    “Sen. Sanders’ bill gets at the underlying causes of the Postal Service’s dire financial situation, and outlines methods for resolving the crisis,” he said. “It offers solutions that would strengthen service and protect the network of post offices and mail processing centers.

    “The network is one of the Postal Service’s greatest assets,” Reid noted. “Unfortunately, several other bills currently pending in Congress would destroy this essential component of the Postal Service and American life.”

    The Postal Service Protection Act would:
    ■Fix the Postal Service’s immediate financial crisis by allowing the USPS to recover the overpayments it made to its retiree pension funds — both the $7 billion overpayment to the Federal Employees Retirement System (FERS) and the $50 billion to $75 billion overpayment to the Civil Service Retirement System. In addition, the bill would eliminate the unique requirement that the USPS pre-fund 75 years worth of future retiree health benefits in just 10 years. No other agency or company in America is required to pre-fund these benefits.
    ■Establish new ways to generate revenue by ending the prohibition on USPS providing non-postal services, such as providing notary services, new media services and issuance of licenses; contracting with state and local agencies to provide services; shipping wine and beer, and allowing the USPS to provide services that mail systems in many other countries provide, including digital services.
    ■Create a blue-ribbon commission composed of entrepreneurs, representatives of labor and small businesses to provide recommendations on how the Postal Service can generate new revenue to succeed in the 21st century.
    ■Prevent the closing of rural post offices by giving the Postal Regulatory Commission (PRC) binding authority to prevent closures based on the effect on the community and employees. The bill would also prohibit USPS from considering whether a post office is turning a profit when making the decision to conduct a feasibility study for closure.
    ■Protect six-day delivery.
    ■Protect mail-processing facilities by requiring strict standards for delivering first-class mail.

    Joining Sanders as original co-sponsors of the bill were Sens. Kirsten Gillibrand (D-NY), Patrick Leahy (D-VT), Tom Udall (D-NM), and Ron Wyden (D-OR).

  12. USPS wastes more money Hires Banking Advisory Firm to Help With Restructuring Business Model cause they cant do the shit themself and either will this wasteful spending banking crap, Just how much is this do nothing crap costing?

    Restructuring wasteful mismanagement fom the Dhole down to the Republican Congressional Losership will be permanently commuicated by the 99% 2012, The time is getting nearer to where you are going to be accountable to the American People.

  13. “private” interests as opposed to the welfare of many should not win.

    what will happen if some one cannot commuicate through internet, or dont have the access to have one? what will they depend on for their communication for essentials? will public internet give them the protection for private information? can some one promise that?

  14. You are seeing the back door being opened by the POSTMASTER REPTILE to let in the “APPRAISERS” for the GRAND PRIVATIZATION FIRE SALE that the TEAPUBLICANS have on the first page of their PRIVATE SECTOR TAKE OVER PLAY BOOK.

    We are witnessing a shell game being run by the PMG in conjunction with the Republican Congressional Leadership to permanently and fundamentally change the Postal Service from an American Icon in to a private sector mailing industry delivery system….accountable not to the American People, but to PRIVATE INDUSTRY.

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