Washington, D.C.--The U.S. Postal Service on Tuesday reported better-than-expected financial news at its Board of Governors meeting.
Postmaster General John E. "Jack" Potter told the assembled group of governors and stakeholders that the Postal Service's funding gap for its sizable retirement obligation is $5 billion, a much smaller number than previously predicted. The amount reduces retirement contributions in 2003 by $2.9 billion and in 2004 by $2.6 billion.
"This is clearly good news for all our employees and our ratepayers," Potter said. He said the news would also provide more flexibility regarding when to file a new rate case.
Potter called for early enactment of the legislation necessary to ensure postal rate stability until 2006.
Both American Business Media and the Magazine Publishers of America subsequently issued a statement applauding the Postal Service on its "excellent financial news."