IP Moves the Mail

Breaking News! 

September 29, 2009

Today the Senate approved short-term financial relief for the U.S. Postal Service to reduce their mandated Retiree Health Benefit Fund payment by $4 billion. This relief was part of a Continuing Resolution measure in the Legislative Branch Appropriations Bill and comes merely hours before their RHBF payment is due (Sept. 30). 

The original payment required by Congress was $5.4 billion and through this bill was reduced to $1.4 billion. Postmaster General Jack Potter was clear in his testimony this summer that by making the entire $5.4 billion payment, the USPS would not have the working capital to continue its operations or meet its payroll. Passage of this short-term relief measure wasn't easy because of the wide-spread concern that this relief is simply postponing the inevitable structural changes required to help the Postal Service become viable again. Agreeing to any longer-term, structural changes will be an even bigger uphill climb for Congress.

IP is part of the Postal Coalition which includes companies and associations like Time Warner, RR Donnelley, New Page, Greeting Card Association, American Express, Printing Industries of America, Envelope Manufacturers Association, American Business Media, Mailing & Fulfillment Service Association and others that worked to educate Congress about the importance of the Postal Service to our industry as relief legislation was developed. We all agree that the Postal Service must remain a viable and affordable 'interstate' for our products.

As Congress looks at long-term solutions for the Postal Service, IP will focus on educating legislators and staff about the importance of the mailing industry as an economic engine and an employer, and the benefits of paper and ROI that direct mail provides to retailers large and small.

To learn more about the Postal Service's financial crisis, follow the Learn About the Issue link.