General Discussion
In reply to the discussion: To those apathetic about the attack on the Post Office remember [View all]mike dub
(541 posts)...so in a way, we/& the USPS are subsidizing the airlines. Even at "$1.35 ish" vs "4-10 x or more", it's got to be difficult for the post office's "air delivery" to compete with UPS or FedEx, who own their own fleets.
Although the link below is old, I'm guessing this contract has been renegotiated.
http://www.dmnews.com/usps-signs-new-contracts-with-airlines/article/92787/#
from the article: "The value of the contract for the seven airlines is approximately $225 million for USPS's 2007 fiscal year, which begins Oct. 1, according to the US. Postal Service. The carriers will move First-Class Mail, Express Mail, some Priority Mail The previous contract with the USPS, executed in 2003, narrowed the number of carriers from 50 to 13 and instituted stringent requirements for the on-time delivery of mail by contracted carriers. The requirements were designed to increase efficiency and improve service."