Bad economy puts post office $2.8 billion in red - KLTV.com - Tyler, Longview, Jacksonville |ETX News

WASHINGTON DC (AP)

Bad economy puts post office $2.8 billion in red

The ailing economy caused a big drop in mail, leaving the post office $2.8 billion in the red.

Postmaster General John Potter said Thursday the agency is making sharp cuts in hours and overtime but added there are no plans for layoffs.

Also, the cost of sending packages will go up in January. The annual increase in the cost of letter mail is still scheduled for May.

The Postal Service says a 9.5 billion-item decline in pieces of mail contributed to its loss in the fiscal year that ended in September.

(Copyright 2008 by The Associated Press. All Rights Reserved.)

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