09 January 2006

2-Cent Stamp Increase Is Only Temporary Fix for Postal Woes

Rising Costs, Shrinking Volume and Political Impasse Cited

By Christopher Lee
Washington Post Staff Writer
Monday, January 9, 2006; Page A17

The cost of a postage stamp rose yesterday for the first time in nearly four years. The next price jump may come a lot sooner than that.

The Postal Service, a $70 billion a year organization that relies on revenue from operations rather than taxpayer funding, has been struggling with recent declines in first-class mail (its most lucrative area), rising fuel prices and other costs, even as it tries to restructure and become more efficient.

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