NEW YORK - May 7, 2009 - The Postal Service was $1.9 billion in the red for the second quarter of the fiscal year and continues to face the possibility of running out of money before year’s end.
The agency attributed the problem to the Depression and the movement of mail to electronic communications. Postal rates go up on Monday, to 44 cents for first-class mail. But the increase is unlikely to cover the shortfall, which totals $2.3 billion for the fiscal year that began October 1.