Fixing the Mail: Neither Snow nor Rain nor…Red Ink? - Business Week The U.S. Postal Service, long beset by financial woes, has recently felt the pinch even more acutely. On Aug. 5, the agency reported a $2.4 billion loss for its most recent quarter, a gush of red ink that is expected to total some $7.1 billion for the fiscal year, which ends Sept. 30. The Government Accountability Office recently placed the Postal Service on its "high risk" list as "an organization vulnerable to fraud, waste, abuse, and mismanagement," needing broad reforms. Aggravating matters is that even when the U.S. economy turns around and mail volume rebounds, deep structural problems make it likely that the Postal Service won't benefit much. That's because even though the recession has curtailed second-class business mailings—the so-called junk mail Americans toss daily—much of the trouble stems from the agency's inability to change as mail has decreased, industry analysts say.