The Trumpster has the answer...

Box Ox

Well-Known Member
The Postal Service was losing money on Amazon.

You got a source for that claim?

"Amazon isn’t causing the United States Postal Service to lose a fortune. In fact, it’s contributing to its biggest growth sector, package delivery. Deals like the one with Amazon brought in $7 billion in fiscal year 2017.

While we don’t know the deal USPS crafted with Amazon, we know it’s not losing money. A 2006 law codified profitability into law, and an independent regulatory commission that reviews their deals annually gave it a green light on March 29.

That said, it’s possible that the Postal Service could be charging Amazon more for package delivery and therefore get a better deal. That still doesn’t mean USPS is losing a fortune."

No, the Postal Service isn't losing a fortune on Amazon
 

DriveInDriveOut

Inordinately Right
"Amazon isn’t causing the United States Postal Service to lose a fortune. In fact, it’s contributing to its biggest growth sector, package delivery. Deals like the one with Amazon brought in $7 billion in fiscal year 2017.

While we don’t know the deal USPS crafted with Amazon, we know it’s not losing money. A 2006 law codified profitability into law, and an independent regulatory commission that reviews their deals annually gave it a green light on March 29.

That said, it’s possible that the Postal Service could be charging Amazon more for package delivery and therefore get a better deal. That still doesn’t mean USPS is losing a fortune."

No, the Postal Service isn't losing a fortune on Amazon
i know lulz
wanted to see him try to keep his hula hoop up
 

DriveInDriveOut

Inordinately Right
Try reading past the headline of the opinion piece.
Says they "could charge" $1.46 more.
Not the same as "losing money" on delivering amazon packages like you claimed.
I'm done defending USPS lol.

All I'm suggesting is relax with your trump kool-aid, the guy has it out for amazon because he's butt hurt about some stuff the washington post publishes about him, and bezos owns it. Big on ego, little on truth.
 

Wally

BrownCafe Innovator & King of Puns
Why?

There is a difference. The Postal Service was losing money on Amazon. The price they were charging Amazon did not cover the cost of the shipping.

UPS and FedEx, while not making a fortune, are still making a profit from each Amazon package.

Jack the prices up, or jack them up too high, and that will force Bezo's to hire more drivers and deliver more of his own packages and we will lose more volume.

We do not make much from Amazon, but we do make money and we have a ton of extra jobs just because of them.

Why lose the jobs if we are making money?
So, if you are correct, President Trump is helping the private sector Union worker yet again.
 

oldngray

nowhere special
UPS and FedEx have been suing the Post Office for many years about them undercharging for package rates to subsidize letter delivery. Which the Post Office isn't supposed to do of course.
 

Heffalump

Well-Known Member
Amazon can't handle it's own volume. Unfortunately alot of the costs will fall on its retailers who already have to compete. Vicious economic cycle this e commerce business is.
 

Mugarolla

Light 'em up!
the guy has it out for amazon because he's butt hurt about some stuff the washington post publishes about him

I agree.

All I'm suggesting is relax with your trump kool-aid

No Trump kool-aid, and if they are not losing money, then why did Postmaster General Megan Brennan just double what Amazon pays per package?

Trump cannot force her to do that, unless of course these confidential price agreements with Amazon don't reflect what the Post Office is telling us.

This price increase announcement came shortly after President Trump’s executive order for an analysis of the U.S. Postal Service’s financial situation. Coincidence?

Is someone going to get caught with their hand in the cookie jar?

And I'm not here to bash or defend the Post Office. I replied to a thread that UPS makes money from Amazon and that we have a ton of jobs due to Amazon.

So, if you are correct, President Trump is helping the private sector Union worker yet again.

FedEx is non-union.

Amazon can't handle it's own volume.

Not all of it, and not right now. They still use us and FedEx.

See how fast things change if and when the Post Office doubles Amazon's shipping rate.

UPS and FedEx have been suing the Post Office for many years about them undercharging for package rates to subsidize letter delivery.

I know you meant overcharging for letter delivery to subsidize package rates. Another reason why the Post Office is losing so much money. First class volume is down 3.6 percent. Less revenue to subsidize the package portion.

But wait, package volume was up 11.4 percent. This yields a net increase of 7.8 percent in volume, so why are they still losing Billions with an 8% increase in volume?

I don't know. Their financials are confidential. Everyone, including me, is just speculating and/or believing the rhetoric that we are being told.

If Trump was wrong and Postmaster General Megan Brennan thought she was being bullied into raising the rates, she could have just whipped out the numbers to shut Trump up.

She never did. She is now raising the rates. Coincidence?
 

bottomups

Bad Moon Risen'
Trump 2020!!!
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