WASHINGTON (AP) -- The financially struggling Postal Service is seeking a 3-cent increase in the cost of mailing a letter -- and that would raise the price of a first-class stamp to 49 cents.
The chairman of the postal Board of Governors, Mickey Barnett, cites the "precarious financial condition" of the agency and the uncertain prospects for postal overhaul legislation in Congress.
The agency expects to lose $6 billion this year.
Wednesday's request for the increase in stamp prices must be approved by the independent Postal Regulatory Commission.
The Postal Service said it would ask for adjustment to bulk mail rates in a filing with the commission Thursday. No details were immediately provided.
Media and marketing businesses say a big increase in rates could hurt them and lower postal volume and revenues.
WASHINGTON (AP) -- The financially struggling Postal Service is concluding a two-day meeting to consider whether to ask for an emergency increase in postal rates.
Postmaster General Patrick Donahoe has said the agency expects to lose $6 billion this year and that a special rate hike may be needed. It currently costs 46 cents to mail a letter.
Under federal law, the post office cannot raise prices more than inflation unless it cites exceptional circumstances and gets approval from the independent Postal Regulatory Commission.
Media and marketing businesses warn that a big increase in postal rates could hurt their business and drive down postal volume and revenues.
The Postal Service has said it is running out of cash. Congress is considering cost-saving measures that include ending most Saturday and door-to-door deliveries.