(This November 14 story corrects headline and fourth paragraph to show loss did not triple) FILE PHOTO: A view shows U.S. postal service mail boxes at a post office in Encinitas, California February 6, 2013. REUTERS/Mike Blake/File Photo WASHINGTON (Reuters) – The U.S. Postal Service lost almost $4 billion in 2018 even as package deliveries rose, according to results released on Wednesday, potentially giving U.S. President Donald Trump ammunition against Amazon.com Inc (AMZN.O), which he claims pays too little for the agency’s services. Trump, without presenting evidence, has accused the world’s largest online retailer repeatedly over the past year of taking advantage of USPS by not paying enough for deliveries to make the service profitable. USPS reported operating revenue of $70.6 billion for fiscal year 2018, which ended on Sept. 30, as sales at its shipping and packages business rose 10 percent. However, its net loss rose to $3.9 billion from a loss of $2.7 billion in 2017, hurt by rising pay and benefits and higher transport costs, such as gas prices. An independent agency within the federal government, USPS is limited in what it can do to improve its financials. “The flawed business model imposed by law continues to be the root cause of our financial instability,” said Postmaster General Megan Brennan, adding that the Postal Service is pressing for reforms that would allow it to cut costs, increase revenue and compete more effectively. Neither USPS nor the president have the power to set postal rates directly. They are… [Read full story]
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