February 23, 2012
The exterior of a Burlingame, Calif. U.S. Postal Service mailing processing center that has been approved for full consolidation.
Facing a financial crisis, the United States Postal Service announced that 223 processing facilities have been "found feasible for consolidation, all or in part." Of the 264 processing facilities studied, only 35 are set to remain open.
The closings could result in the loss of 35,000 jobs. USPS has posted a full list of the facilities — which process and sort mail on its way to being delivered — on its website.
The postal service said the changes could help it reduce its operating costs by $20 billion by 2015, making the service profitable once more.
In a statement, the USPS explained the financial picture:
"The Postal Service is in the midst of a financial crisis due to the combined effects of the economic recession, increased use of electronic communications, and an obligation to prefund retiree health benefits. First-Class Mail volume has deteriorated, leading to significant revenue declines, and the obligation to prefund these retiree health benefits on an accelerated basis remains unresolved. To date, legislative proposals to address the financial crisis remain pending, leaving the Postal Service and the mailing industry it supports in an increasingly precarious position."
Update at 3:47 p.m. ET. 35,000 Jobs:
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