Stamp prices set to drop for first time in almost 100 years

On Sunday, April 10, the price of a stamp is scheduled to drop from 49 cents to 47 cents.

The Postal Regulatory Committee (PRC) asserts that by April 10, the Postal Service will have collected the necessary $4.6 billion in surcharges that they were allowed to collect under the temporary price increase.

However, the Postal Service claims it is in dire financial straits. They say this reduction will increase their net losses to approximately $2 billion per year.

“The exigent surcharge granted to the Postal Service last year only partially alleviated our extreme multi-year revenue declines resulting from the Great Recession, which exceeded $7 billion in 2009 alone,” said Postmaster General and CEO Megan J. Brennan. “Removing the surcharge and reducing our prices is an irrational outcome considering the Postal Service’s precarious financial condition.”

At this point, only Congressional or court action can extend or make permanent the 49 cent rate that is scheduled to end.

The last price drop was almost 100 years ago. The drop happened in 1919 and stamp price fell from 3 cents to 2 cents.

Staff Reports