Postal Service Head Lays Out Survival Plan

WASHINGTON (November 28, 2012)—Patrick Donahoe, the head of the financially struggling U.S. Postal Service, said Wednesday the agency must be allowed to ease the terms of prepayments into a retiree health care fund and eliminate general mail delivery on Saturday.

Donahoe told "CBS This Morning" the agency isn't asking Congress for money.

"I think most people don't realize, we're 100 percent self-sufficient. We pay our own way,” he said.

But he noted the agency is losing $15.9 billion this year.

Donahoe said the post office needs to refinance retirement health fund payments to $1 billion a year instead of $5 billion.

He says the Postal Service would continue package delivery on Saturday and keep post offices open.

Under that scenario, he said the agency could be $8 billion in the black each year.

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