The Canada Post 2016 second Quarter Financial Report has been released and it contains lots of good news for postal workers and for the public. The Report reveals that even without a rate increase for letters, CPC has reported record revenues from operations. It also reported its best financial results since 2010. All indications are that 2016 will be a very profitable year, despite the efforts of management to instruct large volume mailers to avoid mailing in June 2016 in anticipation of a planned lock-out.
CPC reported its highest profits from operations ever for the first six months of 2016!
CPC reported $3,185,000,000 revenues from operations during the first six months of 2016. This is the most revenue ever reported by CPC for the January-June period of any year!
CPC reported $45 million profits before tax in the first six months of 2016. This represents the highest profits in the same period since 2010. Plus, this was achieved despite CPC instructing large volume mailers not to mail during June 2016.
The rate of parcel volume growth continued to increase in the first half of 2016. Parcel volumes in the first six months of 2016 increased 11.4% over the first six months of 2015. In 2015, parcel volumes increased 6.5% compared with the same period of 2014. The increase in revenue from parcels now exceeds the loss in revenue from reduced lettermail.
The going concern surplus in the Canada Post Pension Plan increased from $1.2 billion to $1.6 billion, a 25% increase.
The Negotiating Committee continues to work with Special Mediator William Kaplan and Guy Baron, head of the Federal Mediation and Conciliation Services. The mediation process is very intense with the objective of reaching a negotiated settlement over the weekend.