Postal Service To Delay Cutbacks Until Mid-May

By Hope Yen

WASHINGTON (AP) -- The U.S. Postal Service on Tuesday agreed to delay the closing of 252 mail processing centers and 3,700 local post offices until mid-May.

In a statement, the cash-strapped agency said it would hold off on closings by several weeks to give Congress more time to pass legislation that would give it more authority and liquidity to stave off bankruptcy. The Postal Service, which is expected to default Friday on a $5.5 billion payment to the Treasury, is forecast to lose a record $14.1 billion next year.