Post Office

The question of postal rates has dumfounded the Post Office Department. A Congressional Committee is preparing data on the revenue resulting from the new rates that went into effect on Apr. 15--aiming to revise them. Postmaster General New has been trying to advise the Committee. A few weeks ago, on the basis of May revenue, which was only .0091% greater than it would have been under the old rates, he "guessed" that the Post Office would have a deficit of $40,000,000 this year (TIME, July 20). Last week figures were gathered on June revenue--it was 20.0125% greater than it would have been under the old rates.

He was driven to the conclusion that neither May nor June was a normal month.