UPS says postal contract will make money

UPS ceo Carol Tome said this week it can make money because it has a unified network that lowers costs by reducing the distances postal service shipments travel.

"In contrast to traditional hub and spoke models, we don't have to run all of the air volume through our main air hub in Louisville, Kentucky," Tome said.

The USPS contract is effective September 30 and runs for an initial five years.