Canada Post sold Vancouver plant to increase revenue
The Canada Post Group of Companies recently sold the mail service's downtown Vancouver plant to gain a profit in first quarter 2013. Companies that utilize postal address verification to reach Canadian customers may begin to see Canada Post regain some of its lost footing, but should not expect the service to report financial gains for the 2013 year.
Global News reports that despite the Vancouver plant being one of Canada Post's most significant properties, had the mail sorting plant not been sold, the service would have lost $58 million between January and March of 2013, as well as a $41 million loss at the core of the Canada Post segment. By selling the property, Canada Post made $51 million before tax in first quarter 2013.
The mail service will soon open a new multi-purpose facility that is currently under construction at the Vancouver International Airport.
Still, Canada Post projects to report a full-year loss as total delivery volumes continue to trend downward. In just the first quarter of this year alone, the volume of Transaction Mail dropped by 1.9 percent, or 60 million pieces, from first quarter 2012, and is not expected to return to previous levels.