{"id":22840,"date":"2018-03-12T10:12:07","date_gmt":"2018-03-12T15:12:07","guid":{"rendered":"http:\/\/postalemployeenetwork.com\/news\/?p=22840"},"modified":"2018-03-12T10:12:07","modified_gmt":"2018-03-12T15:12:07","slug":"transportation-and-technology-contractors-lead-2017-list-of-top-postal-service-suppliers","status":"publish","type":"post","link":"https:\/\/postalemployeenetwork.com\/news\/2018\/03\/12\/transportation-and-technology-contractors-lead-2017-list-of-top-postal-service-suppliers\/","title":{"rendered":"Transportation and Technology Contractors Lead 2017 List of Top Postal Service Suppliers"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-22842\" src=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2018\/03\/Top-USPS-Suppliers-2017.jpg\" alt=\"\" width=\"398\" height=\"224\" srcset=\"https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2018\/03\/Top-USPS-Suppliers-2017.jpg 398w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2018\/03\/Top-USPS-Suppliers-2017-300x169.jpg 300w, https:\/\/postalemployeenetwork.com\/news\/wp-content\/uploads\/2018\/03\/Top-USPS-Suppliers-2017-123x70.jpg 123w\" sizes=\"auto, (max-width: 398px) 100vw, 398px\" \/><\/p>\n<p>3\/6\/18 &#8211; Husch Blackwell announced today the publication of its\u00a0<a href=\"https:\/\/www.huschblackwell.com\/~\/media\/files\/services\/services\/government%20contracts\/postal%20service%20contracting\/extensionceservicepdf\/top%20150%20usps%202017%20suppliers%20180305-v2.pdf\" target=\"_blank\" rel=\"noopener\">Top 150 U.S. Postal Service Suppliers list<\/a>, an annual look at the companies with the largest supplier relationships with the U.S. Postal Service (USPS). USPS spent $14 billion on outside purchases during fiscal year (FY) 2017, with about half of that total on transportation-related purchases.\u00a0<a href=\"https:\/\/www.huschblackwell.com\/professionals\/david-hendel\">David Hendel<\/a>, a partner in Husch Blackwell\u2019s\u00a0<a href=\"https:\/\/www.huschblackwell.com\/industries_services\/technology-manufacturing-and-transportation\">Technology, Manufacturing, and Transportation<\/a>industry group and leader of the firm\u2019s\u00a0<a href=\"https:\/\/www.huschblackwell.com\/industries_services\/postal-service-contracting\">Postal Contracting<\/a>\u00a0team, has compiled the list of top USPS suppliers annually since 1999. The list is based on data received in response to Freedom of Information Act requests.<\/p>\n<p>All told, the Postal Service spent $13.9 billion on outside purchases and rental payments in FY 2017, an increase of $181 million over the previous year. The Top 10 USPS suppliers received a total of $3.9 billion, which is 28% of the Postal Service\u2019s total spend and $400 million more than last year\u2019s Top 10.\u00a0\u00a0 The Top 150 suppliers received $9.2 billion, accounting for about two-thirds of the agency\u2019s total spend.<\/p>\n<p>The Postal Service has 17,000 suppliers; however, many of them are smaller companies with contracts to deliver mail. Only 81 suppliers collected revenues exceeding $25 million in 2017.<\/p>\n<p>\u201cTransportation and technology companies continue to dominate the top spots on the USPS supplier list, and most of these contractors earned higher revenue than last year,\u201d said Hendel. \u201cBut increases in transportation spend are inevitable when USPS adds a million new delivery points each year, and increased package volume takes up space vacated by reduced\u00a0 letter mail volume.\u201d<\/p>\n<p>As it has since 2002,\u00a0<strong>Federal Express Corporation<\/strong>\u00a0lands atop the list, this year with $1.61 billion in revenues \u2013 about a $68 million drop from its 2016 earnings. FedEx carries package and letter mail for the Postal Service. FedEx\u2019s air cargo network contract with the Postal Service has been extended several times, and the latest extension takes it to September 29, 2024.<\/p>\n<p>Mail haulers\u00a0<strong>Hoovestol Inc.<\/strong>\u00a0and its affiliated company\u00a0<strong>Eagle Express Lines<\/strong>\u00a0rolled into second place with $402 million in revenue.\u00a0 Much of this increase was due to Eagle absorbing the mail transportation contracts of Beam Bros. Inc.\u00a0 The fourth spot was filled by another mail hauler,\u00a0<strong>Salmon Companies, Inc.<\/strong>, with $314 million in revenue.<\/p>\n<p><strong>United Parcel Service<\/strong>, which provides air transportation and related services, rounded out the Top 10, with $171 million in revenue.\u00a0 The highest-ranked passenger airline was\u00a0<strong>United Airlines<\/strong>, at no. 11, with $164 million revenue; the next highest passenger airline ranked was\u00a0<strong>American Airlines, Inc.\u00a0<\/strong>with $92 million.\u00a0 All three entities earned greater revenue from USPS than the prior year.<\/p>\n<p>Technology companies also figured prominently in the Top 10 for FY 2017.\u00a0\u00a0<strong>EnergyUnited Electric Membership Corporation<\/strong>, which provides telecommunication and energy billing services, was ranked third with $402 million in revenue, though its revenue declined by $12 million decline from last year.\u00a0\u00a0<strong>Accenture Federal Services<\/strong>\u00a0ranked sixth with $204 million in revenue, an increase of $14 million from last year.<\/p>\n<p><strong>HP Enterprise Services, LLC<\/strong>, a provider of computer equipment, was seventh with $198 million in revenue.\u00a0<strong>Northrop Grumman Corporation<\/strong>, which operates the Postal Service\u2019s central repair facility in Topeka, Kansas, rose to eighth place with $183 million in revenue. Other technology companies are not far behind, with\u00a0<strong>IBM<\/strong>,\u00a0<strong>Verizon<\/strong>, and\u00a0<strong>Deloitte Consulting LLP<\/strong>\u00a0again placing in the Top 20.<\/p>\n<p>The only company in the Top 10 not providing technology or transportation-related items is packaging products supplier\u00a0<strong>Victory Packaging<\/strong>. Victory boxed up $221 million in revenue, almost exactly the same amount as last year.\u00a0 Victory is responsible for fulfillment, distribution, warehousing, call center, and outbound transportation of USPS branded packaging products to Post Offices.<\/p>\n<p><strong>2017 TOP 10 USPS SUPPLIERS<\/strong><\/p>\n<table border=\"1\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td valign=\"top\"><strong>Rank<\/strong><\/td>\n<td valign=\"top\"><strong>Company<\/strong><\/td>\n<td valign=\"top\"><strong>FY16 Revenues ($)<\/strong><\/td>\n<td valign=\"top\"><strong>Billing Location<\/strong><\/td>\n<\/tr>\n<tr>\n<td><strong>1<\/strong><\/td>\n<td>Federal Express Corp.<\/td>\n<td>1,610,032,667.51<\/td>\n<td>Pasadena, CA<\/td>\n<\/tr>\n<tr>\n<td><strong>2<\/strong><\/td>\n<td>Eagle Express Lines, Inc. \/ Hoovestol, Inc.<\/td>\n<td>452,429,404.39<\/td>\n<td>South Holland, IL<\/td>\n<\/tr>\n<tr>\n<td><strong>3<\/strong><\/td>\n<td>EnergyUnited Electric Membership Corporation<\/td>\n<td>402,457,507.23<\/td>\n<td>Statesville, NC<\/td>\n<\/tr>\n<tr>\n<td><strong>4<\/strong><\/td>\n<td>Salmon Companies, Inc.<\/td>\n<td>314,302,632.19<\/td>\n<td>Little Rock, AR<\/td>\n<\/tr>\n<tr>\n<td><strong>5<\/strong><\/td>\n<td>Victory Packaging<\/td>\n<td>221,231,326.34<\/td>\n<td>Houston, TX<\/td>\n<\/tr>\n<tr>\n<td><strong>6<\/strong><\/td>\n<td>Accenture Federal Services<\/td>\n<td>204,401,689.37<\/td>\n<td>Chicago, IL<\/td>\n<\/tr>\n<tr>\n<td><strong>7<\/strong><\/td>\n<td>HP Enterprise Services, LLC<\/td>\n<td>198,520,000.24<\/td>\n<td>Plano, TX<\/td>\n<\/tr>\n<tr>\n<td><strong>8<\/strong><\/td>\n<td>Northrop Grumman Corporation \/ Solystic SAS<\/td>\n<td>194,079,920.46<\/td>\n<td>Merrifield, VA<\/td>\n<\/tr>\n<tr>\n<td><strong>9<\/strong><\/td>\n<td>Wheeler Bros., Inc.<\/td>\n<td>179,731,008.40<\/td>\n<td>Somerset, PA<\/td>\n<\/tr>\n<tr>\n<td><strong>10<\/strong><\/td>\n<td>United Parcel Service of America, Inc. (UPS)<\/td>\n<td>171,629,039.45<\/td>\n<td>Louisville, KY<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><em>Entries for companies believed to be affiliated or have common ownership were consolidated under the company with the highest individual ranking or best known name. City\/state designations are based on the information in USPS payment records and may not be the contractor\u2019s primary location. As in past years, purchases made under credit cards (including U.S. Bank and Voyager card fuel purchases) are not included in this list.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>3\/6\/18 &#8211; Husch Blackwell announced today the publication of its\u00a0Top 150 U.S. Postal Service Suppliers list, an annual look at the companies with the largest supplier relationships with the U.S. Postal Service (USPS). USPS spent $14 billion on outside purchases during fiscal year (FY) 2017, with about half of that total on transportation-related purchases.\u00a0David Hendel, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":22842,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[],"class_list":["post-22840","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-usps-news","last_archivepost"],"_links":{"self":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/22840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/comments?post=22840"}],"version-history":[{"count":2,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/22840\/revisions"}],"predecessor-version":[{"id":22843,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/posts\/22840\/revisions\/22843"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media\/22842"}],"wp:attachment":[{"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/media?parent=22840"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/categories?post=22840"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/postalemployeenetwork.com\/news\/wp-json\/wp\/v2\/tags?post=22840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}