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In addition, the pay for postal chiefs in several other foreign countries ranged from a quarter-million dollars to as much as $4 million per year, the report stated. The report also noted Mr. Potter’s salary lagged behind the compensation for executives at three other government-created organizations: Fannie Mae, Freddie Mac and the Tennessee Valley Authority.

Postal analyst Murray B. Comarow, executive director for President Johnson’s Commission on Postal Organization in 1968 and 1969, said reviews for years have shown that postal executive salaries lagged far behind private-sector compensation.

“There is a general shortage of top managers, and it’s very difficult to get people to come into the Postal Service who are compensated well compared to people even at much smaller companies,” he said.

“It’s a lot of money, but you have to ask yourself the question, compared to what?” he said. “If you want to compare it to the head of AT&T, it’s peanuts; if you want to compare it to the head of a small government agency, it’s a lot of money.”