Mailers Technical Advisory Committee Update Eastern Area Areas Inspiring Mail (AIM) Meeting Thank you! Good to be here Enjoy groups Behalf of USPS Always enjoy this meeting and my pleasure to present to this group. So, thank you for that and thank you for your Business.   A lot to cover, so let us get started. July 21, 2017

MTAC Leadership (2016 to 2017) Industry Leaders Postal Service Classes of Mail Focus Areas First-Class Mail Payment & Acceptance, & Education Mike Tate American Bankers Association Bank of America Bob Schimek Idealliance Satori Software Pritha Mehra VP, Mail Entry & Payment Technology Periodicals Enterprise Analytics & Data Usage Randy Stumbo Gravure Association of the Americas Meredith Corp. Angelo Anagnostopoulos Edison Electric Institute GrayHair Software Inc. Isaac Cronkite VP, Enterprise Analytics Marketing Mail Mail Preparation, Entry, & Operations Rose Flanagan National Alliance of Standard Mailers & Logistics Data-Mail Inc. Bob Rosser Association for Postal Commerce (PostCom) IWCO Direct Robert Cintron VP, Network Operations Package Services Emerging Technology & Product Innovation John Medeiros Parcel Shippers Association DHL Global Mail Steve Colella The Calmark Group Gary Reblin VP, New Products and Innovation We have MTAC organized in two ways. First – by Classes of Mail and then by Focus Group area. Some of the issues within classes of mail are the same, but some are different and that’s the approach we take with the deeper dives into the four Focus Group areas for 2016: Payment/Acceptance/Education: A lot of movement and changes in this area, my team works closely with the Mail Entry and Payment Technology, or BME team to ensure we have the right webinars, the right training. So, we actually added the word “Education” to this Focus Area to ensure its emphasis in 2016. Enterprise Analytics/Data Usage: Informed Visibility continues to be very important to both us and the industry. The new Vice President, Isaac Cronkhite and his team are committed to developing several enhancements to better communicate the status of mail in real time and the engine behind these enhancements comes from this team. Mail Preparation, Entry and Operations: Robert Cintron is the new V. P of Mail Preparation, Entry and Operations. This focus group is getting ready for this year’s peak season. Emerging Technology and Product Innovation: All of those great ideas to continue to merge the physical and digital worlds of mail and the birthplace of many of the promotion programs came to be as a result of this Focus Group’s discussions. The industry leaders here also deserve a tremendous amount of thanks from all of us for their commitment to keep these Focus Groups on track with their missions. Pricing – now we have representatives listening at each of the sessions. Direct result of feedback from Leadership and a request to be more transparent about pricing initiatives.

MTAC Executive Committee Members (2016-2017) Industry U. S. Postal Service Erv Drewek Industry Chair (2016-2017) Graphic Communications, a Veritiv company Steve Monteith Postal Chair Vice President, Marketing Wanda Senne Industry Vice Chair (2018-2019) DHL eCommerce Judy de Torok Postal Co-Vice Chair Manager, Industry Engagement & Outreach Marketing Christopher G. Lien Immediate Past Industry Chair (2014-2015) BCC Software Tom Hughes Manager, Business Customer Support & Service Sales Dale Kennedy Program Manager/Secretary Manager, Industry Engagement Strategy Many years of experience on MTAC Board – All of our industry leaders have served many years on MTAC work groups, and a variety of leadership positions. There is a 6 year commitment on the Industry side. Erv Drewek began his tenure and two weeks ago we had a meeting with more than 150 members. Wanda Senne is our Vice with Chris Lien serving as our Immediate Past Industry Chair. Steve Monteith has been appointed as the Postal Chair for MTAC. On USPS Co-Vice Chairs are – Judy de Torok and Tom Hughes. Dale Kennedy serves as the Program Manager and Secretary. We all really champion MTAC communication. As a Board, we collaborate, discuss and vote on issues that we think merit senior leadership’s attention to progress/issues within various MTAC work groups or Task Teams and areas that need to be focused on regarding MTAC meetings and administration.

MTAC April Meeting Recap & Upcoming Items Opening Session speakers on Tuesday, April 25, 2017: Chief Customer and Marketing Officer Jim Cochrane – Opened the meeting and discussed Customer Experience. Director, Customer & Marketing Insight Dan Barrett – Provided an Insight into how consumers value catalogs and respond to them. Chief Marketing Officer for American Greetings, Alex Ho – Paper Relevance in a Digital world. VP, Delivery Kevin McAdams– Provided an operations update. CIO VPs – Pritha Mehra, Greg Crabb, and Jeff Johnson – Transition to Secure File Transfer Protocol Chief Information Security Officer Greg Crabb and VP, Information Technology Jeff Johnson – Cybersecurity and Technology Overview During our November MTAC meeting each member of the Executive Leadership team addressed the attendees and provided updates on policies, programs or other initiatives that they oversee. Customer-Centric Organizational Changes: Changes to Marketing and Sales structure with the movement of Consumer & Industry Functions under new VP, Marketing and VP, Sales and Customer Relations. Marketing Mail notes: USPS acknowledged feedback from the Industry and promised to continue discussion around the issue. Some mitigating plans included: the 18 month implementation plan, allowing use of alternate wording from USPS Marketing Mail for indicia, possible elimination of the indicia requirement Mail Engagement Trends: As digital content rises, digital advertising delivers clear benefits to marketers, and represents an increasing portion of the media mix. To demonstrate how transparent the USPS is, we discussed potential pricing and costing strategies. We responded to the request to provide Mail Service Providers with Political and Election mail seminars. There was the big announcement for those who are currently taking advantage of the discounts offered to Full Service mailers that assessment period will begin. Mailers who present Full Service mailings that exceed certain error thresholds will be assessed, for the first time, beginning November 2016. If you are a Full Service mailer, contact your local Business Mail Entry Unit to avoid losing your full service discount due to a threshold error.

MTAC Meeting Recap & Upcoming Items Other topics from previous MTAC meetings Chief Postal Inspector Guy Cottrell – Update on US Postal Inspection Service and customer outreach. Dr. John Leininger, Professor at Clemson University – Direct Mail opportunities with Digital collaboration to increase open and response rates. Chief Information Officer & EVP Kristin Seaver – Update on Informed Visibility, PostalOne! Roadmap, PTR performance, and Automated Package Verification (APV). National Association College and University Mailing Services Representatives Kenneth Green, Richard Boudrero, and Lea Holt – Delivery Point Pilot for Colleges and Universities During our recent MTAC meeting each member of the Executive Leadership team addressed the attendees and provided updates on policies, programs or other initiatives that they oversee. To demonstrate how transparent the USPS is, we discussed potential pricing and costing strategies. We responded to the request to provide Mail Service Providers with Political and Election mail seminars. There was the big announcement for those who are currently taking advantage of the discounts offered to Full Service mailers that assessment period will begin. Mailers who present Full Service mailings that exceed certain error thresholds will be assessed, for the first time, beginning November 2016. If you are a Full Service mailer, contact your local Business Mail Entry Unit to avoid losing your full service discount due to a threshold error. Payment and Acceptance Updates: First statements were to go out November 14, 2016 (Local BMEU can assist with your preparation.) Lastly, the publication which lays out the process and plan for streamlining the acceptance of Letter and flat mail is again open for review and public comment. The deadline to provide comments on the document is Aug. 15, 2016.

Current User Groups #1 - PostalOne!, SASP, Intelligent Mail (Bi-weekly) #2 - eVS/Product Tracking System (Monthly) #3 – FAST & eInduction (Bi-weekly) #4 – Informed Visibility (previously IMb Tracing) (Bi-weekly) #5 – Addressing (Technology & Business Strategy) (Bi-weekly) #7 – MTEOR (Bi-weekly) #8 – USPS Promotions (Monthly) #9 – Presort Reference Data (Bi-weekly) #10 – Mail Acceptance and Payment (Bi-weekly) Summary of purpose for last meeting: UG 10: Have not met since September 20, 2016. We left off with PAF as an open discussion but since have had agreement between USPS and Industry stakeholders. That information was presented through other User Groups looking at the same item. All documents should be posted to MITS and there should be no outstanding items to post. There has been some discussion of starting the Bi-Weekly UG10 meetings up again soon but I do not have a date yet. UG 9: Collaborate to create and discuss the efficient communication, deployment, and accuracy of USPS presort reference data. Creating visibility into any issues around this presort reference data distribution and usage will lead to recommendations for improvements. Topics discussed at last meetings: In-depth review of issue list starting with the most recent issues including inadvertent publishing of FSS zone expansion, L011 and the most recent Mail Direction File. Label List files on FAST now have Download (text files), CSV, PDF and View options available. Customer EPF suggestion to allow customers to be able to get drop ship files and other files from one location. Under consideration by USPS. UG 8: Focuses mostly on any updates or issues regarding any of the Mailing Promotions. This User Group also reviews and edits some of the material relating to the promotions and provides feedback on promotion suggestions submitted for the upcoming year. Members of the User Group comments that they find the group to be useful and provides an opportunity for dialog and continuous updates regarding the promotions. UG 7: Quarterly update webinar on Tuesday, July 11, 2017. Participants will view the current status of MTE inventory preparatory to Fall Mailing. Any MTEOR changes that have been implemented in the past 3 months will be reviewed, and any problems brought to USPS will be addressed. UG 5: Goals: Support Addressing Education Enable Visibility of UAA Metrics Drive strategies / approach to reduce UAA, where reasonable The User Group is currently learning more about Addressing initiatives and changes the USPS is working on or considering for the future. The next meeting, scheduled for 7/26 will focus on discussing the status of various addressing initiatives and learning about new addressing functionality and reporting being explored. UG 4: User Group 4 continues to support the Informed Visibility pilot and plans for national access. Along with live demonstrations of the interface for mailer customization of data feeds, processes for onboarding and pilot participant reports of their experiences are shared. UG 3: User Group 3 is addressing an appointment No Show issue through a technical solution that is automatically cleaning recurring appointments that are not being used, and through BMS outreach to large No Shows offenders. In addition, the UG is reengineering the FAST Helpdesk to better define, identify, and resolve mailer issues at USPS facilities nationwide. Finally, UG 3 is working, in collaboration with Idealliance Leads and Enterprise Analytics, to provide USPS and mailers piece level data that will be transmitted through alternative Mail.XML and Mail.dat Transportation files and/or through a modified smart phone app, which will greatly enhance transportation visibility for plants and plant management. UG 2: The mission of the eVS/Product Tracking System (PTS) User Group will be to address and resolve issues identified and to define and review improvements in functionality across the eVS and Product Tracking System (PTS). The User Group will create ad hoc subgroups to address specific issues as necessary. No current meeting minutes available UG 1: User Group 1 continues to meet via WebEx on Thursday at 10AM Eastern every other week. We review release notes and issues lists related to PostalOne! and SASP and provide a venue for discussion, especially related to current or upcoming releases for these systems. Recent discussions have focused on technical requirements for using mail.dat to participate in Informed Delivery.

Status of Workgroups and Task Teams In-Progress TT 23 - Readiness for Trend Based Verification TT 25 – Mail Quality Data via Informed Visibility WG 168 - FSS Multi-scheme Pallets WG 173 - Payment Modernization WG 175 – Streamlining CSA Mail Preparation WG 176 – Streamlining RIBBS Information (PostalPro) WG 177 – Improvement in Address Quality Methodologies WG 179 – PostalOne! Roadmap WG 180 – Presort and Prep Optimization Work Group (PPOWG) WG 181 – USPS Marketing Mail Name Transition WG 182 – Package Platform Vision for Mail Acceptance and Payment WG 183 – Business Customer Gateway Improvement Team WG 184 – Customer Identity Management TT 25: Task Team 25 has reviewed a proposal to provision bulk error data to mailers via Informed Visibility.  Task Team 25 had provided valuable feedback on the proposal and these recommendations are being incorporated in the development of this error data provisioning functionality.  The first phase of this development is being planned for completion at the end of September 2017.  WG 173: A key topic discussed in this workgroup since National Postal Forum has been on data and reporting that will be available in the new Enterprise Payment System, how that data compares to what is available today and what the source of that data is within the BCG and CAPS. A user guide draft was also furnished to the workgroup for their review and feedback was requested so this document can be published. There will be another release in July to Enterprise Payment and a pilot test for Release 3 (for CAPS and PostalOne customers) is still planned for approximately November. WG 176: PostalPro is live as a replacement for RIBBS through the efforts of MTAC workgroup 176. Past issues such as the RSS feed have been resolved but we encourage users to employ the feedback tab available on every page to report any concerns. WG 177: Had their last meeting October 2016. The main recommendation of the group is an annual review to keep these (best practices, white papers) living documents relevant, updated, reliable resource. Promotion both internally at USPS and across the industry is also recommended. 1. Review both docs annually each October, first reviews October 2017, via a MTAC task team. Update and republish accordingly. Update doc version, date, and provide a change log with the docs. 2. Update docs out of cycle if there are major changes between Annual Review cycles. 3. Post both docs to RIBBS and PostalPro. 4. Promote use. Advertise the docs via Postal Link, PCC, Industry Alert, MTAC, and NPF promotions. WG 180: One update for WG 180 is that on MITS we still show Target Completion date of 6/30/17. We don’t have a definitive completion date at this time but initially it may make some sense to at least extend the completion date here to September 30, 2017 as of this time. The logic behind this is we are currently looking at 5 piece bundle data modeling for Flats to non-FSS Zones. This group may be instrumental in supporting any additional modeling requests for Steve Monteith and Sharon Owens as it relates to next rate proposals. We’ll certainly know more by September as to whether a further extension is needed. WG 181: Agreed to the following recommendations: 1. Maintain the option of using Standard Mail along with Marketing Mail (note: no mail should include the new markings prior to July 2018 unless involved in testing) 2. No rate marking changes to Non Profit Mail 3. No name changes to tray labels or placards 4. Existing standard Mail stamp(s) would keep the same makings as today; future print runs would be evaluated as needed WG 183: Focused on redesigning the Business Customer Gateway to improve navigation for current users and simplify the new user experience.  Currently, the workgroup is iterating and expanding upon an evolving prototype for future BCG. Ongoing issues include redesigning the need assistance pages, improving navigation to highly used services, and defining future user roles. WG 184: We are holding our kickoff meeting on July 11. We will be reviewing industry pain points identified from the PostalOne! Roadmap Workgroup 179. We will prioritize pain points and begin to address each with recommendations to resolve.

Status of Workgroups and Task Teams Congratulations! Mission Accomplished! Task Team 24: MSP Incentive Implementation for Growth Industry Leader: Bob Rosser Postal Leaders: Victoria Stephen and Coakley Workman Sponsors: Gary Reblin and Bob Rosser WG 178: IMpb Compliance Quality Metrics & Thresholds Industry Leader: John Medieros Postal Leaders: Juliaan Hess and Vicki Bosch Sponsors: Gary Reblin and Steve Collela WG 170 – Certificate of Mailing (COM) Improvements Industry Leader: David Marinelli & Cynthia Muldoon Postal Leaders: Steve Monteith & Karen Key Sponsors: Gary Reblin & Steve Colella Three workgroups recently completed their cycles. Each workgroup submitted a resolution statement and recommendations were approved by the Work Group sponsors and MTAC Executive Committee. Task Team 24- Leverages existing technology repurposed for promotion implementation with minimal modifications in a cost effective manner Increases unique mail owner participation in promotions by 23% per survey results. Those mail owners involved in promotions demonstrate better results in mail growth and retention. Enables MSPs to invest in technology needed to support mail owner participation Leverages a proven worksharing incentive method with MSPs that has worked well to grow other USPS programs WG 178 – Impb Compliance Quality Metrics and Thresholds- Reduce original 64 quality metrics and thresholds to 10; Reduce 6 quality categories to 3 Moved implementation from July 2016 to January 2017 for 9 of the quality metrics and their thresholds. Moved implementation of final metric (Secondary addresses in electronic files) to January 2018 with the formation of a new WG or TT In July 2017 to review data to agree on the threshold mark for January 2018. For updates on active groups, see separate WG summary document.

Industry Engagement Association Recruitment Member Involvement New association added this year: Council on Safe Transportation of Hazardous Articles (COSTHA) Seeking additional association membership with industries not fully represented on MTAC i.e. Health Care, Insurance, Legal, others MTAC Industry Vice-Chair to manage recruitment and membership Member Involvement Encourage increased member engagement Workgroups, User Groups, Task Teams Several associations have open slots Internal recruitment for new Leadership positions Our goal is to: Keep MTAC going for another 50 years and want to continue to use it as a one of the primary communication channels with the USPS and industry. Get new associations – recently signed up American Association of Political Consultants (New Blood) Timely – Political Mail – didn’t know some basics about mailing and great way for us to get direct mail into the system and for them to get questions answered. Let us know if you have some ideas. MTAC leadership has reached out to some Health Care/Pharmaceutical groups. Many changes in laws – requiring these organizations to communicate about the mail. Member Engagement: Responsibility on both USPS and industry side to keep minutes up to date and information current on line. At one of our recent meetings, we discussed the need for regular communication between focus, class and USPS leaders and we came up with some strategies to do that.

2017 MTAC Meeting Dates- August 22 -24, and December 5 - 7 2017 Meeting Schedule 2017 MTAC Meeting Dates- August 22 -24, and December 5 - 7 Contact an MTAC Association Executive if you would like to attend as a guest! Postal Pro: https://postalpro.usps.com Our final session for the year will be held in November – tough with the election, Veteran’s Day and then Thanksgiving. So, as you see, our final meeting date for calendar year 2017 is late February. We will followed the normal meeting flow with the Open Session and Reception on Tuesday. Wednesday we will feature each Focus Group and hold a Business meeting. We are a hardworking dedicated group of Postal Service and Industry representatives. If you are interested in highlights from past MTAC meetings, we invite you to the RIBBS website and look for the MTAC link in the left column. The address is R-I-B-B-S dot USPS dot G-O-V. We also encourage everyone to check out the Postal Pro Beta site being developed as a successor to RIBBS. You can reach Postal Pro at https://beta.postalpro.usps.com/.

Questions? MTAC@usps.gov. Thank you for this opportunity to share the exciting ways we are working with the industry.

Postmaster General’s Mailers Technical Advisory Committee Association of Associations Representatives of the industry – not individual companies Currently Over 50 Associations have an MTAC membership Associations include: DMA, PostCom, MPA, IDEAlliance, Alliance of Nonprofit Mailers, PIA, NNA, PSA, etc. One Association Executive and up to Three Association Representatives per Association Approximately190 Association Executives and Representatives Focus A venue for the USPS to share technical information with mailers, and to receive their advice and recommendations on matters concerning mail-related products and services Enhance customer value and expand the use of these products and services for the mutual benefit of Mailing Industry stakeholders and the USPS. We always have new attendees and new folks to the mail, so I would like to spend a minute on structure, process of MTAC. MTAC Basics – if you will Then we would like to go into some of the current topics of the day that MTAC is addressing. A part of my job is all about industry communications. How we communicate, what we communicate. It’s all about growing the business together. MTAC is an important communication channel and vehicle in that process of exchanging information and ideas. USPS  Feed Back Mailers  Pipeline, Information, Influence, Concerns expressed, and solving issues together MTAC has been around for more than 50 years – last year we celebrated that milestone all year long – so there are some pretty established processes and procedures to ensure that your voice is heard. And – if you belong to an association – having your voice and participation in MTAC is one of your membership benefits. MTAC is an Association of Associations ….We have a few of the Associations listed here but many, many more: Direct Marketing Association, PostCom or the Association of Postal Commerce, the Magazine Publishers of America, Idealliance, Printing Industries of America, National Newspapers Association, etc. 1 Association Executive + 3 Representatives

MTAC Structure / Types of Committees Group Type Intended Function Primary Sponsor / Oversight Group Participants Approval of Participants Timeframe User Group Ongoing forum for USPS & users of a particular postal product or process. MTAC Focus Area Leader (postal and/or industry) Subject Matter Experts (both USPS and industry) User Group Leaders Open - No specific end date. Annual review of issue statement in August by the MTAC EC. Work Group Address defined issues, and provide recommendations MTAC Focus Area Leader (postal and/or industry) Primarily MTAC Members and industry experts MTAC Focus Area Leader Concludes when recommendations are submitted for consideration (per the issue statement) Task Team Quickly address very specific issue to achieve results in a strict, often urgent period of time. MTAC Executive Committee (may also be delegated to Focus Area Leader if subject is specific to an Area) Specifically selected by MTAC Leadership and Executive Committee MTAC Executive Committee Concludes when task or problem resolution is completed (per the issue statement) Tom’s slide.