® Intelligent Mail® Update August 12, 2009

® 22 Agenda  Project Update  Release 2 – Timeline and Content  Release 3 – Timeline and Content  Full Service Update from TEM and Production  Outstanding Issues  Full Service Design Considerations  Successes  Whats coming in November  Guides and Technical Specifications  Communications and Training

® 3 Full-Service Schedule FY 2009FY 2010FY 2011 JulyAugSeptOctNovDecJanFebMarAprilMayJun e JulyAugSeptOctNovDec SOX Lockdown January Price Change March FS Release 3 FS Rel 2 (22.0) 11/15 FS Rel. 3 3/12 Price Change Effect. Date 11/29 November FS Release 4 Reqs (8w) 8/3–9/25 Design (5.5w) 9/28-11/2 Build/Prod Test(7w) 11/3–12/21 SIT (5w) 12/22–1/29 CAT (5w) 1/29 – 3/5 Deploy 3/1-3/12 FS Rel. 4 10/22 DRAFT – FOR DISCUSSION PURPOSES ONLY Finalized Structural Price Change Requirements SIT Prep 12/8–12/21 (2w) CAT Prep 1/15–1/28 (2w) Design/Build SIT CAT Deploy Baseline Scope Design/Build SIT CAT Deploy Baseline Scope Jan Price Change 1/4 11/ /4 12/7 -12/11 12/14 – 12/23 12/28 - 1/4 5/17 - 6/11 6/14 -6/24 6/24 - 7/9 7/12 - 7/18 5/13 November Release 2 July Patch 7/18 Build/Prod Test(6w) 7/13–8/28 SIT (4w) 8/31–10/2 CAT (4w) 10/5 – 11/6 Deploy 11/9 – 11/15 SRS Reqs (8w) 12/01-1/29 Design (6w) 2/1-3/12 Build/ProdTest(7w) 3/15-4/30 SIT (5w) 5/3-6/4 CAT (5w) 6/4-7/16 10/1-1/17 (2w) SIT Prep 3/14-3/25 (2w) CAT Prep 4/5-4/30 (4w) SRS 1/15-2/22 Reqs (5w) 2/23-3/26 Design (6w) 3/29-5/10 Build/Prod Test (7w) 5/10-6/25 SIT (8w) 6/28-8/23 CAT (8w) 8/23-10/18 SIT Prep 6/14-6/25 (2w) CAT Prep 8/9-8/20 (2w) Deploy 10/4-10/22 Baselined Scope Evaluations Proposals Budget Evaluation Solution Architecture Solution Architecture

® 4 Project Update – Release 2 (PostalOne! Release 22)

® 5 Full Service Release 2 Schedule (PostalOne! Release 22) Requirements (4/20-6/25) Design and Build (6/8-8/28) IT SIT (8/31-10/2) Price Change Effective Date 11/29 CAT (10/12-11/6) Release /15 System Readiness Customer Interaction and Training Post-Release Release Notes 11/18 Friday Webinars (8/18 – 11/9) PCC Symposium 9/16 Regional OH Symposium 10/6 Guide Refresh 8/31 Guide Refresh 9/25 Guide Refresh 10/9 Guide Refresh 11/12 Guide Refresh 12/4 Mail.XML Errata A 8/17 Mail.XML Errata B 9/15 Mail.XML Errata C 10/15 Post-Design Release Notes 8/21 Pre-Release Release Notes 11/3

® 6 Release 2 Content (PostalOne! Release 22)  Price Incentive for Full Service  Receive and Process Electronic Documentation  Support Miscellaneous Mail.XML messages  Co-palletization  Quality Reporting

® 7 FY09 Full Service Program Release 3 AUGSEPTOCTNOVDECJANFEBMAR FY10 APR Requirements (8/3 – 9/25) Design and Build (9/28 – 12/21) SIT (12/22 – 1/29) CAT (2/5 – 3/5) Design Build SIT (12/7- 12/11) CAT (12/14- 12/23) (11/20- 12/4) Release 23.0 January Price Change 1/4 Release 24.0 FS Release 3 3/12 Full-Service Release 3 Schedule PostalOne! Release 24

® 8 Release 3 – Content PostalOne! Release 24  Replace the use of Hardcopy Postage Statements  Service Performance Measurement  Full Services Issues / Fallout  Miscellaneous SOX Compliance Issues  NDC Consolidation  MID/CRID Management  Performance Based Verification to Support SOX

® 9 Release 3 – Content ( possible additions)  Full Service Compliance Consequences  Mixed-Class Co-mail  Priority Mail Open and Distribute  Mail.dat and Mail.XML Support  ACS Charges

® 10  More than 60 mailers have begun testing Full-Service job submissions using Mail.dat® 9-1 in the Test Environment for Mailers (TEM).  15 mailers approved for Production 9 Mailers submitting in Production 143 Full Service Postage Statements processed 32,912,023 Total Piece Volume Mailers in TEM and Production as of 8/6

® 11 Outstanding Issues  MLOCR Qualification Report (21) Summary ZIP Destination Report (21) Tray Difference Report (21) Validations (21) Full Service MLOCR Support, Logical Data (22)  Periodicals Pending Periodicals Pending Periodicals with weight 16 to 20 oz. (23.0) Downloadable PDF’s Postage Display in Pending Periodicals (21.0) CPP ACS after FPP state (21.0) Improve Performance of Payment Request (21.0) 14 day Payment Rule to 28 Day rule (21.0)

® 12 Outstanding Issues  Validations  Updates and Cancellations  Receipt File Format and Content Consolidation  Mail.dat Client Process Files in order (21.0) Automatically Update Client Software with new release  System Issues/Performance ● Mail.dat Upload (ongoing) ● Slow performing Periodicals co-mail job (21.0)

® 13 Full Service Design Considerations  eDoc and Barcode Construction  Full Service ACS/Start-the-Clock: Delegation and Access  Profile Management – MID’s, CRIDs, Permits, By/For  Migration of CPP Titles to ePayment  Co-palletization

® 14 Full-Service ACS™ 14  Ancillary Service Endorsement on each piece. Optional for First-Class Mail® and Periodicals  Intelligent Mail® Barcode  Full Service ACS provisioned to Mail Owner or Delegate  Automated download – Mailer logs into Business Customer Gateway to access Reports or via Mail.XML Push/Pull John Doe 10 Elm ST Anytown WA Address Service Requested Mary Mover 1876 Cross Country Ct Delivery, DE PRSRT STD U.S. POSTAGE PAID ABC COMPANY

® 15 Address Correction Considerations SERVICERECORDS DELIVERY BARCODEASE REQUIRE D FEEBASICFULL- SERVIC E Non- Auto Manual Address Correction Hard copyNone Required, (optional POSTNET or IMB) Yes (optional for Periodicals) Per manual notice issued Traditional ACS® Electronic via RIBBS™ or CD - Mailer chooses daily, biweekly, weekly, bimonthly, or monthly fulfillments None Required, (optional POSTNET or IMB Yes (optional for Periodicals) Per electronic notice issued OneCode ACS® Automated via RIBBS - Mailer logs into website manually or through a script or other automated process to collect data. IM™ IMB Basic Required Yes (optional for First- Class Mail® Letters & Period) Per automated notice issued Full- Service ACS™ Automated via download – Mailer logs into Business Customer Gateway to access Reports or via Mail.XML Push/Pull IM™ IMB Full- Service Required Yes (optional for First- Class Mail® Letters & Periodicals) None for First-Class Mail None for 30 days for Standard Mail® & Bound Printed Matter (fees apply for duplicate notices after 30 days

® 16 Delegation Static -Complete: All data for a service type associated with a MID goes to third party identified in the profile -Partial: Data goes to third party under specific circumstances - Mail Preparer - Data goes to a third party only when that third party is the Mail Preparer - MID on Piece - ACS ® data goes to the owner of the MID used on the mail piece Dynamic -Cast of Characters: By Mailing Reference: Guide to Intelligent Mail for Letters and Flats 16

® 17  CPP Workgroup established to support Migration to eDOC and Full Service  Documented CPP Process for Migration to eDoc and ePayment  Documented Profile Process for Full Service/Profile Management  Developed and successfully executed several eDoc/ePayment Scenarios in Production  Mailer has successfully processed ePayment transactions for jobs in Production Successes: CPP 17

®  Mailers are successfully submitting Full-Service 09-1 Mail.dat files for eDoc and ePayment  Mail Owners have submitted Full-Service Postal Wizard Statements  Mailers are submitting mailpiece detail records and mailpiece range records to uniquely identify mailpieces for Full-Service participation  Mailer Owners are able to retrieve the Full-Service ACS COA and ACS Nixie in downloadable CSV and Excel formats  Mail Owners have received as many as 582 ACS records for a single mailing  Mailer Owners have used MID profiles to distribute their ACS data to their Mail Preparer  Mail Owner delegated data to a Third Party MID Successes 18

® 19 What’s Coming in November  Lower Price for Full-Service Mailings  Mail.XML Enhancements Receive and Process Electronic Documentation Process Profile Information Support Miscellaneous Mail.XML messages  Mail Quality Reporting  Co-palletization  Consolidate Mail.dat Platform ●Mail.dat – Discontinue Support of 8-1 ●Mail.dat 8-2 migrate to using Client Software

® 20 Mail.XML  May Release FAST Appointment Scheduling Limited eDOC Full Service ACS, Start-the-Clock  November Release eDOC/ePayment Expanded Messaging Capability Allow Mail.dat users to send update information more efficiently 20

® 21 Mail XML: eDoc Messages  eDoc Messages Qualification Report Bundle Detail Mail Piece Detail  Postage Statement Postage Statement – 3600 series Periodicals Statement Retrieve Status of Postage 21

® 22 Mail XML Updates  Profile Management ● MID/CRID Requests  Mail.dat Updates Container Update Request Sibling Container Create Request 22

® 23 Full-Service eDoc Mail Quality Reports 23 Appointment Verification CSA Verification Service Type Code Verification By/For Verification Mailer ID Verification Unique Container Barcode Verification Unique Piece Barcode Verification Accessible Online or Via Mail.XML

® 24  Symposiums and Regional PCCs  National Postal Forum  Technical Webinars Full Service Benefits Part 1: Address Correction Intelligent Mail Barcode Services Type IDs Business Customer Gateway Full-Service Benefits Part 2: Start the Clock  November Release Webinars  Weekly DMM Advisory Updates  Intelligent Answers Weekly Calls – Issue Management  Guides Refresh  MTAC 122 and 124 External Communications & Training 24

® 25 Guide Update Status

® 26  Weekly Field Implementation Calls  Communications between Help Desk and Field  Streamlined Process for Mailer Migration  Technical Webinars Leading up to Release 3  Release 3 Webinars/Training  Weekly Training Webinars  PNC Weekly and BME Newsletter Updates  Guides Refresh Internal Communications & Training 26

® eVS Which classes can be mailed through eVS? PRIORITY MAIL PARCELS FLAT- RATE ENVELOPES FLAT- RATE BOXES PACKAGE SERVICES PARCEL SELECT PARCEL POST BOUND PRINTED MATTER MEDIA MAIL LIBRARY MAIL MACHINABLE NONMACHINABLE FIRST-CLASS MAIL PARCELS SINGLE PC PRESORT STANDARD MAIL REGULAR & NON-PROFIT IRREGULAR MACHINABLE NOT-FLAT MACHINABLE EXPRESS MAIL (COMING SOON!)

® August release (8/16):  PRS RBMC Prices  Transaction ID will appear in CAPS when used in eVS header record to allow for end-to-end reconciliation.  Zone Validation for Parcels with Variance Report  Express Mail functionality  Manifest Errors Rejected headers will appear on the Manifest Error Report Invalid PICs and invalid STCs warnings eVS