Improving the Drop Shipment Process MTAC Workgroup #87 Washington, D.C. January 30, 2008

MTAC Workgroup # 87 2 MTAC # 87 Goal The workgroup will optimize driver service time by making the appointment system for unloading trucks at postal facilities more efficient. Additionally, the group will identify opportunities to enhance the efficiency of mailer/postal drop ship management and seek to reduce USPS platform costs.

MTAC Workgroup # 87 3 MTAC # 87 Accomplishments Design and development of the Facility Access and Shipment Tracking (FAST) system to replace DSAS Integration with PostalOne! Integration between Label List, Drop Ship Product and redirection management with FAST  Integration of FAST with the Facilities Data Base (FDB) and Address Management  Development of a software vendor solution in conjunction with MTAC 106 to enable an automated information pull for updating redirections Implementation and deployment of mailer rating

MTAC Workgroup # 87 4 MTAC # 87 Accomplishments (cont.) Joint scheduling capabilities  Support for LTL and air freight scheduling Update and development of the recurring appointment request and approval process Surface Visibility data to determine start-the-clock Development of mailer placard bar code specification

MTAC Workgroup # 87 5 National Deployment Status USPS has concluded formal deployment of Mailer Rating National Deployment  92 out of 136 facilities have been activated (week of 01/14 – 01/20) Phase I: 71.4% of Phase I facilities are activated  15 out of 21 facilities activated in the Western Area Phase II: 76.6% of Phase II facilities are activated  15 out of 18 facilities activated in the Great Lakes Area  9 out of 12 facilities activated in the Southwest Area  12 out of 17 facilities activated in the Eastern Area

MTAC Workgroup # 87 6 National Deployment Status (cont.) Phase III: 60.3% of Phase III facilities are activated  9 out of 12 facilities activated in the NY Metro Area  9 out of 14 facilities activated in the Northeast Area  6 out of 14 facilities activated in the Capital Metro Area  11 out of 14 facilities activated in the Southeast Area  6 out of 14 facilities activated in the Pacific Area

MTAC Workgroup # 87 7 Mailer Rating Post-Deployment Debby Cataldi posts a weekly listing of all USPS facilities activated for Mailer Rating on the FAST What’s New Board The status of Mailer Rating activation for each USPS facility is also shown on the Facility Profile pages in FAST Mailer Rating has been activated at all FAST facilities where Surface Visibility (SV) is consistently used to track drop shipment arrivals  92 out of 136 facilities have been activated Operations continues to track and monitor SV Drop Shipment Compliance and activate or deactivate facilities as required according to data compliance

MTAC Workgroup # 87 8 Mailer Rating National Deployment – Western  Western – Phase I  Total number of possible facilities: 21  Total number of facilities activated: 15  01/23 Average SV Drop Ship Compliance Score: 87.31%  Average Mailer Rating Score: 46* Activated Facilities One Week Compliant NASSFacilityFacility Type 522CEDAR RAPIDS (Pilot Facility)Plant 800DENVER PDCPlant 500DES MOINESPlant 640KANSAS CITYPlant 660KANSAS CITYPlant 890LAS VEGASPlant 553MINNEAPOLISPlant 680OMAHAPlant 852PHOENIX SCFPlant 85HPHOENIX STCPlant 970PORTLANDPlant 612QUAD CITIESPlant 550SAINT PAULPlant 980SEATTLEPlant 570SIOUX FALLSPlant 554MATWIN CITIES METROPlant 80ZDENVERBMC 50ZDES MOINES (Pilot Facility)BMC 66ZKANSAS CITYBMC 55ZMINNEAPOLIS / SAINT PAULBMC 98ZSEATTLEBMC *From 12/22/07-01/18/08

MTAC Workgroup # 87 9 Mailer Rating National Deployment – Great Lakes  Great Lakes – Phase II  Total number of possible facilities: 18  Total number of facilities activated: 15  01/23 Average SV Drop Ship Compliance Score: 81.70%  Average Mailer Rating Score: 47* Activated Facilities One Week Compliant NASSFacilityFacility Type 617BLOOMINGTONPlant 601CAROL STREAMPlant 606CHICAGOPlant 605FOX VALLEYPlant 493GRAND RAPIDSPlant 541GREEN BAYPlant 460INDIANPOLISPlant 488LANSINGPlant 535MADISONPlant 600PALATINEPlant 615PEORIAPlant 610ROCKFORDPlant 480ROYAL OAKPlant 630SAINT LOUISPlant 604SOUTH SUBURBANPlant 60ZCHICAGOBMC 48ZDETROITBMC 63ZSAINT LOUISBMC *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – Southwest  Southwest – Phase II  Total number of possible facilities: 12  Total number of facilities activated: 9  01/23 Average SV Drop Ship Compliance Score: 83.16%  Average Mailer Rating Score: 47* Activated Facilities One Week Compliant NASSFacilityFacility Type 786AUSTINPlant 707BATON ROUGEPlant 752DALLASPlant 760FORT WORTHPlant 770HOUSTONPlant 720LITTLE ROCKPlant 773NORTH HOUSTONPlant 750NORTH TEXASPlant 780SAN ANTONIOPlant 740TULSAPlant 75ZDALLASBMC 707PAPORT ALLENAnnex *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – Eastern  Eastern – Phase II  Total number of possible facilities: 17  Total number of facilities activated: 12  01/23 Average SV Drop Ship Compliance Score: 81.84%  Average Mailer Rating Score: 51* Activated Facilities One Week Compliant NASSFacilityFacility Type 450CINCINNATIPlant 440CLEVELANDPlant 430COLUMBUSPlant 170HARRISBURGPlant 180LEHIGH VALLEYPlant 403LEXINGTONPlant 400LOUISVILLEPlant 190PHILADELPHIAPlant 150PITTSBURGHPlant 240ROANOKEPlant 080SOUTH JERSEYPlant 189SOUTHEASTERNPlant 434TOLEDOPlant 197WILMINGTONPlant 45ZCINCINNATIBMC 19ZPHILADELPHIABMC 15ZPITTSBURGHBMC *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – New York Metro  New York Metro – Phase III  Total number of possible facilities: 12  Total number of facilities activated: 9  01/23 Average SV Drop Ship Compliance Score: 89.60%  Average Mailer Rating Score: 53* Activated Facilities One Week Compliant NASSFacilityFacility Type 112BROOKLYNPlant 07099DOMINICK V DANIELSPlant 088KILMERPlant 117MID ISLANDPlant 077MONMOUTHPlant 100NEW YORK (Pilot Facility)Plant 076NORTHERN NJ METROPlant 110QUEENS (Pilot Facility)Plant 085TRENTONPlant 105WESTCHESTERPlant 115WESTERN NASSAUPlant 07ZNEW JERSEYBMC *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – Capital Metro  Capital Metro – Phase III  Total number of possible facilities: 14  Total number of facilities activated: 6  01/23 Average SV Drop Ship Compliance Score: 72.87%  Average Mailer Rating Score: 45* Activated Facilities One Week Compliant NASSFacilityFacility Type 212BALTIMOREPlant 280CHARLOTTEPlant 290COLUMBIAPlant 201DULLESPlant 217FREDERICKPlant 270GREENSBOROPlant 296GREENVILLEPlant 233NORFOLKPlant 220NORTHERN VAPlant 275RALEIGHPlant 230RICHMONDPlant 200WASHINGTONPlant 27ZGREENSBOROBMC 20ZWASHINGTONBMC *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – Pacific  Pacific – Phase III  Total number of possible facilities: 14  Total number of facilities activated: 6  01/23 Average SV Drop Ship Compliance Score: 75.89%  Average Mailer Rating Score: 45* Activated Facilities One Week Compliant NASSFacilityFacility Type 917INDUSTRY (Pilot Facility)Plant 907LONG BEACHPlant 900LOS ANGELASPlant 945OAKLANDPlant 956SACRAMENTOPlant 923SAN BERNARDINOPlant 920SAN DIEGOPlant 940SAN FRANCISCOPlant 950SAN JOSEPlant 926SANTA ANAPlant 952STOCKTONPlant 913VAN NUYSPlant 90ZLOS ANGELASBMC 94ZSAN FRANCISCOBMC *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – Northeast  Northeast – Phase III  Total number of possible facilities: 14  Total number of facilities activated: 9  01/23 Average SV Drop Ship Compliance Score: 82.14%  Average Mailer Rating Score: 47* Activated Facilities One Week Compliant NASSFacilityFacility Type 120ALBANYPlant 021BOSTONPlant 023BROCKTONPlant 140BUFFALOPlant 015CENTRAL MAPlant 060HARTFORDPlant 018MIDDLE ESSEXPlant 028PROVIDENCEPlant 144ROCHESTERPlant 040SOUTHERN MAINEPlant 064SOUTHERN CTPlant 010SPRINGFIELDPlant 130SYRACUSEPlant 01ZSPRINGFIELDPlant *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating National Deployment – Southeast  Southeast – Phase III  Total number of possible facilities: 14  Total number of facilities activated: 11  01/23 Average SV Drop Ship Compliance Score: 88.39%  Average Mailer Rating Score: 46* Activated Facilities One Week Compliant NASSFacilityFacility Type 333ATLANTAPlant 350BIRMINGHAMPlant 333FORT LAUDERDALEPlant 390JACKSONPlant 380MEMPHISPlant 301NORTH METROPlant MCOORLANDOPlant 337SAINT PETERSBURGPlant TPATAMPAPlant 30ZATLANTABMC 32ZJACKSONVILLEBMC 38ZMEMPHISBMC 328PMORLANDO LDCAnnex 335DCTAMPA LDCAnnex *From 12/22/07-01/18/08

MTAC Workgroup # Mailer Rating – Summary Facilities and customers have demonstrated changed behavior from the start of the pilot to the conclusion of national deployment  No Show Numbers have decreased from 23.9% (June 2006) to 21% (January 2008) The SV Drop Ship Compliance national average has increased 65.4% from the start of pilot on 6/22/2007  SV Drop Ship Compliance currently is 82.6%  SV Drop Ship Compliance at the beginning of the Mailer Rating Pilot (6/22/07) was 17.2%

MTAC Workgroup # Preview - Upcoming Enhancements Increase the FAST appointment finalization period from 5 days to 12 days Add a Closed in SV (Surface Visibility) indicator to the Closeout Data report  Will indicate partial or complete use of SV to capture arrival, start unload, and end unload.  There is already an existing indicator showing whether any placard barcodes were scanned. Ability to cancel multiple appointments from one screen using the online application

MTAC Workgroup # Contact Information FAST issues:  Debby Cataldi at or (202) SV pallet placard scan issues:  Steve McElroy at or (202) Redirection issues:  Susan Hawes at or (202)