MTAC Update June 2015 Consumer & Industry Affairs / Industry Engagement & Outreach

Slide 2 Partnership for Growth Award MTAC’s 50 th Anniversary

Slide 3 The Vimeo password is MTACHOYT Best Wishes to MTAC (video message) on its 50 th

Slide 4 Postmaster General’s Mailers Technical Advisory Committee An association of associations  Representatives of the industry – not companies  Currently 50 Associations have an MTAC membership One Association Executive and up to Three Association Representatives per Association Approximately 175 Association Executives and Representatives Focused on sharing information between the USPS and Mailing  The Postmaster General’s Mailers’ Technical Advisory Committee (MTAC) is a venue for the United States Postal Service (“Postal Service”) to share technical information with mailers, and to receive their advice and recommendations on matters concerning mail-related products and services, in order to enhance customer value and expand the use of these products and services for the mutual benefit of Mailing Industry stakeholders and the Postal Service Focus Areas – defined by PMG  First-Class Mail  Periodicals  Standard Mail  Package Services  Preparation and Entry  Visibility/Service Performance and Address Quality  Mail Piece Design and Product Development  Payment and Acceptance

Slide 5 MTAC Executive Committee Members IndustryU. S. Postal Service Christopher G. Lien -- Industry Chair ( ) BCC Software Cell: Jim Nemec -- Postal Chair Vice President, Consumer & Industry Affairs 475 L'Enfant Plaza RM 4016 Washington DC Erv Drewek-- Industry Vice Chair & Treasurer ( ) Manager of Postal Affairs Graphic Communications, a Veritiv company 5700 Darrow Road, Suite 110 Hudson, OH, Judy de Torok -- Postal Co-Vice Chair Manager, Industry Engagement & Outreach Consumer & Industry Affairs 475 L'Enfant Plaza SW RM 4437 Washington DC Phil Thompson -- Immediate Past Industry Chair ( ) Manager of Postal Operations Quad/Graphics Inc N61 W23044 Harry's Way Sussex WI Dale Kennedy -- Postal Co-Vice Chair Manager, Business Customer Support & Service 475 L'Enfant Plaza SW RM 4541 Washington DC John Budzynski -- Postal Co-Vice Chair Consumer Advocate and Manager Customer Relations 475 L'Enfant Plaza SW Washington DC (202)

Slide 6 MTAC U.S. Postal Service Leadership USPS Focus Area Leaders Visibility & Service Performance Measurement Robert Cintron VP, Product Information U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202) Payment and Acceptance Pritha Mehra VP, Mail Entry & Payment Technology U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202) Product Development Gary Reblin VP, New Products and Innovation U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202) Mail Preparation & Entry / Operations Dave Williams VP, Network Operations U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202)

Slide 7 MTAC Industry Leadership Industry Leaders: Classes of MailIndustry Leaders: Focus Areas Sharon Harrison / First-Class Mail / Major Mailers Association AT&T Services Inc: VP, Postal Strategy Finance 3900 Channel Dr West Sacramento CA Angelo Anagnostopoulos / Payment / Edison Electric Institute GrayHair Software Inc: VP Postal Affairs 124 Gaither Dr Ste 160 Mt Laurel NJ John Medeiros / Package Services / Parcel Shippers Association DHL Global Mail: Director, Postal Affairs 7415 Emerald Dunes Drive. Ste 600 Orlando FL Lisa Bowes / Service Performance / Natl Alliance of Standard Mailers & Logistics Intelisent: Manager, Account Services & Postal Affairs 597 North Mountain Road Newington CT Wanda Senne / Standard Mail / Natl Assn of Advertising Distributors World Marketing:Vice President, Postal Affairs 1961 S Cobb Industrial Blvd Smyrna GA Bob Schimek / Preparation & Entry (Operations) / IDEAlliance Satori Software: Senior Director - Postal Affairs th Ave Ste Seattle WA John Stark / Periodicals / IDEAlliance Condé Nast: Executive Director of Distribution Operations 1166 Avenue of the Americas 19th Fl New York NY Steve Colella / Mailpiece Design & Product Development / Association of Marketing Service Providers (AMSP) The Calmark Group: VP- Postal Affairs 6755 S. Sayre Ave Bedford Park, IL

Slide 8 MTAC U.S. Postal Service Leadership USPS Focus Area Leaders Visibility & Service Performance Measurement Robert Cintron VP, Product Information U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202) Payment and Acceptance Pritha Mehra VP, Mail Entry & Payment Technology U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202) Product Development Gary Reblin VP, New Products and Innovation U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202) Mail Preparation & Entry / Operations Dave Williams VP, Network Operations U.S. Postal Service 475 L'Enfant Plaza SW Washington DC (202)

Slide 9 MTAC Meetings: Policy Meetings are quarterly and generally held at USPS Headquarters  MTAC members are required to attend. Substitutes are not allowed. Approved Industry experts can attend as guests  Each association is permitted a maximum of three guests per year  The Association Executive must formerly sponsor the guest  The MTAC Executive Committee must approve all guests  MTAC Leadership (Focus Area leaders, Executive Committee, and Ex Officios) may sponsor a guest. However: The guest should be an industry expert representing a part of the industry that is not currently being represented by an existing MTAC Association Becoming an MTAC Member:  Check the MTAC Roster posted on ribbs.usps.govribbs.usps.gov  Contact the Association Executive of an association to which your employer belongs and find out how the association selects their representative for MTAC

Slide 10 MTAC Meetings: Format Tuesday Morning – MTAC Committee Meetings  Face-to-face meetings at USPS Headquarters for some committees Tuesday Afternoon MTAC General Session – Open  General overview of USPS finances, operations, and other areas  A 5 to 10 minute update on open workgroups, user groups, and task teams.  An evening reception typically follows the Tuesday meeting Wednesday All Day Focus Group Meetings – Closed  MTAC Business Meeting for current MTAC members only  Opening announcements and recognition of new MTAC members  75 minute discussions per Focus Group, led by USPS and industry Focus Area Leaders Thursday Morning – Workgroup Sessions & Meetings  Face-to-face meetings at USPS Headquarters  MTAC Leadership and Executive Committee meetings

Slide 11 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. 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 narrow issue, 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) Selected by MTAC Leadership and Executive Committee MTAC Executive Committee Concludes when task or problem resolution is completed (per the issue statement)

Slide 12 Current User Groups and Task Teams User Group 1 - PostalOne!, SASP, Intelligent Mail  Weekly meetings User Group 2 - eVS/Product Tracking System  Monthly meetings User Group 3 - FAST & eInduction User Group  As needed User Group 4 – Visibility (CONFIRM)  Biweekly meetings User Group 5 – Addressing/Technology & Business Strategy  Biweekly meetings User Group 7 – MTEOR  As needed User Group 8 – USPS Promotions  Monthly meetings User Group 9 – Presort Reference Data User Group  Weekly meetings Task Team 23 – Readiness for Trend Based Verification  As needed

Slide 13 Current Open Workgroups 143 – Seamless Acceptance  Open items to resolve that are dependent on other workgroups 151 – Streamlined Weight and Ad Capture Process  Still working through some active items: simplified approach to capture weight and ad percentage, tolerances for weight fluctuations (humidity, etc.) 168 – FSS Multi Scheme Pallets  Lean Six Sigma effort to construct most efficient workflow for multi-scheme FSS pallets (SAMP/Standalone Mail Prep). 169 – Refining Package Machinability Standards  The requirements for machinability will be refined to reflect mail/parcels that can be successfully processed on USPS automation. Efforts will be made to identify options that would allow the piece to continue to qualify as machinable. 170 – Certificate of Mailing (COF) Improvements  New process requires Intelligent Mail Barcodes (IMB) to the piece & Intelligent Mail package barcodes (IMpb) to the forms to enable tracking and reporting features for COM. (better documentation in court). Large COM users have identified legal, liability, funding, timing, and process concerns with the changes proposed by the USPS. 171 – Improving Accuracy & Use of UAA Reason Codes  Review UAA Reason Codes: recommend improvements to the definitions, changes to codes and/or processes and procedures in an effort to improve the accuracy, application, and use of UAA Reason Codes

Slide 14 Upcoming USPS Webinars Tuesday, July 7, 2015 (11:00 a.m. EDT) Click-N-Ship Business Pro Attendee Information: US/Canada Attendee Dial-in: (866) Conference ID: Attendee Direct URL: Tuesday, July 21, 2015 (11:00 a.m. EDT) Hold For Pickup Attendee Information: US/Canada Attendee Dial-in: (866) Conference ID: Attendee Direct URL: Tuesday, August 4, 2015 (11:00 a.m. EDT) Pickup Services (Package Pickup and Pickup on Demand) Attendee Information: US/Canada Attendee Dial-in: (866) Conference ID: Attendee Direct URL: Tuesday, August 18, 2015 (11:00 a.m. EDT) My USPS.com Attendee Information: US/Canada Attendee Dial-in: (866) Conference ID: Attendee Direct URL: Archives:

Slide 15 Mail Preparation & Entry FSS Preparation Requirements  FSS Prep moved from optional to required in January including the requirement to create scheme pallets at 250 pounds  Industry found the quantity of smaller pallets created operational challenges. MTAC WG 168 discussion additional changes to FSS prep.  USPS pursuing more robust FSS pricing Network Rationalization  2015 consolidations (now on hold till 2016), CET and service standard impacts Monthly labeling lists  User Group 9 is working to improve data quality and timeliness Flats Strategy  Collaborative effort with industry to identify opportunities to reduce flats supply chain costs

Slide 16 Payment & Acceptance Full Service IMb Adoption  Full Service invoicing and requirements roadmap  Undocumented pieces and who to charge: Mail Service Provider or Mail Owner  Seamless acceptance roll out and what/when/whom is required  Move Update tolerance of 0.8% for census verification  Duplicate MIDs and CRIDs; especially for non-profits  eInduction for non-Surface Visibility sites Mailers Scorecard and Assessments Seamless Acceptance Moratorium

Slide 17 Addressing & Service Performance Measurement UAA Secure Destruction program Address quality and the OIG report on UAA mail Service Performance Measurement Informed Visibility

Slide 18 Product Development Real Mail NYC Beta Test Exciting promotions for 2015  Earned Value Credit  Advanced or Emerging Technology Promotion  First Class Mail Color/TransPromo Promotion  Mail Drive Mobile Engagement Promotion

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Slide 20 USPS Real Mail Survey Results

Slide 21 Is Your Mail Measured? Check Service Performance Measurement Tab on your scorecard

Slide 22 Informed Visibility schedule…

Slide 23 Surface Visibility Sites

Slide 24 May MTAC Materials Meeting Notes: essionnotes/May2015/ Presentations: Mail Prep and Entry (Operations) Mail Acceptance and Payment Product Development Visibility/Service Performance Measurement

Slide 25 Intelligent Mail Guides updated Mail Entry Roadmap: Palletization Fact Sheet: Guide to eInduction: Guide to Seamless Acceptance: Guide to Mailer Scorecard: Assessable Metrics: Guide to Postage Assessment: Pub 205: Electronic Verification System (eVS®) Business and Technical Guide:

Slide Meeting Schedule Remaining MTAC Meeting Dates  August , 2015  November , 2015

Questions? Interim MTAC Update 2015 status and inquiries should be directed to: Consumer & Industry Affairs / Industry Engagement & Outreach