1. 1 OneCode Solution (4-State Barcode) Implementation 6060 PRIMACY PKWY STE 201 MEMPHIS TN 38188 John Doe 6449 AMBERVIEW CV MEMPHIS TN 38141-8346 #BWNGKVN #9999 9920 0104 276 Address Change Service 6060 PRIMACY PKWY STE 201 MEMPHIS TN 38188 John Doe 6449 AMBERVIEW CV MEMPHIS TN 38141-8346 Address Change Service

2. 2  Uses 4-state barcode symbology  Refers to 4 different positions of the bars within the barcode  The code will:  Uniquely identify the sender  Uniquely identify the mailpiece  Provide a destination ZIP Code for sortation & routing  Encode Special Service indicators & Address Change Service (ACS) requests  Barcode will be acceptable for automation discounts Overview / Background

3. 3 Implementation Status Letters  DBCS (Non-PARS) software deployed and running  DBCS (PARS) released and installation beginning  CSBCS software deployed and running  MPBCS w/ WFOV: April release  MERLIN: April release  MASS Certification (MailCode machine) updated at NCSC Flats  AFSM 100 (includes ATHS and AI) – 29% installed  UFSM 1000 – April release Implementation Remains On-Schedule

4. 4 Computer simulation – SUNY, LM & Omniplaner Encoder testing – 22 mailers Test deck – stress deck on specifications Move Validation Mail Over 10 million mail pieces Read rates comparable to POSTNET Prudential Mail and American Express Tested over 1 million mail pieces Shorter height testing revealed no degradation for letters Letter height specification updated to between.134 and.230 Flats stress deck testing underway Testing to Ensure Success All Testing is Going Well

5. 5 Plans Forum Announcement Customers launch date of OneCode Solution for letters to be announced at the Forum OneCode Confirm OneCode ACS Flats usage planned for Fall PostalOne testing for Seamless Acceptance (Summer) Several Forum sessions and booths planned Program overviews and benefits Barcode specification and MERLIN requirements Registration requirements (MASS) for auto discount and services Customer ID registration Helpful documentation and implementation aids planned Website, DMM, Updated CONFIRM and ACS Technical Guides

6. 6 Benefits  Minimize code real estate – 1 code does it all  Preserve mail aesthetics – requires less space  Provides more uniqueness to track mail pieces  Improve mail service – enhanced diagnostics  Easier to do business – 1 mailer id for 1 mail piece  Simplify mail preparation and processing – easy link to each mail-piece for every service

7. 7 Service Overview - OneCode Confirm  OneCode Confirm Service Core Infrastructure Complete  Data processing and distribution capability completed and operational since early FY’05  Extensive review by test mailers of CONFIRM system  Prudential (active)  American Express (active)  Additional mailers be brought on board for both OneCode ACS and OneCode Confirm

8. 8 Service overview - ONECODE ACS OneCode ACS is working as planned for First Class Mail ABC Company 123 Main St Memphis TN 38101-1234 Address Service Requested 6060 PRIMACY PKWY STE 201 INTELLIGENT MAIL & ADDRESS QUALITY MEMPHIS TN 38188 -0001- 2020 OneCode PKWY INTELLIGENT MAIL & ADDRESS QUALITY MEMPHIS TN 38188 - USPS Forward Testing: MVL testing for over a year One-time testing with multiple mailers Beta test set to begin with mailer to provide diagnostic Compares ACS vs. OneCode ACS PARS will allow all mail class Change Services to be offered

9. 9 CONFIRM / Data Flow - Infrastructure Improvement Results  Improvements  CONFIRM and EOR data now sent near real-time -Speeds-up data availability -Prevents data loss due to file corruption  Replaced older servers with state of the art ones  Consolidated servers nationally for better monitoring  Results  Significant reduction in frequency of major issues (SPLY)  Customer Service call volume has dropped by one-third -Subscriptions and volume have grown

10. 10  Imager for barcodes  Reads 4-state, POSTNET, and PLANET barcodes  Captures image of signature  Larger display  Color display  2” x 3” dimension  Wireless capable  Bluetooth enabled  WLAN (802.11b) and WWAN (GPRS) expansion capability  Full alpha-numeric keypad INTELLIGENT MAIL DEVICES