1. Importance of Address Element Correction Jan Caldwell Manager, Address Management MTAC Meeting Washing DC, October 28, 2004 1

2. 2  The Postal Service has stated it will raise the goal of DPS performance to 85% by the end of the year ADDRESS ELEMENT CORRECTION – STEP II

3. 3  In FY2003, USPS licensees were able to ZIP+4 code 317 billion of the 336 billion addresses processed.  Roughly 5% or 19 billion addresses were unable to be ZIP+4 coded. ADDRESS ELEMENT CORRECTION – STEP II

4. 4  In FY2003, USPS licensees were able to Delivery Point Validate (DPV) 304 billion of the 336 billion addresses processed.  Roughly 9.5% or 32 billion addresses were not able to DPV Confirm. ADDRESS ELEMENT CORRECTION – STEP II

5. 5 Total Addresses Processed:336 Billion Total Addresses ZIP+4 Coded:317 Billion94.43% Total Addresses Unable to ZIP+419 Billion5.57% Total Addresses ZIP+4 Coded That DPV Confirmed: 304 Billion90.47% Total Addresses Processed That Did Not DPV Confirm: 32 Billion 9.53% Data Derived From Analysis of 20,000+ Mailer Files ADDRESS ELEMENT CORRECTION – STEP II

6. 6 The Mailing Industry, specifically the Mailers Technical Advisory Committee (MTAC), has requested the Postal Service provide a more convenient way to correct “bad addresses” based on carrier knowledge. GOOD AS ADDRESSED

7. 7 ADDRESS ELEMENT CORRECTION – STEP II  In June 2003, the Postal Service implemented a WEB based application to utilize Delivery Force Knowledge TM in resolving Change of Address (COA) records that do not match a delivery point.  The Electronic Uncoded Address Resolution System (eUARS) GOOD AS ADDRESSED

8. 8 ADDRESS ELEMENT CORRECTION – STEP II  Existing eUARS resolved 3,936,712 of 4,359,387 (90%) NCOA records over the past 12 months. Addition or Correction of Address Elements for record Addition or Correction of AMS data Delivery Unit did not recognize customer/address  On average 4,100 records per District, or 7.8 records per ZIP Code per month were resolved. GOOD AS ADDRESSED

9. Introducing AECII A New Service that enables the mailing industry to submit “bad addresses” through the eUARS application for resolution based on Delivery Force Knowledge™. 9

10. 10 ADDRESS ELEMENT CORRECTION – STEP II AECII n Electronic process provides more convenient method for list updates than existing manual list correction service, while providing greater quality. n Historical correction data prevents redundancy in regards to multiple records representing the same address – reducing workload. n Provides central source for distribution, tracking, and billing. GOOD AS ADDRESSED

11. 11 ADDRESS ELEMENT CORRECTION – STEP II  In FY2003, Address Element Correction, the existing all computerized program, resolved 7.6 million of 24.5 million addresses (31%).  The remaining 16.9 million unresolved bad addresses are prime candidates for AECII. GOOD AS ADDRESSED

12. 12 ADDRESS ELEMENT CORRECTION – STEP II Benefits to USPS n Increased automation performance closing gap on uncoded mail and increasing DPS n Labor savings through cost avoidance in cased letter mail n Demonstrates USPS commitment to meet mailing industry needs GOOD AS ADDRESSED

13. 13 ADDRESS ELEMENT CORRECTION – STEP II Benefits to Mailing Industry n Automation Discounts for records previously not ZIP+4 coded. n Increases value of list – UAA reduction n Reduces dependency on carrier knowledge GOOD AS ADDRESSED

14. Thank You 14