1. 1 MTAC February 16, 2011 Paul Vogel President & Chief Marketing/Sales Officer U.S. Postal Service

2. 2 Agenda  Formula for Success  6 Month Assessment  Innovations & New Directions  Working Together to Grow the Industry

3. 3 Formula for Success  Protect the Base  New Innovative Products and Services  Grow New, Profitable Revenue / Volume  Improve the Customer Experience

4. 4 Reflecting on the First 6 Month  Critical Mail  Legal Size - Flat Rate Envelope  Regional Rate Box  Alternate Postage Payment – Hallmark  NSA’s Initiatives Across Product Lines  Prepaid Flat Rate Boxes

5. 5  Sample Box  Reply Rides Free  Saturation Mail & High Density Incentive Program  Full Service IMb Barcodes  Marketing Mail Made Easy  Market Dominant Rate Case Reflecting on the First 6 Month cont.

6. 6 Methodologies to Grow New Profitable Revenue  Products and Services that meet Customer Needs  Flexible, Market-Driven Pricing  Quick to Market Processes  Products that reduce Value Chain costs.

7. 7 Sources of Ideas Suppliers Industry Leaders Customers Innovations Symposiums Innovation ~ 300 Ideas $$ New Revenue Targets USPS Strategy Combined Duplicates & Clarified. No Pre-Judgments Business Case Development & Evaluation Profitable Revenue

8. 8 Areas of Opportunity  Core products / services  Hybrid / Digital / Electronics  E-commerce  Financial services  Global  Enabling Strategies

9. 9 New Direction for Advertising  Drive Relevance of Mail through the Advertising Campaign

10. 10 Working Together for Success  By working together we can grow the overall mailing industry.