Mailers' Technical

1
MTAC
Mailers' Technical Advisory Committee
FINANCIAL PERFORMANCE APRIL, FY 2005
Richard J. Strasser, Jr. Chief Financial Officer
Executive Vice President
2
Summary October 1, 2004 April 30, 2005

• Unusually high revenue/volume growth in November
• Slight revenue/volume growth in October and
  December
• Slight revenue/volume decline in January
• Slight revenue/volume growth in February and
  March
• Increased expenses due to cost inflation and
  additional volumes and deliveries
• Productivity increase held down expenses
• Net income below last year, but over plan

3
Income Statement April 2005
367
Numbers may not add due to rounding ( Millions)
Unfavorable variance to plan
4
Volume Compared to SPLY April YTD
3.4B
2.7
5
Volume Percent Change to SPLY
April YTD 2.7
6
8 Quarter Moving Average First-Class Volume
Q4 01
SPLY
Q3 04
7
8 Quarter Moving Average Priority Volume
Q3 98
SPLY
Q3 03
8
8 Quarter Moving Average Standard Volume
Q1 99
SPLY
Q1 03
9
8 Quarter Moving Average Total Mail Volume
Q1 99
SPLY
Q4 03
10
12 Month Moving AverageFirst-Class Volume
SPLY
2005
2004
11
12 Month Moving Average Priority Volume
SPLY
2005
2004
12
12 Month Moving Average Standard Volume
SPLY
2005
2004
13
12 Month Moving Average
Total Revenue and Mail Volume
SPLY
2005
2004
14
Revenue Compared to SPLY April YTD
15
Volume and Revenue - Change to SPLY- April YTD
16
Income Statement April YTD
2,933
17
Deliveries April Year-to-Date
Deliveries 143.3M
18
Total Factor Productivity Defined
TFP
Change in Combined Workload
Change in Resources Used

19
Total Factor Productivity April YTD
Change in Combined Workload
TFP

1.4
1.8
0.3
Change in Resources Used
Numbers may not add due to rounding
20
Total Factor Productivity April YTD
Cumulative 1972 2005
FY
Percent Growth
21
FY 2005 Quarter 3 Summary Outlook
FY 2005
Above Forecast
16.8B
17.0B
Below Forecast
-0.2B
Above Forecast
22
MTAC
Mailers' Technical Advisory Committee
FINANCIAL PERFORMANCE APRIL, FY 2005
Richard J. Strasser, Jr. Chief Financial Officer
Executive Vice President