COMMUNICATIONS PLAN

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Implementing
Intelligent
MAIL
Charles Bravo Senior Vice President Intelligent
Mail Address Quality
Universal Postal Union Meeting April 19, 2005
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What is INTELLIGENT MAIL?
The use of one code to uniquely identify and
allowend-to-end visibility into the mail stream,
and ability to easily offer new services.

• Evolution in postal technology
• Helps business customers and posts better manage
  their resources and reduce costs
• Provides real-time access to processing
  anddelivery information

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WHY CHANGE? THE BENEFITS

• Improved management of mailers and posts
  business processes
• Increased transparency (mail visibility)
• Enhanced security while maintaining privacy
• Simplifies use of postal services
• Frees up real estate on mail piece
• Supports accurate collection of postage
• GROW REVENUE!

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TRANSFORMATION STRATEGIES
Vision
Allow end-to-end visibility into the mailstream
1
2
3
DevelopEnablingInfrastructure
EnhanceAddressQuality
Uniquely IdentifyAll Types of Mail
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INTELLIGENT MAIL COMPONENTS
Transport
Induction
Process
Delivery
Mail Preparation
Operations
Electronic Manifest or Pre-Shipment
Notification
Entry Scan Starts the Clock
First Automated Scan
Last Automated Scan
Delivery Scan
Container Scans
Information
Status of Mail
Planned Induction Date/Time
ActualInductionDate/Time
Mailpieces in Sorting
Mail Available for Delivery
Actual Receipt
Value
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OneCode Vision
Yesterdays Mail Piece
Address Change Service Codes
Special Services
Presorted First-Class Mail U.S. POSTAGE
PAID Washington, DC 20260 Permit No. 1
6060 PRIMACY PKWY STE 201MEMPHIS TN 38188-3333
ADDRESS SERVICE REQUESTED
BWNGKVN 9999 9920 0104 276
IRENE PAYNE 6449 AMBERVIEW CV MEMPHIS TN
38141-8346
PLANET Code for CONFIRM Service
POSTNET Code for Sortation
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OneCode Vision

• A New Mailpiece for Today

First-Class Mail Postage Fees Paid USPS Permit
No. G-10
COMPUTERIZED FORWARDING SYSTEM UNITED STATES
POSTAL SERVIICE 6511 BALTIMORE AVE HYATTSVILLE MD
20782-9988
CHARLES E. BRAVO SR VP INTELLIGENT MAIL ADDRESS
QUALITY UNITED STATES POSTAL SERVICE 475 LENFANT
PLZ SW RM 2100 WASHINGTON DC 20260-5500
One code per mail type that points to a suite of
services
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TRANSFORMATION STRATEGIES
Vision
Allow end-to-end visibility into the mailstream

• Letters
• Flats
• Trays

1
2
3
DevelopEnablingInfrastructure
EnhanceAddressQuality
Uniquely IdentifyAll Types of Mail
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COLLABORATING WITH STAKEHOLDERS

• Wanting to ensure key requirements were met, The
  Postal Service sought insight from stakeholders
  on their concerns and needs.
• This was done through
• Mailers Technology Study
• Mailing Industry Task Force
• Universal Postal Union Standards Board
• Industry Associations

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UNIQUELY IDENTIFY LETTERS FLATS 4-State

• 4-state barcode refers to using 4 different
  height bars to encode data
• Uses complex algorithms to maximize error
  correction
• Encode many digits into limited footprint
• Maximize read rate
• Field testing beginning later this year

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UNIQUELY IDENTIFY PARCELS

• Completed conversion to Code 128 on Parcels.
• Routing barcode is required for automation
  discount programs
• Concatenated codes improve read rates
• Internet labels converted to concatenated barcode

Code 128
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UNIT LOADS

• Enhanced Distribution Label (EDL)
• Advantages
• Allows trays to be uniquely identified
• Lets customers track the progress of their trays
  sacks
• Provides added security allowing mail to be
  traced back to its source
• More efficient transportation
• Implementation
• In conjunction with surface transportation
  information system deployment

(EDL)
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TRANSFORMATION STRATEGIES
Vision
Allow end-to-end visibility into the mailstream

• EnhancedInfrastructure
• New scanners

1
2
3
DevelopEnablingInfrastructure
EnhanceAddressQuality
Uniquely IdentifyAll Types of Mail
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DEVELOP ENABLING INFRASTRUCTURE

NationalApplication Servers
USPS National Data Stores
DistrictServers
CustomerDataCenters
DistrictServers
DistrictServers

Firewall
EnterpriseData Warehouse
DistrictServers

USPS Wide Area Network 9 Areas80 Districts280
Plants38,000 Facilities300,000 IMD Scanners
USPS Mail Processing Infrastructure
USPS Associate Office Infrastructure
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INTELLIGENT MAIL DEVICES

• 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

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TRANSFORMATION STRATEGIES
Vision
Allow end-to-end visibility into the mailstream

• Letters
• Flats
• Trays

1
2
3
DevelopEnablingInfrastructure
EnhanceAddressQuality
Uniquely IdentifyAll Types of Mail
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ENCHANCE ADDRESS QUALITY

• Mailers expect the Postal Service to deliver
  their mail to the right destination and the right
  person the first time.
• Supporting Facts

Approximately 44 million change of addresses are
filed each year
Each year approximately 1.8 million addresses are
added to the system.
In 2004, the Postal Service processed 206 billion
mail pieces.
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ENHANCE ADDRESS QUALITY

• Services to keep up with movers
• Existing
• NCOA Link
• The most secure method to keep customer address
  information current.
• New
• OneCode ACS
• Provides mailers with electronic address
  correction services without need of costly manual
  processing.

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ENHANCE ADDRESS QUALITY

• Quality address information from movers
• Internet Change of Address
• see www.usps.com
• Telephone Change of Address
• call 1-800 ASK - USPS
• Movers Guide
• Visit your Post Office

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OUR FIRST INTELLIGENT MAIL PRODUCT

• The Postal Services first Intelligent Mail
  product, CONFIRM, is being used today by the
  mailing industry to meet their business needs.
• Financial institutions, credit card companies,
  direct mail advertisers and fulfillment companies
  are using CONFIRM every day.

Service Update - Mailpieces January
2005 248,364,362 January 2004 133,088,164 SPLY 87
increase
Presorted First-Class Mail U.S. POSTAGE
PAID Washington, DC 20260 Permit No. 1
6060 PRIMACY PKWY STE 201MEMPHIS TN 38188-3333
IRENE PAYNE 6449 AMBERVIEW CV MEMPHIS TN
38141-8346
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THANK YOU!!!!