Move Update Rules and the Printers Role Printers

Move/ Update Rules and the Printer’s Role Printers as “Mail Service Providers” Greylock Associates Michael Winn, President 2010 National Postal Forum Nashville, April 11 - 14

The State of the USPS w Projected $7 billion loss for 2010! w Volume continues to decline: n n n 2006 – 212 billion 2007 - 210 billion 2008 - 201 billion 2009 - 177 billion 2010 - 166 billion (projected) w Cost containment efforts – overhead, facilities, etc w Labor still approximately 80% of USPS cost!

What this is all about w UAA Mail – “Undeliverable As Addressed” w UAA Mail – a $1. 9 billion expense!! w US population is growing, and moving n n Approximately 150 million delivery points/ 6 days Do you know how many moves occur each year? w The need is for automation in mail processing n n n Reduce labor expense to process the mail New automation being deployed Example: Flats Sequencing System (FSS) Automation is dumb! It needs standardization!

A Bit of Move/ Update History w First-Class has required Move/ Update since 1997 n Enforcement has been spotty w Rule expanded to Standard Mail (letters, flats, etc) n n n Originally proposed several years ago via Federal Register Finalized in 2009 Implemented 1/4/10 w What about Periodicals?

Changing Relationships (The “Old” Days”) Mail Owner Hand off Mail Service Provider (printer) USPS Hand off The process was composed of three distinct components, with a “hand off” between each.

Changing Relationships (The “New” Days)” Challenges and “things to remember” National Postal Forum Postal Customer Councils Focus Group Meetings Customer $ Mail Service Provider You are the customer’s “agent”! USPS

What to expect - enforcement §Plenty of questions to be resolved…. §Locally – testing on MERLIN § “Input” to database in Memphis § “Performance Based Verification” (PBV) § Full Service IMB mailings? § Nationally - plenty of questions to be answered § Sarbanes – Oxley? (“Revenue Assurance”) §Office of the Inspector General (OIG)? Penalties will be significant!

References • USPS “Rapid Information Bulletin Board” • www. usps. com/ribbs • Quick access to “all things Move/ Update” • Postal Bulletins, Mail Pro, the DMM Advisory and other USPS publications • Just about any industry association - Post. Com, MFSA, DMA, etc

Thank You!! Questions? Comments?

Flats Track Certificate Program § What is required to earn a certificate? § § Attend five workshops of the Flats Track for Periodicals, Catalogs and Printers How do I get my certificate? § Register for your certificate on the National Postal Forum Website before July 31, 2010 § www. npf. org § Answer the three true/false questions for each of the five sessions you attended § Certificates will be mailed upon certification

The Questions for this Session - 1. Move/ Update simply means that the mail owner needs to keep the list current with the recipient's address. TRUE! 2. A printer, MSP, is ultimately responsible for the presentation of the mail. TRUE! 3. Move/ Update only applies to First-Class. FALSE!

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