1. MTAC – May 2006 Mailers’ Technical Advisory Committee Address Placement for Flats Sequencing System (FSS) Work Group #101 May 18 th, 2006

2. MTAC – May 2006 Background In 2004, the USPS began investigating the feasibility of the Flats Sequencing System (FSS). Vendor plant testing has taken place, and prototype field testing is currently taking place in the Indianapolis area. Pre-production testing is expected in 2007, and pending BOG approval, deployment starting in 2008. The first work group has been formed and has been tasked with tackling the issue of address placement. FSS will likely have specific address placement requirements from the standpoint of the technology, but more importantly from the standpoint of the carriers.

3. MTAC – May 2006 Address Placement for FSS It is important to understand the operational and financial consequences of FSS on both the USPS and industry. Address placement is a product of both production constraints and marketing. The work group has developed surveys for various industry segments (e.g., Periodicals, STD/Catalogs, and First-Class) in order to better understand their specific needs.

4. MTAC – May 2006 Address/Label Placement Requirements All flat mail must be output from the sequencing machine with the bound edges aligned (unless enveloped or polybagged). Addresses may appear on the front or back of the mail piece. Once output with the bound edges matching, all addresses would appear in the top third of the mail piece (top half of smaller pieces, such as 5.5” x 8.5”), facing the same direction but without the address reading upside down.

5. Bound Flat Option 1 Bound Edge This could represent the front cover or back cover of your mail piece. Customer address and optional delivery endorsement can appear anywhere in the address zone (bottom third), but must be upside down (or parallel to the bound edge) as read with the bound edge on the right. John Doe 123 Main St Anywhere, USA 12345 John Doe 123 Main St Anywhere, USA 12345 Can face left or right Can be left or right justified, or centered, but must be upside down. John Doe 123 Main St Anywhere, USA 12345 Cannot be right side up. John Doe 123 Main St Anywhere, USA 12345 X

6. Bound Flat Option 2 This could represent the front cover or back cover of your mail piece. Customer address and optional delivery endorsement can appear anywhere in the address zone (top third), but cannot be upside down as read with the bound edge on the right. Bound Edge On right John Doe 123 Main St Anywhere, USA 12345 John Doe 123 Main St Anywhere, USA 12345 Can face left or right John Doe 123 Main St Anywhere, USA 12345 Can be left or right justified, or centered, but must not be upside down. John Doe 123 Main St Anywhere, USA 12345 X Cannot be upside down.

7. Customer address and optional delivery endorsement can appear anywhere in the address zone (top third, with no relation to bound edge), but cannot be upside down as read in relation to the top edge. Enveloped Flats Top Edge (either short edge) John Doe 123 Main St Anywhere, USA 12345 John Doe 123 Main St Anywhere, USA 12345 Can face left or right John Doe 123 Main St Anywhere, USA 12345 Can be left or right justified, or centered, but must not be upside down. John Doe 123 Main St Anywhere, USA 12345 X Cannot be upside down. Note: this option also pertains to flats in other types of containers, such as CD cases.

8. Address can appear anywhere in the address zone (top third, with no relation to bound edge), but cannot be upside down as read in relation to the top edge. Addresses on label carriers, invoices, or onserts must be designed such that the address remains in the top third of the piece. Polybagged Flats Top Edge (either short edge) John Doe 123 Main St Anywhere, USA 12345 Can be left or right justified, or centered, but must not be upside down. Can face left or right John Doe 123 Main St Anywhere, USA 12345 John Doe 123 Main St Anywhere, USA 12345 John Doe 123 Main St Anywhere, USA 12345 X Cannot be upside down.

9. Survey Questions (PER Example) Would addressing in the bottom third* of the front of your publication be a workable option for you (must be addressed parallel to the spine or upside down when viewed with the bound edge on the left) ? ______________________________________________ Would addressing in the top third* of the back of your publication be a workable option for you? ________________________________________ Would addressing in the top third* of your polybagged piece or envelope be a workable option for you? ______________________________________ If you have concerns with any of these options, including attaching onserts inside the polybag, please provide details as to why: __________________ ____________________________________________________________ How could specifications be adjusted to resolve it?____________________________________________________________ **Please email this page to susan.j.hawes@usps.com or fax to 202-268-5327.susan.j.hawes@usps.com *Note that digest size pieces would utilize the top half of their publication for the address zone

10. MTAC – May 2006 Address Placement for FSS The surveys are being distributed through associations and MTAC. The results will be tabulated in order to determine if there is some commonality within the industry segments. The group will compile the information in a report that hopefully can be the basis of placement requirements, if FSS is approved.

11. MTAC – May 2006 Early Survey Findings First-Class mailers have serious concerns about the impact of shifting their address either upside down or away from a landscape placement. Periodicals favor front cover bottom placement but our concerned with flipping the address upside down, particularly on label carriers and onserts. Standard mailers are concerned about using valuable advertising space if addresses must shift from the back bottom to back top, though they prefer to keep the address right side up. Thank You! Any questions?