1. POSTAL AUTOMATED REDIRECTION SYSTEM (PARS)

2. SYSTEM AND OPERATIONS OVERVIEW

3. Page 3 PERSPECTIVE 43 Million Change of Address Orders 4.3 Billion Machineable UAA Letters $1.9 Billion Spent on UAA Processing

4. Page 4 SERVICE QUALITY IMPORTANCE Impacts 20% of Population Each Year One Change of Address Database Error can Misdirect Thousands of Mail Pieces

5. Page 5 PROCESSES AUTOMATED BY PARS Change of Address Forms Processing UAA Redirection Processing Postal Service UAA Endorsement Application PS Form 3547 Address Change Notification

6. Page 6 BENEFITS Service Improvement Customer Satisfaction Operational Efficiency

7. Page 7 TOTAL ANNUAL WORK HOUR SAVINGS – PHASE 1 Savings Function 1 – Mail Processing 80 K Function 2 – Carriers 120 K Function 4 – Delivery Unit Clerks 920 K Function 4 – CFS 2.0 M Costs Maintenance 27 K Training 34 K Remote Encoding Centers 270 K Net Work Hour Savings 2.8 M

8. Page 8 PHASE I DEPLOYMENT PLANS 53 Plants 86 Computerized Forwarding Units ? Remote Encoding Centers 1 NCSC Memphis

9. Page 9 PARS DEPLOYMENT – REC Tampa REC

10. Page 10 AUTOMATED REDIRECTION PROCESS

11. Page 11 T1MNS 3547 Print Server ACS Server National Customer Support Center Memphis COA Forms Archive Universal Coding Terminals …. AFR ? Remote Encoding Centers Advanced Forwarding Reader PHASE I PARS NETWORK 40 sites – CFS Mechanized Terminals removed 209 Computer Forwarding Sites with COA Servers 86 COA Forms Processing Sites w/Scanners MLOCR Software STP Computer AFCS Software STP Sort Controls OSS CIOSS DIOSS DBCS II-V OCR 53 Processing Plants Advanced Forwarding Reader Advanced Forwarding Reader

12. Page 12 NEW CHANGE-OF-ADDRESS ORDER PS FORM 3575 New Easy to Scan Change Of Address Cards Replace the Existing Forms Nationwide FIM and Barcode

13. Page 13 COA FORMS CAPTURED ON FIM PROGRAM Unique COA POSTNET Code Assigned --- 00347-3575 COA Forms Captured on FIM Program COA Forms Sent to CFPS Site for Scanning

14. Page 14 COA SCANNER AT CFPS SITES 86 CFPS Sites One Bell and Howell Scanner per CFPS Site COA Images Sent to RECs for Coding Up to 3,000 COAs Scanned per Hour

15. Page 15 PS FORMS SCANNED BY CFPS 3575 – Change of Address (COA) 3575S – Spanish Version Change of Address 3575Z – Employee Generated Change of Address 3575WWW – Internet Change of Address 3546 – Forwarding Order Change Notice

16. Page 16 COA FORMS PROCESSING RECS Tampa FL Fort Wayne IN Glendale AZ Selma CA

17. Page 17 REC CODING FOR CFPS COA Data Entry Complete Form Fields CFR did not Complete Verification / Correction Duplicate / Modified Records

18. Page 18 KEY FROM PAPER TERMINAL Computer Terminal Located at All CFS Sites Manually Enter COA Forms COA Forms that could not be Scanned COA Forms Requiring Special Security Handling Letters Written to Postmaster All Records Processed by ‘Key From Paper’ Terminal are Updated in CARS and FCS Databases Supports All Coding Rules that Apply to REC Sites

19. Page 19 AUTOMATED CHANGE OF ADDRESS FORMS PROCESS COA Forms Scanned at one of 86 CFPS Sites NCSC Memphis TN Data Entered and Verified at Remote Encoding Centers

20. Page 20 COA NOTIFICATION TO DELIVERY UNIT 3982 Label Printed at CFS and Sent to Delivery Unit Move Validation Card Printed at NCSC

21. Page 21 PS FORM 3982 BRIDGE STRATEGY Print 3982 Labels at 209 CFS Sites Plan to Migrate 3982 Label Printing to Delivery Units at Mid- Phase II Deployment

22. Page 22 3982 LABEL 3982 Labels Generated at Local CFS Site CFS Clerks Separate Labels into Pouches and Dispatch to Delivery Units Carrier Verifies Label for Accuracy Carrier Places Label on PS Form 3982

23. Page 23 3982 LABEL Each Zone Begins with a Zone Header Label Labels are Printed in Carrier Route ID Order Labels without a Carrier Route ID are Printed Last Each Zone Ends with a Zone End Label

24. Page 24 3982 ZONE HEADER LABEL DETAILS Date Printed Zone POSTNET of Postmaster ZIP+4

25. Page 25 3982 LABEL DETAILS Carrier Route (printed in CR order) Action Add, Delete or Modify Date Printed Start Date Date to start forwarding End Date Date to stop forwarding for temporary orders. (No End Date shown for permanent orders.) Move Type Family, Individual or Business CFPS Transaction ID Used by DU to access record history on COARS. Name on COA Order OLD Address Information Primary Extract Code Alternate Extract Codes (Up to six if entered in FCS) Urbanization (PR ONLY) is Inserted Between Name and Address Lines As Needed

26. Page 26 3982 LABEL PRINTING All Data Received from CFPS is Printed in CFS 3982 Label Data is Available Immediately after Arrival from CFPS Printing can be Done More than Once per Day if Desired - Only New Records will be Printed Labels are Sorted before Printing First by Zone Then by Carrier Route ID within Each Zone Any Records without Carrier Route ID are Printed Last

27. Page 27 PS FORM 3982 LABEL PRINTING Use of Multiple Workstations is Allowed Printing Time Depends on: Number of Records Number of Groups Workstation Type Number of Workstations Used

28. Page 28 SCOPE OF CFPS INPUT PROCESS 43 Million Customers 350 P&DC/Fs 86 CFPS Sites 4 RECs 1 NCSC

29. Page 29 SCOPE OF CFPS OUTPUT PROCESS 295,000 Carriers 38,000 Post Offices 209 CFS Sites 1 NCSC

30. Page 30 DRAFT CRITICAL ENTRY AND CLEARANCE TIMES COA Forms Same as FIM Process in P&DC/F CFPS Scan Operation PS Form 3575 CFPS Scan 07000659 CET ^ CT ^ 01300200 FIM 07000659 Incoming PM CET ^ CT ^ OGP

31. Page 31 DRAFT CRITICAL ENTRY AND CLEARANCE TIMES REC Data Input and Verification CFS 3982 Label Generation CFPS REC Keying 07000659 CET ^ CT ^ 02000300 3982 Label Generation 0700 CET ^ CT ^ 0300 0330

32. Page 32 COA FORMS ARCHIVAL AND RETRIEVAL SYSTEM No Longer at Delivery Unit Hard Copy COA at CFPS Site for 30 Days COA Images and Data at CFPS Site – 7 Days COA Images and Data at NCSC – 2 Years

33. Page 33 CHANGE OF ADDRESS REPORTING SYSTEM (COARS) Web Based Application that Allows for the Look Up of COA Records View Actual Scanned COA Forms Entire History of the COA Form is Available Research Any Additions / Corrections that were Made to a Record

34. Page 34 CHANGE OF ADDRESS REPORTING SYSTEM (COARS) Highly Sensitive Database Using Sophisticated Encryption Techniques Users to Complete PS Form 1357 Users will have Read Only Access Corrections will be Made Using PS Form 3546 through a Scanner or ‘Key From Paper’ Terminal

35. Page 35 QUERIES TO THE COARS DATABASE Individual / Family / Business Lookup By Street Name By PO Box By Rural Route / Highway Contract Or Other Lookup By Carrier ID + Zip By Transaction ID

36. Page 36 COA FORMS SUMMARY REPORT

37. Page 37 Outward Processing P&DC Outgoing Primary Sacramento Delivery Unit Inward Processing P&DC Outward Processing P&DC Outgoing Primary New York Redirection Processing CFS Delivery Unit Inward Processing P&DC Carrier Former Address Pick-Up Manual & Mechanized Mail Redirection Processing New Address Incoming Secondary New York Incoming Secondary San Jose Mr. Smith New York Mr. Smith New York Mr. Smith New York San Jose MAIL REDIRECTION PROCESS TODAY

38. Page 38 Redirection Processing PARS/CFS Redirection Processing PARS Delivery Unit Inward Processing P&DC Incoming Secondary San Jose Outward Processing P&DC Outgoing Primary Sacramento Incoming Secondary New York Delivery Unit Outgoing Primary New York Former Address Resolve Old Address New Address Automatic Processing & Labeling of UAA Mail Image Only New Address UAA Identification & Interception Mr. Smith New York San Jose Mr. Smith New York MAIL REDIRECTION PROCESS WITH PARS

39. Page 39 NEW EQUIPMENT AT P&DCS CIOSS Machine Modified DBCS Phase II - V DIOSS Machines DIOSS, BCS Processing Software Enhancements to Existing MPE AFCS MLOCR DBCS MPBCS / OSS Intercept Capability

40. Page 40 SPACE CONSIDERATIONS IOSS Module to be Added to DBCS Phase II – V Increases Length by an Additional 24’10’’ Move Stackers Move Feeder Move Both Stacker and Feeder (With Local ET Support) TMS Considerations Select DBCS for CIOSS Kit to Minimize TMS Changes Consider Changing Sort Plan Assignments

41. Page 41 TECHNOLOGY ENHANCEMENTS WFOVC – Wide Field of View Camera (LM) AFR – Advanced Forwarding Reader RIC – Redirection Image Controller FSU – Forward Storage Unit IH – Image Handler CARS – Change of Address Record Server

42. Page 42 MAIL FLOW COA Processing Carrier Identified Forwards Return to Sender Processing DBCS Intercepted Forwards Intercepted Mail from ISS Equipment Non-CIOSS Sites

43. Page 43 CARRIER IDENTIFIED FORWARDS Carrier Identifies Forward Machineable Letter Mail Dispatch Machineable Letter Mail to the Plant with Forward Placards CIOSS Staging Area for FWDS Image Lift Mode CIOSS FWDS Image Lift Run CIOSS Staging Area for FWDS Label Mode CIOSS Label Mode Run Pull Rejects and Dispatch Mail

44. Page 44 INTERCEPT MAIL UAA Mail Captured on Most Automation Letter Machines ISS Modes Flow to CIOSS Label Mode DBCS Intercept Flow to CIOSS Image Lift Mode

45. Page 45 PARS MAIL FLOW – IMAGE MANAGEMENT ISS Equipment MLOCR DIOSS AFCS Most DBCS Machines Delivery Units via CIOSS Delivery Bar Code Sorter Advanced Facer Canceller

46. Page 46 CIOSS PROCESSING – IMAGE LIFT MODE DBCS Intercepted Carrier RTS and Forward Mail Small Percentage of Mail not Lifted by WFOVC AFCS MLOCR Sprays Human Readable Endorsements PICS not Updated

47. Page 47 CIOSS PROCESSING – LABEL MODE Applies Label Sprays Label Information Sprays POSTNET Information Verifies Placement of the Label and POSTNET Updates PICS

48. Page 48 CIOSS MAIL FLOW – SPECIAL HANDLING STACKERS Many Same as RBCS Handlings New Special Stackers Include: Reverse Side Image Required Label Mechanical Error Forward Label Carrier Waste Label Carrier Waste CFS Processing

49. Page 49 DRAFT SERVICE STANDARDS FOR CIOSS MAIL Proposed Critical Entry Time is 1300 All CIOSS Processing Must be Completed by Outgoing Primary Clearance Time Similar to Standard (A) Color Code Policy CIOSS 07000659 DPSPM CET ^ CT ^ 1300 OGP

50. Page 50 AUTOMATED RTS ENDORSEMENT PROCESS

51. Page 51 RTS ENDORSEMENT SEPARATOR CARDS Used to Automate Endorsements 13 Different Separator Cards / Endorsements Planet Code Technology Ensure Readability Return to Delivery Replenish Separator Cards

52. Page 52 RTS ENDORSEMENT SEPARATOR CARDS DECEASED DEC Elvis Presley 123 Graceland Dr Memphis TN 38188 The Separator Card MUST GO BEHIND the Mail for that Endorsement

53. Page 53 RTS ENDORSEMENT SEPARATOR CARD - FRONT

54. Page 54 RETURN TO SENDER MAIL Carrier Identifies Machineable RTS Mail RTS Mail Dispatched Using Separator Cards with RTS Placards CIOSS Staging Area for RTS Image Lift Mode CIOSS RTS Image Lift Run CIOSS Staging Area for RTS Label Mode CIOSS Label Mode Run Pull Rejects and Dispatch Mail Postal Service Endorsements

55. Page 55 AUTOMATED ADDRESS CHANGE NOTIFICATION

56. Page 56 AUTOMATED ADDRESS CHANGE NOTIFICATION Centralized Print Production at NCSC Presorted and Barcoded Revenue Protection

57. Page 57 NCSC PS FORM 3547 PRINTER

58. Page 58 KEY MAIL PROCESSING IMPLEMENTATION ACTIVITIES Develop Operating Plans for Equipment, Mail Types, and Processes Define and Prepare Mail Flows, Placards and Facility Signage Prepare Local Standard Operating Procedures Mail Preparation Separator Cards Waste Mail

59. Page 59 Mail Flow from P&DC to CFS Units Removal of Letter Mech Terminals CFPS COA Scanning REC Keying Waste Mail 3982 Labels No Record Percentage Carrier Identified RTS Mail LINK Communications COMMUNICATIONS INTEGRATES ALL THE COMPONENTS