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Confirm® ‘Start the Clock’ Feasibility Assessment: Progress Update

5 February 2003: MTAC General Meeting

Business Mail Measurement | Confidential | 5 February 2003 2

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© Copyright IBM Corporation 2002

Assessment Overview

Purpose: To assess whether the Advanced Shipping Notice (ASN) scan in conjunction with Confirm® PLANETTM Code scans provide a feasible basis for measuring business mail service performance

Participating mailers- Bank of America- First Data- Fleet Credit Card

Requirements and Methodology for Observations were Pre-Determined

- Prudential Financial - Regulus

Assessment characteristics- Observe 15 mailings of First-Class Letters using Destination Confirm® over a three month period at 5 mailer sites

Business Mail Measurement | Confidential | 5 February 2003 3

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Preliminary Observations

1. Varying levels of PLANETTM Code application

2. Majority of individual mailings were effectively crossdocked

3. Commingling at the tray and mailing levels

4. One party versus multi-party

5. Opportunities for mailings with one ASN and one shipment ID barcode to be split across days

6. The ASN presents challenges as an effective method to “Start-the-Clock”

7. Multiple induction processes

Eleven mailings observed to date across five mailers and six unique locations from November 2002 – January 2003

Business Mail Measurement | Confidential | 5 February 2003 4

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Confirm® Data Analysis

Compare observed mailings to the ASN as well as actual Confirm® PLANETTM Code scan information

Conduct analysis on samples taken during the on-site data collection period

Identify opportunities to use Confirm® PLANETTM Code scan information to aid in validating start-the-clock times for associated mailings

Business Mail Measurement | Confidential | 5 February 2003 5

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© Copyright IBM Corporation 2002

Next Steps

All mailings observed by end of February

Finalize analysis of Start-the-Clock data (February-March 2003)

Prepare draft report and recommendations (March 2003)