Pitney Bowes Investor Relations Overview

Pitney Bowes

Investor Relations Overview

August 2021

This document contains “forward-looking statements” about the Company’s expected or potential future business and financial

performance. Forward-looking statements include, but are not limited to, statements about future revenue and earnings guidance and

future events or conditions. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that

could cause actual results to differ materially from those projected. In particular, we continue to navigate the impacts of the Covid-19

pandemic (Covid-19), including its effects on the cost and availability of labor and transportation and global supply chains. Other factors

which could cause future financial performance to differ materially from expectations, and which may also be exacerbated by Covid-19 or

a negative change in the economy, include, without limitation: declining physical mail volumes; changes in postal regulations or the

operations and financial health of posts in the U.S. or other major markets or changes to the broader postal or shipping markets; the loss

of, or significant changes to, our contractual relationships with the United States Postal Service (USPS) or USPS’ performance under

those contracts; our ability to continue to grow and manage volumes, gain additional economies of scale and improve profitability within

our Global Ecommerce and Presort Services segments; changes in labor and transportation availability and costs; third-party suppliers'

ability to provide products and services required by us and our clients; competitive factors, including pricing pressures, technological

developments and the introduction of new products and services by competitors; the loss of some of our larger clients in our Global

Ecommerce and Presort Services segments; expenses and potential impacts resulting from a breach of security, including cyber-attacks

or other comparable events; our success at managing customer credit risk; and other factors as more fully outlined in the Company's

2020 Form 10-K Annual Report and other reports filed with the Securities and Exchange Commission. Pitney Bowes assumes no

obligation to update any forward-looking statements contained in this document as a result of new information, events or developments.

Forward Looking Statements

2

3

We are building a foundation to give Pitney Bowes the opportunity for long-term success. Today, we are a streamlined, global technology company focused on shipping, mailing and related financial services that operates in markets where we have true competitive advantage.

Pitney Bowes

Pitney Bowes is a global technology company

helping clients succeed in commerce by

removing the complexity of shipping and

mailing, and offering flexible financing options

Leading for the long-term

Driving portfolio to growth markets

““

4

Pitney Bowes by the Numbers

$3.6Bn

2020

Revenue

24%2017

$374MM

2020

Adjusted EBITDA

39%2019

37%2017

31%2019

$283MM

2020

Free Cash Flow

50%2020

27%2020

Financial Snapshot:

FY 2020 Adjusted Results

% of Revenue from Shipping

Products & Capabilities

SG&A % of Revenue

5

Who we are

Si

Core

CompetenciesShared USPS

and Carrier

Relationships

Embedded

Software

Capabilities

Integrated

Commerce

Cloud

A Simplified and Focused Business Model

Natural

Adjacencies

6

Shipping Mailing

Financing

6

Si

Global Ecommerce

7

7

Domestic Parcel ServicesF

ulf

illm

en

t

▪ National fulfillment network with proximity to customers

▪ Real-time visibility of operations

De

live

ry

▪ Combining proprietary delivery network with cost-effective USPS

last-mile delivery

Re

turn

s

▪ Proprietary label technology enables faster processing and advance

planning for merchants

Si

Global Ecommerce

8

8

Cross Border Services &

Shipping Solutions

Cro

ss

-bo

rde

r

reta

il

▪ Handle all facets of enterprise retail cross-border expansion

▪ Focused on global retailers & brands

Cro

ss

-bo

rde

r

de

live

ry

se

rvic

es

▪ Guaranteed quotes for international checkout

▪ Ability to handle prepaid and/or postpaid duties and taxes

▪ Diversified carrier network

Sh

ipp

ing

so

luti

on

s

▪ Easy to integrate with USPS and other private carriers

▪ 3-day delivery guarantee offering

▪ Flexible developer portal

Si

9

Operations Hubs

Return

Deliver

Postal

Network

Bypass

USPS

Facilities

Deep In

Postal

NetworkParcel Fulfillment

Parcel DeliveryCustomers

National

Linehaul

Network

Parcel Returns

Pitney Bowes Technology Platform

Integration

& Compliance

Business

Rules

Reporting/

Analytics

Shipment

Tracking

Cross-border Solutions

International

Consumers

PITNEY BOWES PHYSICAL NETWORK

Shipping

Solutions

Domestic Parcel

Global Ecommerce Network

NOTE: PBI operations hub diagram for illustration purposes only.

Integrated tracking provided to buyer and seller throughout every step9

Si

Global Ecommerce

10

10

Competitive Advantage

100% focused on Ecommerce

▪ Consumer first

▪ Helping our clients grow their business

▪ Removing complexity from post-purchase

experience

Differentiated client experience

▪ Purpose-built network

▪ Focus on mid-size and born-on-the-web retailers

▪ Integrated and customized services

▪ Transparent fee structure

Technology is at the core of what we do

▪ Data and AI enhance offerings and create new

services

Path to Profitability

Scale

▪ Platform business

▪ Continued growth in volumes

▪ Mix of business

▪ Pricing - general rate increase (GRI), surcharges

Operational improvement

▪ Automation

▪ Technology

▪ Upgrade facilities

Synergies

▪ Leverage Presort network for transportation

▪ Streamline processes/systems across organization

Si

Global Ecommerce

11

11* Source: U.S. Census Bureau, excludes motor vehicles, gas, food and beverage, grocery stores

The world has changed…

Si

Global Ecommerce

12

12

And we provide a differentiated experience

-12

-10

-8

-6

-4

-2

0

2

4

1Awareness

2Engagement

3Negotiation

4Onboarding

5Billing

6Issue

Resolution

7After 1-2 Years

UPS

FedEx

DHL

PB

Our differentiator

is client experience

How much did your

confidence

increase/decrease

with each stage of

the carrier’s client

journey?

Making it easier for clients is where we diverge from opaque competitors

Source: 09/2020 Cipher Research, 731 ecommerce executives

Si

Global Ecommerce - Purpose-built network and services for B2C ecommerce logistics

13

13

▪ Using tech, data science, AI and robotics to improve Service Level Agreements (SLA) and underlying cost

▪ Optimizing postal penetration and bolt-on higher-margin services

▪ Improving transportation leverage with targeted owned infrastructure

▪ Single API integration for easier client access and services bundling

Si

Global Ecommerce - Active Portfolio of Integrated Services

14

Physical

Digital

Returns

Delivery

Fulfillment Expedited/Digital

Standard

Cross Border

2020 Volume 2020 Revenue

Si

Global Ecommerce – Roadmap to tackle key cost drivers

15

15

▪ Reposition fixed/variable cost structure to capture leverage on volume increases

▪ Operational efficiency/execution – transportation, warehouse capacity and postal costs

❑ Transportation – Investing in owned fleet capabilities to provide cost leverage balanced with a growing partner

ecosystem to maintain flexibility and excellent client/consumer experience.

❑ Warehouse / Labor – Balancing investment in traditional automation and advanced robotic/AI capabilities to

improve cost leverage and work quality

❑ Postal / Final Mile - Optimizing network for best balance of service SLA at lowest cost

Revenue Variable

CostVariable

Margin

Fixed Cost Gross

Margin

16

Si

Presort Services

Ma

rke

tin

g M

ail

Fla

ts

an

d

Bo

un

d P

rin

ted

Matt

er

▪ Expanded mail class

coverage

▪ Automation eliminates

manual processes and

improves time to market

▪ New and growing service capabilities in multiple facilities

▪ Potential to participate in specialized ecommerce markets,

such as books or other flat parcels

▪ 2020 Marketing Mail Flats and Bound Printed Matter volumes

grew 38% over 2019

▪ Significant expansion in sorting automation equipment to

enhance BPM processing (e.g., high speed sorters) efficiency

Fir

st

Cla

ss

&

Ma

rke

tin

g M

ail

▪ Proprietary software

enabling the best possible

postal discount, optimizing

customers’ postage spend

▪ Full-service USPS

compliance ▪ 97.5% 5-digit capture rate

▪ Volumes processed 80% First Class / 20% Marketing Mail

15.2 15.4 15.8 16.6 17.2 16.7

2015 2016 2017 2018 2019 2020

Presort Volumes Processed (Bn)

16

17

Si

Presort Services

17

Key Value Propositions

Largest workshare partner of the USPS

Reduce mailing costs through scale and commingling

Minimize internal equipment and labor expenses for clients

Improve delivery times through proprietary Presort network

18

Si Local post office

Local USPS

SCF(1) facility Local USPS

NDC(2) facility

Mail transported to Presort

Services facilityUSPS last-mile

delivery to home

or office

Destination

USPS NDC(2)

facility

Destination

USPS SCF(1)

facility

Destination USPS

Post Office

Non-Presort

Services process

Presort Services mail

sorting

Company A

Client creates mail

USPS

NDC facility

USPS

SCF facility

USPS

facility

5

Presort Services Network

Mail Exchange strategically moves mail within the

region to maximize sorting and postal savings

Cincinnati

Columbus

Chicago

Indianapolis

Detroit

Cleveland

(1) Sectional Center Facilities (SCF) serve as Processing and Distribution Center (PDC) for Post Offices in a designated geographic area.

(2) Network Distribution Centers (NDC) are automated facilities that serve as centralized mail processing and transfer points for designated geographic areas.

18

19

Si

Sending Technology Solutions(SendTech)

Installed base of ~1 million postage meters

with 100k+ SaaS cloud users accessing

shipping and mailing through the cloud

750k+ SendTech clients with average

relationship of 8+ years

Market leader in capturing US metered postage spendDirect operations in

9 countries #1 global meter

market provider

80%+ of transactions

generated through

tele/web sales channel

New product introduction

SendKitSendPro

Enterprise

2016 2017 2018 2019 2020

SendPro

OnlineSendPro C

SendPro

P-Series

International

Roll-Outs

19

SendPro Lite /

SendPro Auto

SendPro

Mailstation

20

Si

Sending Technology Solutions(SendTech)

20

Meter Product Refresh

▪ Enhanced revenue streams

▪ Client loyalty

▪ Significant penetration opportunities

Adjacent Space Opportunities

▪ Leverage core assets

▪ Address new workplace environment

Growth from new capabilities offsetting core

mailing declines

▪ Improved retention

▪ Expand value proposition

Expanded E2E Sending Value Proposition

Complete Portfolio – Shipping, Receiving, Mailing, Analytics

GFS Financing for client’s Accounts Receivables

Strong growth indicators in Adjacencies

Double-digit growth YoY in Shipping Capabilities

$29MM funded via Wheeler Financial through year-end 2020

Well positioned for the ‘new normal’ hybrid workplace

IoT connected SaaS based Sending solutions accessible

from any where and on any device

~40% Increase in SendPro Online subscribers (2020 vs 2019)

SendPro Online SaaS Shipping Solution launched in UK & AU

Launched New Same Day Delivery & Delivery Assurance

Si

21

Captive

financier

Lending

institution

State chartered

bank

Issuer &

merchant servicer

Deposit taking &

FDIC Insured

Operating

Industrial Loan

Company (ILCs)

Financing

21

Provide integral support to SendTech services

Equipment

Enable ~85% of customers to

purchase the products that PBI

manufactures and sells

Postage

~75% of customers utilize a deposit

account or credit line from PB Bank to

pay for postage

Shipping

Provide financing for

SMB shipping needs

Robust portfolio performance▪ Customer /sector diversification

▪ Proactive portfolio monitoring

▪ Favorable write-off trends

Stabilization of lease receivable base▪ Rate of asset reduction improved pre-COVID

▪ Continued improvement with new capabilities

New product offerings▪ Deepening client relationships

▪ Enhancing return on capital

22

Financing – Expanding Financial Services to Important Adjacencies will Deepen Our Client Relationships and Enhance our Return on Capital

22

▪ Unsecured Postage Revolving Lines of Credit

▪ Prepaid Deposit Account

▪ Captive Leasing

From Exclusively

SendTech Related

To Broader

PBI Oriented

To Growth Enablement …

Leveraging our Strategic Advantages

To more traditional lending

capabilities to serve adjacent PBI

customer needs

▪ Shipping & Logistics Working Capital

▪ Presort funding solutions

▪ Commerce Services enablement

+

+

+

▪ Wheeler Secured Equipment CAPEX

Working Capital Solutions for Main St. Companies

▪ Broader Payables & Supply Chain Logistic Financing

▪ General small business Revolvers & Term Loans

▪ Selective Gov’t Program participation (SBA) as a risk mitigation tool

Si

23

Financing – A Significant Middle Market Customer Base, and Small Business Exposure Concentrated in Core Services and Capabilities, Mitigate Credit Risk

23

Large Cap

<$10MM $10 - $25MM $25 - $100MM $100 -$250MM

$250 -$750MM

>$750MM Public Admin

Middle Market

~40% of Portfolio

Small Business

~60% of PortfolioMunicipal

Other

Services

Auto Repair

Churches

Non-Profits

~10%Finance &

Insurance

Insurance

Mortgage Svcs

Title Agencies

~10%Professional

Svcs

Law Offices

Accountants

Consultants

~18%

Healthcare

Physicians

Dentist

Labs

~15%

Waste Mgmt.

Sanitation Svcs

~6%

Waste

Remediation Public / Private

Schools

Small Colleges &

Universities

~6%Education

v

North America Portfolio

24

Progress

Continued Active Portfolio Management and Organic Investments support the Company’s Transformation, Creating a Simplified, Focused Business Model

Portfolio

Actions

Organic

Investments

New

Brand

launched

SMB

go-to-market

changes

Partnered with

Amazon Web

Services

North America

Enterprise

Business

Platform

SendPro

P-Series &

SmartLink

launched

SendPro C-

Series

launchedShipping

API

platform

Expanded

Cross-border offerings

with eBay

Invested in

Global Carrier Services

Library

Commerce

CloudWheeler

Financial™

subsidiary

formed

2013 2014 2015 2016 2017 2018

Sold DMT

Production

Mail &

related

Software

Sold

Imagitas

Sold

Management

Services

Sold Nordic

Furniture

Sold Canada

Digital

Imaging

Solutions

Acquired

Newgistics

Joint venture with

Broadridge to form

Inlet

Acquired

Maponics

Acquired

EnrouteAcquired

Borderfree

Acquired

Real Time

Content

<< Presort Network Expansion >>

2019

Sold

Software

Solutions

Exited direct

operations in 6

European Markets

25

2020

SendTech

MailStation

launched

2020: 4th consecutive year of constant currency revenue growth

2013-2020: $1.7Bn reduction in debt-related obligations

2013-2020: $1.5Bn returned to shareholders in the form of dividends and share buybacks

Progress

Long Term: continued revenue growth expected as portfolio shifts to shipping and expands financing offerings

26

27

Long Term Strategy

Portfolio Evolution Further Shifts to Higher-Growth Businesses

SendTech54%

Software10%

Commerce Services

24%

Production Mail12%

2016SendTech

40%

Commerce Services

60% 2020

Commerce Services

~70%

SendTech

~30%Long

Term

(1) Annual revenue growth rate versus prior year. 2016 reflects revenue as reported prior to new Leasing Accounting Standard (ASC842).

Note: Commerce Services includes the Global Ecommerce and Presort Services segments.

11% Mid Single Digit+Pitney Bowes

Growth(1) (5%)

28

Commerce Services Fuels Top-Line Growth

29

Cross Border Solutions

Shipping Solutions

Marketing Mail Flats/

Bound Printed Matter

Domestic Parcels

Network / Logistics Optimization

Operational Efficiency

Client Experience Focus

Parcel Volume / Scale

Revenue: Low Double-Digit Growth

EBIT Margin: High Single-Digit / Low Double-Digit

$1.5$1.7

$2.1

2018 2019 2020 Long-Term

Low Double-

Digit Growth

$41

$- $(27)

2018 2019 2020 Long-Term

High

Single-Digit /

Low Double-Digit Margin

$billions

$millions

+9%

+27%


SendTech Revenue Bolstered by Expansion in Shipping and Financing Capabilities; Maintain Strong EBIT Margins

30

Revenue: Flat to Low Single-Digit Decline

EBIT Margin >30%

$1.67 $1.53

$1.41

2018 2019 2020 Long-Term

Flat to Low

Single-Digit

Decline

$559

$490 $441

2018 2019 2020 Long-Term

31.9%

Margin33.4%

Margin

30%+

Margin

Shipping Capabilities

International Launches

New Financing offerings

New Value Beyond Sending

Shipping Capabilities

Infrastructure Optimization

More Efficient Go-To-Market

New Value Beyond Sending

$billions(1)

$millions(1)

(7%)(6%)

31.2%

Margin

(1) 2018 SendTech financials recast to reflect new Lease Accounting Standard (ASC 842). Revenue growth rates exclude impact of currency and market exits.

Pitney BowesMid

single-digit+

growth

Low

double-digit

% Portfolio Revenue EBIT Margin %

Commerce Services ~70%

Low

double-digit

growth

High single-digit /

Low double-digit

SendTech Solutions ~30%

Flat to

low single-digit

decline

30%+

Long-Term Model: Revenue Growth Improvement as Portfolio Continues to Shift to Growth Markets; Earnings and Free Cash Flow Expansion will Follow

Long-Term Model

31


32

Capital Allocation

$-

$100

$200

$300

$400

2018 2019 2020 Long Term

Free Cash Flow

33

Continued Investment

- Shipping Capabilities

- Third Party Financing

- Automation

- Network Optimization

Portfolio Criteria

- Strategic coherency

- Market leader, or plan to become leader, within

respective market

- Earn an acceptable return

2020 Shareholder Return

$ 34MM Dividends to Common Shareholders

3% Dividend Yield

Free Cash Flow ($MM)

Capital Allocation Priorities Focus on Investments in the Portfolio, Balance Sheet and Shareholder Return

Long-Term Model: Revenue Growth Improvement as Portfolio

Continues to Shift to Growth Markets; Earnings and Free Cash Flow Expansion will Follow

$2.7 $2.1 $1.6 $1.5

$1.1

$1.2

$1.1 $1.1

$-

$1.0

$2.0

$3.0

$4.0

$5.0

2017 2018 2019 2020

Implied Operating Debt Implied Financing Debt

(1) Total Finance Receivables at 8:1 debt:equity ratio.

2017

funding for

Newgistics 2018

pay down

of $0.6Bn$3.8

$3.3

$2.6

Total Debt Composition ($Bn)

34

(1)

Reduced Total Debt by $1.3Bn since 2017

2019

pay down

of $0.5Bn

$2.7

2020

pay down

of $0.2Bn

Committed to Maintaining a Strong Balance Sheet

Debt Composition, at 06/30/2021 ($Bn)

Total Debt $ 2.43

- Implied Financing Related Debt(2) - 1.05

Implied Operating Company Debt $ 1.38

- Cash & S/T Investments - 0.81

Implied Net Debt $ 0.57

72

93

261

400 350

36

425 380

450

$-

$200

$400

$600

$800

$1,000

2021 2022 2023 2024 2025 2026 2027 2028 2029 2037 2043

Debt Maturity ScheduleAt 06/30/2021 ($MM)(1)

Notes Term Loans

Recent Actions:

▪ Manageable debt profile; next bond maturity 2022

▪ Reduces near-term refinancing risk

▪ Improved pricing of Term Loan B

▪ Extended the duration of maturities across capital structure

(1) Does not reflect Term Loan principal amortization

(2) Total Finance Receivables at 8:1 debt:equity ratio

35

Appendix

The Company's financial results are reported in accordance with generally accepted accounting principles (GAAP); however, in its

disclosures the Company uses certain non-GAAP measures, such as adjusted earnings before interest and taxes (EBIT), adjusted

earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted earnings per share (EPS), revenue growth on a

constant currency basis and free cash flow.

The Company reports measures such as adjusted EBIT, adjusted EBITDA and adjusted EPS to exclude the impact of items like

discontinued operations, restructuring charges, gains, losses and costs related to acquisitions and dispositions, asset impairment

charges, goodwill impairment charges and other unusual or one-time items. Such items are often inconsistent in amount and frequency

and as such, the Company believes that these non-GAAP measures provide investors greater insight into the underlying operating trends

of the business.

In addition, revenue growth is presented on a constant currency basis to exclude the impact of changes in foreign currency exchange

rates since the prior period under comparison. Constant currency is calculated by converting the current period non-U.S. dollar

denominated revenue using the prior year’s exchange rate for the comparable quarter. We believe that excluding the impacts of currency

exchange rates provides investors a better understanding of the underlying revenue performance. A reconciliation of reported revenue to

constant currency revenue can be found in the attached financial schedules.

Use of Non-GAAP Measures

37

Use of Non-GAAP Measures

Free cash flow adjusts GAAP cash from operations for cash flows of discontinued operations, capital expenditures, restructuring

payments, changes in customer deposits held at the Pitney Bowes Bank, transaction costs and other special items. The Company

reports free cash flow to provide investors insight into the amount of cash that management could have available for other discretionary

uses. A reconciliation of GAAP cash from operations to free cash flow can be found in the attached financial schedules.

Segment EBIT is the primary measure of profitability and operational performance at the segment level and is determined by deducting

from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general

corporate expenses not allocated to a particular business segment, restructuring charges and other unusual or one-time items, which are

recognized on a consolidated basis. The Company also provides segment EBITDA, which further excludes depreciation and amortization

expense for the segment, as an additional useful measure of segment profitability and operational performance. A reconciliation of

segment EBIT and EBITDA to net income can be found in the attached financial schedules.

Complete reconciliations of non-GAAP measures to comparable GAAP measures can also be found at the Company's web site:

www.pb.com/investorrelations

38

http://www.pb.com/investorrelations

39

Pitney Bowes Inc.

Consolidated Statements of Income (Loss)

(in thousands, except per share amounts)

2020 2019 2018

Revenue:

Business services 2,191,306$ 1,710,801$ 1,566,470$

Support services 473,292 506,187 552,477

Financing 341,034 368,090 394,557

Equipment sales 314,882 352,104 395,652

Supplies 159,282 187,287 218,304

Rentals 74,279 80,656 84,066

Total revenue 3,554,075 3,205,125 3,211,526

Costs and expenses:

Cost of business services 1,904,078 1,389,569 1,233,105

Cost of support services 149,988 162,300 178,504

Financing interest expense 48,162 44,648 44,376

Cost of equipment sales 236,716 244,210 236,160

Cost of supplies 41,679 49,882 60,960

Cost of rentals 25,600 31,530 37,178

Selling, general and administrative 963,323 1,003,989 1,002,934

Research and development 38,384 51,258 58,523

Restructuring charges and asset impairments 20,712 69,606 25,899

Goodwill impairment 198,169 - -

Interest expense, net 105,753 110,910 115,382

Other components of net pension and postretirement (income) expense (1,708) (4,225) 22,426

Other expense, net 8,151 24,306 7,964

Total costs and expenses 3,739,007 3,177,983 3,023,411

Income (loss) from continuing operations before taxes (184,932) 27,142 188,115

Provision (benefit) for income taxes 6,727 (13,007) 6,416

(Loss) income from continuing operations (191,659) 40,149 181,699

Income from discontinued operations, net of tax 10,115 154,460 60,106

Net (loss) income (181,544)$ 194,609$ 241,805$

Basic earnings (loss) per share (1):

Continuing operations (1.12)$ 0.23$ 0.97$

Discontinued operations 0.06 0.88 0.32

Net income (loss) (1.06)$ 1.10$ 1.29$

Diluted earnings (loss) per share (1):

Continuing operations (1.12)$ 0.23$ 0.96$

Discontinued operations 0.06 0.87 0.32

Net income (loss) (1.06)$ 1.10$ 1.28$

Weighted-average shares used in diluted earnings per share 171,519 177,449 188,382

(1) The sum of the earnings per share amounts may not equal the totals due to rounding.

Year ended December 31,

40

Pitney Bowes Inc.

Consolidated Balance Sheets(in thousands)

Assets

December 31,

2020

December 31,

2019

December 31,

2018

Current assets:

Cash and cash equivalents 921,450$ 924,442$ 867,262$

Short-term investments 18,974 115,879 59,391

Accounts and other receivables, net 389,240 373,471 371,797

Short-term finance receivables, net 568,050 629,643 653,236

Inventories 65,845 68,251 62,279

Current income taxes 23,219 5,565 5,947

Other current assets and prepayments 120,145 101,601 74,782

Assets of discontinued operations - 17,229 602,823

Total current assets 2,106,923 2,236,081 2,697,517

Property, plant and equipment, net 391,280 376,177 398,501

Rental property and equipment, net 38,435 41,225 46,228

Long-term finance receivables, net 605,292 625,487 635,908

Goodwill 1,152,285 1,324,179 1,332,351

Intangible assets, net 159,839 190,640 213,200

Operating lease assets 201,916 200,752 152,554

Noncurrent income taxes 72,653 71,903 65,001

Other assets 489,201 400,456 397,159

Total assets 5,217,824$ 5,466,900$ 5,938,419$

Liabilities and stockholders' equity

Current liabilities:

Accounts payable and accrued liabilities 878,303$ 793,690$ 773,350$

Customer deposits at Pitney Bowes Bank 617,200 591,118 574,777

Current operating lease liabilities 39,182 36,060 35,208

Current portion of long-term debt 216,032 20,108 199,535

Advance billings 114,550 101,920 116,862


Liabilities of discontinued operations - 9,713 174,798

Total current liabilities 1,868,147 1,569,692 1,889,814

Long-term debt 2,348,361 2,719,614 3,066,073

Deferred taxes on income 279,451 274,435 253,560

Tax uncertainties and other income tax liabilities 38,163 38,834 39,548

Noncurrent operating lease liabilities 180,292 177,711 125,294

Other noncurrent liabilities 437,015 400,518 462,288

Total liabilities 5,151,429 5,180,804 5,836,577

Stockholders' equity:

Preferred stock 1

Preference stock 396

Common stock 323,338 323,338 323,338

Additional paid-in-capital 68,502 98,748 121,475

Retained earnings 5,201,195 5,438,930 5,279,682

Accumulated other comprehensive loss (839,131) (840,143) (948,961)

Treasury stock, at cost (4,687,509) (4,734,777) (4,674,089)

Total stockholders' equity 66,395 286,096 101,842

Total liabilities and stockholders' equity 5,217,824$ 5,466,900$ 5,938,419$

Pitney Bowes Inc.


Assets

December 31,

2020

December 31,

2019

December 31,

2018

Current assets:





Inventories 65,845 68,251 62,279








Goodwill 1,152,285 1,324,179 1,332,351




Other assets 489,201 400,456 397,159

Total assets 5,217,824$ 5,466,900$ 5,938,419$











Long-term debt 2,348,361 2,719,614 3,066,073







Preferred stock 1


Common stock 323,338 323,338 323,338







Pitney Bowes Inc.


Assets

December 31,

2020

December 31,

2019

December 31,

2018

Current assets:





Inventories 65,845 68,251 62,279








Goodwill 1,152,285 1,324,179 1,332,351




Other assets 489,201 400,456 397,159

Total assets 5,217,824$ 5,466,900$ 5,938,419$











Long-term debt 2,348,361 2,719,614 3,066,073







Preferred stock 1


Common stock 323,338 323,338 323,338







41

Pitney Bowes Inc.

Business Segment Revenue

(in thousands)

2020 2019 2018 2020 v 2019 2019 v 2018

Global Ecommerce 1,618,897$ 1,151,510$ 1,022,862$ 41% 13%

Presort Services 521,212 529,588 515,795 (2%) 3%

Commerce Services 2,140,109 1,681,098 1,538,657 27% 9%

Sending Technology Solutions 1,413,966 1,524,027 1,672,865 (7%) (9%)

Total revenue - GAAP 3,554,075 3,205,125 3,211,522 11% (0%)

Year ended December 31, % Change

42

Pitney Bowes Inc.

Business Segment EBIT & EBITDA(in thousands)

EBIT D&A EBITDA EBIT D&A EBITDA EBIT EBITDA

Global Ecommerce (82,894)$ 69,676$ (13,218)$ (70,146)$ 68,385$ (1,761)$ (18%) >(100%)

Presort Services 55,799 31,769 87,568 70,693 29,440 100,133 (21%) (13%)

Commerce Services (27,095) 101,445 74,350 547 97,825 98,372 >(100%) (24%)

Sending Technology Solutions 441,085 34,316 475,401 490,322 39,758 530,080 (10%) (10%)

Segment total 413,990$ 135,761$ 549,751 490,869$ 137,583$ 628,452 (16%) (13%)

Reconciliation of Segment EBITDA to Net (Loss) Income:

Segment depreciation and amortization (135,761) (137,583)

Interest, net (153,915) (155,558)

Unallocated corporate expenses (200,406) (211,529)

Restructuring charges and asset impairments (20,712) (69,606)

Goodwill impairment (198,169) -

Gain on sale of equity investment 11,908 -

Loss on debt extinguishment (36,987) (6,623)

Loss on dispositions and transaction costs (641) (20,411)

(Provision) benefit for income taxes (6,727) 13,007

(Loss) income from continuing operations (191,659) 40,149

Income from discontinued operations, net of tax 10,115 154,460

Net (loss) income (181,544)$ 194,609$

EBIT D&A EBITDA EBIT D&A EBITDA EBIT EBITDA

Global Ecommerce (70,146)$ 68,385$ (1,761)$ (32,379)$ 61,046$ 28,667$ >(100%) >(100%)

Presort Services 70,693 29,440 100,133 73,768 26,838 100,606 (4%) (0%)

Commerce Services 547 97,825 98,372 41,389 87,884 129,273 (99%) (24%)

Sending Technology Solutions 490,322 39,758 530,080 558,959 39,104 598,063 (12%) (11%)

Segment Total 490,869$ 137,583$ 628,452 600,348$ 126,988$ 727,336 (18%) (14%)

Reconciliation of Segment EBITDA to Net Income:

Segment depreciation and amortization (137,583) (126,988)

Interest, net (155,558) (159,757)

Unallocated corporate expenses (211,529) (185,919)

Restructuring charges and asset impairments (69,606) (25,899)

Pension settlement - (31,329)

Loss on debt extinguishment (6,623) (7,964)

Loss on dispositions and transaction costs (20,411) (1,359)

Benefit (provision) for income taxes 13,007 (6,416)

Income from continuing operations 40,149 181,705

Income from discontinued operations, net of tax 154,460 60,106

Net income 194,609$ 241,811$

% change

% change


2019 2018


2020 2019

43

Pitney Bowes Inc.

Free Cash Flow

(in thousands)

2020 2019 2018

Net cash provided by operating activities 297,887$ 271,961$ 344,653$

Net cash used in (provided by) operating activities - discontinued operations 37,912 (9,272) 7,916

Capital expenditures (104,988) (137,253) (137,810)

Restructuring payments 20,014 27,148 52,730

Change in customer deposits at PB Bank 26,082 16,341 21,008

Transaction costs paid 2,117 19,488 14,203

Free cash flow 279,024$ 188,413$ 302,700$


2020 2019 2018

GAAP net cash provided by operating activities 301,972$ 267,883$ 344,652$

Net cash used in (provided by) operating activities - discontinued operations 37,912 (9,272) 7,916

Capital expenditures (104,987) (137,253) (137,810)

Restructuring payments 20,014 27,148 52,730

Changes in customer deposits at PB Bank 26,082 16,341 21,008

Transaction costs paid 2,117 19,488 14,203

Free cash flow 283,110 184,335 302,699

44

Disclosures using Social Media

Pitney Bowes announces material information to its investors using SEC filings, press releases, public conference calls

and webcasts. The Company already makes frequent use of its investor relations website to disseminate material

information, as well as social media platforms, including Twitter, Facebook and LinkedIn. Investors, buy and sell-side

analysts, media and influencers should note that the Company plans to continue to announce material financial

information using the Pitney Bowes investor relations website, SEC filings, and press releases, public conference calls

and webcasts. Pitney Bowes is notifying investors, media and others interested in the Company that in the future, the

Company may choose to communicate material information through its social media channels, or it is possible that

information it discloses through social media channels may be deemed to be material. Therefore, Pitney Bowes

encourages investors, the media, and others interested in the Company to review the information posted on the

Company’s investor relations site (https://www.investorrelations.pitneybowes.com/), Twitter (https://twitter.com/PBnews

and https://twitter.com/PitneyBowes), Facebook (https://www.facebook.com/PitneyBowes/), and LinkedIn

(https://www.linkedin.com/company/pitney-bowes/). The Company may communicate on social media platforms not

listed here as well as create new accounts in the future. Any updates to the list of social media channels Pitney Bowes

will use to announce material information will be posted on the Investor Relations page.

The information presented in this document is the Company’s best estimate as of August 2021. The Company does not

have an obligation to update this information.

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Pitney Bowes Investor Relations Overview

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