1

Pricing Update

MTACAugust 3, 2006

or the“ I’m no Ashley Lyons Tour ”

2

When I talk, I usually say something I have no Alabama stories I dance to music….

….he just dances I actually have feelings He is usually….. right

I’m no Ashley Lyons…

3

High-Level Initiatives Shape-based pricing

– Less emphasis on weight

Incentives– Containers– Drop shipping– Sorting– Packaging

More choices Forever Stamp Low-cost Address Change Service

4

92 days since filing 30% through 10-month timeline 54 Interveners Hearings from August 3 to August 30 2,600 interrogatories by 26 interveners Intervener proposals September 6

Where We Are

5

Timeline

2006 2007May Jun July Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

Governors Decision (March/April)

Implementation (May/June)

PRC Recommendation (Early March)

Litigation (May through March 2007)

Filing Date (May 3, 2006)

10 Months

1 Year

6

Wide variety of issues– large and small

Federal Register process– we understand the importance– appreciate patience and input

Issues