12/11/06 POSTAL REFORM LEGISLATION PASSED BY CONGRESS
STAMFORD, Conn. December 9, 2006 – Pitney Bowes Inc. (NYSE:PBI) today praised the Senate and the House of Representatives for passing comprehensive postal reform legislation, setting the stage for growth in the U.S. mailing industry. Both the House and the Senate had previously passed different versions of legislation that would support the long-term strength and viability of the U.S. Postal Service.
Today's landmark action is good news for mailers, the mailing industry, and Pitney Bowes, according to Michael J. Critelli, Chairman and CEO of Pitney Bowes. "This is an important day for the U.S. postal industry and all of the stakeholders that benefit from its products and services, its cost-efficient universal access, and its contribution to the economy. This legislation will help keep mail an effective communication option in the 21st century and enable the U.S. Postal Service to deliver more value to the American mailing public.
"Pitney Bowes is already benefiting from the transformation within the U.S. postal environment. Today's legislation codifies many of those changes and supports our ongoing partnership with the postal service to enhance the value of the mailstream. Our expanded suite of solutions that make postal products and services more valuable, such as an application that gives the Postal Service and users of the postal system complete visibility into the movement of mail, software that improves address quality, and mail consolidation services that increase postal productivity, provide just a few examples of how we are successfully leveraging this new environment to add value for our customers and our shareholders. We believe that the reform made possible by this legislation will have even greater benefits to our customers and shareholders on a longer-term basis."
The legislation will:
- Enhance the financial viability of the U.S. Postal Service by fixing its retirement obligations and releasing funds that will enable the Postal Service to cover them;
- Ensure rate predictability and stability, and increase pricing flexibility to meet marketplace requirements;
- Clarify the mission of the Postal Service to maintain universal physical mail service at affordable rates;
- Encourage the increased use of technology; and,
- Enhance greater private sector partnerships for the most cost-effective postal system.
Mr. Critelli, who also serves as Chairman of the Mailing Industry CEO Council, noted that in addition to the company's long-time support, the Postal Reform movement brought together a broad coalition of supporters from the mailing industry, the postal service, postal employee groups, and the Bush Administration. He praised the Congressional leaders who were instrumental in passing this bill, "Postal reform legislation was strengthened by its bi-partisan support in both the House and the Senate. We greatly appreciate the commitment and applaud the hard work of the leaders who worked on this legislation. In the Senate we would like to acknowledge Senator Susan Collins, Chairman of the Senate Homeland Security and Governmental Affairs Committee, Ranking Member Senator Joe Lieberman, Senator Tom Carper, and the other members of the committee, as well as the committee and Senate staffs. In the House we would like to acknowledge Committee Chairman Tom Davis and Ranking Member Henry Waxman, and that of Representatives John McHugh, Danny Davis, Chris Shays, and the other members of the committee, as well as the committee and House staffs."
Pitney Bowes will continue to collaborate with the mailing industry, the CEO Council, the U.S. Postal service and other key stakeholders to optimize the efficiency, affordability and effectiveness of the postal network.
Pitney Bowes provides the world's most comprehensive suite of mailstream software, hardware, services and solutions to help companies manage their flow of mail, documents and packages to improve communication. Pitney Bowes, with $5.6 billion in annual revenue, takes an all-inclusive view of its customers' operations, helping organizations of all sizes enjoy the competitive advantage that comes from an optimized mailstream. The company’s 86 years of technological leadership have produced many major mailstream innovations, and it is consistently on the Intellectual Property Owners Association's list of top U.S. patent holders. With approximately 34,000 employees worldwide, Pitney Bowes serves more than 2 million businesses through direct and dealer operations. More information about the company can be found at www.pb.com.