Pitney Bowes and Neopost Reach Licensing Agreement

Agreement

STAMFORD, Conn., and PARIS, France January 6, 2003 - Pitney Bowes Inc. [NYSE: PBI] and Neopost, S.A. [Euronext Paris: 12056] today announced that the companies have settled their existing patent disputes by agreeing to a cross-licensing agreement that will benefit both companies. Under the terms of the agreement, each company will be able to access certain patented technologies from the other for a period of five years. No further details will be released.

"We are pleased to successfully resolve this matter for the benefit of our shareholders and customers," said Michael J. Critelli, Chairman and CEO of Pitney Bowes. "Our goal had always been to reach a fair and appropriate agreement with Neopost and this cross-licensing agreement supports our focus on delivering leading-edge mail and document management solutions to our customers worldwide. This agreement is in the best interest of both companies."

"We are pleased with the licensing agreement we negotiated with Pitney Bowes"said Jean-Paul Villot, Chairman and CEO of Neopost. "We had always been very confident in the settlement of our dispute. This agreement will have no material financial impact on Neopost net income neither in 2002 nor over the next five years. This is a mutually beneficial agreement that demonstrates the strength and the value of Neopost's technology."

The suits, which were filed on October 28, 2002 by Pitney Bowes in the U.S. District Court for the District of Connecticut and the Trial Division of the Federal Court of Canada against Neopost, S.A.; Neopost Inc., and various Neopost subsidiaries in Canada, have been withdrawn. The suits were asserting infringement of Pitney Bowes patents - 12 in the U.S. and 8 in Canada - that cover leading-edge mail metering technologies.

Neopost is the European leader and number two worldwide supplier of mailroom equipment and logistics solutions. Neopost offers advanced solutions for online or off-line postage, large volume mail insertions, occasional parcel delivery and logistics management and traceability. Headquartered near Paris, France, Neopost has a direct presence in the world's top mailing and logistics markets, i.e. the USA, France, the UK, Germany, Canada, Italy, the Netherlands, Belgium, Spain, Ireland and Japan. Neopost products are sold in 70 countries.

Pitney Bowes is a $4.1 billion global provider of integrated mail and document management solutions headquartered in Stamford, Connecticut. The company serves over 2 million businesses of all sizes through dealer and direct operations.

Contact:
Dan Burris
Pitney Bowes Inc.
203 351-6477 telephone
203 351-6303 facsimile
daniel.burris@pb.com

Gaële Chagnaud
Neopost SA
33 1 45 36 31 39 telephone
33 1 45 36 30 30 facsimile
g.chagnaud@neopost.fr