MINNEAPOLIS, May 20, 2002 (BUSINESS WIRE) -- Pitney Bowes Distribution Solutions (PBDS), a division of Pitney Bowes Inc. (NYSE:PBI), today announced it has been named the market leader in parcel shipping solutions, according to a new transportation management systems (TMS) outlook study by ARC Advisory Group. The study, based on license, services, maintenance and recurring revenues, lists PBDS as the number one provider for its target market with a dominant lead more than double the market share over its nearest competitor.

PBDS also received top listing for the leading supplier of TMS software in North America. According to the ARC study, North America is the dominant region for TMS, accounting for about 69 percent of total revenues. In addition, the company was listed as the top Tier 3 TMS provider. Tier 3 is defined as customers that generate less than $250 million in annual revenues.

"A large part of what makes Pitney Bowes the top parcel shipping provider is our innovative technology solutions and services, such as Ascent(TM), Arrival(R) and PB TMS, that help businesses manage the movement of mail and parcels," said Stephen Smith, president, Pitney Bowes Distribution Solutions. "However, we wouldn't have that honor without our nationwide sales and service organization, which is dedicated to providing shipping, mailing and carrier solutions to more than 10,000 customers each day."

"Pitney Bowes' is dominant in the parcel shipping segment of the market," said Adrian Gonzalez, Senior Analyst, Supply Chain & Logistics, ARC Advisory Group. "They have a good sales infrastructure which allows them to have feet on the ground in a variety of locations and maintain good relationships with their customers."

ARC provides five-year forecasts in order to show long-term trends in the transportation marketplace. The TMS outlook study was prepared to help software customers save time and money while researching new systems. ARC's Transportation Management Systems Worldwide Outlook through 2006 is available at http://www.arcweb.com/arcweb/advisory/Studies/EBus/tms.asp.

PBDS received additional top listings in the manufacturing, distribution and discrete industries sectors.

    About Ascent, Arrival and PB TMS

Ascent, parcel shipping and mail center management software, helps users maintain low inventories, meet customer demand for quick delivery and manage detailed shipment information. The software allows users to maximize cash flow, productivity and customer response.

Arrival is data collection and tracking software that enables organizations to track high-priority documents and packages as they move from the receiving area to the recipient or the internal mail stop. Arrival software helps decrease internal delivery time, prevents lost items, increases employee accountability and alerts the receiver when an item arrives.

PB TMS is a powerful multi-carrier order processing and shipment management system, offering tools such as shipment and order processing, integration with host systems, custom report generation and shipment planning.

    About Pitney Bowes

Pitney Bowes Inc. is a $4.1 billion global provider of leading-edge 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. The Pitney Bowes Distribution Solutions division, formerly Pitney Bowes TranScape, is a provider of software and services that extend control and visibility of the supply chain throughout the enterprise, and enable electronic transactions between business partners and suppliers. Its family of web-based outbound and inbound software products helps customers manage critical shipping and mailing information. For more information, visit our website at pbdistributionsolutions.com.

    About ARC Advisory Group

ARC Advisory Group provides strategic planning and technology assessment services to leading manufacturing companies, utilities, and global logistics providers, as well as to software and solution suppliers worldwide. From Global 1000 companies to small start-up firms, ARC has the strategic knowledge needed to succeed in today's technology driven economy. Further information can be obtained from ARC, Three Allied Drive, Dedham, MA 02026, 781-471-1000, Fax 781-471-1100, E-mail info@arcweb.com, Web ARCweb.com.

CONTACT:          Pitney Bowes, Bloomington
                  Media Contacts:
                  Vicki Javner, 952/885-7121
                  vicki.javner@pb.com
                  or
                  Weber Shandwick
                  Angela Seutter, 952/346-6314
                  aseutter@webershandwick.com

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