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DMA SAYS COMMISSION NOT AS EFFECTIVE AS COMPREHENSIVE LEGISLATIVE REFORM AS COMPREHENSIVE LEGISLATIVE REFORM
NEW YORK, February 14, 2002 - The Direct Marketing Association (The DMA) today voiced its opposition to a congressional proposal, to create a commission to study the mission and operations of the United States Postal Service (USPS).
"The commission proposal is only a beltway delay tactic," said H. Robert Wientzen, president & CEO, The DMA. "We needed to focus on the complex crisis faced by the Postal Service a year ago. Even if Congress accepted and implemented this proposal, a commission, without interim legislative relief for both mailers and the Postal Service, would result in further deterioration of an already critical situation."
"The United States Postal Service has deteriorated dramatically just in the first quarter. We cannot afford to wait two or more years for a recommendation, let alone any decisive action to be taken."
"Congress and the Administration need to act today on postal reform legislation," said Wientzen. "If we wait, we could be talking about a fifty cent stamp."
The USPS today is operating under a set of laws passed in 1970 that prevent it from competing in today’s economy. The agency has suffered major fiscal setbacks due to fierce competition from advancements in communications technology, such as e-mail, as well as competition from the private sector and continuing mail security concerns.
The DMA is the leading trade association for businesses interested in interactive and database marketing, with nearly 5,000 member companies from the United States and 53 other nations. Founded in 1917, its members include direct marketers from every business segment as well as the nonprofit and electronic marketing sectors. Included are catalogers, Internet retailers and service providers, financial services providers, book and magazine publishers, book and music clubs, retail stores, industrial manufacturers and a host of other vertical segments, including the service industries that support them. According to a DMA-commissioned study, direct and interactive marketing sales in the United States exceeded $1.86 trillion in 2001, including $118 billion in catalog sales and $30 billion in sales generated by the Internet. The DMA's Web site iswww.the-dma.org, and its consumer Web site is www.shopthenet.org.