Financial Section Part III

Officers (continued)

Henry A. Pankey
Vice President, Emergency Preparedness

Robert J. Pedersen
Vice President, Treasurer

Susan Plonkey
Vice President, Customer Service

Tom A. Samra
Vice President, Facilities

David L. Solomon
Vice President, Area Operations (New York Metro)

Douglas A. Tulino
Vice President, Labor Relations

Paul Vogel
Senior Vice President and Managing Director, Global Business

Jerry W. Whalen
Vice President, Sales

Terry Wilson
Vice President, Area Operations (Southeast)

Item 11 – Executive Compensation

The Postal Service releases information concerning executive compensation to the extent required by the Freedom of Information Act (FOIA), 5 United States Code (U.S.C.) 552. Postal Service regulations implementing the FOIA are located at 39 C.F.R. 265. Information regarding how to submit a FOIA request can be found on our website www.USPS.com.

Item 12 – Security Ownership of Certain Beneficial Owners and Management Related Stockholder Matters

Not applicable to the United States Postal Service. As an “independent establishment” of the executive branch of the United States government, we do not issue stock or related securities.

Item 13 – Certain Relationships and Related Transactions

As discussed in Item 9A, Controls and Procedures, every Postal Service executive, manager, and employee is required to comply with the Standards of Ethical Conduct for Employees of the Executive Branch and by the Supplemental Standards of Ethical Conduct for Employees of the United States Postal Service.

We enter into significant transactions with other government agencies, as disclosed throughout these financial statements.

Item 14 – Principal Accountant Fees and Services

In 2002, the Board of Governors selected Ernst & Young LLP as its independent auditor to perform external auditing services. The competitively awarded five-year contract, with an option of renewal of up to 36 months, has an estimated value of $11.7 million. This contract covers the financial statement audits for fiscal years 2003–2007. As with previous contracts for external audit services, Ernst & Young LLP will not perform consulting work for us for the duration of its contract.