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The DMA Applauds Signing Of Defense Bill Into Law

NEW YORK, January 11, 2002 - The Direct Marketing Association (The DMA) today expressed its appreciation to the President and Congress for the Department of Defense (DOD) bill that was signed into law yesterday. The bill appropriates $500 million in funds for the United States Postal Service (USPS) to deal with domestic security issues.

The appropriations would allow for upgraded security measures at USPS facilities, including the purchase of equipment needed to detect bioterroristic threats, sanitize mail and protect Americans nationwide.

"This is a much-needed monetary infusion for the Postal Service, which has seen its fair share of hardships this past year," said Jerry Cerasale, senior vice president, government affairs, The DMA. "By providing these additional funds, the nation's leaders have recognized the importance of providing what is necessary to ensure the safety of the mail."

"This federal appropriation will help keep our postal system and economy strong in the face of threats to public safety," said Ed Gleiman, former chair of the Postal Rate Commission and consultant to The DMA. "It's not about bailing out the Postal Service or mailers; it's about the nation's economy and safeguarding an important part of our infrastructure."

While The DMA applauded the move, the organization cautions that this infusion may not be the solution to problems faced by the USPS and may, in fact, underscore the need for legislative reform.

"Our only concern is that the Postal Service may need additional funding to fully address this issue," Cerasale added. "Our nation's postal system is in the middle of a serious financial crisis, and this is just the first step in a series toward fixing the problem. While we are grateful to the government for its support of the Postal Service, this one-time payment does not obviate the possible need for additional funds."

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 $110 billion in catalog sales and $28 billion in sales generated by the Internet. The DMA's Web Site is www.the-dma.org, and its consumer Web site is www.shopthenet.org.

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