BASICS OF PRINTING

1. BASICS OF PRINTING Selling Envelopes Randy Thompson Director, Business Development

2. Envelope MarketOVERVIEW • 900 US Patents • Lion’s share of $3 Billion Stationery • 2005 Distributor Market = $385 Million • Positive Factors • Leverage superior sales skills and customer access, PLUS, e-commerce • Delivery of On Line Identity programs providing consistent product image and ease of use.

3. ENVELOPE CHARACTERISTICS • Measured in Bond Weight Stocks • 20# 24# 28# • Major Use Envelopes Identified numerically • 6 ¾ #9 #10 • Regular and Security Tint • A-2 thru A-10 • Blank vs Imprinted

4. ENVELOPE CHARACTERISTICS • Stock vs Custom • Stock for Stationery Products • Premium Smooth White / 25% cotton / Watermarked / #10 Regular • Linen and Laid / 24 # / 25% cotton / Watermark • Strathmore Writing / Wove or Laid / Watermark • Strathmore Fiber

5. ENVELOPE CHARACTERISTICS • Stock vs Custom • Stock Finish for Stationery Products • Linen—White/Ivory/Gray/Blue/Natural/Mauve • Laid – White/Ivory/Gray/Natural • Fiber – White/Gray/Cream/Rose • Strathmore – Ultimate White Wove or Laid Natural White Wove or Laid • Custom Papers • All Writing Papers • Custom Watermark

6. ENVELOPE CHARACTERISTICS • Formed Envelopes vs Print Flat and Convert • Formed Envelope Stock • Commodity item • Print Flat and Convert • Four color process • Color Critical • Bleeds and wrap around images • Extremely long run

7. Print Flat and Convert

8. Envelope Terminology

9. Window Measurements

10. Envelope Types • BANGTAIL:An open side style with side seams and two flaps - Commonly used by financial institutions for bank-by-mail. • BARONIAL:A style close to square in shape with diagonal seams and a large pointed seal flap. Common uses are greeting cards & social stationary. • BOOKLET:A large open side style with side seams and the seal flap on the long side. Usually used for mailing booklets and multiple unfolded documents. • BUSINESS REPLY & RETURN:A business reply includes a pre-printed First Class Permit indicia, while the return envelope requires the sender to affix postage. Both envelopes may be any style or size. Most common sizes are #6¼, 6¾, 9 and remittance. • CATALOG:A large open end style with a center seam and the seal flap on the short side. Normally used for mailing catalogs and multiple unfolded documents.

11. Announcement Envelope • A-2 to A-10

12. Expansion Booklet Tamper Proof Catalog

13. Envelope Types • COMMERCIAL:The most common and widely used style. Has an open side and diagonal seams. Available as regular or window in  #6-¼,  6-¾, 7, 7-¾, 8-5/8,  9  & 10. • LATEX SEAL:A self-sealing pressure sensitive adhesive that does not require moisture. Latex seal will only adhere to itself and therefore, two latex surfaces are required to obtain a bond. • PEEL & SEAL:A self adhering seal strip on the seal flap with a protective strip covering the adhesive. As the name implies, the protective seal is peeled away to expose the adhesive and close the envelope. No moisture is required.

14. Envelope Printing • Lithography • Highest quality • Sheetfed or Web fed • Flexography • Good Quality – Geared to very long runs • Not good with flood ink coverage • Jet Presses • Good Quality – Geared to short/medium Runs

15. Envelope Printing • Emboss or Foil Stamp • Converted blank stock • Short run • One operation with register to ink • Print and Convert • Long run • Multiple Effects • Multiple Register issues

16. Envelope Feeder on Press

17. Delivery End

18. Targeting Envelope Opportunities • Short to Medium Runs • Coupled with Business Cards and Letterhead • On Line Stationery Ordering Programs • Statement Processing • Direct Mail • Outgoing Envelope • Business Reply Envelope

19. Selling Envelopes RECAP • Billions of Envelopes used • Target by Market and Use • Short Run vs Long Run • Quality of Print process • Envelopes always the “add on” to another project