Subject: Change in DTSR CGP Implementation Schedule

As discussed in today's SMS conference call, the implementation of DTSR CGP has been delayed until May 2007.

CGP Overview:

In our last Continuous Bargaining session an agreement was made to add a Customer Growth Premium (CGP) to the commission plans for DTSRs. This new, additional incentive earning opportunity will be paid at the end of each sales canvass based on the DTSR's Ad Base Growth Performance. The CGP will be applied to new customer commissions only. All sales canvasses with a start date on or after 11/14/06 are eligible for CGP pay out. Sales canvasses that started prior to 11/14/06 but were less than 80% complete as of 11/14/06 are also eligible for CGP. A list of eligible sales canvasses is provided in attachment for reference.

<<Continuous Bargaining Final-Ratified 11-14-06.ppt>>

Change in CGP Implementation Schedule:

When Sales Ops originally rolled this Continuous Bargaining initiative out to Sales we had set our next Version 59 Release date (March 17,2007) as our target date for CGP implementation. This would have meant that DTSR reps that qualified for a CGP pay out on eligible sales canvasses that had reached a canvass EBD date of 2/28/07 or prior were to receive their first CGP pay out on Pay Period 6 (3/10/07-3/23/07) which would have been on pay check DTSRs would receive on 3/29/07.

Given the complexity of Compensation and knowing that it is critical to Sales that new Compensation plans be built and administered with accuracy, it has recently been determined that we will not be able to implement DTSR CGP by our original target date. CGP will not be added as part of the Version 59 Release. We need additional time to not only build this new compensation plan correctly in system, but to also test this compensation to insure accurate CGP pay outs once implemented.  The implementation of DTSR CGP has therefore been delayed. DTSR reps that qualify for a CGP pay out on eligible sales canvasses that had reached a canvass EBD date of 4/30/07 will receive their first CGP pay out now on Pay Period 9 (4/21/07-5/4/07) which will be on pay check DTSRs receive on 5/10/07.  This delay will not cause any change in the list of sales canvasses eligible for CGP pay out, so DTSRs will not miss any CGP pay they were originally entitled to. This is simply a delay in the date for which this pay will be received.

Please cover your DTSRs and Sales Managers. We want to set the right expectation with our reps.

Also, make sure to use this new incentive initiative to help each of your sales canvasses exceed objectives for Ad Base Growth.