STAMFORD, Conn., September 18, 2001 - Pitney Bowes Inc. (NYSE:PBI) today announced that it has completed the steps necessary to receive the regulatory and tax approvals required for a tax-free 100% spin-off of its Office Systems operations to its shareholders and has concluded all of the inter-company agreements between the two companies. Pitney Bowes Office Systems (PBOS) and Pitney Bowes are presently arranging a credit facility for PBOS, the final step in the spin-off process. It is expected that the Board of Directors of the company will set record and share distribution dates for the spin-off when the finance arrangements are in place. The distribution of shares is anticipated to occur in the fourth quarter. Pitney Bowes Office Systems is a $650 million company offering high performance, leading-edge digital and analog copier/printer and facsimile systems for the corporate market through a national direct sales and service organization.