DES MOINES, Iowa & GRAPEVINE, Texas--May 23, 2005-- Communications Data Services, Inc., a subsidiary of The Hearst Corporation and leading provider of outsourced fulfillment business process solutions, today announced its latest lettershop offering that utilizes the Xerox Corporation iGen3 Digital Production Press: variable, print-on-demand full-color printing. The addition of the Xerox iGen3 to CDS' lettershop capabilities enables a new level of customization and personalization, giving clients a powerful tool for targeted marketing and customer interaction. CDS' operates two full-service lettershops providing clients with superior printing and mailing solutions, delivering more than 500 million pieces annually. CDS customers can now cost-effectively produce and distribute fully-personalized marketing materials and traditional mail pieces that utilize data from CDS' CRM, customer care and analytical and modeling solutions. The Xerox iGen3 allows every individual piece printed in the same run to be unique and personalized based on customer, demographic and product information, ultimately increasing retention and lowering acquisition costs. CDS has recently implemented this service offering with a leading financial services firm to market targeted offerings directly to potential customers based on individual and geographical characteristics, and service offerings. "CDS has a track record of technical leadership - and is now meeting our customers' needs by being first to market with a variable, on-demand, full-color printing solution," stated Marc Haskelson, vice president and general manager of CDS Business Solutions. "The combination of the iGen3 press technology and CDS' data-driven services allows our clients to produce, test and distribute targeted communications materials more quickly and cost effectively, on average yielding a 26% higher response rate." The Xerox iGen3 produces commercial offset print quality at print speeds of 100 pages-per-minute. The printing press not only handles variable data, but also colors and graphics so that each piece in one print run can be different, delivering personalization in one pass. Beyond customization, the new printing functionality will allow CDS customers to gain competitive advantage by speeding time to market and reducing operating expenses by eliminating warehousing costs and inventory disposal rates. "With the iGen3 press CDS is able to deliver more value to its customers and generate new business opportunities and revenue streams," said Fred DeBolt, vice president, Worldwide Production Color Systems, Xerox Production Systems Group. On April 28, 2005, CDS and Xerox held a joint customer day at the CDS Des Moines facility where current and potential customers were introduced to the new system and could view its benefits first hand. More information on CDS' printing and mailing capabilities can be found at http://www.cdsfulfillment.com/solutions/mailingservices.htm.