1. OB10 Versus Paper Invoicing

2. HP Restricted Current State—Paper invoicing Paper invoices are sent to Hewlett Packard’s PO Box address, scanned and keyed into HP’s Accounts Payable system. Risks and costs involved:  Loss of invoices in Transit  Misplacement or loss of invoices in mailroom  Increased risk of human error due to increased number of “touches” for paper invoices  According to Managing Credit, Receivables and Collections (Gartner Group, 1 September 2003) invoicing costs an average of $5 per paper invoice, versus $2 per electronic invoice.  Gartner’s research also shows that as many as 35% of all invoices are “Lost in the mail ”. Environmental Impact −HP manually processes in excess of 2,000,000 paper invoices each year worldwide.

3. HP Restricted Benefits of OB10 Invoicing Cost Savings:  OB10 eliminates paper, resulting in savings on paper handling, archiving and postage costs.  Improved accuracy of data input  Electronic Audit Trail  Reduces invoice follow up time and collection expenses.

4. HP Restricted Other Potential Savings Swift and guaranteed delivery of invoices, including immediate notification by OB10 of acceptance or rejection of the invoice*. No Software or Hardware installation required to use OB10. Invoices can be submitted in any format without the suppliers having to alter their systems, when sending data files. Improved cash flows and credit rating as a result of expedited processing of invoices. Accurate and ‘clean’ invoice data leading to reduced disputes. *HP will not accept invoices without certain data fields, which must be populated to be accepted by OB10. Acceptance by OB10 does not guarantee payment by HP, if a dispute over an invoice arises between HP and supplier.