11 Branded Replacement Cartridge Program Presented By

2 IBM Branded HP Replacement Cartridges IBM - the value added alternative IBM is offering its customers a high value and quality alternative to expensive HP LaserJet Toner Cartridges. IBMs worldwide partner is The Turbon Group The Turbon Group is the leading manufacturer of Compatible Laser Cartridges. The products are produced, sold, and distributed by The Turbon Group.

3 IBM Branded HP Replacement Cartridges Why has IBM launched a range of Replacement Toner Cartridges for use on the major HP LaserJet printers ? To provide customers with a high quality economic alternative to high priced HP cartridges. Customers will save money with the comfort of IBM quality.

4 IBM Branded HP Replacement Cartridges History IBM 1924 : Foundation of IBM, International Business Machines Corp : Launch of the 600 Series calculators 1933 : IBM evolves into the manufacture of typewriters 1981 : Launch of the IBM PC : Launch of the ThinkPad Numerous technical innovations in the IT world introduced by IBM until today The Replacement Cartridge Program 2002: Key IBM strategy to compete with HP Provide substantial customer savings with recognition, reliability, and quality of the IBM brand Oct 2003: Launched with 10 models (Asia in early 2004) Sep 2004: Roll-out of 6 additional products Apr 2006: 7 new skus introduced

5 Current Product Offering

6 New Products Under Development

7 Manufacturing Excellence Product Expertise Market Insight Business Solutions Why IBM and Turbon?

8 The IBM Brand The IBM brand is among the most recognized and valuable brands in the world Customers view of what IBM means –Dependable –Trustworthy –Leadership –Helping Customers Succeed –Safe and Reliable Choice

9 For over 40 years Turbon is globally a leading producer of imaging supplies (laser, inkjet, impact, TTR, etc.) with strong quality, manufacturing, logistics and market position in the US, Europe and Asia. Turbon sells broadly into all of the business-to-business channels. Turbon has strong experience creating value-add programs/support for channel/private label partners. The Turbon Group Background

10 Turbons Sustainable Values Global, Scalable Manufacturing ü High-Quality Processes and Quality Control Systems Certifications according ISO 9001, ISO and Nordic Swan ISO testing procedures and IBM testing procedures as the new industry standard Proactive Marketing Support for Partners Collection Programs for Empties Full Product Line Integrated Operations to Control Component Supply

11 Toner Cartridge Expertise - IBM and Turbon in joint product development Training certification program for all IBM cartridge operators Employees tested for toner handling, cartridge assembly/ disassembly, complex problem solving, troubleshooting & printer maintenance Critical-to-function parts are replaced with new parts IBM & Turbon work together on Quality Improvement Programs Random Quality Audits conducted by IBM

12 Quality Manufacturing of IBM Products All raw materials specified are fully tested and approved. All technical and work procedures are regularly monitored by IBM and checked by internal and external Quality Controllers. Every cartridge is print tested to ensure customer satisfaction. Regular life and benchmark tests with OEM cartridges prove quality standards and give market insights. IBM cartridge testing is the most extensive in the industry

13 Environmental Care with IBM Products No toxic chemicals are used in production Air samples tested to ensure no hazardous emissions Re-use of cartridges so they dont end up in landfills Turbon plants are ISO certified. Free return programs to help customers recycle Recovery and reuse of plastics, metals, toners for other market applications Product quality and reliability ensures much less than 1% returns Product life cycle managed with little waste

14 IBM Products as Business Solution Business customers expect to purchase solutions. -Supplies are becoming an integral part of service solution offerings. Purchasers of IBM products can rely on the source. -IBM as a major brand is known for high quality and uncompromising customer support. Orientation to Total Cost of Printing puts acquisition focus on cost of imaging consumables component. –IBM Replacement Toner Cartridges are the cost alternative on a high quality and value added level.