1. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 1 Ingram Micro | Professional Services IT Asset Disposition (ITAD) John Redman | Ingram Micro Ted Tilden | US Micro July 19, 2013

2. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 2 Agenda ■ ■ Introduction to IM Link ■ ■ The ITAD Landscape ■ ■ US Micro and US Micro Services ■ ■ ITAD Best Practices ■ ■ Selling ITAD Services ■ ■ What’s in it for me? ■ ■ IM Link Resources

3. 121101_3 Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. NEW! IMLink VAR  Resellers  MSP  Vendors service providers IM Reseller Partner Network  IM Vendors Partner Network  Staffing Partners IM Professional Services customers services Plan Implement Manage Support Benchmarking  Assessment  Planning  Strategy  Design Certification  Pre-Sales Tech Support Benchmarking  Installation  Configuration  Tuning  Testing  System Integration  H/W-S/W Upgrades  Application Development  S/W Customization  Migration Benchmarking  Administration  Asset Management  Systems Management  Performance Tuning  Production Control  Back-up and Archiving  Replication  Help Desk  Remote Infrastructure Management  Relocation Benchmarking  Warranty  Asset Disposition  Break-Fix  Hardware Support  Software Support  Business Recovery  Training/Certification  Recycling- Remarketing

4. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 4

5. Surveying the ITAD landscape  In the news: Data breaches  In 2012, the Identity Theft Resource Center (ITRC) documented 447 breaches in the United States, exposing 17,317,184 records. In the first half of 2013, there have so far been 255 incidents, exposing 6,207,297 records.  Identity Theft Resource Center  In 2011, data breaches in the U.S. cost companies $194.00 per compromised record.  2011 Annual Study – U.S. Cost of a Data Breach, Symantec  Companies in the computer software, IT and healthcare sectors accounted for 93 percent of the total number of identities stolen in 2011. Theft or loss was the most frequent cause, across all sectors, accounting for 34.3 percent, or approximately 18.5 million identities exposed in 2011.  In Defense of Data  Through 2016, the financial impact of cybercrime will grow 10 percent per year due to the continuing discovery of new vulnerabilities.  Gartner Top Predictions for 2012: Control Slips Away  The average value of a lost laptop is $49,246 and the data breach costs represent 80 percent of the total cost of a lost laptop compared to two percent for replacing the computer. Encryption on average can reduce the cost of a lost laptop by more than $20,000.  The Billion Dollar Lost Laptop Study, Ponemon Institute and Intel Corp. The Billion Dollar Lost Laptop Study  Data breaches are attracting greater public and government scrutiny  California strengthened data breach notification requirements  Secure and Fortify Electronic Data Act passed a House subcommittee in July 2011

6. Surveying the ITAD landscape 6

7. To Better Understand USM Value Prop, Best to Understand State of ITAD Industry  Historically, industry dominated by small, regional firms, undercapitalized with very little infrastructure (site visits should be critical when selecting an ITAD provider)  Recent industry consolidation has been healthy, with Arrow, Avnet and Sims being major acquirers  Historically, very little regulatory oversight and minimal standards and certifications still exist (example to follow of a “certified” ITAD company)  Most ITAD vendors employ “reverse logistics” to recover customer assets…scary and dangerous!  Most ITAD vendors use the consignment model which shifts financial and legal risk to the end user customer (most technology assets have easy to determine values at end of life)  Sub-contracting and Out-Sourcing remains rampant, even by the OEM’s (to include the most critical functions of asset recovery, data sanitization and ultimate recycling) 7

8. U.S. Micro offers a broad range of capabilities to provide the most secure, cost-effective and environmentally responsible disposition process in the industry. Guaranteed price upfront – no consignment that erodes equipment value and adds numerous service fees. Only U.S. Micro- trained employees control every step of the process – no subcontractors. U.S. Micro electronically reconciles equipment inventory at your location to account for all assets intended for disposal and emails a real-time report while onsite. 8 Assets certified as data free – ONSITE AT YOUR LOCATION. You receive a final, system-generated real- time report verifying data sanitization on each piece of equipment before we leave your location. Even though assets are free of data, shipping is still handled by highly trained U.S. Micro employees.

9. U.S. Micro conducts another, final inventory audit after assets arrive at its facilities to verify that all equipment originally marked for disposition is accounted for and to confirm all data was destroyed. U.S. Micro works with customers to establish Employee Eco-Events to encourage employees to bring their outdated personal IT assets to work for proper disposal. This program provides your employees a valuable service and engages them in environmental stewardship initiatives. 9 U.S. Micro views reusing IT assets as the highest form of recycling. We refurbish approximately 85 percent of equipment for resale and donation. U.S. Micro has a 100 percent no landfill policy and offers a full range of recycling alternatives. In addition to reselling equipment, we offer customers the option to donate a portion of their refurbished equipment to causes of their choosing. Overview of U.S. Micro & U.S. Micro Services

10. U.S. Micro complies with all relevant environmental, health & safety laws and regulations, including all federal, state, and local requirements. U.S. Micro meets or exceeds R2, ISO 14001, and other such industry guidelines. Some of our certifications include:   Responsible Recycling (R2) processor vs. collector   ISO 14001:2004   Microsoft Authorized Refurbisher (MAR)   Payment Card Industry (PCI) Data Security Standard compliant   IDC G.R.A.D.E. certified   SOC2-SM certified   Norcross Group quarterly and annual forensic audits 10

11. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 11 Examples of recent large projects completed by U.S. Micro

12. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 12 650 branch refresh project with 7 pass D.o.D wipe

13. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 13

14. 1. Ensure data destruction occurs onsite at your location Destroy data before shipping assets offsite Produce verification of data destruction before shipment Avoid vendors who use third party shippers 2. Employ an electronic tracking system Eliminate human error element with electronic tracking system Track each piece of equipment from pick-up to disposition Validate confirmation of the drive wipe before shipment ITAD Best Practices 3. Data wiping is for trained professionals Help establish stronger procedures & controls Eliminate cost of training employees & managing ITAD process Must be bonded, insured vendors with proven track records 4. Remember overlooked devices Copiers, smart phones, fax machines, printers, scanners and USB drives can all hold sensitive information

15. 5. Refurbish & recycle  Know what happens to your IT equipment downstream  Commit to a 100% no landfill policy  Refurbish & resell all viable equipment to extend lifecycle  Partner with a vendor that can process e-waste in-house 6. Maximize your profit  Negotiate an upfront purchase deal with a qualified vendor  Avoid consignment models that result in eroded value of equipment & service fees 7. Risk reduction  Do not simply reply on corporate policies/edicts “We are 100% encrypted.” “We wipe all data bearing assets ourselves.” “We use our install vendor to verify encryption or wipe the hard drives.”  Do not rely on non-ITAD vendors and/or internal resources who are typically already strained 15 ITAD best practices

16.  Does your organization purchase or lease new IT hardware? If both, what assets are leased vs. owned?  # of desktop PCs (“DT”) in the organization  # of laptop PCs (“LT) in the organization  # of tablets or smart phones in your organization  How often does the organization refresh their DT and LT?  Does your company encrypt all data bearing assets such as DT, LT or smart phones, etc?  Does the organization have a policy that the asset needs to be wiped before the asset leaves the original user’s location?  If the asset is required to be wiped at the original user’s facility – who wipes it – internal employee or external vendor?  Do you currently use an IT Asset Disposition (“ITAD”) provider? Who is your current ITAD provider?  Is your current ITAD provider either R2 or e-Steward certified? What other certifications do they possess?  Does your current ITAD program provide a positive or negative cash flow for your company?  Does the organization aggregate assets before they are disposed?  If the asset is required to be wiped at the aggregated facility – who wipes it – internal employee or external vendor?  How many total locations (original user locations and aggregated locations)?  For “owned” IT assets, does your current ITAD provider purchase these assets outright, or sell them on consignment over time?  Can the organization provide any historical data (reports) regarding volumes and monies returned/charged for previously disposed IT assets?  Does your current ITAD vendor provide timely, accurate and auditable reporting, such as ROI, certificates of data destruction and physical destruction/recycling?  How does your current ITAD vendor handle IT asset recycling for older assets and assets such as CRT monitors, batteries, etc that require EPA complaint recycling? Specifically, does your ITAD provider maintain physical facilities and machinery to process e-waste in- house as opposed to contracting this function to downstream vendors? 16 Potential account qualification questions

17. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 17 Questions?

18. 121101_18 Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. IM Professional Services IM Link IM brokered solution provider network Standard hourly rates for labor services IT Staffing Services Permanent or temporary positions Flexible Staff Augmentation Solutions IT Asset Disposition Services Secure and responsible disposal Removes liability for information Onsite Professional Services Category and Vendor Specific Services SKU’s and Customizable SOW’s Ingram Micro Training Academy Classroom or Online – guaranteed to run Can be resold to end users 3rd Party Warranty Services Private label product protection Variety of Coverage Options Remote System Admin Services Save a truck roll Outsource support and development System Integration Services Compliment Cloud Services sales Customizable to end-user environments

19. 121101_19 Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. For access to IM Link… www.ingrammicrolink.com For help with professional services sales opportunities, getting enrolled as a Customer of IM link, or help using IM Link… ProServices@ingrammicro.com 1 (800) 456-8000 ext 67247 To become an IM Link Service Provider… IMLink@ingrammicro.com 1 (800) 456-8000 ext 66686 | 1 (800) 235-4128 John.Redman@ingrammicro.com | x67014 Getting Linked Up with IM Link

20. Confidential and proprietary information of Ingram Micro Inc. — Do not distribute or duplicate without Ingram Micro's express written permission. 121202_ 20