The offer Eligible products Start and/or end dates Where is it available? Marketing Channels Marketing Information Ordering/fulfillment information Additional information/condition History of Revisions

Announcement Letter Number ZA12-1028 Announcement Date April 19, 2012 Last revised on

For a limited time only, if a new end customer signs an Agreement for the IBM SmartCloud Enterprise service offering, IBM is offering the eligible service at no charge. This promotion runs from April 11, 2012 and end user customers must sign up by May 28, 2012. The free usage can be availed of up to and including June 11, 2012. In order to qualify, the end customer must not have signed any IBM Agreement for the eligible service offering prior to signing the Agreement under the terms of this promotion. During the promotional period, the end customer will have the ability to provision the following virtual machines deployed at the Toronto (Canada), Raleigh (USA), Boulder (USA), Ehningen (Germany), Tokyo (Japan), or Singapore datacenter, subject to availability:

64-bit Copper and 32-bit Silver virtual machine configurations on IBM SmartCloud Enterprise Virtual machines to run Linux ( or Novell SUSE) or Microsoft Windows Server 2003/2008 operating systems 256 gigabytes of persistent storage

In addition, during the promotional period, the end customer will have the ability to deploy selected eligible images from IBM Software Group on the virtual machines provisioned. Eligible software images are available under one, or both, of the following licensing options, and are defined by product:

The “Bring Your Own License” (BYOL) license option allows the end customer to deploy his own license for the software on IBM SmartCloud Enterprise. (see further details under Eligible IBM Software Images section below) The “Pay As You Go” (PAYG) license option allows the end customer to deploy the eligible software on IBM SmartCloud Enterprise without the requirement to obtain a license for the software. With the exception of eligible PAYG software licenses that are no-charge under standard terms, eligible PAYG software licenses are available for deployment on virtual machines under the terms of this promotion at no charge for the duration of the promotion period. (see further details under Eligible IBM Software Images section below)

Upon conclusion of the promotional period, the end customer will have access to the full standard Services options and Image Asset Catalog. At that point the current charges will begin for all active Services under the then current standard terms of the Agreement. The end customer can at any time during the promotion request that IBM terminate the IBM SmartCloud Enterprise service and close his Account. No charges will be due in this case. The end customer’s written request to terminate the service must be passed by the authorized remarketer to IBM. Note that where a termination request is not received charges will accrue for any usage after June 11, 2012.

The list of eligible services and software images, including available licensing options includes:

Eligible service

Service Description component ID

IBM SmartCloud Enterprise 6948-K09 - virtual environment

Eligible IBM software images

Available Description license option(s)

WebSphere Portal

IBM WebSphere Portal Server and Lotus Web PAYG, BYOL Content Management V7.0.0.1 for SUSE Linux Enterprise Server 11.2 (32 bit)

IBM Lotus Web Content Management V7.0.0.1 for PAYG, BYOL SUSE Linux Enterprise Server 11.2 (32 bit)

Information Management

DB2 Express-C 9.7.5 for SUSE Linux Enterprise PAYG(no charge) Service (32 bit)

IBM Informix Innovator-C Edition V11.7 for PAYG(no charge) SUSE Linux Enterprise Server 11.0 (32 bit)

IBM InfoSphere BigInsights Basic Ed 1.1 - PAYG(no charge) Hadoop Master Node

IBM InfoSphere BigInsights Basic Ed 1.1 - PAYG(no charge) Hadoop Data Node

AIM

IBM WebSphere Application Server for SUSE PAYG, BYOL Linux Enterprise Server and for Red Hat Enterprise Linux

IBM WebSphere Message Broker 8.0 for Red Hat BYOL Enterprise Linux 5.7

IBM BPM Express 7.5.1 for Red Hat Enterprise PAYG, BYOL Linux 6 (64 bit)

IBM Image Construction and Composition Tool PAYG (no charge) v1.1 for SUSE Linux Enterprise Server 11 SP1 (32 bit)

Collaboration

IBM Lotus Domino Enterprise Server 8.5.2.2 BYOL for Red Hat Enterprise Linux 5.6 (32 bit)

IBM Collaboration QuickStart for Social PAYG(no charge) Business V1.0 for Red Hat Linux Enterprise Server 5.6 (64 bit)

Cognos

IBM Business Intelligence 10 for Red BYOL only Hat Enterprise Linux 5.4 (64 bit)

Rational

IBM Rational Team Concert 3.0.1, Rational BYOL only Quality Manager 3.0.1, Rational Requirements Composer 3.0.1 ro4 Red hat Enterprise Linux 5.5 (64 bit)

IBM Rational Asset Manager 7.5.1 for Red Hat BYOL only Enterprise Linux 5.4 (64 bit)

IBM Rational Build Forge 7.1.2 for Red Hat BYOL only Enterprise Linux 5.4 (64 bit)

IBM Rational Build Forge Agent 7.1.2 for Red BYOL only Hat Enterprise Linux 5.4 (64 bit)

The following are not covered under this free usage promotion:

Reserved virtual machine instances On-boarding support Premium support Services Virtual Private Network service Services or images other than what is stated above

Signed IBM SmartCloud Enterprise Agreements must be received by IBM on or after April 11, 2012, but no later than May 28, 2012. For service that is continued beyond the promotional period, the IBM SmartCloud Enterprise Agreement (Z125-8489) will remain in effect, and the IBM SmartCloud Enterprise Promotion Attachment (Z125-8656) will end on June 11, 2012. For service that is terminated on or before June 11, 2012, the IBM SmartCloud Enterprise Agreement (Z125-8489) and IBM SmartCloud Enterprise Attachment (Z125-8656) will end on the date the service is terminated.

This promotion is valid in the following countries:

Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Israel, Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Switzerland, Sweden, United Kingdom (excluding overseas territories and crown dependencies).

Cloud computing has reached a level of maturity and traction where it has captured the imagination of enterprises worldwide. At the same time savvy customers realize that cloud will play out over years. As such customers are keen to align with a cloud provider that understands the strategic context of cloud. IBM and IBM SmartCloud Enterprise, and our broader cloud portfolio are thus compelling.

Normal ordering and contract signing procedures apply. Additionally the end customer needs to sign the IBM SmartCloud Enterprise Autumn Promotion Addendum.

The following Agreements apply to this promotion:

Language URL

https://www14.software.ibm.com/webapp/iwm/web English /reg/directDownload.do?source=partnerworld&FILE=pw /smart_cloud_enterprise_spring_english.pdf

https://www14.software.ibm.com/webapp/iwm/web French /reg/directDownload.do?source=partnerworld&FILE=pw /smart_cloud_enterprise_spring_french.pdf

https://www14.software.ibm.com/webapp/iwm/web German /reg/directDownload.do?source=partnerworld&FILE=pw /smart_cloud_enterprise_spring_german.pdf https://www14.software.ibm.com/webapp/iwm/web Italian /reg/directDownload.do?source=partnerworld&FILE=pw /smart_cloud_enterprise_spring_italian.pdf

https://www14.software.ibm.com/webapp/iwm/web Spanish /reg/directDownload.do?source=partnerworld&FILE=pw /smart_cloud_enterprise_spring_spanish.pdf

Continuation of the service after the promotional period will allow deployment of additional servers on all IBM Cloud data centers, worldwide, and access to additional services available through the IBM SmartCloud Enterprise service offering. To avoid any unexpected charges that the end of the promotional period, you are responsible for deleting any Instances, Private Images, storage, or other services options created during the promotional period that you do not want to continue and be charged for. Termination of the service will cause all Instances, Private images and Content created during use of the service to be deleted. For more information about the IBM SmartCloud Enterprise service offering please see: https://www- 304.ibm.com/partnerworld/wps/servlet/mem/ContentHandler?cmsId=CF_7807USEN&selectedTab=1

The following Standard Terms and Conditions apply:

This promotion is subject to the terms and conditions of any applicable Agreements. This promotion cannot be combined with other applicable IBM discounts or educational allowances on the eligible services. IBM accepts no liability for any consequential tax or social security liability of either the end customer benefitting from the incentive or the Business Partner. IBM Business Partner Agreement (BPA) IBM reserves the right to modify or withdraw this promotion at any time. This promotion is void wherever prohibited or restricted by Law. Linux, Microsoft, Windows, Red Hat, Novell SUSE are trademarks or service marks of others. Other company, product and service names may be trademarks or service marks of others.

History of Revisions

Date of Effective date of revisions Details of revisions change