GLOBAL TECHNOLOGY DISTRIBUTION SUMMIT

1. GLOBAL TECHNOLOGY DISTRIBUTION SUMMIT CAROL MILTNER CHIEF EXECUTIVE OFFICER GTDC

2. OUR STORY • FOUNDED IN 1998 • MEMBERS ARE CHAIRMEN, CEO’S AND PRESIDENTS OF THE WORLD’S LARGEST IT DISTRIBUTORS • LIST IN YOUR FOLDER • UNITED STATES INTERNATIONAL • ARROW ELECTRONICS ACTEBIS • AVNET, INC. GERMANY • BELL MICROPRODUCTS DAIWABO INF. SYSTEMS CO • GE ACCESS JAPAN • INGRAM MICRO SCRIBONA • PIONEER STD. ELECTRONICS SWEDEN • SYNNEX INF. SERVICES SOFTBANK COMMERCE CO. • TECH DATA JAPAN

3. GTDC MISSION STATEMENT GIVE VOICE TO KEY INDUSTRY ISSUES AND DRIVE THEM TO DESIRABLE RESOLUTION, ULTIMATELY REDUCING COSTS AND INCREASING PROFITS FOR ALL PLAYERS IN THE IT SUPPLY CHAIN.

4. OUTLOOK FOR IT DISTRIBUTORSNEVER BRIGHTER! • AWARENESS OF AND APPRECIATION FOR DISTRIBUTOR VALUE PROPOSITON HAS REMAINED CONSISTENTLY HIGH (EVEN INCREASING SINCE FINANCIAL DOWNTURN) PER RESEARCH RESULTS TO BE PRESENTED TODAY. • IT DISTRIBUTION IS AN ART, NOT A SCIENCE, DEVELOPED OVER 20 YEARS • THOSE WHO HAVE TRIED TO DEVELOP THEIR OWN LOGISTICS AND DELIVERY SYSTEMS AND FAILED HAVE BECOME OUR MOST LOYAL CUSTOMERS • MANY MILLIONS OF DOLLARS HAVE BEEN INVESTED IN STATE OF THE ART SYSTEMS TO MAXIMIZE EFFICIENCIES • MORE THAN PRODUCTS: DISTRIBUTORS ARE AN INCOMPARABLE ONE-STOP SOURCE OF PRODUCTS, SERVICES AND POWERFUL MARKET INTELLIGENCE

5. WHY WILL DISTRIBUTORS CONTINUE TO BE VITAL PARTNERS TO VENDORS AND RESELLERS? • DURING THE ECONOMIC DOWNTURN WHEN THE MONEY SUPPLY EVAPORATED, CREDIT EXTENDED BY DISTRIBUTORS WAS VALUED MORE THAN EVER BEFORE • DETAILS TO BE PRESENTED IN RESEARCH PRESENTATION • CREDIT SERVICES ARE VALUED AS MUCH BY THE VENDORS AS THE RESELLERS, AS THEY DO NOT WISH TO RISK EXTENDING CREDIT LINES TO RESELLERS.

6. WHY WILL DISTRIBUTORS CONTINUE TO BE VITAL PARTNERS TO VENDORS AND RESELLERS? • DISTRIBUTOR CORE COMPENTENCIES: SALES, MARKETING, LOGISTICS, TECH SUPPORT, FINANCIAL SERVICES, EDUCATIONAL SERVICES AND COMPLEX SYSTEM CONFIGURATION FOR ALL VENDORS AND RESELLERS, INCLUDING VARS WHO SERVICE SMB MARKET (84% OF MARKET) • DISTRIBUTOR IT INFRASTRUCTURE CRITICAL TO NIMBLE EXECUTION ON BEHALF OF VENDORS AND RESELLERS • MANUFACTURER CORE COMPETENCIES: • RESEARCH AND DEVELOPMENT: QUEST FOR SUPERIOR TECHNOLOGY, PRODUCTS AND SOLUTIONS • SALES AND MARKETING – PUSH AND PULL PROGRAMS • = UPSIDE OPPORTUNITY FOR VENDORS • BALANCE SHEETS CAN BE STRENGTHENED QUICKLY WHEN MANUFACTURERS FOCUS ON THEIR CORE COMPENTENCIES AND OUTSOURCE SERVICES FROM DISTRIBUTORS • FIXED COSTS ARE CONVERTED IMMEDIATELY TO VARIABLE COSTS ENABLING NIMBLE PERFORMANCE IN TOUGH ECONOMIC TIMES.

7. IT DISTRIBUTOR CHANNEL REPORT • ALLIANCE BETWEEN NPD INTELLECT AND GTDC • UNPRECEDENTED IN IT INDUSTRY • MONTHLY REPORT OF GTDC NORTH AMERICAN MEMBERS’ AGGREGATED SALES-OUT DATA BY CUSTOMER SEGMENTATION AND PRODUCT CATEGORIES, INCLUDING BACK DATA FOR 2001 • WILL BE LAUNCHED BY SUMMER ’02 • A ONE-STOP SOURCE FOR FORECASTING AND TRENDING ANALYSIS

8. IT DISTRIBUTOR CHANNEL REPORT • TARGET MARKETS FOR IT DISTRIBUTION CHANNEL REPORT • IT INDUSTRY VENDOR COMMUNITY • IT INDUSTRY RESELLER COMMUNITY • FINANCIAL ANALYSTS • FOR MORE INFORMATION: • NPD CONTACT INFORMATION ON COLLATERAL PIECE IN YOUR PACKETS • GTDC CONTACT: CAROL MILTNER “miltner@gtdc.org”

9. RESEARCH AND MEDIA RELATIONS • RESEARCH • ONGOING SURVEY RESULTS POSTED ON GTDC WEB SITE • “www.gtdc.org” • FOCUS: VENDOR AND RESELLER SATISFACTION LEVELS WITH SERVICES PROVIDED BY DISTRIBUTORS • MOST RECENT VENDOR AND RESELLER SURVEY RESULTS TO BE PRESENTED TODAY • MEDIA RELATIONS • PROACTIVE AND HIGHLY FOCUSED DIALOGUE WITH TRADE PRESS • ONGOING CMP ROUNDTABLES HELD WITH CRN AND VAR BUSINESS REPORTERS AND EDITORS IN CONJUNCTION WITH GTDC INVESTOR RELATIONS TOURS • FEATURES DIALOGUE WITH GTDC EXECUTIVE • GTDC COMMUNICATIONS COMMITTEE WORKS CLOSELY ON PURSUING NATIONAL MEDIA OPPORTUNITIES

10. GTDC INVESTOR RELATIONS PROGRAM • INVESTOR RELATIONS AND MEDIA RELATIONS PROGRAMS • ONGOING DIALOGUE WITH 25 ANALYSTS • REGULAR MEETINGS WITH MAJOR WALL STREET FIRMS, WHICH INCLUDE: BANK OF AMERICA SECURITIES BEAR STEARNS RAYMUND JAMES BUCKINGHAM RESEARCH ROBERTSON STEPHEN CREDIT SUISSE SALOMON SMITH BARNEY MERRILL LYNCH FWS SECURITIES MORGAN STANLEY THOMAS WEISEL PARTNERS NEEDHAM WIT SOUNDVIEW • MEETINGS INCLUDE • LATEST RESEARCH REPORTS • UPDATE ON IT DISTRIBUTOR CHANNEL REPORT • INDUSTRY OVERVIEW FROM GTDC MEMBER EXECUTIVE

11. GLOBAL TECHNOLOGY DISTRIBUTION SUMMIT • THE OBJECTIVE: TO CREATE AN ANNUAL FORUM WHERE OPEN DIALOGUE WILL RESULT IN THE STRONGEST POSSIBLE RELATIONSHIPS BETWEEN IT DISTRIBUTORS AND THEIR VENDOR PARTNERS • WE WELCOME YOUR FEEDBACK AND INPUT ON HOW THIS EVENT MIGHT BETTER SERVE YOUR NEEDS IN FUTURE YEARS. • OUR THANKS TO CO-SPONSOR CMP MEDIA FOR THEIR SUPPORT AND THEIR WILLINGNESS TO KEEP TODAY’S DISCUSSION “OFF THE RECORD” DESPITE HAVING THE BEST REPORTERS, EDITORS AND MODERATORS IN THE INDUSTRY! • PLEASE VISIT OUR WEBSITE “www.gtdc.org” FOR MORE INFORMATION ON: • MEMBER COMPANY OVERVIEWS AND EXECUTIVE PROFILES • ALL SURVEYS RE: VENDOR AND RESELLER SATISFACTION LEVELS • “MYTHS VS. REALITIES: US IT DISTRIBUTION MARKET” • FOR COPY OF THIS PRESENTATION, CONTACT ME • WE SINCERELY THANK YOU FOR BEING HERE!!