# Amendment of ESIL BSF-02 Form Endorsement

**Endorsement No:** 5  
**Effective Date:** May 21, 2010 (at 12:01 A.M., prevailing time at the address of the Named Insured as shown in item 1(b) of the Declarations)  
**Policy No:** P000466 008  
**Issued To:** International Business Machines Corporation  
**By:** Endurance Specialty Insurance Ltd.

## Amendment of ESIL BSF-02 Form Endorsement

It is hereby agreed that the following is deleted and replaced in its entirety:

### Cancellation

This Policy may be canceled by the first Named Insured listed in Item 1.a) of the Declarations of this Policy by mailing or delivering to the Company at the address set forth in Item 7(a) of the Declarations of this Policy advance written notice of cancellation. This Policy may be canceled by or on behalf of the Company by delivering to the first Named Insured or by mailing to the first Named Insured, by registered, certified, or other first class mail, at the first Named Insured's address set forth in Item 1.b) of the Declarations of this Policy, written notice stating when thereafter, not less than fifteen (15) days in the event any premium is not paid when due, and not less than ninety (90) days in all other cases, cancellation shall be effective. Proof of mailing of such notice as aforesaid shall be sufficient proof of notice. It is agreed that the first Named Insured shall act on behalf of all Insureds with respect to giving and receiving notice of cancellation. The Policy Period terminates at the date and hour specified in such notice, but in case of notice of cancellation by the first Named Insured, in no event prior to the date such notice is received by the Company.

If this Policy shall be canceled by the first Named Insured, the Company shall return ninety percent (90%) of the unearned portion of the premium calculated on a pro rata basis unless there is a Minimum Earned Premium set forth in Item 8.(b) of the Declarations of this Policy, in which case the Company will retain the Minimum Earned Premium and return the difference, if any, between the Minimum Earned Premium and the unearned portion of the premium calculated on a pro rata basis.

If this Policy shall be canceled by the Company, the Company shall return to the first Named Insured the unearned portion of the premium calculated on a pro rata basis.

All other terms and conditions of this Policy remain unchanged.

**Date of Issuance:** June 8, 2010  
**625 BSF-02 (Ed. 07/09)**  
**5_625_10**

**Authorized Representative:** [Signature]