**Endorsement No:** 3

**This endorsement, effective:** May 21, 2014 (at 12:01 A.M. prevailing time at the address of the Named Insured as shown in Item 1 of the Declarations)

**forms a part of Policy No:** EXC10000024505

**Issued to:** International Business Machines Corporation

**by:** Endurance Specialty Insurance Ltd.

**U.S. TERRORISM RISK INSURANCE PROGRAM REAUTHORIZATION ACT (TRIPRA) OF 2007 ENDORSEMENT - II**

It is hereby noted and agreed that this Endorsement applies to any covered loss directly resulting from a "certified act of terrorism" as defined in the "Terrorism Insurance Program" established by the "United States Terrorism Risk Insurance Program Reauthorization Act of 2007".

The coverage afforded by this Endorsement is only in respect of any insured loss of the type insured by this Policy directly resulting from an "act of terrorism" as defined in the "Terrorism Insurance Program".

Furthermore, as respects the "certified act of terrorism" as defined in the "Terrorism Insurance Program" established by the United States "Terrorism Risk Insurance Program Reauthorization Act of 2007" the Company will not be liable for any amounts for which it is not responsible under the terms of the "Terrorism Insurance Program" established by the United States "Terrorism Risk Insurance Program Reauthorization Act of 2007" (including subsequent action of Congress pursuant to the Act) due to the application of any clause which results in a cap on the Company's liability for any covered losses directly resulting from a "certified act of terrorism".

All other terms and conditions of this Policy remain unchanged.

**Date of Issuance:** June 9, 2014

**579 BSF-03 (Ed. 04/14)**

**3_579_14**