# THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

## ENDORSEMENT #31

This endorsement, effective 12:01 A.M. 05/21/99 forms a part of Policy No. RMGL 612-2708 issued to International Business Machine Corp.

By AMERICAN HOME ASSURANCE COMPANY

## WORLD WIDE COVERAGE TERRITORY AMENDMENT

This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART

Section V - Definitions, 4.- Coverage Territory, c., is amended to read:

4. "Coverage Territory" means:
   a. All parts of the world except for those countries and/or territories that are under Sanctions of the United States of America.
   b. International water or airspace, provided the injury of damage does not occur in the course of travel to or from any country or territory under Sanctions by the United States of America.

With respect to those "suits" or claims instituted in courts outside the United States of America (including its territories and possessions) Section 1 - Coverages, Coverage A - Bodily Injury and Property Damage Liability, 1. - Insuring Agreement, a., and Coverage B - Personal and Advertising Injury Liability, 1. - Insuring Agreement, a. are amended to read:

a. We shall have the right but not the duty to defend any such "suit" and to make such investigation, negotiation and settlement of any such claim or "suit" as we deem expedient; provided, in any case in which we elect not to investigate, settle or defend you, under our supervision, you will make or cause to be made such investigation and defense as may reasonably be necessary and, subject to prior authorization by us, will effect, to the extent possible, such settlement or settlements as we and you deem prudent. We will, except where prohibited by law, indemnify you for the reasonable costs of any such investigation, settlement or defense, in currency of the country of payment. Where