# Northbrook Insurance Company
Northbrook, Illinois

## Endorsement

**Named Insured:** International Business Machines Corporation  
**Policy No.:** 63 003 053  
**Endorsement No.:** 3

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In consideration of the premium charged, it is agreed that the insurance afforded by this policy shall not apply with respect to liability arising out of any claim made against any insured and caused by, or alleged to have been caused, by any negligent act, error or omission of any insured, or any other person for whose actions any insured is legally responsible, in the conduct of the insured's business of data processing.

Further this insurance does not apply to damages as respects loss of, unauthorized use of, damage to or destruction of computer hardware or computer software (including source material, data and records) in the care, custody or control of any insured or as to which, for any reason, any insured is exercising physical control.

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This endorsement to take effect on the 21 day of May 1977. All other terms and conditions remain unchanged.

**Countersigned:** May 19, 1977  
**Authorized Representative:** [Signature]

**Printed in USA**