# Endorsement # 19

**This Endorsement, Effective:** 12:01 A.M.
**MAY 21, 2000**
**Forms A Part Of**

**Policy Number:** BE 739 47 27
**Issued To:** International Business Machines Corporation

**By:** National Union Fire Insurance Company of Pittsburgh, PA.

## Multi-Year Endorsement (Prepaid Policies)

It is understood and agreed that the prepaid premium is subject to review if any of the following caveats are met:

1. International Business Machines Corporation's sales growth during any one of the annual periods exceeds 15% of the prior estimate of sales for that given annual period. Any additional premium will be based on the percentage of sales that exceeds 15%.

2. International Business Machines Corporation purchases, creates, or acquires an entity outside of its core business as described in your submission this year. We reserve the right to review, underwrite and change an appropriate additional premium for the new entity only.

All other terms and conditions of this policy remain unchanged.

**NOTICE:** THESE POLICY FORMS AND THE APPLICABLE RATES ARE EXEMPT FROM THE FILING REQUIREMENTS OF THE NEW YORK STATE INSURANCE DEPARTMENT. HOWEVER, SUCH FORMS AND RATES MUST MEET THE MINIMUM STANDARDS OF THE NEW YORK INSURANCE DEPARTMENT.

**Authorized Representative**  
**Date**