**March 1, 1996**

**Mike Wiebe**
Manager of Property & Casualty Insurance
**INTERNATIONAL BUSINESS MACHINES CORPORATION**
Old Orchard Road
New York, New York 10504

**RE: International Business Machines Corporation**
**Zurich/Home Insurance Company**
**Excess Policy No: HXL037471 & HXL037472**

Dear Mike:

Pursuant to paperwork you had signed, we needed to cancel and re-issue excess policy numbers HXLC113691 & HXLC113692 for the policy period May 21, 1994 to May 21, 1995, effective January 1, 1995, due to Zurich's purchase of the Home Insurance Company. Enclosed are the two policies captioned above for the period January 1, 1995 to May 21, 1995 that were necessary to complete the original annual policy term of May 21, 1994 to May 21, 1995.

Please note that two additional endorsements #8 & 9 have been added to the policy so that only one set of aggregate limits apply to both policies for the annual period instead of having two separate limits apply. This is similar to what IBM did on their January 1, 1996 policy extension to May 21, 1996 with respect to its non-concurrency issue on its Umbrella.

Call me if you have any questions.

Sincerely,

Marc Dupuy, CPCU

212-574-8458

cc: Steve Luongo  
Keith Cornish  
Nalini Singh