The Power of Solutions: Investments that Impact the Bottom Line

SOLUTIONS ARE AN INVESTMENT IN A COST-REDUCTION Overview Effective Dealerships need to employ a variety of solutions to stay profitable and competitive Proposal Generation MPS Device Management Power Protection High Quality Compatibles SOLUTIONS ARE AN INVESTMENT IN A COST-REDUCTION

Katun MPS Profit Calculator Protect your profit margins. Turn your MPS sales reps into “selling machines!” Comprehensive database contains industry standards for parts & supplies usage – no more time wasted “Googling”

Product Overview Cloud based product that handles every element of the MPS selling process. Simple wizard-based flow allows the dealer to go from analysis to comparison to presentation in minutes Allows for simple assessments using pre-loaded data or allows overrides to include actual costs from the end user Margins are accurate AND protected Sales reps will have a clear path with a visual look at their gross profit and revenue BEFORE they deliver their proposal. Significantly shortens the sales cycle for Reps and Customers, allowing them to keep the momentum that they create during the initial sales call.

Case Study Metrics A large dealer is raving about the new MPS Profit Calculator. The solution has enabled their reps to go from data collection to analysis to proposal to contract in minutes integrating with their supply vendors to ensure accuracy and profitability. They were able to take a 255 printer MPS opportunity from beginning to proposal in less than 30 minutes.

Katun / Print Audit Partnership Win Customers Keep Customers Build Recurring Revenue

Case Study Metrics Major factor in winning a 8M page per month deal No print customers lost since utilizing Print Audit Added $100K in monthly recurring revenue ROI: One deal paid for 6 years of the subscription price Adding 4-6 print management customers per month ROI: Generating monthly revenues of 200% the subscription cost

Power Protection Solutions: Innovolt Significantly reduces downtime of key electronic equipment Improve Image Quality Increase Customer Retention Predict and measure with diagnostic electrical reporting Maximizes equipment reliability, performance and lifespan

Case Study Metrics Service history study for roughly 10,000 MFPs installed at a major OEM All segment 2, 3, 4, 5 and 6 machines installed between January 2006 and December 2014. January 2006 through April 2010 machines were protected by a high quality power protection device (competition) Machines installed from April 2010 through December 2014 were protected by Innovolt solutions. Reviewed service records for each machine covering over 71k service calls including emergency (machine failure) and non-emergency calls. Analyzed call frequency before and after Innovolt machines were installed, controlling for potential differences in performance across machine types and for the age of the equipment.

Case Study Metrics Significant reduction in emergency service calls with the deployment of Innovolt The impact of Innovolt was immediate, with significant reductions showing up in the first year and continuing through the study Across the 3 most common types of disturbances Innovolt reduced service calls by 52% This includes critical customer satisfaction areas like copy quality, where Innovolt demonstrated a 51% reduction in service calls

Quality Aftermarket Partner Balances Quality and Cost Savings Adds Value Industry Partner

Case Study Metrics Large NE Canon Dealer with 13 technicians 8-9% of parts spend was a single drum unit First 7 months of program saved $60,000 in drum costs, reducing overall parts cost. Did not sacrifice yield or cost per page 3 failures in 7 months (one from a tech scratching it)

Case Study Metrics Canon Dealer converted 11 color toner part numbers $115K savings in 7 months on purchases Plus additional program rebates 10-14% ANNUAL IZED SAVINGS: $220K

Case Study Metrics As a result of preliminary savings: Ricoh/Canon/Kyocera Mita Dealer converted 10 top parts $24K savings in 3 months on purchases Plus additional program rebates 7% ANNUALIZED SAVINGS: $106K As a result of preliminary savings: ADDED additional 26 SKU’s $66K savings in 4 months on purchases Plus additional program rebates 7% ANNUALIZED SAVINGS: $250K

Case Study Metrics $6M Canon Dealer with 7 technicians converted from using 6 unique color drum units to one universal Katun Color drum Able to re-use the cleaning blade and swap our the drum Smaller box size saved on trunk space Did not sacrifice yield or cost per page Rotated in Katun drum on every other drum change with the OEM unit First 10 months of program saved $20,000 in drum costs, reducing overall parts cost.

HP Color Printer Toner Katun Chemical Toner Exclusively in HP Color - Precise toner technology - Competitive Edge in color reproduction

Case Study Metrics $16.5K savings in 6 months on purchases $50M Dealer with unhappy with color quality and service from current HP color print vendor Portfolio included 141 parts (from less than 1 to 50 units/month) PO Processor order automation Drop Shipping to end users Personalized with In-Building Labeling Improved Quality and Service $16.5K savings in 6 months on purchases Plus additional program rebates 14-18% ANNUALIZED SAVINGS: $123.5K

The Katun Business Model Katun Corporation was founded in 1979 with a commitment to providing the imaging industry with the highest levels of quality, service and value.

The Katun Business Model Aftermarket industry leader of over three decades Legitimized the aftermarket for parts, drums, toner, and now color Virtual manufacturing model Most diverse and technologically advanced manufacturer base Matched with research and development capabilities Reverse engineering + co-development + application testing Corporate culture of – and unwavering commitment to – quality

Value-Added Services and Programs Discounts, subsidies, credits, and reimbursement for : Industry Software (BEI Services, ERP Systems) Training and Consulting Services Fleet Management Tools MPS Profit Calculator Automated Toner Fulfillment Green Programs Drum Cartridge/DUC recycling Assorted buying and industry group programs and participation ERP integration solutions – order to invoice automation (eAutomate,DDMS) Personalization program – custom designed labels on imaging supplies promotes your business Print Audit

Contact your Katun Sales Representative for more details. Our Invitation To You…. Let us do a comprehensive savings analysis for your parts and supplies usage and see how we can impact your bottom line WITHOUT sacrificing quality. Contact your Katun Sales Representative for more details.

Katun Corporation Steve McBride, General Manager North America 952.903.3217 steve.mcbride@katun.com